The Market for Lemons in Serial Entrepreneurship: A Commentary

2017 ◽  
Vol 3 (1) ◽  
pp. 104-106
Author(s):  
Per Davidsson
Keyword(s):  
Market For Lemons ◽  
Serial Entrepreneurship

Is the local wheat market a ‘market for lemons’? Certifying the supply of individual wheat farmers in Ethiopia

2021 ◽  
Author(s):  
Banawe Plambou Anissa ◽  
Gashaw Abate ◽  
Tanguy Bernard ◽  
Erwin Bulte
Keyword(s):  
Asymmetric Information ◽  
Willingness To Pay ◽  
Wheat Quality ◽  
High Quality ◽  
Auction Design ◽  
Market For Lemons ◽  
Wheat Market ◽  
Ex Ante

Abstract Bulking and mixing of smallholder supply dilutes incentives to supply high quality. We introduce wheat ‘grading and certification shops’ in Ethiopia and use an auction design to gauge willingness-to-pay (WTP) for certification. Bids correlate positively with wheat quality, and ex ante notification of the opportunity of certification improves wheat quality. These findings suggest that local wheat markets resemble a ‘market for lemons’, crippled by asymmetric information. However, aggregate WTP for grading and certification services does not re-coup the sum of fixed, flow and variable costs associated with running a single certification shop.

Looking Back To Venture Forward: Exploring Idea and Identity Work in Public Failure Narratives

2021 ◽  
pp. 104225872110570
Author(s):  
Rohny Saylors ◽  
Amrita Lahiri ◽  
Benjamin Warnick ◽  
Chandresh Baid
Keyword(s):  
Career Paths ◽  
Identity Work ◽  
Business Failure ◽  
Theoretical Understanding ◽  
Serial Entrepreneurship ◽  
New Industry ◽  
Looking Back

Business failure often leads entrepreneurs to craft public narratives. Taking a performative storytelling perspective of such narratives, we investigate how entrepreneurs jointly reevaluate their ideas and identities, and how this relates to their subsequent career paths. We theorize that the stories entrepreneurs tell shape who they become, changing not only how others see them but also how they see themselves. This broadens theoretical understanding of how failed entrepreneurs navigate their transition to a diverse array of subsequent careers, including different forms of serial entrepreneurship (same industry; new industry) and exit (startup employee; established business employee; exit with reentry).

Make Use of the Difference of Failure and Exit to Improve the Operation Efficiency

2020 ◽  
pp. 164-184
Author(s):  
Yangyang Chen ◽  
Weiwei Dong ◽  
Dixuan Zhang ◽  
Mingwei Jin
Keyword(s):  
High Probability ◽  
Business Failure ◽  
Entrepreneurial Ecosystem ◽  
Operation Efficiency ◽  
Know How ◽  
Serial Entrepreneurship ◽  
Financial Condition ◽  
The Difference ◽  
Failure Experience ◽  
Entrepreneurial Exit

As business failure is a high probability event that influences the operation efficiency of the entrepreneurial ecosystem, it is necessary to know how to manage business failure experience to promote serial entrepreneurship and improve circulation in the ecosystem. While most scholars agree that it is different between failure and exit, DeTienne suggests that exit could be a way to avoid failure and protect the passion and financial condition of entrepreneurs. Therefore, this chapter analyzes the difference of failure and exit and conducts a model to help entrepreneurs decide whether to exit and how to choose a better way to exit entrepreneurship. In the meantime, this chapter analyzes why entrepreneurial exit can improve the operation efficiency of entrepreneurial ecosystem, and also it would give some ideas about how to bound from failure and benefit from failure to do better next time. After reading this chapter, entrepreneurs have the idea that failure is controllable and exit may be a restart to do business more successfully.

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