Innovate or exploit? Unveiling the international entrepreneurial odyssey through the lens of status quo bias

We contribute novel insights into how status quo bias may play a part in identifying and capitalizing on international opportunities, thus addressing a previously overlooked aspect of cognitive perspective in international entrepreneurship research. First, from an entrepreneurial process perspective...

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Main Authors: Faroque, A.R., Shimul, Anwar Sadat, Xu, H., Kuivalainen, O., Murshed, F., Sundqvist, S.
Format: Journal Article
Published: 2025
Online Access:http://hdl.handle.net/20.500.11937/97441
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author Faroque, A.R.
Shimul, Anwar Sadat
Xu, H.
Kuivalainen, O.
Murshed, F.
Sundqvist, S.
author_facet Faroque, A.R.
Shimul, Anwar Sadat
Xu, H.
Kuivalainen, O.
Murshed, F.
Sundqvist, S.
author_sort Faroque, A.R.
building Curtin Institutional Repository
collection Online Access
description We contribute novel insights into how status quo bias may play a part in identifying and capitalizing on international opportunities, thus addressing a previously overlooked aspect of cognitive perspective in international entrepreneurship research. First, from an entrepreneurial process perspective, we assert that internationalizing firms can attain a performance advantage by adopting Kirznerian and Schumpeterian types of entrepreneurial orientation (EO) with the mediation of opportunity recognition and exploitation. Building on cognitive bias theory, we further posit that status quo bias plays a significant role in shaping the relationship between EO and opportunity recognition and exploitation. We test our hypotheses using survey data collected from 275 internationalizing firms. The empirical results suggest that EO variants exhibit distinct influences and are influenced in unique ways by international opportunity recognition, exploitation and status quo bias. Specifically, we find that a higher level of status quo bias strengthens the relationship between Schumpeterian EO and opportunity recognition, whereas a lower level strengthens the association between Schumpeterian EO and opportunity exploitation. However, no significant effect of status quo bias is found in Kirznerian firms. The study offers both theoretical and practical implications, and provides valuable recommendations for future research.
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spelling curtin-20.500.11937-974412025-04-16T01:54:15Z Innovate or exploit? Unveiling the international entrepreneurial odyssey through the lens of status quo bias Faroque, A.R. Shimul, Anwar Sadat Xu, H. Kuivalainen, O. Murshed, F. Sundqvist, S. We contribute novel insights into how status quo bias may play a part in identifying and capitalizing on international opportunities, thus addressing a previously overlooked aspect of cognitive perspective in international entrepreneurship research. First, from an entrepreneurial process perspective, we assert that internationalizing firms can attain a performance advantage by adopting Kirznerian and Schumpeterian types of entrepreneurial orientation (EO) with the mediation of opportunity recognition and exploitation. Building on cognitive bias theory, we further posit that status quo bias plays a significant role in shaping the relationship between EO and opportunity recognition and exploitation. We test our hypotheses using survey data collected from 275 internationalizing firms. The empirical results suggest that EO variants exhibit distinct influences and are influenced in unique ways by international opportunity recognition, exploitation and status quo bias. Specifically, we find that a higher level of status quo bias strengthens the relationship between Schumpeterian EO and opportunity recognition, whereas a lower level strengthens the association between Schumpeterian EO and opportunity exploitation. However, no significant effect of status quo bias is found in Kirznerian firms. The study offers both theoretical and practical implications, and provides valuable recommendations for future research. 2025 Journal Article http://hdl.handle.net/20.500.11937/97441 10.1016/j.ibusrev.2025.102428 unknown
spellingShingle Faroque, A.R.
Shimul, Anwar Sadat
Xu, H.
Kuivalainen, O.
Murshed, F.
Sundqvist, S.
Innovate or exploit? Unveiling the international entrepreneurial odyssey through the lens of status quo bias
title Innovate or exploit? Unveiling the international entrepreneurial odyssey through the lens of status quo bias
title_full Innovate or exploit? Unveiling the international entrepreneurial odyssey through the lens of status quo bias
title_fullStr Innovate or exploit? Unveiling the international entrepreneurial odyssey through the lens of status quo bias
title_full_unstemmed Innovate or exploit? Unveiling the international entrepreneurial odyssey through the lens of status quo bias
title_short Innovate or exploit? Unveiling the international entrepreneurial odyssey through the lens of status quo bias
title_sort innovate or exploit? unveiling the international entrepreneurial odyssey through the lens of status quo bias
url http://hdl.handle.net/20.500.11937/97441