Entry barriers and new venture performance: a comparison of universal and contingency approaches
Article first published online: 6 JUN 2001
Copyright © 2001 John Wiley & Sons, Ltd.
Strategic Management Journal
Special Issue: Strategic Entrepreneurship: Entrepreneurial Strategies for Wealth Creation
Volume 22, Issue 6-7, pages 659–685, June - July 2001
How to Cite
Robinson, K. C. and Phillips McDougall, P. (2001), Entry barriers and new venture performance: a comparison of universal and contingency approaches. Strat. Mgmt. J., 22: 659–685. doi: 10.1002/smj.186
- Issue published online: 6 JUN 2001
- Article first published online: 6 JUN 2001
- new ventures;
- entry barriers
This study utilized universal and contingency approaches to empirically investigate the effects of entry barriers on new venture performance. Consistent with prior research utilizing the universal approach, this study found only limited support for the direct independent effects of entry barriers on performance. Conversely, this study provides strong support for utilizing the contingency approach to examine the complex effects of entry barriers on divergent performance measures. Overall, contingency models incorporating the theoretically justified moderating effects of industry life cycle stage and venture strategy explained 31, 61, and 45 percent of the variance in profitability, shareholder wealth creation, and sales growth respectively. Copyright © 2001 John Wiley & Sons, Ltd.