Causal mapping small business advisors’ belief systems: a case of entrepreneurship policy research

• Published in: International journal of entrepreneurial behaviour & research 2018-03, Vol.24 (2), p.499-520
• Main Authors: Laukkanen, Mauri, Tornikoski, Erno T
• Format: Article
• Language: English
• Subjects: Advisors; Cognition & reasoning; Employment; Entrepreneurs; Entrepreneurship; Job creation; Objectives; Researchers; Small business; Startups
• ISSN: 1355-2554; 1758-6534
• DOI: 10.1108/IJEBR-02-2017-0065

Purpose The purpose of this paper is twofold: first, using the case of Finnish small business advisors (SBAs), it aims to clarify a controversy in entrepreneurship policy about using public funds to foster solo and micro entrepreneurship. The study reveals the SBAs’ belief systems to facilitate policy-relevant conclusions about their advisory competence, counseling tendencies and probable impact on nascent entrepreneurs and macro consequences like firm displacement. Second, methodologically, the study’s cognitive perspective and method enable researchers to assess the approach and its potential. Design/methodology/approach The SBAs’ (n=15) belief systems were elicited by interview-based causal mapping. They are summarized using aggregated causal maps and analyzed to understand the SBAs’ dominant mindset and to draw conditional inferences about their professional competence and impacts. Findings The SBAs have convergent belief systems about the causes and consequences of micro entrepreneurship. They are generally competent to detect and foster viable solo and small micro firms. From a policy viewpoint, however, they ignore indirect effects like firm replication and appear risk aversive, less inclined to promote their clients’ growth intentions and plans. Originality/value For entrepreneurship policy makers, the study clarifies a controversial issue. It finds clear grounds for public funding of SBA type services, but this may depend on policy goals and local conditions. For the SBAs, the study suggests proactive, income-generating services for improved financing and legitimacy. For entrepreneurship researchers, it demonstrates the potential and limits of the cognitive approach and causal mapping.