posted on 2023-03-17, 11:57authored byJinfeng Lu, Dimo Dimov
This paper uses system dynamics modelling to explore processes through whichentrepreneurial initiatives within firms lead to firm growth. Our model captures the interplayamong various sub-processes and finds these processes form a complex system involvingmultiple interacting feedback processes. Simulation analysis shows that minor changes infirm conditions could lead to qualitatively different growth trajectories. They involve growthdynamics such as better before worse, and worse before better scenarios. These findingsprompt us to move beyond linear understanding of how entrepreneurship contributes to firmgrowth.