Embracing Uncertainty. How Heuristics Can Assist Entrepreneurs in their Long-Term Strategic Decision-Making to Enhance Firm Performance

Bachelor Thesis , 2021 , 22 Pages

Business economics - Business Management, Corporate Governance

How does the use of heuristics by entrepreneurs in their long-term strategic decision-making influence firm performance?

This research proposal suggests a positive relationship between the use of heuristics in decision-making and entrepreneurial firm performance. Consequently, the findings of this study could have important implications for the academic area concerned with heuristics. These findings could also provide meaningful implications for the success and sustainability of entrepreneurial firms that are currently facing substantial challenges. Moreover, this study provides valuable information for entrepreneurial and strategic decision-making, and, given the economic importance of entrepreneurial activity, strongly benefits society as a whole.

To answer the research question at hand, this paper is structured as follows. Firstly, the literature review will incorporate existing research on strategic decision-making, heuristics, and the research gap, after which the proposed hypothesis will be derived. Secondly, the methodology and research design will be outlined. This section is followed by a description of how to execute the data analysis of the research model. Afterwards, this paper outlines potential findings and contributions in terms of theoretical and practical implications. Moreover, possible limitations will be examined, and an outlook for future research will be provided. Lastly, a brief conclusion will be given.

Table of Contents

1. Introduction

2. Literature Review
2.1. Strategic decision-making in times of uncertainty
2.2. The role of heuristics in the decision-makingprocess
2.3. Assessment ofprevious literature
2.4. Hypothesis development: the value ofheuristics

3. Methodology and Research Design
3.1. Sample Design and Data Collection
3.2. Variables andMeasurement
3.2.1. Independent Variable: Heuristics
3.2.2. Dependent 'Variable: Firm performance
3.2.3. Control 'Variables
3.3. Reliability Constructs
3.4. Data Analysis

4. Potential Results

5. Discussion
5.1. Theoretical Implications
5.2. Practicallmplications
5.3. Limitations and Future Research

6. Conclusion

7. References

8. Appendix
8.1. Appendix A: Business cases

• College: Maastricht University
• Author: Felix Pütz (Author)
• Publication Year: 2021
• Pages: 22
• Catalog Number: V1119132
• ISBN (eBook): 9783346485113
• ISBN (Book): 9783346485120
• Language: English
• Tags: Uncertainity, Heuristics, entrepreneurship, entrepreneur, long-term decision making, strategic decision making, firm performance