Abstract
The well-known research carried out by Busenitz and Barney (1997) exploring differences in the decision-making processes between entrepreneurs and managers in large organizations has been revisited and redesigned as a starting point to create a computational and theoretical Multi Agent Model (MAM) which shows differences in the decision-making processes. In the original study, researchers showed the presence of a different disposition in incurring in biases and in heuristics by entrepreneurs and managers. In particular, two interesting trend curves on the Overconfidence effect have been realized. Authors concluded by stating that the Overconfidence effect is significantly different in entrepreneurs and managers and helps distinguish between these two work categories. Starting from this conclusion and from their results, a computational and theoretical MAM has been designed, where, as suggested by the authors, different decision-maker agents can incur in the Overconfidence effect with different degrees.
Access provided by Autonomous University of Puebla. Download to read the full chapter text
Chapter PDF
Similar content being viewed by others
References
Begley, T.M., Boyd, D.P.: Psychological characteristics associated with performance in entrepreneurial firms and smaller businesses. Journal of Business Venturing 2, 79–93 (1987)
Brockhaus, R.H.: Risk taking propensity of entrepreneurs. Academy of Management Journal 23, 509–520 (1980)
Bruine de Bruin, W., Parker, A.M., Fischhoff, B.: Individual differences in adult decision-making competence. Journal of Personality and Social Psychology 92(5), 938 (2007)
Busenitz, L.W., Barney, J.B.: Differences between entrepreneurs and managers in large organizations: Biases and heuristics in strategic decision-making. Journal of Business Venturing 12(1), 9–30 (1997)
Ceschi, A., Hysenbelli, D., Sartori, R., Tacconi, G.: Cooperate or Defect? How an agent based model simulation on helping behavior can be an educational tool. Paper Presented at the Paper Session Presented at the Meeting of the 3rd ebuTEL, International Workshop on Evidence Based and User Centred Technology Enhanced Learning, Trento, Italy (2013)
Ceschi, A., Hysenbelli, D., Slovic, P.: When awareness of those we cannot help demotivates us from helping those we can help: An agent-based simulation study of pseudoinefficacy. In: Dickert, S. (ed.) Paper presented at the Prosocial Responses to Donation Requests: Motivators and Demotivators. Symposium Conducted at the Meeting of the 55th TeaP Conference of Experimental Psychologists, Vienna, Austria (2013)
Favretto, G., Sartori, R.: Le età dell’impresa. Franco Angeli, Milano (2007)
Fischhoff, B., Slovic, P., Lichtenstein, S.: Knowing with certainty: The appropriateness of extreme confidence. Journal of Experimental Psychology: Human Perception and Performance 3, 552–564 (1977)
Low, M.B., MacMillan, I.C.: Entrepreneurship: Past research and future challenges. Journal of Management 14(2), 139–161 (1988)
Miner, J.B., Smith, N.R., Bracker, J.S.: Role of entrepreneurial task motivation in the growth of technologically innovative firms. Journal of Applied Psychology 74(4), 554–560 (1989)
Ray, D.M.: The role of risk-taking in Singapore. Journal of Business Venturing 9(2), 157–177 (1994)
Sartori, R., Ceschi, A.: Uncertainty and its perception: experimental study of the numeric expression of uncertainty in two decisional contexts. Quality & Quantity 45(1), 187–198 (2011)
Sartori, R., Ceschi, A.: Assessment and development centers: judgment biases and risks of using idiographic and nomothetic approaches to collecting information on people to be evaluated and trained in organizations. Quality & Quantity 47, 3277–3288 (2013)
Sexton, D.L., Bowman, N.: The effects of pre-existing psychological characteristics on new venture initiations. Paper Presented at the Annual Meeting of the Academy of Management, Boston, MA (1984)
Stevenson, H.H., Gumpert, D.E.: The heart of entrepreneurship. Harvard Business Review 63(2), 85–94 (1985)
Author information
Authors and Affiliations
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2014 Springer International Publishing Switzerland
About this paper
Cite this paper
Sartori, R., Ceschi, A., Scalco, A. (2014). Differences between Entrepreneurs and Managers in Large Organizations: An Implementation of a Theoretical Multi-Agent Model on Overconfidence Results. In: Omatu, S., Bersini, H., Corchado, J., Rodríguez, S., Pawlewski, P., Bucciarelli, E. (eds) Distributed Computing and Artificial Intelligence, 11th International Conference. Advances in Intelligent Systems and Computing, vol 290. Springer, Cham. https://doi.org/10.1007/978-3-319-07593-8_10
Download citation
DOI: https://doi.org/10.1007/978-3-319-07593-8_10
Publisher Name: Springer, Cham
Print ISBN: 978-3-319-07592-1
Online ISBN: 978-3-319-07593-8
eBook Packages: EngineeringEngineering (R0)