Sources of opportunities used by growth minded owner managers of small and medium sized enterprises

Ben Hulbert, Audrey Gilmore, David Carson

    Research output: Contribution to journalArticle

    15 Citations (Scopus)

    Abstract

    The purpose of this paper is to investigate the sources and nature of opportunities used byowner-managers of small and medium size (SMEs) firms in order to grow their businesses.In addition to the owner-manager’s desire for growth, clearly there needs to be bothopportunities to pursue and sufficient management activities that will discover suchopportunities, so that a business can grow. These opportunities may originate throughsome form of environmental change such as advances in technology or by exploitingchanges in the marketplace, for example, the exit of a competitor.Research was carried out within twenty SMEs whose owner-manager’s aimed to growtheir businesses. The focus of the research was on the sources of opportunities theyencountered and how and why opportunities were recognized by these firms.The key findings of this research illustrate that the majority of sources for businessopportunities for SMEs in this study lie in the market place and are not a directconsequence of environmental change. Traditional marketing analysis tools can, therefore,identify significant sources and scope for growth opportunities for SMEs.�
    LanguageEnglish
    Pages293-303
    JournalInternational Business Review
    Volume22
    Issue number1
    DOIs
    Publication statusPublished - Feb 2013

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    Owner-managers
    Small and medium-sized enterprises
    Environmental change
    Exit
    Marketing
    Management activities
    Managers
    Growth opportunities
    Competitors

    Cite this

    Hulbert, Ben ; Gilmore, Audrey ; Carson, David. / Sources of opportunities used by growth minded owner managers of small and medium sized enterprises. 2013 ; Vol. 22, No. 1. pp. 293-303.
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    abstract = "The purpose of this paper is to investigate the sources and nature of opportunities used byowner-managers of small and medium size (SMEs) firms in order to grow their businesses.In addition to the owner-manager’s desire for growth, clearly there needs to be bothopportunities to pursue and sufficient management activities that will discover suchopportunities, so that a business can grow. These opportunities may originate throughsome form of environmental change such as advances in technology or by exploitingchanges in the marketplace, for example, the exit of a competitor.Research was carried out within twenty SMEs whose owner-manager’s aimed to growtheir businesses. The focus of the research was on the sources of opportunities theyencountered and how and why opportunities were recognized by these firms.The key findings of this research illustrate that the majority of sources for businessopportunities for SMEs in this study lie in the market place and are not a directconsequence of environmental change. Traditional marketing analysis tools can, therefore,identify significant sources and scope for growth opportunities for SMEs.�",
    author = "Ben Hulbert and Audrey Gilmore and David Carson",
    note = "Reference text: Andersson, P. (2002). Connected interrnationalisation processes: The case of internationalising channel intermediaries. International Business Review, 11(3), 365–383. Ansoff, I. (1975). Strategies for diversification. Harvard Business Review, 25(5), 1110–1125. Audretsch, D. B., Verheul, I., Wennekers, S., & TThurik, A. R. (2002). Entrepreneurship. Berlin: Springer. Barrow, C. (1993). The essence of small business. Hemel Hempstead, UK: Prentice Hall. Best, R. J. (2005). Market-based management: Strategies for growing customer value and profitability (4th ed.). New Jersey, USA: Pearson – Prentice Hal. Birley, S. (1983). Corporate strategy and the small firm. Journal of General Management, 8(2), 82–86, (Winter). Bjerke, B., & Hultmann, C. M. (2002). Entrepreneurial marketing: The growth of small firms in the economic era. Cheltenham, UK: Edward Elgar. Bolton, J. E. (1971). Small firms: Report of the committee of inquiry on small firms, Cmnd 4811. London: HMSO. Carson, D., Cromie, S., McGowan, P., & Hill, J. (1995). Marketing and entrepreneurship in SMEs: An innovative approach. Hemel Hempstead, Herts: Prentice Hall International (UK) Ltd. Carson, D., & Gilmore, A. (2000). Marketing at the interface: Not what but how. Journal of Marketing Theory and Practice, 8(2), 1–7, (Spring 2000). Carson, D., Gilmore, A., Perry, C., & Gronhaug, K. (2001). Qualitative marketing research. London: Sage. Cravens, D. W., & Piercy, N. F. (2006). Strategic marketing (8th ed., International edition). New York, USA: McGraw Hill. Crick, D., & Spence, M. (2005). The internationalization of high performing UK high-tech SMEs: As study of planned and unplanned strategies. International Business Review, 14(2), 167–185. Cummins, D., Gilmore, A., Carson, D., & O’Donnell, D. (2000). Innovative marketing in SME’s: A conceptual & descriptive framework. New Product Development & Innovation Management (September/October). Chandra, Y., Styles, C., & Wilkinson, I. (2009). The recognition of first time international entrepreneurial opportunities. International Marketing Review, 26(1), 30–61. Day, G. S. (1984). Strategic market planning. MA, USA: West Group. Day, G. S. (1994). The capabilities of market-driven organizations. Journal of Marketing, 58(October), 37–52. Drucker, P. F. (1998). The discipline of innovation. Harvard Business Review 149–157 (November/December). Drummond, G., & Ensor, J. (2005). Introduction to marketing concepts. Oxford, UK: Elsevier. Eckhardt, J. T., & Shane, S. A. (2002). Opportunities and entrepreneurship. Journal of Management, 29(3), 333–349, (Elsevier Science). Ellis, P., & Pecotich, A. (2001). Social factors influencing export initiation in SMEs. Journal of Marketing Research, 38(1), 409–430. Ferrell, O. C., & Hartline, M. D. (2005). Marketing strategy (3rd ed.). OH, USA: Thomson South Western. Gaglio, C. M., & Katz, J. A. (2001). The psychological basis of opportunity identification: Entrepreneurial alertness. Small Business Economics, 16, 95–111. Gilmore, A., Carson, D., & Rocks, S. (2006). Networking in SMEs: Evaluating its contribution to marketing activity. International Business Review, 15(3), 278–293. Gilmore, A., & Carson, D. (2007). Teaching and research in small business enterprise marketing: A critique and some alternatives. In Hines & D. Carson (Eds.), Innovative methodologies in enterprise research. UK: Elsevier Press. Grey, C. (1998). Enterprise and culture. London: Routledge. Hills, G. E. (1995). Opportunity recognition by successful entrepreneurs: A pilot study. In G. E. Hills, F. D. Muzyka, G. S. Omura, & G. A. Knight (Eds.), Research at the marketing/entrepreneurship interface. Chicago, IL: The University of Illinois at Chicago, Institute for Entrepreneurial Studies. Hult, G. T. M., Ketchen, D. J., & Slater, S. F. (2005). Market orientation and performance: An integration of disparate approaches. Strategic Management Journal, 26, 1173–1181. Kirzner, I. M. (1973). Competition and entrepreneurship. Chicago: Chicago University Press. Kirzner, I. M. (1979). Perception, opportunity and profit. Chicago: Chicago University Press. Kirzner, I. (1985). Discovery and the capitalist process. Chicago: Chicago University Press. Kirzner, I. (1997). Entrepreneurial discovery and the competitive market process: An Austrian approach. The Journal of Economic Literature, 35, 60–85. Knight, G. A. (1997). Cross cultural reliability and validity of a scale to measure firm entrepreneurial orientation. Journal of Business Venturing, 12(3), 213–225. Kotler, P. (1997). Marketing management: Analysis, planning, implementation, and control (9th ed.). New Jersey, USA: Prentice Hall. Kotler, P. (2003). Marketing management (11th ed.). New Jersey, USA: Prentice Hall. Krackhardt, D. (1995). Entrepreneurial opportunities in an entrepreneurial firm: A structural approach. Entrepreneurship Theory and Practice, 19(3), 53, Spring 95, USA. Kolhi, A. K., & Jaworski, B. (1990). Market orientation: The construct, research propositions and managerial implications. Journal of Marketing, 54(April), 1–18. Low, M. B., & MacMillan, I. C. (1988). Entrepreneurship: Past research and future challenges. Journal of Management, 14(2), 139–161. Lumpkin, G. T., & Dess, G. G. (1996). Clarifying the entrepreneurial orientation construct and linking it to performance. Academy of Management Review, 21(1), 135–172. Lysakowski, L. (2007). Nonprofit essentials: The development plan. New Jersey, USA: John Wiley & Sons Ltd. Matsuno, K., Mentzer, J. T., & Ozsomer, A. (2002). The effects of entrepreneurial proclivity and market orientation on business performance. Journal of Marketing, 66(3), 18–32. McDonald, M., & Wilson, H. (2011). Marketing plans: How to prepare them, how to use them (7th ed.). West Sussex: John Wiley and Sons Ltd. McMullen, J. S., Plummer, L. A., & Zoltan, J. (2007). What is an entrepreneurial opportunity? Small Business Economics, 28, 273–283. Mueller, P. (2007). Exploiting entrepreneurial opportunities: The impact of entrepreneurs on growth. Small Business Economics, 28, 355–362. Nymen, M., Berck, E., & Worsdofer, M. (2006). Building a better future for small business. Enterprise Europe, Enterprise Policy News and Reviews, 21(January–March), 7–10. Rae, D. (1999). The entrepreneurial spirit: Learning to unlock value. Dublin, Ireland: Blackhall Publishing. Ridley, M. (2011). The rational optimist. London: Fourth Estate. Sarason, Y., Dean, T., & Dillard, J. F. (2006). Entrepreneurship as the nexus of individual and opportunity: A structural view. Journal of Business Venturing, 21, 286–305. SBS. (2004). The evidence base. London: Department of Trade and Industry. Schumpeter, J. A. (1992). Capitalism, socialism and democracy (1st ed., 1943). London and New York: Routledge. Shane, S. (2000). Prior knowledge and the discovery of entrepreneurial opportunities. Organisation Science, 11(4), 448–469. Shane, S. (2003). A general theory of entrepreneurship: The individual-opportunity nexus. Cheltenham, UK: Edward Elgar. Shane, S., & Venkataraman, S. (2000). The promise of entrepreneurship as a field of research. Academy of Management Review, 25(1), 217–226. Simmonds, K., & Smith, H. (1968). The first order: A marketing innovation. British Journal of Marketing, 2(2), 93–100. Stevenson, H. H., & Jarillo, J. C. (1990). A Paradigm of entrepreneurship: Entrepreneurial management. Strategic Management Journal, 11(5), 17–27. Stokes, D., & Wilson, N. (2006). Small business management and entrepreneurship (5th ed.). UK: Thomson. Venkataraman, S. (1997). The distinctive domain of entrepreneurship research: An editor’s perspective. In Katz, J., & Brockhaus, R. (Eds.), Advances in entrepreneurship (Vol. 3, pp. 119–138). Greenwich, CT: JAI Press. Wilson, R. M. S., & Gilligan, C. (2005). Strategic marketing management: Planning, implementation & control (3rd ed.). Oxford, UK: Elsevier, Butterworth Heinemann.",
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    Sources of opportunities used by growth minded owner managers of small and medium sized enterprises. / Hulbert, Ben; Gilmore, Audrey; Carson, David.

    Vol. 22, No. 1, 02.2013, p. 293-303.

    Research output: Contribution to journalArticle

    TY - JOUR

    T1 - Sources of opportunities used by growth minded owner managers of small and medium sized enterprises

    AU - Hulbert, Ben

    AU - Gilmore, Audrey

    AU - Carson, David

    N1 - Reference text: Andersson, P. (2002). Connected interrnationalisation processes: The case of internationalising channel intermediaries. International Business Review, 11(3), 365–383. Ansoff, I. (1975). Strategies for diversification. Harvard Business Review, 25(5), 1110–1125. Audretsch, D. B., Verheul, I., Wennekers, S., & TThurik, A. R. (2002). Entrepreneurship. Berlin: Springer. Barrow, C. (1993). The essence of small business. Hemel Hempstead, UK: Prentice Hall. Best, R. J. (2005). Market-based management: Strategies for growing customer value and profitability (4th ed.). New Jersey, USA: Pearson – Prentice Hal. Birley, S. (1983). Corporate strategy and the small firm. Journal of General Management, 8(2), 82–86, (Winter). Bjerke, B., & Hultmann, C. M. (2002). Entrepreneurial marketing: The growth of small firms in the economic era. Cheltenham, UK: Edward Elgar. Bolton, J. E. (1971). Small firms: Report of the committee of inquiry on small firms, Cmnd 4811. London: HMSO. Carson, D., Cromie, S., McGowan, P., & Hill, J. (1995). Marketing and entrepreneurship in SMEs: An innovative approach. Hemel Hempstead, Herts: Prentice Hall International (UK) Ltd. Carson, D., & Gilmore, A. (2000). Marketing at the interface: Not what but how. Journal of Marketing Theory and Practice, 8(2), 1–7, (Spring 2000). Carson, D., Gilmore, A., Perry, C., & Gronhaug, K. (2001). Qualitative marketing research. London: Sage. Cravens, D. W., & Piercy, N. F. (2006). Strategic marketing (8th ed., International edition). New York, USA: McGraw Hill. Crick, D., & Spence, M. (2005). The internationalization of high performing UK high-tech SMEs: As study of planned and unplanned strategies. International Business Review, 14(2), 167–185. Cummins, D., Gilmore, A., Carson, D., & O’Donnell, D. (2000). Innovative marketing in SME’s: A conceptual & descriptive framework. New Product Development & Innovation Management (September/October). Chandra, Y., Styles, C., & Wilkinson, I. (2009). The recognition of first time international entrepreneurial opportunities. International Marketing Review, 26(1), 30–61. Day, G. S. (1984). Strategic market planning. MA, USA: West Group. Day, G. S. (1994). The capabilities of market-driven organizations. Journal of Marketing, 58(October), 37–52. Drucker, P. F. (1998). The discipline of innovation. Harvard Business Review 149–157 (November/December). Drummond, G., & Ensor, J. (2005). Introduction to marketing concepts. Oxford, UK: Elsevier. Eckhardt, J. T., & Shane, S. A. (2002). Opportunities and entrepreneurship. Journal of Management, 29(3), 333–349, (Elsevier Science). Ellis, P., & Pecotich, A. (2001). Social factors influencing export initiation in SMEs. Journal of Marketing Research, 38(1), 409–430. Ferrell, O. C., & Hartline, M. D. (2005). Marketing strategy (3rd ed.). OH, USA: Thomson South Western. Gaglio, C. M., & Katz, J. A. (2001). The psychological basis of opportunity identification: Entrepreneurial alertness. Small Business Economics, 16, 95–111. Gilmore, A., Carson, D., & Rocks, S. (2006). Networking in SMEs: Evaluating its contribution to marketing activity. International Business Review, 15(3), 278–293. Gilmore, A., & Carson, D. (2007). Teaching and research in small business enterprise marketing: A critique and some alternatives. In Hines & D. Carson (Eds.), Innovative methodologies in enterprise research. UK: Elsevier Press. Grey, C. (1998). Enterprise and culture. London: Routledge. Hills, G. E. (1995). Opportunity recognition by successful entrepreneurs: A pilot study. In G. E. Hills, F. D. Muzyka, G. S. Omura, & G. A. Knight (Eds.), Research at the marketing/entrepreneurship interface. Chicago, IL: The University of Illinois at Chicago, Institute for Entrepreneurial Studies. Hult, G. T. M., Ketchen, D. J., & Slater, S. F. (2005). Market orientation and performance: An integration of disparate approaches. Strategic Management Journal, 26, 1173–1181. Kirzner, I. M. (1973). Competition and entrepreneurship. Chicago: Chicago University Press. Kirzner, I. M. (1979). Perception, opportunity and profit. Chicago: Chicago University Press. Kirzner, I. (1985). Discovery and the capitalist process. Chicago: Chicago University Press. Kirzner, I. (1997). Entrepreneurial discovery and the competitive market process: An Austrian approach. The Journal of Economic Literature, 35, 60–85. Knight, G. A. (1997). Cross cultural reliability and validity of a scale to measure firm entrepreneurial orientation. Journal of Business Venturing, 12(3), 213–225. Kotler, P. (1997). Marketing management: Analysis, planning, implementation, and control (9th ed.). New Jersey, USA: Prentice Hall. Kotler, P. (2003). Marketing management (11th ed.). New Jersey, USA: Prentice Hall. Krackhardt, D. (1995). Entrepreneurial opportunities in an entrepreneurial firm: A structural approach. Entrepreneurship Theory and Practice, 19(3), 53, Spring 95, USA. Kolhi, A. K., & Jaworski, B. (1990). Market orientation: The construct, research propositions and managerial implications. Journal of Marketing, 54(April), 1–18. Low, M. B., & MacMillan, I. C. (1988). Entrepreneurship: Past research and future challenges. Journal of Management, 14(2), 139–161. Lumpkin, G. T., & Dess, G. G. (1996). Clarifying the entrepreneurial orientation construct and linking it to performance. Academy of Management Review, 21(1), 135–172. Lysakowski, L. (2007). Nonprofit essentials: The development plan. New Jersey, USA: John Wiley & Sons Ltd. Matsuno, K., Mentzer, J. T., & Ozsomer, A. (2002). The effects of entrepreneurial proclivity and market orientation on business performance. Journal of Marketing, 66(3), 18–32. McDonald, M., & Wilson, H. (2011). Marketing plans: How to prepare them, how to use them (7th ed.). West Sussex: John Wiley and Sons Ltd. McMullen, J. S., Plummer, L. A., & Zoltan, J. (2007). What is an entrepreneurial opportunity? Small Business Economics, 28, 273–283. Mueller, P. (2007). Exploiting entrepreneurial opportunities: The impact of entrepreneurs on growth. Small Business Economics, 28, 355–362. Nymen, M., Berck, E., & Worsdofer, M. (2006). Building a better future for small business. Enterprise Europe, Enterprise Policy News and Reviews, 21(January–March), 7–10. Rae, D. (1999). The entrepreneurial spirit: Learning to unlock value. Dublin, Ireland: Blackhall Publishing. Ridley, M. (2011). The rational optimist. London: Fourth Estate. Sarason, Y., Dean, T., & Dillard, J. F. (2006). Entrepreneurship as the nexus of individual and opportunity: A structural view. Journal of Business Venturing, 21, 286–305. SBS. (2004). The evidence base. London: Department of Trade and Industry. Schumpeter, J. A. (1992). Capitalism, socialism and democracy (1st ed., 1943). London and New York: Routledge. Shane, S. (2000). Prior knowledge and the discovery of entrepreneurial opportunities. Organisation Science, 11(4), 448–469. Shane, S. (2003). A general theory of entrepreneurship: The individual-opportunity nexus. Cheltenham, UK: Edward Elgar. Shane, S., & Venkataraman, S. (2000). The promise of entrepreneurship as a field of research. Academy of Management Review, 25(1), 217–226. Simmonds, K., & Smith, H. (1968). The first order: A marketing innovation. British Journal of Marketing, 2(2), 93–100. Stevenson, H. H., & Jarillo, J. C. (1990). A Paradigm of entrepreneurship: Entrepreneurial management. Strategic Management Journal, 11(5), 17–27. Stokes, D., & Wilson, N. (2006). Small business management and entrepreneurship (5th ed.). UK: Thomson. Venkataraman, S. (1997). The distinctive domain of entrepreneurship research: An editor’s perspective. In Katz, J., & Brockhaus, R. (Eds.), Advances in entrepreneurship (Vol. 3, pp. 119–138). Greenwich, CT: JAI Press. Wilson, R. M. S., & Gilligan, C. (2005). Strategic marketing management: Planning, implementation & control (3rd ed.). Oxford, UK: Elsevier, Butterworth Heinemann.

    PY - 2013/2

    Y1 - 2013/2

    N2 - The purpose of this paper is to investigate the sources and nature of opportunities used byowner-managers of small and medium size (SMEs) firms in order to grow their businesses.In addition to the owner-manager’s desire for growth, clearly there needs to be bothopportunities to pursue and sufficient management activities that will discover suchopportunities, so that a business can grow. These opportunities may originate throughsome form of environmental change such as advances in technology or by exploitingchanges in the marketplace, for example, the exit of a competitor.Research was carried out within twenty SMEs whose owner-manager’s aimed to growtheir businesses. The focus of the research was on the sources of opportunities theyencountered and how and why opportunities were recognized by these firms.The key findings of this research illustrate that the majority of sources for businessopportunities for SMEs in this study lie in the market place and are not a directconsequence of environmental change. Traditional marketing analysis tools can, therefore,identify significant sources and scope for growth opportunities for SMEs.�

    AB - The purpose of this paper is to investigate the sources and nature of opportunities used byowner-managers of small and medium size (SMEs) firms in order to grow their businesses.In addition to the owner-manager’s desire for growth, clearly there needs to be bothopportunities to pursue and sufficient management activities that will discover suchopportunities, so that a business can grow. These opportunities may originate throughsome form of environmental change such as advances in technology or by exploitingchanges in the marketplace, for example, the exit of a competitor.Research was carried out within twenty SMEs whose owner-manager’s aimed to growtheir businesses. The focus of the research was on the sources of opportunities theyencountered and how and why opportunities were recognized by these firms.The key findings of this research illustrate that the majority of sources for businessopportunities for SMEs in this study lie in the market place and are not a directconsequence of environmental change. Traditional marketing analysis tools can, therefore,identify significant sources and scope for growth opportunities for SMEs.�

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