Toward a Sustainable
Conceptualization of
Dependent Variables in
Entrepreneurship Research
Boyd Cohen,
1
* Brock Smith
1
and Ron Mitchell
2
1
Faculty of Business, The University of Victoria, BC, Canada
2
Rawls College of Business, Texas Tech University, Lubbock, TX, USA
ABSTRACT
Entrepreneurship researchers have yet to explore the full range variance that occurs
in entrepreneurial value creation because we have focused almost exclusively on finan-
cial performance as the dependent variable in our research. However, such arbitrary
narrowness is not supported by research, which shows entrepreneurs to not focus
exclusively on income maximization. Consistent with calls for an expanded view of
the consequences of entrepreneurship, we develop a typology of entrepreneurship
dependent variables that supports broadening the scope of entrepreneurship research
to include economic, environmental and social value. Copyright © 2006 John Wiley
& Sons, Ltd and ERP Environment.
Received 22 March 2005; revised 30 June 2005; accepted 25 July 2005
Keywords: sustainable entrepreneurship; dependent variables; entrepreneurship research
Introduction
D
EPENDENT VARIABLES SELECTED BY SCHOLARS FOR USE IN ENTREPRENEURSHIP RESEARCH HAVE
focused on only part of the range of possible outcomes from new venture value creation strate-
gies. Entrepreneurship researchers have thus been limited in their explanations of the full range
variance that occurs in entrepreneurial value creation. In apparent disregard of important calls
for an expansion of the dependent variable in entrepreneurship research (e.g. Venkataraman, 1997), and
notwithstanding empirical findings showing other strong value motives (e.g. Amit et al., 2000), entre-
preneurship research largely continues to pursue financial performance as its primary dependent vari-
able, based on the somewhat narrow assumption that the motive for value creation is almost entirely
restricted to profit maximization.
Copyright © 2006 John Wiley & Sons, Ltd and ERP Environment
*Correspondence to: Boyd Cohen, Assistant Professor, Faculty of Business, The University of Victoria, P.O. Box 1700 STN CSC, Victoria, BC
V8W 2Y2, Canada. Email: bcohen@business.uvic.ca
Business Strategy and the Environment
Bus. Strat. Env. 17, 107–119 (2008)
Published online 13 July 2006 in Wiley InterScience
(www.interscience.wiley.com) DOI: 10.1002/bse.505