Abstract
This chapter addresses the choice of career for entrepreneurs with limited and heterogeneous abilities in both acquiring projects and maintaining them after adoption. Entrepreneurial ability is defined as the ability to recognize a new profit opportunity and to acquire resources, including financing, to begin the exploitation of the opportunity. Managerial ability is defined as the ability to maintain the profitability of current operations, that is, to manage projects after they have been adopted. Without any assumption of risk aversion or liquidity constraints, the endowments of entrepreneurial and managerial abilities determine the career choices of individuals between becoming an innovative entrepreneur who conducts only new product innovation, a managerial entrepreneur who conducts both new product innovation and product improvement, or a salaried employee.
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© 1998 Springer Science+Business Media New York
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Gifford, S. (1998). Career Choice. In: The Allocation of Limited Entrepreneurial Attention. Springer, Boston, MA. https://doi.org/10.1007/978-1-4615-5605-3_5
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DOI: https://doi.org/10.1007/978-1-4615-5605-3_5
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