A Process-Based Model of New Venture Creation: Toward Modelling a Practical Application of Extant Theory using SADT Diagrams

Abstract

Although the field of entrepreneurship abounds in studies attempting to explain the creation of new ventures from an array of theoretical perspectives, the answer to the critical question regarding “how” the process unfolds over time remains unsolved. The main goal of this paper is to demonstrate the importance of integrating an engineering point of view with the new business creation process in order to find the answer. This study will dig deeper into the issue by proposing the use of SADT (Structured Analysis and Design Technique) for modelling the “road map” that could assist entrepreneurs in dealing with uncertainties in a systematic and comprehensive way.