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          CONSTRUCTING MARKETS AND ORGANIZING BOUNDARIES: ENTREPRENEURIAL ACTION IN NASCENT FIELDS.

          2004

          Filipe Santos Kathleen Eisenhardt

          This article discusses how executives in entrepreneurial firms addressing nascent markets organize the boundaries of their firms. Entrepreneurs need to establish themselves in an initial market, but do not usually have a strong resource base nor established competencies to leverage. By structuring the roles in the market, entrepreneurs are able to reduce the ambiguity they face and prevent competition in the market. Entrepreneurs use acquisitions of smaller firms to increase their market coverage, cancel possible entry points for more powerful competitors, and eliminate threatening business models. Entrepreneurs construct markets by structuring the nascent market around a perceived opportunity for the creation of value.

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