Validation of the Causal Model of Entrepreneurial Decision-Making: Insights into Micro Mechanisms

Abstract

This research focuses on validating the causal model of entrepreneurial decision-making, which elucidates the micro-level mechanisms underlying the decision-making processes of entrepreneurs. Drawing upon theories of entrepreneurship, cognitive psychology, and decision science, this study examines the causal relationships among various factors influencing entrepreneurial decision-making, including individual traits, cognitive biases, environmental factors, and decision outcomes. Through empirical validation using quantitative surveys, experiments, and qualitative interviews with entrepreneurs, the research assesses the robustness and generalizability of the causal model across different entrepreneurial contexts and stages of venture development. Moreover, the study explores the mediating and moderating effects of factors such as experience, expertise, and industry characteristics on the causal relationships identified in the model. The findings offer valuable insights into the cognitive processes, information processing mechanisms, and behavioral tendencies that shape entrepreneurial decision-making, thereby contributing to a deeper understanding of the dynamics of entrepreneurship. Furthermore, the validated causal model provides a theoretical foundation for designing interventions, training programs, and decision support tools aimed at enhancing the quality and effectiveness of entrepreneurial decision-making in practice.