The interactive effects of venture cognitive logic and performance of Russian SMEs in uncertain environment

Abstract

Nowadays firms exist in highly unstable environment. The most dramatic and substantial influence changes in external environment have on firm performance. Apart from context, managers and founders' decision-making is also remain very significant root of venture success. We aim at exploring the relationship between top managers' venture cognitive logic and firm performance in emerging market context during economic crisis. Particular, we utilize the database of 608 Russian small and medium firms collected in 2015-2016. The results indicate that under higher levels of dynamism and heterogeneity Russian firms will benefit more from using causal logic rather than effectual.