Chapter 3 Copying Routines for New Venture Creation: How Replication Can Support Entrepreneurial Innovation

Abstract

Organizational routines emerge in firms during the process of new venture creation. Typically, they are imprinted and sometimes replicated by the entrepreneurs creating the organization, reflecting individual and contextual characteristics. In particular cases, organizations are designed for replicating routines for new ventures. The authors investigate one such case from the IT industry using a dynamic routine perspective and focus on how routines originally created by an organization are replicated in several new ventures. In more detail, the authors focus on how routine replication counter-intuitively allows for innovating in new venture creation. The authors find that routine replication supports entrepreneurial innovation in three ways: (1) the replicator organization’s accelerating routines unburden the replicator organization’s innovating routines; (2) the replicator organization’s accelerating routines unburden the new venture’s innovating routines; and (3) the new venture’s accelerating routines unburden the new venture’s innovating routines. The authors contribute to the discussion about the replication dilemma by conceptualizing “unburdening” as a mechanism that allows both routinization and innovation benefits to be reaped.