Insightful co-creation: a mechanism of more sustainable entrepreneurial ecosystems?

Other conference contribution, 2023

Questions we care about

At the core of an entrepreneurial ecosystem is the individual, whether he/she is an entrepreneur, aspiring entrepreneur, an innovator, a business angel, a venture capitalist, a service provider, or something else. How these individuals engage with each other matters. This is apparent in the most prevalent interpersonal mechanism of entrepreneurial ecosystems: an investor investing into an aspiring entrepreneur. Beyond that, there is also the well-known mechanism “pay forward” capturing a culture of giving free unconditional advice when asked. The question asked here is: are there other important interpersonal mechanisms enabling new value creation in entrepreneurial ecosystems – especially then more sustainable value creation?

Approach: We introduce “insightful co-creation” as a new mechanism of entrepreneurial ecosystems. We introduce this mechanism while relating it to pay forward. We progress by providing two exemplary cases, illustrating the interpersonal mechanism being used in different contexts. The cases are derived from a spectrum of documentation, social media, and secondary data, as well as historical participatory accounts and observations. While we believe this works as ground for a conference paper, it does show the limitations of the current empirics relative to directed interviews investigating instances of insightful co-creation specifically, and from multiple stakeholders engaged in the venturing processes.

Results: The mechanism of insightful co-creation: A sustainable entrepreneurial ecosystem arguably requires mechanisms beyond financial actors investing into an aspiring entrepreneur and/or pay forward. We argue for new terminology and meaning to symbolize this shift. We argue that insightful co-creation rather than pay forward can be seen as the main mechanism of a sustainable entrepreneurial ecosystem. Just like pay forward includes an action (pay), so does the new mechanism (co-create). Both mechanisms also have a perspective – ‘forward’ and ‘insightful’. However, the consequences from these different types of actions and directed perspectives are profound – demarcating ecosystems focused on economic development from those also concerned with other sustainable development. Co-creation builds upon an attitude of inclusion: involving others into the creation of solutions and seeing others as potential stakeholders not just in the moment, but for longer periods of time. It is a step towards a more team-based view of venture creation, which can deviate from a lead entrepreneur model. Instilling insightfulness requires a contract among the actors co-creating that one can ask questions, request reflection, and enact change while still co-creating and delivering solutions.
 
Value/originality: Entrepreneurial ecosystems basically have been seen environments that enable individuals to succeed with their startups economically. Entrepreneurial ecosystem research rarely seeks explanations on the level of mechanisms used by individuals in the ecosystem. We revise this economic view and claim that sustainable entrepreneurial ecosystems rather are places for societal engagement through entrepreneurship. We argue for the value of appreciating core interpersonal mechanisms in an entrepreneurial ecosystem, if more sustainable development is what is asked for. We need much more study of how individuals adopt ecosystem mechanisms – such as insightful co-creation – that allow them to have self-directed life-long learning as sustainable entrepreneurs – whether in sustainable startups, in more corporate settings, or in more civic and public roles.

Keywords: entrepreneurial individuals; entrepreneurial ecosystems; mechanisms for sustainability