Entrepreneurial reasoning is ÅgeffectualÅh
Leveraging contingencies
The ability to turn the unexpected into the profitable by leveraging contingencies that arise
This is the core of effectual reasoning
Not all surprises are bad and good or bad, surprises can be used as inputs into innovation
This differentiates effectual from causal reasoning
Causal reasoning: to the extent that we can predict the future, we can control it
Effectual reasoning: to the extent that we can control the future, we do not need to predict it
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