RISK TAKING IN INTRAPRENEURSHIP: TRANSLATING THE INDIVIDUAL LEVEL RISK AVERSION INTO THE ORGANIZATIONAL RISK TAKING

Abstract

Risk taking is important for entrepreneurship in existing organizations (intrapreneurship). This study contributes to intrapreneurship theory by explaining a paradoxical nature of translation of individual level risk aversion into organizational level risk taking behavior. A model for examination of this risk taking paradox in intrapreneurship is developed on the basis of intrapreneurship "theory," theory of planned behavior, prospect theory, agency theory and organizational culture perspective. A set of propositions is developed linking risk-related cognitions, behaviors and their antecedents. A model of risk taking in intrapreneurship is discussed here on the basis of propositions, and implications for research and practice.