Abstract: Research has examined the factors influencing team turnover in new venture teams. To extend this literature, we develop our arguments based on event system theory and team trust, specifically beneficial in understanding how new ventures develop. We examine the dynamic relationship between significant events, member’s trust in their teams, and how they impact team turnover. We argue that the strength of significant events influences trust, and that trust affects how significant events are perceived. We consider team turnover as an outcome affecting the individual, the team, and the performance of the new venture. We test our arguments using a unique longitudinal data set that follows 108 teams and their 218 members over a year. We use a Bayesian and joint modeling approach to model team turnover. We also account for non-ignorable non-responses under population heterogeneity. We find that team members' level of trust affects how they perceive the strength of significant events (novel and disruptive). Trust does not affect team members’ exit. Disruptive events are strongly associated with team members’ exit. This suggests that disruptive events mediate the effect of trust on team members’ exit. We discuss the implications of our results for theory.

 

 

About Frédéric Delmar

Frédéric Delmar is a professor of entrepreneurship at Emlyon Business School and the Erling Persson Visiting Professor at the House of Innovation and the Swedish House of Finance. Frédéric is recognized as an internationally leading scholar in entrepreneurship research. Frédéric’s main research interest lies in the early development of new ventures and new venture growth. His current interest is in new venture team dynamics. He has been researching entrepreneurship for over twenty years and has worked as an expert for the OECD and EU. He has also been active in several start-ups. 

Frédéric is a former associate editor for Strategic Entrepreneurship Journal (2012-2021) and former senior editor for Organization Studies (2010-2015). He is a member of the editorial boards of the Journal of Business Venturing, Entrepreneurship Theory & Practice, Strategic Entrepreneurship Journal, and Strategic Organization.