Technological uncertainty: Exploring factors in indian start-ups

Abstract

Technological uncertainty(TU) is often a great challenge and a matter of concern for a decision maker of the firm due to rapid change in the R&D technology and introduction of new technology in the firm's environment. Bigger question remains how we can conceptualize TU, especially in particular environmental context. Literature on TU reveals the need for identifying factors representing TU. This paper identifies the factor structure of TU having dimensions of uncertainty about technology vigilance and uncertainty about product flexibility in dynamically changing firm's environment. Extractions of factors were compared and confirmed using an alternative factor retention criterion `Parallel Analysis'. 600 entrepreneurs, engaged in start-ups from all over India participated in the study. A scale is proposed to be developed and recommended for generalization in multiple industry set-ups. This paper adds to the literature of environmental uncertainty and start-up decision making.

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