Start with “Why,” but only if you have to: The strategic framing of novel ideas across different audiences

Abstract

Research Summary Building on social psychology research and entrepreneurship work on linguistic framing, we argue that the appreciation of novel ideas varies with the mental construal that members of different audiences use to evaluate them. Specifically, we theorize that the congruency between idea framing and audiences' mental construals depends on audiences' level of expertise in evaluating novel ideas. In four experiments, we found that innovators benefit from deploying framing strategies congruent with audiences' mental construals: novices (e.g., lay people, crowdfunders) appreciate more novel ideas framed in abstract why terms, while experts (e.g., professional investors, innovation managers) novel ideas framed in concrete how terms. Integrating the strategic framing of novel ideas with construal level theory and audience heterogeneity contributes to research on entrepreneurship, innovation, and impression management. Managerial Summary One of the critical challenges that innovators (e.g., entrepreneurs) face is to persuade relevant audiences (e.g., users, crowdfunders, professional investors, and innovation managers) to support their novel ideas. This article integrates various literatures concerned with the evaluation of novelty to examine the impact of different framing strategies on the reception of novel ideas by different audiences. By demonstrating that the framing of a novel business idea affects audience members' evaluation, and that the effectiveness of different frames (why vs. how) varies with the target audiences (novices vs. experts), we offer actionable insights into how innovators can strategically use linguistic framing to increase the likelihood of eliciting favorable evaluations and resource commitment for their ideas.

Categories and narratives as sources of distinctiveness: Cultural entrepreneurship within and across categories

“…We believe that our study suggests the fruitfulness of developing further research on how organizational processes and outcomes are variably shaped by different kinds of audiences (e.g., novelty‐seekers, experts) and category schemes (e.g., products, industries, organizations). This extends recent work that has increasingly recognized that audiences differ in their norms, expectations, and valuation of novelty (Cattani, Ferriani, & Lanza, 2017; Cudennec & Durand, 2022; Falchetti et al, 2021; Fisher, Kuratko, Bloodgood, & Hornsby, 2017; Pontikes, 2012; Taeuscher et al, 2021), highlighting how an audience's heterogeneity with respect to members' valuation of novelty may lead to fundamentally different performance outcomes across categories. This proposition has important implications because it suggests that organizations and offerings within the same domain may be evaluated against systematically different norms, values, and expectations.…”

“…Second, the distinctiveness of a category may also shape which audience segments will most likely attend to its members. There is growing recognition that audiences differ in their valuation of novelty (Cattani et al, 2014; Falchetti, Cattani, & Ferriani, 2021), where some audiences respond much more favorably than others to offerings perceived as distinctive and novel (Goldberg et al, 2016; Pontikes, 2012). Drawing on the observation that an audience “is never fully homogenous but usually consists of groups or segments that can embrace rather different standards and norms by which novelty is evaluated” (Cattani et al, 2020, p. 21), we propose that novelty‐seeking consumers—individuals that have a high tolerance of nonconformity and highly value novelty in an offering—substantially differ from mainstream consumers in their evaluations.…”

Tradition as a resource: Robust and radical interpretations of operatic tradition in the Italian opera industry, 1989–2011

“…They prefer diversity and want to be able to see more things differently ” (Artistic Director Opera House # 8) .

“ Single‐ticket holders […] may be those who go to the theater with curiosity or to see something new or simply with the desire to receive suggestions and new stimuli ” (Artistic Director Opera House # 3) .

In light of these interviews, revisiting the theoretical arguments on the relationships between robust/radical interpretation and audience appeal developed in the first two hypotheses indicates the existence of an audience‐based moderation. Conceptually, this moderation hinges primarily on the observation that the psychological processes involved in the perception of value vary across audiences as a function of their domain‐specific knowledge (Falchetti et al, 2022; Moreau et al, 2001; Rottman et al, 2012). Since a robust interpretation does not disrupt the tradition's core features, season‐ticket holders can more readily transfer their familiar understanding of a particular operatic tradition to its reinterpreted version.…”

Strategic decision making and influence of economic freedoms on foreign direct investment (FDI) in Bosnia and Herzegovina

“…In order to achieve FDI, strategic decisions of investors are necessary, as well as entities in BiH that need to create an environment for FDI. Strategic decisions imply long-term decisions related to the choice of where to invest and under what conditions (Falchetti, Cattani, & Ferriani, 2021). Foreign investments are one of the most important parameters of the development of the modern economy and represent a platform for trade, organization of production and supply of goods and services.…”