Bricolage: Examining How Entrepreneurial Firms Scale in Resource-Constrained Environments

Abstract

Entrepreneurs in resource-scarce contexts undertake novel and clever ways to assemble and deploy resources to grow and scale firms through bricolage. The ability of entrepreneurs to obtain needed resources through bricolage is a success-determining factor in such penurious environments. This is because firms in developing areas operate under extreme resource scarcity and find it difficult to scale compared to their counterparts in developed areas. Achieving their objectives often depends on the extent to which the entrepreneurs can “make do” and apply existing resources to reconcile resource needs for new purposes. Nevertheless, the scholarly works in the area of entrepreneurial bricolage in emerging market contexts like Ghana is still evolving. Given that, this research aims to examine and provide empirical evidence of how the bricolage theory is utilised to mobilise financial, material, and human resources to grow and scale entrepreneurial firms in Ghana. The research used an exploratory qualitative method with eight (8) case entrepreneurial firms and data was prepared for thematic analysis using MAXQDA software. Empirical findings reveal that the firms repurposed waste that is often sourced cheaply through family and friends to create new products, demonstrating that discarded resources can be valuable. The entrepreneurial team’s background and resourcefulness are also vital for overcoming shortages and scaling firms. Despite literature suggesting that bricolage leads to inferior outcomes, the study found exceptions, such as producing high-quality goods. Networking with external partners was critical for accessing resources, fostering innovation, and speeding up commercialisation. Moreover, coopetition, and training, were essential for scaling. The study found that selective bricolage, supported by education led to greater success in scaling, while parallel bricolage posed challenges. The study elaborated on its contributions and recommends among others that future research on the subject could employ a quantitative research design across different settings to generalise the findings.