Window of entrepreneurship: explaining the influence of corporate governance mechanisms on corporate entrepreneurship in two riding schools

The theoretical aim of the paper is to create a synthesis between the science of disciplining action, i.e., corporate governance (CG), and the science of enabling actions within an organisation, i.e., corporate entrepreneurship (CE). The major analytical concept used in the paper in order to fulfil the synthesising aim is window of entrepreneurship. Entrepreneurship is a propensity, which can be triggered or terminated, mainly through the influence of corporate governance mechanisms. The window of entrepreneurship expresses the temporary character of entrepreneurship, indicating that a firm can open or close the firm for entrepreneurial action if it experiences a situation that is interpreted as a threat, an opportunity, an organisational strength or a weakness. Among the factors influencing the window of entrepreneurship are CG mechanisms prominent. We explore the window of entrepreneurship in two riding schools, one governed by a private firm and one governed by an association. The mechanism of the board of directors was found to be conducive for opening the window in the two cases. The mechanism of the product market and the market for managerial labour influenced the closing of the window. Thereby it has been showed that corporate entrepreneurship is a propensity that can be triggered and terminated.