Institutional Crosswinds and Identity Shift: A Curvilinear Theory of Opportunity Recognition in Internationalizing University Spin-offs

Lortie et al. (2023) propose institutional channeling into heterogeneous knowledge corridors as a route to blended opportunities (e.g., social/commercial). Zhao (2025) shows identity cognition in student founders evolves from “student” to “leader,” shaping opportunity development via scientific and business logics and pivotal events. Hannibal et al. (2016/2016 in Journal of International Entrepreneurship) focus on opportunity recognition in internationalizing university spin-offs. We synthesize these threads to propose a non-linear effect: exposure to some institutional plurality (academic, market, policy, global norms) plus active identity shift enables recognition of cross-boundary opportunities; too little plurality yields narrow opportunities, while too much overwhelms identity coherence and reduces recognition quality. Using multi-sited longitudinal cases of spin-offs entering international markets, we measure institutional exposure (per Lortie et al., 2023), identity transitions (Zhao, 2025), and absorptive capacity as a capability amplifier (Makhloufi et al., 2024). This theory reconciles micro identity processes with macro institutional structures and predicts where/when spin-offs will see international opportunities that incumbents miss. Impact: a design logic for TTOs and internationalization programs to intentionally sequence institutional exposures and identity work to optimize recognition.

References:

1. Opportunity recognition and international new venture creation in university spin-offs—Cases from Denmark and Ireland. Martin Hannibal, N. Evers, Per Servais (2016).
2. The Study of Identity Perception in College Student Entrepreneurs and the Development of Entrepreneurship Opportunity: Based on Longitudinal Multi-case Study. Dan Zhao (2025). Lex localis - Journal of Local Self-Government.
3. Mediating effect of absorptive capacity on the relationship between knowledge sharing and entrepreneurial orientation and the moderating role of opportunity recognition. Lahcene Makhloufi, A. Laghouag, Alhussain Ali Sahli (2024). Journal of Research in Marketing and Entrepreneurship.
4. Institutional channeling and opportunity recognition: heterogeneous knowledge corridors as pathways to social entrepreneurship. Jason Lortie, K. Cox, Philip T. Roundy, L. Jarvis (2023). Social Enterprise Journal.