This dissertation employs an epistemological approach to integrate several branches of social science (i.e., economics, marketing, sociology, psychology) that have contributed to the scholarly field of entrepreneurship. The integration yielded a novel theoretic framework with empirical implications for the study of the entrepreneurial opportunity recognition phenomenon. Empirical assessment of the framework revealed support for models of knowledge-based indicators as forecasters of three different forms of opportunity recognition identified in previous research and theory (i.e., idea-first, business-first, simultaneous). Marginal support was found for the same models as forecasters of the establishment of new business ventures. Ultimately, no support was found for the models as forecasters of venture net worth or expected longevity, but industry sector was found to have a reliable and interpretable effect as a control variable for these outcomes.

A sample of 1,261 entrepreneurs provided primary data for the study. Supplementary data used to interpret industry effects was provided via the North American Industry Classification System. The research method used a largely non-parametric analysis strategy, which follows from the theoretic foundations that reject traditional economic equilibrium assumptions. This strategy supported the use of categorical variables as a fitting measurement approach and eliminated violations of traditional parametric analysis assumptions, which has been noted in past research as a particular concern for entrepreneurship studies. Operationalizing knowledge-based indicators as categorical variables mitigated levels of analysis issues because they maintained relevance across levels. Findings suggested that definite statements indicating what is known to the entrepreneur, as opposed to inferences by observers or researchers, are valuable and suitable for theory building in the field of entrepreneurship.

The findings are of functional interest to both entrepreneurs and teachers of entrepreneurship. Implications consist of practical elements, instrumental to the opportunity recognition phenomenon, such as the specific effects of considering multiple potential entrepreneurial ideas before recognizing a particular idea, industry experience, and accessing widely scattered information. Implications also feature instructive aspects, such as the roles of assistance from expert mentors and critical relationships in opportunity recognition as well as the founding of new business ventures.