What is the Corridor Principal?

The Corridor Principle is a relatively new concept that states that the creation of a venture or firm by an entrepreneur opens it up to opportunities and ideas it could not see before the start of the business. This principle also explains the possibility of an entrepreneurial venture taking advantage of so many opportunities in the market by pivoting away from its initial focus.

How does the Corridor Principal Work?

There are six major observations and hypotheses that lead to the development of the Corridor Principle. These hypotheses test the initial focus or goal of an entrepreneurial venture, the creation of multiple ventures, and the length of time it took an entrepreneur to create many ventures. The major findings of these hypotheses are that:

• Entrepreneurship is a dynamic concept
• An entrepreneur is in a constant battle between creating a second venture and having a longer entrepreneurship career, hence the creation of overlapping ventures.
• A significant number of entrepreneurs established their second venture at the early stage of their careers.

The above findings or observations show how entrepreneurs can have a prolonged career and also have multiple ventures created through the corridor principle. It is important for entrepreneurship practitioners, researchers and even advisors to consider a long-term vote of an entrepreneurial career that features the possible creation of multiple ventures.