Community-based Entrepreneurship: New Venture Creation in the Sport industry

Abstract: This paper attempts to extend the knowledge in entrepreneurial theory, through the expansion of traditional concepts for entrepreneurial processes, to identify a new phenomenon in new venture creation. In combination with previous research on entrepreneurial processes, creation theory, user entrepreneurs and community-driven innovation in the sport industry, the study will focus on a single in-depth case study, conducted on a new venture in the CrossFit industry. The findings in this paper aim to shed new light on how new ventures can be created within sport communities answering the following research question: “How do entrepreneurial processes develop in community-based new ventures?” The conducted study is based on a qualitative research approach, where an instrumental case study is applied. Looking at one specific startup in the CrossFit industry, located in Helsingborg, Sweden, the empirical data was collected through semi-structured interviews and observations. The aim was to evaluate the entrepreneurial activities that arose in the new venture, as it was created within the CrossFit community. Based on the results of this research, it can be concluded that new ventures created within a community, greatly benefit from having an experienced entrepreneur as a founder. Moreover, it seems that communities with strong personal ties are important for a successful new venture creation, in terms of high-quality customer feedback, product development and revenue. The outcome of the paper is a suggested new model for new venture creation, called “community-based entrepreneurial process”.