This study centers on assessing the current behavior of start-up entrepreneurs towards their acquired information as they pursue and establish new food businesses. The diagram below explores the key concepts in this study, specifically, the behavior of entrepreneurs in relation to the information they acquire for business purposes. This diagram is anchored on George Stigler’s Theory of Information Economics which postulates that companies respond to business uncertainties by means of obtaining relevant and useful information that may help reduce the precariousness and unpredictability of the business environment (Stigler, 1961).
Figure 1.0 Conceptual Framework
Based on the diagram above, companies acknowledge the value of acquiring information in their businesses. They acquire information through different methods such as using the Internet, conducting market research, and/or following their intuition. Performing market research is by far the most popularly practiced method of acquiring information among entrepreneurs which they perform either through an in-house marketing research team, through web-based methods or through an external marketing research team. On top of reducing business-related uncertainties as postulated in Stigler’s (1961) Theory of Information Economics, companies also acquire information for purposes of decision-making, problem solving, as well as in order to achieve better organizational performance and develop effective business strategies.