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Group Entrepreneurs

Group Entrepreneurs. How does an interest group form?. How does an interest group form?. Truman’s disturbance theory Proliferation hypothesis (complexity) Homeostatic hypothesis (shocks) Descriptive, not explanatory. How does an interest group form?.

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Group Entrepreneurs

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  1. Group Entrepreneurs

  2. How does an interest group form?

  3. How does an interest group form? • Truman’s disturbance theory • Proliferation hypothesis (complexity) • Homeostatic hypothesis (shocks) • Descriptive, not explanatory

  4. How does an interest group form? • Must overcome coordination and collective action problems • Entrepreneurs provide necessary start-up energy

  5. What do entrepreneurs do? • Salisbury’s exchange theory: entrepreneurs exchange goods for group membership • Invest capital • Create/design private benefits • Offer those benefits to the market • Will do so when a market exists

  6. What do entrepreneurs do? • Identify an audience • Get membership lists, advertise • Identify a source of money • Government grants, direct mail • Know how government programs affect potential members; create electoral connection • Establish benefits that allow you to distinguish your group from others

  7. Be an entrepreneur! • Identify a need either on campus or in the larger community • Figure out how you will solve the coordination and collective action problems you face to form your group • Think about the resources you will have to invest personally as the entrepreneur!

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