THEORY OF CHANGE IN GROUP LEVEL PATTERN.

This theory was propounded by frank w. young who was born about 1887. In 1940, he was 53
years old and lived in Sioux City, Iowa, with his wife, Louise, son, and daughter.

The theory is based on the assumption that expansion of entrepreneurial activities is possible
only by entrepreneurial groups. Because they have specialties is in the groups, and capacity to
react.

However, this reactiveness is possible, when three conditions prevail simultaneously in society.

1. When the group feels of low status.

2. When the group is not successful in reaching to important social machinery.
3. When the group has better institutional resources as compared to other groups

Thus, it is evident that when any subgroup in a big society realizes low status and position, then
its capacity to react gives birth to Entrepreneurial behavior.

He reinterprets the individual level entrepreneurial characteristics as the "underside" of a group

level pattern. "Instead of looking at individuals, one must find clusters; ethnic communities,
occupational groups, or politically oriented factions

What the theory talks about entrepreneurship.

Young emphasizes that many entrepreneurial functions are implied in his concept of
solidarity."Given a group bent on finding a suitable reformulation of its outlook on the world, it
is likely that there will be;

1. Recombination of economic factors.

2. Higher standards of labour.
3. The search for new resources, technology, markets.
4. Disciplined management of money and time

All the above will emerge as part of effort from the group with thirsty to succeed in their
entrepreneurial activities.

He discusses the similarities and differences between his 'sociogenic explanation of solidarity
structures and some other explanations of entrepreneurial supply. He claims that the approach to
measurement and analysis that comes out of the macro sociological perspective will in the long
run be its most attractive feature. (University, 2020)
Young conducted a thematic apperception test (TAT) on group of entrepreneurs.

Results revealed that;

 Entrepreneurs have the ability to define the solution to the problems.

 Create awareness of the efforts required
 Create confidence in their own ability to analyze situation before decision making.
 He encourages and believes development of solidarity in groups to improve their
symbolic position in the larger structure and thus become entrepreneurs
 That entrepreneur characteristics are found in small groups where individuals develop as
entrepreneurs.

His theory of change was based on society’s incorporation of reactive subgroups.

Why should the approach be used?

The approach encourages solidarity and commitment within the entrepreneurs which result into;

 Entrepreneurs having the ability to define the solution to the problems.

 Contribution of required resources.
 Better and well thought decision making.
 Accountability of resources
 Disciplined management of money and time
 It encourages team work

Limitations of the Theory.

 Delay in decision making.

 Misuse of group resources by some members
 Collapse of the business venture one there is no more company resources.
 Limited growth due to lucky of confidence given that they are of low status.

Recommendations.

 This theory should be employed by young entrepreneurs who need few resources.
 This approach works well with corporate people who have access o company resources.

Any entrepreneurial venture that needs team work should use this theory because it encourages
working together to acheive the set goals
References

Ashton, M. C. (2004). Thematic Apperception Test.

University, A. N. (2020, 09 15). Course Hero. Retrieved 04 04, 2014, from Theory of Change in Group
Level Pattern BY KEVIN: https://www.coursehero.com/file/68134213/Theory-of-Change-in-Group-Level-
Pattern-BY-KEVINpptx/