Harnessing Generative AI as a Knowledge Companion in the Venture Creation Process: An Exploratory Study

Abstract

Artificial intelligence is creating an astute impact on new venture creation. In recent years, large language models (LLMs), such as Generative AI (GenAI), have played a pivotal role in adopting artificial intelligence. GenAI is a potential instrument for providing knowledge, assistance and suggesting ideas throughout various entrepreneurial phases. Entrepreneurs can leverage GenAI to identify and exploit novel business opportunities in the dynamic market. GenAI may serve as a knowledge base in the entrepreneurial learning of nascent entrepreneurs. However, the adoption of GenAI in venture creation from an entrepreneur’s perspective has received limited attention. This research delves into the capabilities of GenAI as a knowledge companion for nascent entrepreneurs on their entrepreneurial path. This study uses a qualitative approach comprising semi-structured interviews with nascent entrepreneurs to explore the application of GenAI, precisely ChatGPT, in the early stages of venture creation. The thematic analysis uncovered patterns in how participants leverage Generative AI throughout their entrepreneurial journeys. Findings support the capabilities of GenAI to be a knowledge repository in venture creation. The key themes that emerge from the analysis are idea and opportunity recognition, market research, operation, and business incorporation. The study highlights ChatGPT's ability to make the venture creation process more cost-effective. ChatGPT can be an accessible and multifunctional tool for entrepreneurs to create a venture without prior knowledge or experience. The themes are associated with the utility of ChatGPT in the venture creation process by nascent entrepreneurs. The study contributes to the growing literature on AI's role in the venture creation process. This extends the scope of human-AI collaboration to exploit entrepreneurial opportunities and foster innovative entrepreneurial pathways.