Comparative social capital: Networks of entrepreneurs and investors in China and Russia
AbstractMost studies on entrepreneurs’ networks incorporate social capital and networks as independent variables that affect entrepreneurs’ actions and its outcomes. By contrast, this article examines social capital of the Chinese and Russian entrepreneurs and venture capitalists as dependent variables, and it examines entrepreneurs’ social capital from the perspectives of institutional theory and cultural theory. The empirical data are composed of structured telephone interviews with 159 software entrepreneurs, and the data of 124 venture capital decisions in Beijing and Moscow. The study found that social networks of the Chinese entrepreneurs are smaller in size, denser in structure, and more homogeneous in composition compared to networks of the Russian entrepreneurs due to the institutional and cultural differences between the two countries. Furthermore, the study revealed that dyadic (two-person) ties are stronger and interpersonal trust is greater in China than in Russia. The research and practical implications are discussed.
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Bibliographic InfoPaper provided by William Davidson Institute at the University of Michigan in its series William Davidson Institute Working Papers Series with number wp783.
Date of creation: 01 Jul 2005
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Social capital; entrepreneurs; venture capitalists; China and Russia.;
Find related papers by JEL classification:
- M13 - Business Administration and Business Economics; Marketing; Accounting - - Business Administration - - - New Firms; Startups
- F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
- G24 - Financial Economics - - Financial Institutions and Services - - - Investment Banking; Venture Capital; Brokerage
This paper has been announced in the following NEP Reports:
- NEP-ALL-2006-06-03 (All new papers)
- NEP-CIS-2006-06-03 (Confederation of Independent States)
- NEP-CNA-2006-06-03 (China)
- NEP-ENT-2006-06-03 (Entrepreneurship)
- NEP-FIN-2006-06-03 (Finance)
- NEP-SEA-2006-06-03 (South East Asia)
- NEP-SOC-2006-06-03 (Social Norms & Social Capital)
- NEP-TRA-2006-06-03 (Transition Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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