Exploring the evolution of supporter networks in the creation of new organizations
Networks are important to entrepreneurial success. However, most research in this area to date has merely addressed the what; namely, what types of networks enable success. We seek to extend this stream of research by answering the how and the why. In so doing, we elaborate on how entrepreneurs can develop their networks, arguing that in order to create new organizations, nascent entrepreneurs must acquire resources from an increasingly diverse set of relatively stronger and weaker ties throughout the emergence phase. We then hypothesize why this evolutionary path is effective across the various dimensions of tie strength. Analyzing data from the Panel Study of Entrepreneurial Dynamics I (PSED I) with multilevel random coefficient growth curve modeling, we find strong support for our hypotheses. We conclude by discussing the implications of our findings for both academics and practitioners.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
References listed on IDEAS
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.:
- Tang, Zhi & Tang, Jintong, 2012. "Stakeholder–firm power difference, stakeholders' CSR orientation, and SMEs' environmental performance in China," Journal of Business Venturing, Elsevier, vol. 27(4), pages 436-455.
- Carter, Nancy M. & Gartner, William B. & Reynolds, Paul D., 1996. "Exploring start-up event sequences," Journal of Business Venturing, Elsevier, vol. 11(3), pages 151-166, May.
- Jarillo, J. Carlos, 1989. "Entrepreneurship and growth: the strategic use of external resources," Journal of Business Venturing, Elsevier, vol. 4(2), pages 133-147, March.
- Johannisson, Bengt, 1988. "Business formation -- a network approach," Scandinavian Journal of Management, Elsevier, vol. 4(3-4), pages 83-99.
- Birley, Sue, 1985. "The role of networks in the entrepreneurial process," Journal of Business Venturing, Elsevier, vol. 1(1), pages 107-117.
- Hoang, Ha & Antoncic, Bostjan, 2003. "Network-based research in entrepreneurship: A critical review," Journal of Business Venturing, Elsevier, vol. 18(2), pages 165-187, March.
- Nicolaou, Nicos & Birley, Sue, 2003. "Academic networks in a trichotomous categorisation of university spinouts," Journal of Business Venturing, Elsevier, vol. 18(3), pages 333-359, May.
- Lichtenstein, Benyamin B. & Dooley, Kevin J. & Lumpkin, G.T., 2006. "Measuring emergence in the dynamics of new venture creation," Journal of Business Venturing, Elsevier, vol. 21(2), pages 153-175, March.
- Scott Shane & Daniel Cable, 2002. "Network Ties, Reputation, and the Financing of New Ventures," Management Science, INFORMS, vol. 48(3), pages 364-381, March.
- Elfring, Tom & Hulsink, Willem, 2003. " Networks in Entrepreneurship: The Case of High-Technology Firms," Small Business Economics, Springer, vol. 21(4), pages 409-22, December.
- Ostgaard, Tone A. & Birley, Sue, 1994. "Personal networks and firm competitive strategy--A strategic or coincidental match?," Journal of Business Venturing, Elsevier, vol. 9(4), pages 281-305, July.
- Reynolds, Paul & Miller, Brenda, 1992. "New firm gestation: Conception, birth, and implications for research," Journal of Business Venturing, Elsevier, vol. 7(5), pages 405-417, September.
- Bamford, Charles E. & Dean, Thomas J. & McDougall, Patricia P., 2000. "An examination of the impact of initial founding conditions and decisions upon the performance of new bank start-ups," Journal of Business Venturing, Elsevier, vol. 15(3), pages 253-277, May.
- Sarah L. Jack, 2005. "The Role, Use and Activation of Strong and Weak Network Ties: A Qualitative Analysis," Journal of Management Studies, Wiley Blackwell, vol. 42(6), pages 1233-1259, 09.
- Majbritt Rostgaard Evald & Kim Klyver & Susanne Gren Svendsen, 2006. "The Changing Importance Of The Strength Of Ties Throughout The Entrepreneurial Process," Journal of Enterprising Culture (JEC), World Scientific Publishing Co. Pte. Ltd., vol. 14(01), pages 1-26.
- Greve, Arent, 1995. "Networks and entrepreneurship -- an analysis of social relations, occupational background, and use of contacts during the establishment process," Scandinavian Journal of Management, Elsevier, vol. 11(1), pages 1-24, March.
- Mikael Samuelsson & Per Davidsson, 2009. "Does venture opportunity variation matter? Investigating systematic process differences between innovative and imitative new ventures," Small Business Economics, Springer, vol. 33(2), pages 229-255, August.
- Peter Witt, 2004. "Entrepreneurs’ networks and the success of start-ups," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 16(5), pages 391-412, September.
- Shane, Scott & Delmar, Frederic, 2004. "Planning for the market: business planning before marketing and the continuation of organizing efforts," Journal of Business Venturing, Elsevier, vol. 19(6), pages 767-785, November.
- Yang, Tiantian & Aldrich, Howard E., 2012. "Out of sight but not out of mind: Why failure to account for left truncation biases research on failure rates," Journal of Business Venturing, Elsevier, vol. 27(4), pages 477-492.
- Tornikoski, Erno T. & Newbert, Scott L., 2007. "Exploring the determinants of organizational emergence: A legitimacy perspective," Journal of Business Venturing, Elsevier, vol. 22(2), pages 311-335, March.
- Jan Inge Jenssen & Harold F. Koenig, 2002. "The Effect of Social Networks on Resource Access and Business Start-ups," European Planning Studies, Taylor & Francis Journals, vol. 10(8), pages 1039-1046, December.
- Garnsey, Elizabeth, 1998. "A Theory of the Early Growth of the Firm," Industrial and Corporate Change, Oxford University Press, vol. 7(3), pages 523-56, September.
- Jack, Sarah L., 2010. "Approaches to studying networks: Implications and outcomes," Journal of Business Venturing, Elsevier, vol. 25(1), pages 120-137, January.
- Delmar, Frederic & Shane, Scott, 2004. "Legitimating first: organizing activities and the survival of new ventures," Journal of Business Venturing, Elsevier, vol. 19(3), pages 385-410, May.
When requesting a correction, please mention this item's handle: RePEc:eee:jbvent:v:28:y:2013:i:2:p:281-298. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.