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Entrepreneurial networking capacity of cluster firms: a social network perspective on how shared resources enhance firm performance

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  • Huanmei Li

    ()

  • Graciela Zubielqui

    ()

  • Allan O’Connor

    ()

Abstract

This paper examines the entrepreneurial networking capacity of firms in leveraging shared resources in clusters to achieve market performance. Defining industrial clusters from a social network perspective and entrepreneurial networking capacity as the capacity of firms in orchestrating relational-based resources to achieve enhanced performance and build competitive advantage, this paper analysed the influences of regional shared resources derived from entrepreneurial networking capacity on firm market performance. This paper used the primary data collected from the 65 wine regions (GIs) in Australia and tested the proposed hypotheses using structural equation modeling. The results show the unique roles of different types of cluster shared resources in enhancing firm market performance. We contribute to further development of the social network theory, the resource-based view, entrepreneurship and cluster theory and provide grounds for closer examination of how the context of industrial clusters influences the resource-based competitive advantage of firms. Copyright Springer Science+Business Media New York 2015

Suggested Citation

  • Huanmei Li & Graciela Zubielqui & Allan O’Connor, 2015. "Entrepreneurial networking capacity of cluster firms: a social network perspective on how shared resources enhance firm performance," Small Business Economics, Springer, vol. 45(3), pages 523-541, October.
  • Handle: RePEc:kap:sbusec:v:45:y:2015:i:3:p:523-541
    DOI: 10.1007/s11187-015-9659-8
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    2. Maurizio Cisi & Francesco Devicienti & Alessandro Manello & Davide Vannoni, 2016. "The Impact of Formal Networking on the Performance of SMEs," Working papers 039, Department of Economics and Statistics (Dipartimento di Scienze Economico-Sociali e Matematico-Statistiche), University of Torino.
    3. Patrizia Pastore & Antonio Ricciardi & Silvia Tommaso, 2020. "Contractual networks: an organizational model to reduce the competitive disadvantage of small and medium enterprises (SMEs) in Europe’s less developed regions. A survey in southern Italy," International Entrepreneurship and Management Journal, Springer, vol. 16(4), pages 1503-1535, December.
    4. Jaffar Abbas & Saqlain Raza & Mohammad Nurunnabi & Mohd Sobri Minai & Shaher Bano, 2019. "The Impact of Entrepreneurial Business Networks on Firms’ Performance Through a Mediating Role of Dynamic Capabilities," Sustainability, MDPI, Open Access Journal, vol. 11(11), pages 1-28, May.
    5. Mustafa Emre Civelek & Murat Cemberci & Necati Erdem Eralp, 2016. "The Role of Social Media in Crisis Communication and Crisis Management," International Journal of Research in Business and Social Science (2147-4478), Center for the Strategic Studies in Business and Finance, vol. 5(3), pages 111-120, April.
    6. Zoltan Acs & Thomas Åstebro & David Audretsch & David T. Robinson, 2016. "Public policy to promote entrepreneurship: a call to arms," Small Business Economics, Springer, vol. 47(1), pages 35-51, June.
    7. Kim Klyver & Benson Honig & Paul Steffens, 2018. "Social support timing and persistence in nascent entrepreneurship: exploring when instrumental and emotional support is most effective," Small Business Economics, Springer, vol. 51(3), pages 709-734, October.
    8. Maria Clara da Cunha Bezerra & Cláudia Fabiana Gohr & Sandra Naomi Morioka, 2021. "Linking Cluster Characteristics and Organizational Capabilities for Sustainability—Framework Development and Application," Sustainability, MDPI, Open Access Journal, vol. 13(3), pages 1-26, January.
    9. Francesco Aiello & Paola Cardamone & Lidia Mannarino & Valeria Pupo, 2020. "Networks And Family Firm Performance: Some Evidence From Italy," Working Papers 202007, Università della Calabria, Dipartimento di Economia, Statistica e Finanza "Giovanni Anania" - DESF.
    10. Chien-Nan Chen & Chengli Tien & Bernard Gan, 2019. "The postentry performance of business groups’ new venture affiliates," Australian Journal of Management, Australian School of Business, vol. 44(2), pages 325-343, May.
    11. Urbano, David & Aparicio, Sebastian & Guerrero, Maribel & Noguera, Maria & Torrent-Sellens, Joan, 2017. "Institutional determinants of student employer entrepreneurs at Catalan universities," Technological Forecasting and Social Change, Elsevier, vol. 123(C), pages 271-282.
    12. Maurizio Cisi & Francesco Devicienti & Alessandro Manello & Davide Vannoni, 2020. "The advantages of formalizing networks: new evidence from Italian SMEs," Small Business Economics, Springer, vol. 54(4), pages 1183-1200, April.
    13. Rubino, Michele & Vitolla, Filippo, 2018. "Implications of Network Structure on Small Firms’ Performance: Evidence from Italy," EconStor Open Access Articles, ZBW - Leibniz Information Centre for Economics, pages 46-56.
    14. Laura Corazza & Maurizio Cisi & Greta Falavigna, 2018. "Overcoming sustainability barriers through Formalized Network Contracts (FNCs): the experience of Italian SMEs," IRCrES Working Paper 201803, Research Institute on Sustainable Economic Growth - Moncalieri (TO) ITALY - former Institute for Economic Research on Firms and Growth - Moncalieri (TO) ITALY.

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    More about this item

    Keywords

    Entrepreneurial networking capacity; Resource-based view; Strategic shared resources; Market performance; Industrial cluster; D01; D02; D03; D04; D21; D22; D24; D85; D92; L14; L25; L26; L50; L66; M30; O13; O18; 025; O31; O38; O43; O47; Q12; R10; R50;
    All these keywords.

    JEL classification:

    • D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles
    • D02 - Microeconomics - - General - - - Institutions: Design, Formation, Operations, and Impact
    • D03 - Microeconomics - - General - - - Behavioral Microeconomics: Underlying Principles
    • D04 - Microeconomics - - General - - - Microeconomic Policy: Formulation; Implementation; Evaluation
    • D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • D85 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Network Formation
    • D92 - Microeconomics - - Micro-Based Behavioral Economics - - - Intertemporal Firm Choice, Investment, Capacity, and Financing
    • L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • L50 - Industrial Organization - - Regulation and Industrial Policy - - - General
    • L66 - Industrial Organization - - Industry Studies: Manufacturing - - - Food; Beverages; Cosmetics; Tobacco
    • M30 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - General
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • R10 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General
    • R50 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - General

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