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Mitigating Moral Hazard in Entrepreneurial Networks: Examining Structural and Relational Social Capital in East Africa

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  • Joshua J. Daspit
  • Rebecca G. Long

Abstract

Entrepreneurial networks and family firm researchers are testing the limits of current understanding by investigating relationships in a variety of non–Western contexts. We extend Khayesi, George, and Antonakis's model of resource accumulation to include the relational dimension of an entrepreneur's social capital network to elaborate more fully entrepreneurial kinship network types. The propensity for moral hazard associated with each network type is explicated, and mechanisms for mitigating the cost/benefit of such dysfunctions are addressed.

Suggested Citation

  • Joshua J. Daspit & Rebecca G. Long, 2014. "Mitigating Moral Hazard in Entrepreneurial Networks: Examining Structural and Relational Social Capital in East Africa," Entrepreneurship Theory and Practice, , vol. 38(6), pages 1343-1350, November.
  • Handle: RePEc:sae:entthe:v:38:y:2014:i:6:p:1343-1350
    DOI: 10.1111/etap.12128
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    References listed on IDEAS

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    Cited by:

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    2. Susumu Cato & Hiroki Nakamura, 2022. "Understanding the Function of a Social Business Ecosystem," Sustainability, MDPI, vol. 14(15), pages 1-12, July.
    3. Victoria Antin Yates & James M. Vardaman & James J. Chrisman, 2023. "Social network research in the family business literature: a review and integration," Small Business Economics, Springer, vol. 60(4), pages 1323-1345, April.
    4. Yuliani Suseno & Ashly H. Pinnington, 2018. "Building social capital and human capital for internationalization: The role of network ties and knowledge resources," Asia Pacific Journal of Management, Springer, vol. 35(4), pages 1081-1106, December.
    5. James J. Chrisman & Kristen Madison & Taewoo Kim, 2021. "A Dynamic Framework of Noneconomic Goals and Inter-Family Agency Complexities in Multi-Family Firms," Entrepreneurship Theory and Practice, , vol. 45(4), pages 906-930, July.
    6. Boso, Nathaniel & Danso, Albert & Leonidou, Constantinos & Uddin, Moshfique & Adeola, Ogechi & Hultman, Magnus, 2017. "Does financial resource slack drive sustainability expenditure in developing economy small and medium-sized enterprises?," Journal of Business Research, Elsevier, vol. 80(C), pages 247-256.
    7. Busch, Christian & Barkema, Harry, 2022. "Align or perish: Social enterprise network orchestration in Sub-Saharan Africa," Journal of Business Venturing, Elsevier, vol. 37(2).
    8. Decker, Stephanie & Estrin, Saul & Mickiewicz, Tomasz, 2020. "The tangled historical roots of entrepreneurial growth aspirations," LSE Research Online Documents on Economics 102989, London School of Economics and Political Science, LSE Library.
    9. Lin, Tse-Chun & Pursiainen, Vesa, 2022. "Regional social capital and moral hazard in crowdfunding," Journal of Business Venturing, Elsevier, vol. 37(4).
    10. Debicki, Bart J. & Ramírez-Solís, Edgar Rogelio & Baños-Monroy, Verónica Ilián & Gutiérrez-Patrón, Lilia Magali, 2020. "The impact of strategic focus on relational capital: A comparative study of family and non-family firms," Journal of Business Research, Elsevier, vol. 119(C), pages 585-598.
    11. Michael A. Abebe & Yamlaksira S. Getachew & Sarah Kimakwa, 2022. "Entrepreneurs’ Ethnic and Political Identity Alignment as Determinants of Access to Government Support in Africa: A Conceptual Framework," Entrepreneurship Theory and Practice, , vol. 46(2), pages 449-476, March.
    12. Siying Long & Zhongju Liao, 2023. "Green relational capital, integration capabilities and environmental innovation adoption: The moderating role of normative pressures," Sustainable Development, John Wiley & Sons, Ltd., vol. 31(3), pages 1570-1580, June.
    13. Mike Wright & James J. Chrisman & Jess H. Chua & Lloyd P. Steier, 2014. "Family Enterprise and Context," Entrepreneurship Theory and Practice, , vol. 38(6), pages 1247-1260, November.
    14. Schell, Sabrina & Hiepler, Miriam & Moog, Petra, 2018. "It’s all about who you know: The role of social networks in intra-family succession in small and medium-sized firms," Journal of Family Business Strategy, Elsevier, vol. 9(4), pages 311-325.

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