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Networking Activities and Growth of Newly Founded Firms under Incubation

Author

Listed:
  • Demirgil, Hakan
  • Karaoz, Murat
  • Baptista, Rui
  • Sungur, Onur

Abstract

The network approach to entrepreneurship has become a notable theoretical perspective within the literature. Networking activities enable gaining resources for new ventures in growth process while allowing growing firms to maintain their flexibilities. In this study, we investigate the effects of intra-incubator networking activities on new firm growth performance in business incubators. Based on a survey of newly founded firms located in three major incubation centers located in Adana, Tarsus and Samsun cities in Turkey, we empirical test the network success hypothesis. Differences between growing and non-growing firms have been analyzed by using essential network characteristics. Empirical research investigating the effect of networking on incubated new firm performance is rare. Among them, to our knowledge, we, first time, employ essential network characteristics approach in performance analysis among incubated firms. The results have shown that incubated firms have similar intra-incubator networking intensity whether it is a growing or non-growing over time.

Suggested Citation

  • Demirgil, Hakan & Karaoz, Murat & Baptista, Rui & Sungur, Onur, 2011. "Networking Activities and Growth of Newly Founded Firms under Incubation," MPRA Paper 46575, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:46575
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    References listed on IDEAS

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    Cited by:

    1. Sungur, Onur & Dulupçu, Murat Ali, 2012. "Türkiye’de İş Geliştirme Merkezlerinde (İŞGEM) Yer Alan Kiracı Firmaların Hayatta Kalma Performansı [Survival Performance of Tenant Firms in Business Incubators (ISGEMs) in Turkey]," MPRA Paper 51853, University Library of Munich, Germany, revised May 2013.

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    More about this item

    Keywords

    Network Theory; Firm Growth; Business Incubator; Newly Founded Firms;
    All these keywords.

    JEL classification:

    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • D02 - Microeconomics - - General - - - Institutions: Design, Formation, Operations, and Impact
    • D04 - Microeconomics - - General - - - Microeconomic Policy: Formulation; Implementation; Evaluation
    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups

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