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A Theoretical Analysis of the Role of Social Networks in Entrepreneurship

Listed author(s):
  • Leyden, Dennis P.

    ()

    (University of North Carolina at Greensboro, Department of Economics)

  • Link, Albert N.

    ()

    (University of North Carolina at Greensboro, Department of Economics)

  • Siegel, Donald S.

    ()

    (University at Albany, SUNY)

Entrepreneurship involves innovation and uncertainty. We outline a theory of entrepreneurship, which highlights the importance of social networks in promoting innovation and reducing uncertainty. Our findings suggest that this “social” aspect of entrepreneurship increases the probability of entrepreneurial success. The results also lend credence to theories of entrepreneurship that suggest that entrepreneurial opportunities are formed endogenously by the entrepreneurs who create them. We also consider the public policy implications of our findings.

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File URL: http://bae.uncg.edu/assets/research/econwp/2013/13-22.pdf
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Paper provided by University of North Carolina at Greensboro, Department of Economics in its series UNCG Economics Working Papers with number 13-22.

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Length: 24 pages
Date of creation: 17 Dec 2013
Handle: RePEc:ris:uncgec:2013_022
Contact details of provider: Postal:
UNC Greensboro, Department of Economics, PO Box 26170, Bryan Building 462, Greensboro, NC 27402

Phone: (336) 334-5463
Fax: (336) 334-4089
Web page: http://economics.uncg.edu

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  1. Hagedoorn, John & Link, Albert N. & Vonortas, Nicholas S., 2000. "Research partnerships1," Research Policy, Elsevier, vol. 29(4-5), pages 567-586, April.
  2. Bronwyn H. HALL, 2004. "University-Industry Research Partnerships in the United States," Economics Working Papers ECO2004/14, European University Institute.
  3. Dennis Leyden & Albert Link, 2013. "Knowledge spillovers, collective entrepreneurship, and economic growth: the role of universities," Small Business Economics, Springer, vol. 41(4), pages 797-817, December.
  4. Mustar, Philippe & Renault, Marie & Colombo, Massimo G. & Piva, Evila & Fontes, Margarida & Lockett, Andy & Wright, Mike & Clarysse, Bart & Moray, Nathalie, 2006. "Conceptualising the heterogeneity of research-based spin-offs: A multi-dimensional taxonomy," Research Policy, Elsevier, vol. 35(2), pages 289-308, March.
  5. Faulkner, Wendy & Senker, Jacqueline, 1994. "Making sense of diversity: public-private sector research linkage in three technologies," Research Policy, Elsevier, vol. 23(6), pages 673-695, November.
  6. Albert N. Link & Christopher J. Ruhm & Donald S. Siegel, 2014. "Private Equity and the Innovation Strategies of Entrepreneurial Firms: Empirical Evidence from the Small Business Innovation Research Program," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 35(2), pages 103-113, 03.
  7. Klevorick, Alvin K. & Levin, Richard C. & Nelson, Richard R. & Winter, Sidney G., 1995. "On the sources and significance of interindustry differences in technological opportunities," Research Policy, Elsevier, vol. 24(2), pages 185-205, March.
  8. Bronwyn H. Hall & Albert N. Link & John T. Scott, 2003. "Universities as Research Partners," The Review of Economics and Statistics, MIT Press, vol. 85(2), pages 485-491, May.
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