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Entrepreneurship Through Social Networks

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Abstract

The formation of new businesses can be conceptualized as a function of opportunity structures and motivated entrepreneurs with access to resources. On the demand side, opportunity structures contain the environmental resources that can be exploited by new businesses as they seek to carve out niches for themselves. On the supply side, motivated entrepreneurs need access to capital and other resources so that they can take advantage of perceived opportunities. A cursory examination of this formulation reveals two essential issues that research on entrepreneurship must address: (1) Entrepreneurship is a process and must be viewed in dynamic terms rather than in cross-sectional snapshots; and (2) entrepreneurship requires linkages or relations between key components of the process.
... Furthermore, networking among small rural businesses opens up opportunities to address a wider range of customers (Brinkmann et al., 2014). More generally, these networks are a way to access resources (of others) and to create opportunities (Aldrich and Zimmer, 1986). In the same vein, local networking and trusting cooperation with others can boost innovations, as networks enable the knowledge exchange needed, particularly for small businesses (Pittaway et al., 2004;Rogers, 2004). ...
Article
Rural businesses tend to rely on ‘collaborative strategies’ to cope with their adverse locational effects. They are known to sustain strong local ties, and some rural businesses also have ‘pipelines’ to faraway places. While, in general, the effects of ‘networking,’ especially for small rural businesses, have been intensively studied, there still remain important gaps in the literature, which we seek to address: frst, ‘networks’ are often conceptualized rather broadly; second, different types of networks have been looked at in isolation; and third, the outcomes of networking remain unclear. Based on a survey of rural microbusinesses in Germany (n = 166), we shed light on the various collaborative strategies that these businesses sustain. We simultaneously estimate the effects of horizontal, vertical and private networks on business growth and innovativeness in a structural equation mode (SEM). This is important because overwhelmingly, rural development programs focus on the establishment of localized business networks alone, neglecting the important knowledge inflows along the vertical business chain. Indeed, our results show that vertical networks and horizontal networks are both strongly associated with innovativeness and subsequently growth. This calls for a balanced strategy to support rural entrepreneurs, combining regional cooperation and integration in extra-regional value chains.
... The material has been selected carefully to include a broad range of topics suitable for two-semester engineering thermodynamics course at the junior level, and has been organized around such a way that the conservation of mass, energy, and the non-conservation of exergy are covered in sequence in Chapters 3, 4, and 5. Especially in Chapters 6,7,8, and 9 open-ended type design problems are included. Students could be assigned to work in teams to solve these problems. ...
... In highlighting the importance of socio-cultural factors, scholars have indicated that entrepreneurial activities are embedded in social contexts (Aldrich and Zimmer, 1986;Thornton et al., 2011). Entrepreneurs are best understood by examining the socio-cultural factors shaping their activities (Reynolds, 1991;Thornton, 1999;. ...
Book
To date, numerous texts and case studies have attempted to give guidance to researchers about trust and how it can be researched. While much has been written about the construct from a western perspective, many of the books are often silent about the contextual interpretations and how trust differs from what we already know. Indeed, much mystery surrounds the way in which scholars engage with trust research. And many of the answers which require exploring, still receive implicit answers. Perhaps, it may be old-fashioned to study ‘trust and African markets’. However, it is certain that modern studies of trust and African nexuses should be based on richer understandings than we now possess. Accordingly, this book represents my attempt to address this void. A book, as informed by the publisher, should ideally contribute and extend discussions; probe conventional wisdom; and should be a foundation upon which future studies can build on. My goal, then, is to interprete and capture what I believe are core original insights to understanding the elusive concept of trust. The overriding emphasis of the book is upon the emergence of trust in a range of indigenous institutional forms operating as alternatives to weak formal institutions. The idea is to contribute insights to how African entrepreneurs cope with institutional deficiency. In writing this book, I have reflected and attempted to capture my understanding of trust in a way that connects with potential readers. At times, the task of writing seemed an endless one. Such a task involves a process of modification, inspired by new evidence which have come to light in the course of the last six years and by new insights derived from my own research over this period. However, I have benefitted from conversations with many people on the contemporary issues of trust, which have greatly deepened my understanding of the subject. I am grateful to several reviewers for their comments and suggestions. They played such an active role in the development of the chapters. I learned a great deal from their suggestions and this has enabled me gain additional insights. I have accommodated many of their recommendations where I could, but not all. A list of acknowledgements would be incomplete, and you will agree that this will be unfair to anyone who has been omitted. As such, I have left out capturing the names of several incredible people who have supported me on this journey. I owe them much. While this may sound straightforward, I have made it easier for readers unfamiliar with the trust to understand and locate themselves in the real world of local actors. In this circumstance, it my hope that this book with all its strengths and flaws, will contribute to a distillation of knowledge of the African context. I am also most appreciative of the forbearance I have received from the team at Palgrave. Finally, to the great people of Africa. I hope that the dedication of the book indicates in my own way my great belief, respect and affection. If this book has enough merit and value, then it is offered as my gift to them. As always, any errors or omissions are mine. K O Omeihe Centre for European Labour Market Research University of Aberdeen And Academy for African Studies
... Previous experience and jobs also can give access to important resources through social networks (Stuart & Sorenson, 2003), also the ability to recruit personnel who have a market and operational knowledge, and the knowledge to access venture capital financing. Networks are crucial to the discovery of opportunities, the testing of ideas, and gathering resources for the formation of new organizations (Aldrich & Zimmer, 1986); successful entrepreneurs are particularly active in networking with business people and regulators (Dollinger, 1985) Universities can also provide complementary resources in the form of proentrepreneurial structures such as technology transfer offices, social networks, and infrastructure, policies (licensing, leaves of absence). The ability to sum up experiences and to actively try to acquire new knowledge through various channels and the willingness and ability to continuously learn are essential skills for the entrepreneurs to get success. ...
Chapter
This chapter aims to analyze the participation of entrepreneurship studies from the perspective of capabilities and technology-based startups in Latin America, which implies considering capabilities from a perspective of innovation, technology, knowledge, and learning.
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La Universidad del Azuay es una institución de educación superior fundada en 1968, en la ciudad de Cuenca, Ecuador. La oferta académica consta de 28 carreras universitarias, divididas en seis facultades diferentes (UNIVERSIDAD DEL AZUAY, 2018). Concibe al emprendimiento como un área dinamizadora de la economía global, incluyendo como materia transversal en todas las carreras desde el 6to ciclo de pregrado; persigue como objetivo incentivar la cultura emprendedora, considerada como el conjunto de valores, creencias, ideologías, hábitos, costumbres y normas, que constituye una manera de pensar y actuar orientada a la creación de riqueza (González, 2016). La presente investigación persigue conocer la conducta emprendedora de los estudiantes de la Universidad del Azuay, para lo cual se ha determinado una población objetivo de matriculados de quinto a noveno ciclo en las cinco facultades (excepto medicina) en el período, septiembre 2017 –febrero 2018, teniendo una población de 3.712 estudiantes. Se determinó una muestra de 961estudiantes. Los resultados más importantes hacen referencia al Potencial Emprendedor, Optimismo, Intención Emprendedora o Iniciativa, Realismo, Control Percibido y Deseabilidad que determinan la conducta emprendedora (Durán-Aponte & Arias-Gómez, 2017), en donde se evidencia que la dimensión con una mayor media es “Deseabilidad” en todas las facultades, destacando Diseño con un 4.28 y con una menor media se encuentra Ciencias Jurídicas con 3.89; la segunda dimensión con mayor media es “Intención emprendedora”, sobresaliendo nuevamente Diseño y con menor intensidad está Ciencias Jurídicas. La dimensión que menor media posee es “Control percibido”, Administración de Empresas con un 3.42 y la menor media está en Filosofía con un 3.07. El estudio concluye que los hombres tienen mayor intención emprendedora que las mujeres, el componente “Control Percibido” presenta el promedio más bajo de todos; a nivel general la Facultad de Diseño presenta mayor intención emprendedora seguida por la Facultad de Administración.
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Keputusan berwirausaha sekarang ini semakin terbuka, hal ini dipicu oleh banyaknya pesaing kerja dan dimana terjadi ketidakseimbangan antara jumlah pencari kerja dan tersedianya lapangan kerja yang tersedia.
Chapter
This study explains the role of entrepreneurial self-efficacy in transforming entrepreneurial self-identity and the potential, nascent, and current young entrepreneur’s social networks as intangible means into persuasive ability to get others to join their new venture creation endeavours. A sample of 2341 potential, nascent, and current young entrepreneurs from Spain supports the direct impact of entrepreneurial self-identity and the entrepreneur’s social networks on persuasive ability, as well as the mediating role of entrepreneurial self-efficacy in the focal associations between social network and persuasion. Our findings contribute to behavioural entrepreneurship research. We also provide implications of our findings for practitioners.KeywordsEntrepreneurial self-identitySocial identityEntrepreneurial self-efficacyPersuasion
Chapter
National culture can influence the characteristics of entrepreneurship and, therefore, explain its different effects on income levels. This study aims to analyze the complex interactions between cultural values, entrepreneurship, and income levels in the context of Spain and Portugal. In particular, this study defines and investigates the efficient culture that maximizes income levels and entrepreneurship quality in the country. Specifically, we focus on how Spain and Portugal can achieve this efficient entrepreneurial culture in a comparative analysis with other European countries. For this analysis, we use three international datasets: (a) the Schwartz Value Survey (SVS); (b) the Global Entrepreneurship Monitor (GEM); and (c) the World Bank’s World Development Indicators, and an output-oriented data envelopment analysis (DEA) model. Our findings show that Portugal has the most inefficient entrepreneurial culture among the analyzed European Union countries. Our study has relevant implications for entrepreneurship agents and policymakers, suggesting that it is important to take into account the characteristics of the culture in which entrepreneurship is developed and which cultural values should be modified to achieve higher entrepreneurial quality.KeywordsCultureEntrepreneurshipEconomic developmentSpainPortugalJEL ClassificationA13D61L26O52Z13
Article
The paper provides the impact of social capital on the cost of debt of rural household businesses in Vietnam by using the panel data sample of 4,874 household businesses. Social capital is considered as the connections with people in the society including connections with people in the same business sector, people in the different business sector, bank officials and politicians. Besides, social capital is also measured as the assistance from government, state-owned commercial banks, state-owned enterprises, private commercial banks, friends & relatives and business association. The results show that the connections with politicians, the assistance from government, state-owned enterprises, private commercial banks, friends & relatives and business associations can help the household businesses in reducing the cost of using debts. The paper draws up a broader picture about the use of informal resources like social capital in household businesses. Accordingly, this highlights the importance of social capital in a network-oriented country like Vietnam.
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Abstrak Keusahawanan atas talian di Malaysia kini semakin terkenal dalam kalangan usahawan wanita di Malaysia, khususnya dalam perniagaan yang berbentuk secara kecil-kecilan. Penggunaan internet merupakan asas bagi usahawan wanita tersebut untuk memula dan meneruskan aktiviti keusahawanan mereka. Kejayaan atau kegagalan penglibatan dalam bidang keusahawan ini boleh bergantung kepada tingkah laku inovatif usahawan wanita dalam membentuk hubungan sosial dengan ahli keluarga, rakan, pekerja, pelanggan dan pembekal yang memberi manfaat yang menguntungkan kepada mereka dari segi material dan bukan material. Hubungan sosial itu bersifat konvensional dan bukan konvensional. Hubungan konvensional adalah hubungan yang dibentuk secara bersemuka manakala hubungan bukan konvensional dibentuk atas talian yang tidak memerlukan pertemuan bersemuka. Tujuan artikel ini meneliti tingkahlaku inovatif yang ditunjukkan oleh sebilangan usahawan wanita atas talian dalam membentuk dan memantapkan dua jenis hubungan sosial tersebut. Wanita tersebut terlibat dalam perniagaan secara kecil-kecilan di Lembah Kelang, Malaysia. Kajian kualitatif dengan temubual separa-struktur sebagai kaedah mengumpul data dan analisis tematik telah dijalankan. Secara keseluruhan, hasil kajian mendapati jalinan hubungan sosial yang kompleks samada bersifat konvensional ataupun tidak telah dibentuk dan dimantap oleh usahawan wanita yang dikaji itu demi tujuan perniagaan. Hubungan sosial dijalin dan dimantapkan dengan ahli keluarga, rakan, pelanggan, ejen, pembekal dan pesaing wanita tersebut. Jalinan hubungan itu telah menyumbang kepada perkembangan dan pemantapan perniagaan wanita tersebut dari permulaan penglibatan sehingga ke hari ini. Katakunci: e-perniagaan, hubungan sosial, keusahawanan atas talian, perniagaan kecil, tingkah laku inovatif, usahawan wanita Social ties and small-scale businesses in Malaysia-Innovative behaviour amongst online women entrepreneurs Abstract Internet usage is essential and a basic necessity for women entrepreneurs to embark and sustain their entrepreneurial activity. The success or failure of women entrprenuer's participation in the entrepreneurship field depends on their innovative behaviour in forging social ties with family, friends, workers, customers and suppliers who bring benefits to them in both material and non-material manner. Social ties can be characterized as conventional and non-conventional ties. Conventional ties entail ties established through face-to-face interaction, while non-conventional ties are forged on-line and thus does not require physical encounter. Given that online entrepreneurship is becoming widely common amongst women entrepreneurs in Malaysia, especially in small-scale businesses, this article examines the innovative behaviour shown by the Klang Valley women entrepreneurs who were involved in small-scale businesses in forging and establishing the two types of social ties. A qualitative study using semi-structured
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