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Entrepreneurial Business Ties and New Venture Growth: The Mediating Role of Resource Acquiring, Bundling and Leveraging

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  • Gang Wang

    (Economics and Management School, Wuhan University, Wuhan 430072, China)

  • Linwei Li

    (School of Management, Xi’an University of Architecture and Technology, Xi’an 710055, China)

  • Xu Jiang

    (School of Management, Xi’an Jiaotong University, Xi’an 710049, China)

Abstract

Adopting insights from a resource management perspective, this study investigates how entrepreneurs utilize their business ties to promote new venture growth. We propose a multiple mediator model in which different resource management processes (i.e., resource acquiring, resource bundling, and resource leveraging) act as critical mediating mechanisms. We undertook a two-stage survey design, and collected data during the period from 2013 to 2016. Drawing on a longitudinal sample of 229 new ventures in China, we tested the hypotheses through the optimal scaling regression (OSR) analysis. We find empirical support for the mediated effects of entrepreneurial business ties via resource bundling and resource leveraging to promote new venture growth. However, our results find the mediating effect of resource acquiring non-significant. These findings will deepen understanding of the role of entrepreneurial business ties in the new venture growth process and expand resource management perspective into the entrepreneurial field.

Suggested Citation

  • Gang Wang & Linwei Li & Xu Jiang, 2019. "Entrepreneurial Business Ties and New Venture Growth: The Mediating Role of Resource Acquiring, Bundling and Leveraging," Sustainability, MDPI, vol. 11(1), pages 1-19, January.
    • Handle: RePEc:gam:jsusta:v:11:y:2019:i:1:p:244-:d:195256
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    2. Kyung Hwan Yun & Chenguang Hu, 2023. "Growth of Venture Firms under State Capitalism with Chinese Characteristics: Qualitative Comparative Analysis of Fuzzy Set," JRFM, MDPI, vol. 16(2), pages 1-21, February.
    3. Jihye Jeong & Juhee Kim & Hanei Son & Dae-il Nam, 2020. "The Role of Venture Capital Investment in Startups’ Sustainable Growth and Performance: Focusing on Absorptive Capacity and Venture Capitalists’ Reputation," Sustainability, MDPI, vol. 12(8), pages 1-13, April.
    4. Christopher Idemudia EBEGBETALE & Abdul-Hameed Adeola SULAIMON & Simeon Emezana IFERE, 2024. "Impact of Causation and Effectuation on Competitiveness among Nano Businesses in Nigeria," Management and Economics Review, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 9(1), pages 91-103, February.
    5. Gang Wang & Linwei Li & Gang Ma, 2019. "Entrepreneurial Business Tie and Product Innovation: A Moderated Mediation Model," Sustainability, MDPI, vol. 11(23), pages 1-18, November.
    6. , Aisdl, 2021. "Recipes for a Successful Exit for Clean- and Hard-tech Startups," OSF Preprints k3vey, Center for Open Science.

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