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Boundaries Of Network Ties In Entrepreneurship: How Large Is Too Large?

Author

Listed:
  • SHANSHAN QIAN

    (College of Business, University of Louisville, Louisville, KY 40292, USA)

  • BRUCE H. KEMELGOR

    (College of Business, University of Louisville, Louisville, KY 40292, USA)

Abstract

External environments can require entrepreneurs to adjust and maintain network ties to cope with environmental changes and turbulence. Although network ties can help entrepreneurs gain resources and support, researchers are becoming aware of some negative aspects of networks, such as information redundancy. We used relative weight analysis and identified that environmental munificence and uncertainty influence the size of one's network. In addition, we surveyed 44 entrepreneurial founders of firms in the bio-technology industry regarding their network composition, including number of ties and firm performance. We found that environmental factors led to increases in both business and social network size. In addition, we identified an optimal number of network ties prior to tie-additions becoming negatively related to firm performance.

Suggested Citation

  • Shanshan Qian & Bruce H. Kemelgor, 2013. "Boundaries Of Network Ties In Entrepreneurship: How Large Is Too Large?," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 18(04), pages 1-19.
    • Handle: RePEc:wsi:jdexxx:v:18:y:2013:i:04:n:s1084946713500246
    DOI: 10.1142/S1084946713500246
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    Citations

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    Cited by:

    1. Haya Ajjan & Frances Fabian & David Tomczyk & Hala Hattab, 2015. "Social Media Use To Support Entrepreneurship In The Face Of Disruption," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 20(03), pages 1-27, September.
    2. Patricia Jardim Da Palma & Miguel Pereira Lopes & Telmo Ferreira Alves, 2018. "Entrepreneurship as a Calling: A Pilot Study with Aspiring Entrepreneurs," Journal of Entrepreneurship and Innovation in Emerging Economies, Entrepreneurship Development Institute of India, vol. 27(2), pages 277-300, September.
    3. Xiaobing Shuai & Christine Chmura, 2018. "Are Social Networks a Double-Edged Sword? A Case Study of Defense Contractors," Economic Development Quarterly, , vol. 32(3), pages 210-224, August.

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