A Dynamic Perspective
Edited by Alain Fayolle, Sarah L. Jack, Wadid Lamine and Didier Chabaud
Chapter 12: Entrepreneurial mingling secrets: investigating the performance impact of network structure for control-based entrepreneurship using agent-based simulation
‘Knowing many people is good for business; keeping them apart is even better’ captures the essence of research regarding the position and shape of entrepreneurial social networks. Current research focuses on high-level relationships, ignoring underlying processes. Consequently, its applicability to novel approaches such as control-based entrepreneurship, a decision logic designed for highly uncertain environments, is limited. Fostering co-creation and strong involvement of partners, control-based entrepreneurship is conceptually at odds with current networking strategies emphasizing transactional relationships, arbitrage and brokering between contacts. In this study, we therefore re-evaluate current theories regarding network position and shape for control-based entrepreneurship. We use a computer simulation of effectuation, a prototype of control-based entrepreneurship. We reveal the starkly different mechanics that lead to a similarly positive impact of network position yet completely contrasting results for network shape. Proposing tertius iungens as an alternative theoretical foundation, we demonstrate how control-based entrepreneurship reorganizes social networks towards a dense web with few structural holes, high personal centrality and highly constrained stakeholders.
You are not authenticated to view the full text of this chapter or article.
Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.
Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.
Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.