Abstract
In the startup landscape, social capital is a vital component within the innovation ecosystem. Startups accumulate social capital through investor networks to enhance their return on investment. However, the optimal network formation for maximizing social capital in startups remains unclear. Two opposing theories on network structure emerge: Coleman and Bourdieu view social capital as a communal resource within the social structure, advocating for the maintenance of existing relationships in a closed network. In contrast, Burt emphasizes individual entrepreneurship, urging entrepreneurs to exploit 'structural holes' and navigate around constrained relationships to optimize social capital. We hypothesize that startups with greater structural holes exhibit a higher positive correlation with revenue performance. Our study indicates that social capital significantly influences ventures' sales performance, with the highest impact achieved through non-redundant bridging contacts rather than secure, closed contacts. This research illuminates the dynamic interplay between social capital and network structures in startups, providing insights for strategic optimization in the pursuit of enhanced performance and growth.
Original language | English |
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Title of host publication | PICMET 2024 - 2024 Portland International Conference on Management of Engineering and Technology |
Subtitle of host publication | Technology Management in the Artificial Intelligence Era, Proceedings |
Editors | Dundar F. Kocaoglu, Timothy R. Anderson, Dilek Cetindamar Kozanoglu, Kiyoshi Niwa, Harm-Jan Steenhuis |
Publisher | Institute of Electrical and Electronics Engineers Inc. |
ISBN (Electronic) | 9781890843458 |
DOIs | |
Publication status | Published - 2024 |
Event | 2024 Portland International Conference on Management of Engineering and Technology, PICMET 2024 - Portland, United States Duration: 2024 Aug 4 → 2024 Aug 8 |
Publication series
Name | PICMET 2024 - 2024 Portland International Conference on Management of Engineering and Technology: Technology Management in the Artificial Intelligence Era, Proceedings |
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Conference
Conference | 2024 Portland International Conference on Management of Engineering and Technology, PICMET 2024 |
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Country/Territory | United States |
City | Portland |
Period | 24/8/4 → 24/8/8 |
Bibliographical note
Publisher Copyright:© 2024 PICMET.
All Science Journal Classification (ASJC) codes
- Business and International Management
- Management of Technology and Innovation
- Strategy and Management
- Artificial Intelligence
- Decision Sciences (miscellaneous)