The Changing Role of Social Capital During the Venture Creation Process: A Multilevel Study

Johannes Kleinhempel, Sjoerd Beugelsdijk and Mariko Klasing ()

Entrepreneurship Theory and Practice, 2022, vol. 46, issue 2, 297-330

Abstract: We assess how social capital relates to individuals’ initial interest in becoming an entrepreneur, formally setting up a venture, and subsequent survival of the venture. Conceptualizing and measuring entrepreneurship as a sequential process inferred from cross-sectional data for 22,878 individuals living in 110 regions across 22 European countries, we find that regional social capital is relevant for formally setting up a venture, but it is not associated with initial interest, nor with venture survival after establishment. By assuming variability and not uniformity in how social capital relates to entrepreneurship, we gain a better understanding of the contextual determinants of the venture creation process.

Keywords: entrepreneurship; new ventures; start-up; social capital (search for similar items in EconPapers)
Date: 2022
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Persistent link: https://EconPapers.repec.org/RePEc:sae:entthe:v:46:y:2022:i:2:p:297-330

DOI: 10.1177/1042258720913022

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