Network or independent business: Entrepreneurs’ human, social and financial capital as determinants of mode of entry

Françoise Bastié (), Pascal Cussy () and Anne-Laure Le Nadant
Additional contact information
Françoise Bastié: UNICAEN - Université de Caen Normandie - NU - Normandie Université, CREM - Centre de recherche en économie et management - UNICAEN - Université de Caen Normandie - NU - Normandie Université - UR - Université de Rennes - CNRS - Centre National de la Recherche Scientifique
Pascal Cussy: UNICAEN - Université de Caen Normandie - NU - Normandie Université, CREM - Centre de recherche en économie et management - UNICAEN - Université de Caen Normandie - NU - Normandie Université - UR - Université de Rennes - CNRS - Centre National de la Recherche Scientifique

Post-Print from HAL

Abstract: When establishing a new business, entrepreneurs can decide to join a network of independent business partners rather than choose the alternative of independent business ownership. In this study, we use a probit model on a large database to study the human, social, and financial capital of French entrepreneurs who join franchising and comparable forms of networks. Results confirm that initial levels of human and social capital are significant de- terminants of network membership. We also show that an increase in the proportion of the project financed by debt increases the probability of joining a network.

Keywords: franchising; entrepreneurship; network (search for similar items in EconPapers)
Date: 2016-04
References: Add references at CitEc
Citations: View citations in EconPapers (5)

Published in Managerial and Decision Economics, 2016, 37 (3), pp.167-181. ⟨10.1002/mde.2709⟩

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:halshs-01721907

DOI: 10.1002/mde.2709

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().