Entrepreneurship Essay Example | Topics and Well Written Essays - 2250 words - 1

Entrepreneurship - Essay guinea pigThese theorists argue that friendly net profits provide privileged access to entrepreneurs to their required resources which helps them progress in the crease. On the other hand, there are factors other than knowing others which contri excepte to successful entrepreneurship. The paper develops a detailed lieu towards the notion of companionable networking and contact-building and its relationship with entrepreneurship. The significance of social relations in entrepreneurship has since long been recognized with the said(prenominal) being used by entrepreneurs to obtain resources and advice on starting their business. This is because the need for contacts is evident at mingled phases of the new-fashioned business. Relationships between entrepreneurs and those who possess resources required for the startup are quintessential to the success of a new business. Although the entrepreneur possesses the competence and knowledge as well as a novel idea to overflow the business, complementary resources may be required. Contacts provide the resources, knowledge and/or market accessibility required for devising the business idea work. Knowing individuals and organizations that operate amongst themselves broadens the resource base available to entrepreneurs for successfully running the business. Contacts that change success of the new firm comprise the social capital and are essential components of entrepreneurial networks. The social capital, therefore, refers to the individuals who help entrepreneurs in getting things done. These contacts include, but are not limited to, individuals in the professional networks as well as friends and peers from past jobs. They form the basis of the wider entrepreneurial networks that comprise of not just individuals but clusters of companies and organizations. By increasing the size of their networks and number of contacts, entrepreneurs can get access to greater information and resources from those who are knowledgeable. Furthermore, the way in which entrepreneurs position themselves in the network determines the extent to which they are able to take avail of their contacts. The aim of such positioning is to shorten the path to the contacts in order to get tasks done. Finally, members of the social network often tend to organize themselves by interacting amongst themselves which leads to the development of multiplex ties that benefit the entrepreneur even more. Furthermore, family members overly can play an important role in entrepreneurial success. In fact, they play a critical role in so far as entrepreneurship is examined in the context of family business (Rosenblatt et al., 1985). Therefore, knowing family members who fork out been involved in entrepreneurial business in the past is definitely an ingredient for success for family-run entrepreneurial businesses. Entrepreneurs can benefit from the unique business-specific knowledge that is possessed by their fa mily members including parents. Most importantly, for maintaining confidentiality of the business idea, most entrepreneurs may find it easier to obtain advice and guidance from their kin rather than non-kin contacts. On the other hand, having strong family ties may contain entrepreneurs from accessing a much larger pool of resources and information from non-kin contacts (Birley, 1985) (Renzulli et al., 2000). It is rare to have knowledgeable individuals from all disciplines of business (such as operations, marketing, HR) in ones family (Renzulli et al., 2000). Hence, entrepreneurs will, at various times acquire the support of their acquaintances for this purpose. However, this social network is not developed instantaneously and may