Entrepreneurial networks: Findings from a south african study

Abstract

The purpose of this empirical study is to clarify how entrepreneurs use networks, as well as to describe the characteristics of these networks. A survey of 325 entrepreneurs from the province of KwaZulu-Natal in South Africa was conducted. Results indicate that although South African entrepreneurs have more contacts in their networks, they spend less time in developing and maintaining contacts when compared to their international counterparts. Results show that South Africans have established their network ties for a long time, although most of the contacts were met through the entrepreneur’s own effort rather than through referrals. Results also show that most of the network members are either friends or family members, which is different from international findings, where most network members are business associates.