The Economic Sociology of New Venture Creation

Abstract

In fact, [new] economic sociology is a meeting place for economists and sociologists. It is a rejection of the maximization hypothesis of orthodox economic theory. Thus its approach regarding new venture creation might be controversial. This paper attempts to connect these two areas, following a qualitative approach. Findings show that three main elements, i.e. (i) social action, (ii) embeddedness, and (iii) social relations, affect new venture creation. These elements are elaborated in this research and three main propositions are proposed.