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Building intellectual capital in incubated technology firms

26 citations0/0 files storedJournal of Intellectual Capital

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Entrepreneurship Studies and Influences Innovation and Knowledge Management Intellectual Capital and Performance Analysis

Abstract

Purpose – The value of relational capital generated by entrepreneurs with their internal and external environment (Hormigaet al., 2011a, b), provides considerable resources when properly leveraged. It is particularly important in environments such as the high tech sector of incomplete information and weak economic markets such as new products, markets or technologies (Davidsson and Honig, 2003). The purpose of this paper is to examine how incubated technology entrepreneurs build relational capital for a new venture formation in the social context of a Higher Education Institution. Design/methodology/approach – The study took a qualitative approach based on content analysis of business plans and in-depth interviews with 25 technology entrepreneurs on an incubation programme – South East Enterprise Platform Programme – for technology graduates in the South East of Ireland. Findings – The study found that technology entrepreneurs during new venture formation engaged in four types of relational capital activities, namely, development of networks and contacts, relationship building, accessing and leveraging knowledge experts and members of associations. Practical implications – Incubator programmes need to actively support social building activities of technology entrepreneurs. Higher Education Institutes knowledge assets and networks are critical elements in supporting incubator technology entrepreneurs. Originality value – The study identified four types of relational capital building. The authors also found using Jones-Evans (1995) categorisation of technology entrepreneurs that users, producers, opportunists and non-technical entrepreneurs engaged in client focused relational capital building, whereas researcher types networked with service providers and displayed arms length relational capital building styles.

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References

1994Qualitative Data Analysis: An Expanded Sourcebook 1985Naturalistic inquiry 1984Content Analysis: An Introduction to its Methodology.1998Social Capital, Intellectual Capital, and the Organizational Advantage 2003The role of social and human capital among nascent entrepreneurs 1998Intellectual capital: The new wealth of organizations 1975Getting a Job: A Study of Contacts and Careers.1985A Conceptual Framework for Describing the Phenomenon of New Venture Creation

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