Bridging the gap: The roles of entrepreneurs’ egotism and structural hole occupancy in venture performance

Abstract

Network positioning is a critical factor in achieving success in entrepreneurship. The position of network structural holes involves bridging gaps between unconnected groups and bestows social capital and brokering advantages. Although research suggests that certain types of individuals may be more likely to take advantage of structural holes, limited research has examined how personal tendencies are linked to structural hole occupancy. Drawing on a synthesis of socioanalytic theory and a social network perspective, findings from a study of 233 entrepreneurs engaged in 24 business networking groups confirm that structural hole occupancy is positively linked to venture performance and that entrepreneurs perceived to have egotistical tendencies are more likely to seek out social ties that facilitate structural holes. The results extend social network perspectives on entrepreneurship by suggesting that those perceived to have egotistical tendencies gain success by seeking out strategic relationships. Implications for theory and practice are discussed.

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