Network Support and the Success of Newly Founded Business

The "network approach to entrepreneurship" is a prominent theoretical perspective within the literature on entrepreneurship. This literature assumes that network resources, networking activities and network support are heavily used to establish new firms (network founding hypothesis). Further, those entrepreneurs, who can refer to a broad and diverse social network and who receive much support from their network are more successful (network success hypothesis). Based on a study of 1,700 new business ventures in Upper Bavaria (Germany), the article gives an empirical test of the network success hypothesis. It is argued that one reason, why previous studies did not consistently find positive network effects, may be that social capital (network support) is used to compensate shortfalls of other types of capital (human capital and financial capital). This compensation hypothesis, however, does not find empirical confirmation. On the other hand, however, the network success hypothesis proves to be valid in our analyses, i.e. network support increases the probability of survival and growth of newly founded businesses.     

Konjunkturschlaglicht: Ungarn vor Herausforderungen

Ohne Zusammenfassung     

Fortgesetzter Aufschwung bei weltwirtschaftlichen Risiken

Der konjunkturelle Aufschwung setzt sich weltweit und auch in Deutschland fort. Wie hat sich die Immobilienkrise in den USA ausgewirkt? Welche Zins- und welche Rohstoffpreisentwicklung wird erwartet? Mit welchen Wachstumsraten wird in Deutschland gerechnet und welche Effekte hatte die Mehrwertsteuererh?hung? Wie wird sich die Situation auf dem Arbeitsmarkt entwickeln?     

Europe's Leading Cities – Success Factors and Policy Perspectives

In Europe, economic activity is concentrated more and more in the major urban centres. At the same time, these cities are in a competition with one another. Across Europe they are contending for investors and qualified workers and searching for the most successful path to a dynamic economic future. Which cities in Europe have made the greatest economic progress in the past? What are the factors that have made some cities more successful than others? And what action can cities take to achieve greater economic growth in the future?     

Kleine Schritte auf einem langen Weg

Ohne Zusammenfassung     

EU enlargement and governance of the Common Agricultural Policy

The requirements for the implementation, administration and control of the application of the current CAP are much higher than they were 15 years ago. The governance problems caused in the present EU by today’s higher regulation density are already severe. The new member countries are even less well equipped than the present ones to deal with these problems. What political consequences should be drawn?     

Entrepreneurial strategy v. accounting accuracy in ‘calculating’ capital and income

Both entrepreneurs and accountants ??calculate?? capital and income but their procedures diverge. The paper examines this divergence and the respective calculational objectives of entrepreneurs and accountants in the business enterprise. For the entrepreneur, capital and income are ex ante calculational judgments of prospective income gain from strategic use of the enterprise??s capital goods. But the accountant must shun entrepreneurial judgments to ??calculate?? the contemporary net market value of enterprise??s capital goods at a specified date. Hence, the accountant??s calculation of income is the net contemporary increase in the market value of the enterprise??s capital goods. These accounting calculations facilitate assessment of the success of an enterprise strategy. But critics assert that accounting practice ignores the need of external investor??s for accurate information on enterprise prospects. The paper concludes with a critique of accounting regulation and explores the feasibility and means of privatizing the entrepreneurial choice of accounting techniques.