| DEPTH vs. BREADTH: NETWORK STRATEGY IN EMERGING MARKETS |
Received:October 11, 2017 Revised:October 11, 2017 |
Key Words: |
| Author Name | Affiliation | | Shameen Prashantham* | China Europe International Business School | | Abby Jingzi Zhou | University of Nottingham Ningbo China | | Charles Dhanaraj | Temple University |
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Abstract: |
| Using survey data from 187 technology-based new ventures in China and India, we explore two questions: (1) Do proactive network broadening and deepening differentially affect emerging market new ventures’ levels of market expertise and technology knowhow? (2) Do new ventures in India and China have different payoffs from network proactiveness in terms of market expertise and technology knowhow? We find that proactive network deepening is associated with market expertise and network broadening with technology knowhow. Multi-group analysis shows a significantly higher direct effect of partnering proactiveness on market expertise for the Indian subsample compared to the Chinese subsample but no significant differences with respect to technology knowhow. We also show how these effects vary across China and India, both large emerging markets but with very different institutional environments for new ventures. From a network perspective, our work highlights the differential outcomes of breadth vs depth oriented network strategies, as well as the importance of context in shaping the network outcomes. |
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