Many Roads Lead to Rome: How Human, Social, and Financial Capital Are Related to New Venture Survival
, Christian Lechner
, Frank Pelzel
2019, Entrepreneurship Theory and Practice, 44(5), pp.909-932
subjectivist theory of entrepreneurship
subjectivism
survival
configurational analysis
human capital
social capital
financial capital
Abstract
Given variance in entrepreneurs’ capital endowments, the question of sufficient (or insufficient) starting conditions enabling a pathway to survival is critical in entrepreneurship. Drawing on the subjectivist theory of entrepreneurship (STE), we adopt a configurational approach. Our results show how combinations of human and social capital are related to survival while overreliance on financial capital is not. From a subjectivist perspective, we reveal a potential gap between identifying and exploiting an opportunity. The findings provide some novel insights that help reframe conflicting results as to whether capital endowments are substitutes or complements.