Economics & Sociology

ISSN: 2071-789X eISSN: 2306-3459 DOI: 10.14254/2071-789X
Index PUBMS: f5512f57-a601-11e7-8f0e-080027f4daa0
Article information
Title: Social networks in entrepreneurial startups development
Issue: Vol. 12, No 3, 2019
Published date: 09-2019 (print) / 09-2019 (online)
Journal: Economics & Sociology
ISSN: 2071-789X, eISSN: 2306-3459
Authors: Lukáš Durda
University of Entrepreneurship and Law, Prague

Aleksandr Ključnikov
University of Entrepreneurship and Law, Prague
Keywords: social networks, development of startup companies, strong ties, weak ties, startups
DOI: 10.14254/2071-789X.2019/12-3/13
Index PUBMS: aa1fdd75-f439-11e9-bbfd-fa163e0fa1a0
Language: English
Pages: 192-208 (17)
JEL classification: L26, M13, Z13
Website: https://www.economics-sociology.eu/?695,en_social-networks-in-entrepreneurial-startups-development
Licenses:
Abstract

The paper focuses on researching the role of social networking in the development of startup companies in the Czech Republic. The goal is to identify key groups that help startups to set up and develop, identify areas where startups get help through the social networks of their founders and/or key members, and analyze the relationship between the types of the contacts and help provided. The paper presents the results of a deep questionnaire survey of startup founders from 51 out of approximately 1450 startups in the Czech Republic. IBM SPSS Statistics 21 software and Fisher's exact test were used in two-dimensional data analysis at the significance level of 0.05 and 0.01. The results demonstrate the use of strong and weak ties in the establishment and development of a startup business. Key groups include business partners and friends, both in terms of their utilization rates, their key role and the amount of assistance provided, and business angels in terms of fundraising, and technology and marketing advice. The importance of some weak ties does not correspond to their use (both positively and negatively). The results of the survey showed the contradictory role of incubators and accelerators. While 63% of startups used the help of business incubators, the support for building networks and links with the external environment in the incubators seems to be underestimated. Our results imply that the support programs for the startups should include the networking programs with the external parties.

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