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The Effect Of Entrepreneurs' Political Skill On Entrepreneurial Resource Acquisition

Posted on:2017-09-14Degree:DoctorType:Dissertation
Country:ChinaCandidate:George Patrick MofuluFull Text:PDF
GTID:1319330488951819Subject:Enterprise Management
Abstract/Summary:PDF Full Text Request
Acquisition of entrepreneurial resources is widely recognized as one of the challenging undertakings that entrepreneurs face. This challenge is exacerbated by the fact that entrepreneurs are destined to acquire the majority of these resources from external stakeholders such as investors, venture capitalists, financial institutions, suppliers, and others. Extant research has proposed several practical approaches and theoretical frameworks that entrepreneurs may utilize when they seek external resources. The notable approaches include the networking approach, institutional linkages, entrepreneurs'storytelling, and signaling quality approach. However, each of these approaches has been criticized for determining entrepreneurial resource acquisition inconsistently in different ways. As a remedy to the shortcomings noted in these approaches, scholars have called future research to examine how personal/individual level characteristics and behavioral competencies help entrepreneurs to acquire external resources.In light of this researchers'call, this study, therefore, examines the relationship between political skill and the ability of entrepreneurs to acquire external resources. In addition, it also investigates the underlying mechanism through which political skill enhances resource acquisition ability of entrepreneurial ventures. This objective is motivated by the fact that prior research has not been able to describe clearly the operative mechanism of political skill within or beyond organizational settings. Also, the study examines whether the relationship between political skill and acquisition of external resources varies for entrepreneurs operating in different contextual situations. Specifically, this relationship is examined for entrepreneurs operating in China and Tanzania. To achieve these objectives, the study developed testable hypotheses, which are grounded in theoretical insights and empirical evidence. The literature review section provides a rich theoretical and empirical foundation for these hypotheses.The study used a combined sample of 463 entrepreneurs from Tanzania and China.281 entrepreneurs were sampled from six different regions of Tanzania. The regions are Mwanza, Morogoro, Dar es Salaam, Mara, Arusha, and Coast. In contrast,182 entrepreneurs were surveyed in Anhui Province, China. Data from these entrepreneurs were collected using similar instruments and measurement scales. These instruments and scales were developed and validated in prior studies, but they have been widely used in other previous studies both in western and non-western contexts. However, despite the perceived validity fitness of these scales, the study conducted several analytical and statistical procedures to confirm that the data collected using these instruments and scales were valid.The results show that at construct level, entrepreneurs' political skill relates to resource acquisition positively. Similarly, the dimension-level analysis of political skill reveals that networking ability and social astuteness dimensions significantly predict resource acquisition in entrepreneurial ventures. On the contrary, interpersonal influence and apparent sincerity dimensions were related to resource acquisition positively, but not significantly. Moreover, the results also show that the construct-level effect of political skill is transmitted indirectly via three different impression management behaviors (ingratiation, exemplification, and organizational promotion) whereas the dimension-level effects are transmitted via supplication behavior only. The indirect effect of political skill via entrepreneurs'interpersonal relationships was not significant. Lastly, the results further show that the effect of political skill on resource acquisition is not equivalent across Tanzania and Chinese entrepreneurs. The political skill of Chinese entrepreneurs is slightly stronger in determining resource acquisition compared to that of their Tanzanian counterparts.These results and associated findings are significant to the theory and practice. Theoretically, they extend the knowledge about the facilitative role of political skill in pursuing key entrepreneurial functions like resource acquisition. In the same vein, they also underscore the influence of political skill in the interactions between entrepreneurs and stakeholders, particularly beyond the organizational setting. Besides, they reveal empirically the underlying mechanism through which political skill impact its outcomes. Practically, the findings offer implications for entrepreneurs and their ventures, resource providers, and practitioners, who promote resource acquisition knowledge in the entrepreneurial field. The study concludes by pointing out potential areas for future research.
Keywords/Search Tags:Political skill, Entrepreneurial resources, Impression management, Interpersonal relationships
PDF Full Text Request
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