Understanding communication network development and business incubation: An analysis of three incubators in Louisville, Kentucky

The importance of social capital development for the success of small business is gaining increased attention from researchers and practitioners alike. Social capital, in the form of relationships that can provide needed resources is now considered an important aspect of small business development.;Business incubation literature credits business incubators with assisting incubated businesses to develop important relationships with market agents that increase the availability of resources to these firms and enhance the chances that incubated entrepreneurs will succeed in the market. Despite that assertion, there has been no systematic investigation of how business incubators perform network development activities to enhance the social capital of incubated entrepreneurs.;The present study investigated three different incubation programs located in the city of Louisville, Kentucky and found several activities through which business incubators seek to enhance network development for clients. The study also found evidence of relationships created by these activities and resources obtained through relationships created by incubator sponsored networking activities.;The present study offers evidence that business incubators attempt to influence network development for clients. The study also provides a systematic description of the programs employed by the incubators investigated to enhance network development for incubated entrepreneurs.;More evidence is needed before a full picture of how business incubators influence relationship creation is available. The present research represents a first step in developing that picture.