Mechanism Of Social Capital In The Internal Governance Of The High-tech Start-ups

The cultivation and growth of high-tech start-ups embody the level of one country's economic and scientific strength. As an emerging market country, growth of China's high-tech start-ups is also extremely forceful. However, thanks to immaturity of the market mechanism and multinational corporations, high-tech start-ups stand a low survival rate in China. There are many various reasons, in which the basic are their own inadequate "practice" and that the internal governance could not keep up enterprise's development, however the most important is the lack of resources. Integrating these resources and the implementation of good internal governance is a key to the development of high-tech start-ups.Social capital as a resource, in which there are some features such as authority, trust and reciprocity, networks, norms and so on, has special advantags in the integration of resources and accumulation of entrepreneurial creativity, particularly in the integration of internal governance and natural resources of the high-tech start-ups, so it is called the "third hand" of development.This dissertation reviews the study of social capital theory and business concepts and issues related to internal governance discuss the company's general framework of internal governance. Combined with the governance characteristics of high-tech start-ups, we build a high-tech entrepreneurial corporate governance framework:a scientific decision-making system, equity of the incentive system and project-oriented management system. Then we continue to have a detailed analysis of social capital in high-tech start-ups in the role of internal governance mechanisms and the specific process, our analysis focus mainly on the decision-making mechanism, incentive and restraint mechanisms. We explore the relationship between them using the system analysis. We take the social network analysis method to inspect the mechanisms of social capital in internal governance of high-tech start-ups, and find that social capital could cause many problems and shortcomings to the internal governance of corporate.With the results of the analysis and testing, this dissertation puts forward some feasible suggestions and comments for the growth of high-tech start-ups mainly from building angles of the internal governance structure and corporate social capital.