The Impact Of Internet Use On Residents' Entrepreneurship

Based on the duality pattern of urban and rural areas in China under the background of transitional economy,this paper explores the relationship between social networks,the Internet and residents'entrepreneurships in China based on China Family Tracking Survey Data(CFPS).This paper analyzes the relationship between the Internet,social networks and resident entrepreneurship through theoretical and empirical aspects.On the theoretical level,we believe that the Internet affects entrepreneurship from two dimensions:"technical effect" and“information effect”.The technical effect is divided into the effect of entrepreneurial opportunity and productivity.The information effect is divided into information resources and market.The impact of scope,entrepreneurial costs,and competition.The social network plays a mediating role.The emergence of the Internet has expanded the social network,and the social network can provide potential entrepreneurs with funds,technology,information,trading opportunities,start-up funds,financing costs,etc.,and follow-up operations for new ventures.Development also has a positive impact.The relationship between social networks and rural areas is divided into strong relationship and weak relationship.In the initial stage,it is characterized by a strong relationship based on kinship,providing entrepreneurs with material capital,starting capital and emotional support,and later showing heterogeneity.Higher sexual weak relationships provide entrepreneurs with important information resources and trading opportunities.From the empirical level,using micro data,we analyzed the impact of Internet use on entrepreneurship,and added control variables such as individual's age,gender,marital status,hukou,education level,health status,political appearance,and whether or not to join the organization.Influencing factors at the household level,including family social status,family size,and household per capita income,it is concluded that Internet use promotes entrepreneurship and is significant.The treatment effect model is used to solve the endogeneity of the problem,and we analyze the use of the Internet for different entrepreneurs.Types of influence,as we focus on opportunistic entrepreneurship,we find that the use of the Internet has significantly promoted opportunity-based entrepreneurship.The degree of influence varies among different age groups,with the greatest impact and significant impact on people under 30 years old,and the impact on people aged 30 to 50 is also significant and significant,and slightly affected but not significant for people over 50 years old.In view of the importance of each use and the Internet access goal when people use the Internet,we can further explain the Internet to promote entrepreneurship through the placebo test.Finally,we find that the Internet promotes entrepreneurship in the provinces with poor institutional environment.Strong.Based on the social network level,we use multiple indicators to measure social networks,including "personal ritual expenditures" and comprehensive indicators of social,neighborhood,and kinship derived from "principal component analysis.”Social networks have a positive impact on entrepreneurship.In terms of urban-rural differences,social networks and the promotion of rural residents are more obvious.Finally,based on the mediation effect model,we verify the mediation effect of social networks.This paper not only reveals the relationship between the Internet and social networks,but also analyzes how the two influence the internal mechanism of individual entrepreneurial behavior and the main reasons for the formation of urban-rural differences.From the perspective of social network,it reveals the mechanism of the Internet to further promote entrepreneurship through promoting social networks.Moreover,it has further enriched the series of studies on the Internet,social networks and entrepreneurial theories,and at the same time has implications for the impact of informal relations such as Internet construction and social networks in China during the economic transition period.