African Journal of
Business Management

  • Abbreviation: Afr. J. Bus. Manage.
  • Language: English
  • ISSN: 1993-8233
  • DOI: 10.5897/AJBM
  • Start Year: 2007
  • Published Articles: 4131

Full Length Research Paper

How does boundary-spanning search matter in China’s new technology venture? The role of external relationship and internal competence

Hsu-Hua Lee1, Tsau-Tang Yang1 and Ci-Rong Li2*
1Graduate Institute of Management Sciences, Tamkang University, 151 Ying-Chuan Road, Tamsui, Taipei County, 25137, Taiwan, R. O. C. 2Strategic Renewal Lab., Entrepreneurship and Business Management Research Center (E&BMRC), No. 7, Ln. 6-16, Sec. 2, Daqing St., South Dist., Taichung City 402, Taiwan, R. O. C.  
Email: [email protected]

  •  Accepted: 16 July 2011
  •  Published: 30 September 2013

Abstract

Following on the resource-advantage theory, this study advances existing research by examining what configuration of a new venture’s boundary-spanning search can obtain successful venture performance and how a founding team’s external relationship and the internal firm competences shapes the relationship between the distant search and new venture performance. The paper is based on a questionnaire survey/analysis of a sample of 178 new ventures from China. This paper offers insight to entrepreneurs with regard to the importance of building external managerial ties and developing idiosyncratic internal competences on boundary-spanning search. In addition, our study also reveals that the effectiveness of supply-, demand- and spatial-side boundary-spanning search on venture performance depends upon investing resource at a rational level.

 

Key words: Boundary-spanning search strategy, new venture, managerial tie, firm competence.