Entering and developing a service network

Abstract

Purpose

This paper seeks to investigate the role of social capital in facilitating the entry of new business ventures into service networks.

Design/methodology/approach

The empirical work is undertaken via case study‐based research, featuring three service businesses, each entering and operating in a different marketplace.

Findings

Results show that new service businesses are not necessarily able to draw on existing social capital in order to enter a business network and build relationships with potential customers and suppliers.

Research limitations/implications

Future empirical work should re‐examine the distinctions between the role and nature of social capital for new service businesses.

Practical implications

The paper suggests how the new service entrepreneur might invest personal resources in networking to initiate relationships and build a network of customers and suppliers.

Originality/value

The paper presents the little researched area of networking and relationship initiation as a means of developing social capital for new service businesses.

Citation

Leek, S. and Canning, L. (2011), "Entering and developing a service network", Journal of Services Marketing, Vol. 25 No. 1, pp. 58-67. https://doi.org/10.1108/08876041111107069