Authors: Hiatt, Shon R.; Carlos, W. Chad; Sine, Wesley D.
Abstract: This study examines how ventures can leverage relationships with heterogeneous g ...
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Abstract: This study examines how ventures can leverage relationships with heterogeneous government stakeholders to enhance survival in different institutional environments. We consider how the distinct resources provided from venture ties to military and political actors represent complementary strategic assets that differentially influence performance in varying political and economic environments as well as under conditions of violence and political conflict. Empirically, we examine the effect of these respective stakeholder relationships on new venture survival across 10 countries over a 65-year period. By distinguishing between the resources obtained through relationships with different types of government stakeholders and showing how the value of these resources varies in different contexts, this study contributes to nonmarket strategy and stakeholder management research and highlights the need for studies to take a pluralistic view of government stakeholders. This paper also presents managerial insights to firms seeking to address the prevalent challenges associated with political, economic, and physical security issues in developing and underdeveloped economies. The online appendix is available at https://doi.org/10.1287/orsc.2017.1178.
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