Entrepreneurial alertness and new venture performance: Facilitating roles of networking capability

Abstract

An ability to act upon an entrepreneurial opportunity has been noted to be a major driver of new venture success. However, scholarly knowledge is limited on how and when entrepreneurs’ alertness to entrepreneurial opportunities drives new venture success. The current study addresses this gap in the entrepreneurship literature by arguing that variations in new venture performance are a function of levels of entrepreneurial alertness and networking capabilities. Using primary data gathered from 203 new ventures operating in a sub-Saharan African economy, Ghana, the study finds that increases in the levels of entrepreneurial alertness are related to increases in new venture performance. Additionally, the study finds that, under conditions of increased use of social and business networking capabilities, the potency of entrepreneurial alertness as a driver of new venture success is amplified. Theoretical, managerial and policy implications of these findings are discussed.