Sociological Theories

Institutional Theory and Entrepreneurship
Entrepreneurs need to build legitimacy in order to succeed in business.

Emancipation Theory and Entrepreneurship
Views the entrepreneur as leading a process of emancipation.

Withdrawal of Status Respect Theory of Entrepreneurship
Takes a long run perspective examining the entrepreneurial tendencies of whole cultural populations.

Social Capital Theory of Entrepreneurship
This theory views the entrepreneur’s social capital as the most important determinant of entrepreneurial entry and success.

Social Network Theory of Entrepreneurship
The structure of social networks and their component parts may influence entrepreneurship.

Social Identity Theory and Entrepreneurship
This theory focuses on the individual’s self-perception as the main driver of entrepreneurial behaviors.

Critical Theory of Entrepreneurship
Critical theory questions the assumptions and approaches to entrepreneurship research currently in use.

Weak Ties Theory of Entrepreneurship
The main idea is that opportunities comes from acquaintances not form close friends.

Embeddedness Theory of Entrepreneurship
The theory looks at the entrepreneurs as part of a web of durable social relations that constraint and enable them.

Social Judgement Theory
The theory looks to the perceptions of others as a constraint for new entrepreneurs and their ventures.

Diffusion of Innovations Theory
This theory puts the emphasis on innovations and how they diffuse according to a regular process.

Informal Entrepreneurship Theory
An emerging literature that recognizes the importance of informal types of entrepreneurship.

Social Exchange Theory of Entrepreneurship
Examines the role of exchange relationships in entrepreneurship.



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