Silicon Valley’s Indian diaspora: networking and entrepreneurial success
South Asian Journal of Global Business Research
ISSN: 2045-4457
Article publication date: 3 August 2015
Abstract
Purpose
The purpose of this paper is to examine the factors that influence the success of entrepreneurial ventures started by members of the Indian diaspora in Silicon Valley.
Design/methodology/approach
It is based on survey data collected from Indian-born high-tech entrepreneurs living in Silicon Valley, and uses Bayesian estimation to test hypotheses aimed at understanding entrepreneurial growth. Specifically, the paper examines the linkages between prior startup experience, participation in diasporic networks, and new venture growth.
Findings
It finds that entrepreneurs with prior startup experience displayed more active participation in diasporic networks, and were more likely to have co-founders. Active network participation over a length of time was positively related to new venture growth. The findings contribute toward the understanding of the value of startup experience in leveraging social networks, and the relationship between diasporic network participation and entrepreneurship.
Research limitations/implications
As a cross-sectional study with a single data source, it is subject to concerns about causality and common method variance.
Practical implications
The results highlight the value of serial entrepreneurship and the potential benefits to immigrant entrepreneurs of participating in diasporic social networks, especially those with a global reach. They also suggest that investors would be better off investing in entrepreneurs who have greater startup experience and participate actively in diasporic networks.
Originality/value
The paper is based on a very unique sample of Indian-born immigrant high-tech entrepreneurs based in the Silicon Valley. It provides a deeper understanding of the role of diasporic social networks, and their relationship with prior startup experience and entrepreneurial success within that context.
Keywords
Citation
Basu, A. and Virick, M. (2015), "Silicon Valley’s Indian diaspora: networking and entrepreneurial success", South Asian Journal of Global Business Research, Vol. 4 No. 2, pp. 190-208. https://doi.org/10.1108/SAJGBR-04-2014-0021
Publisher
:Emerald Group Publishing Limited
Copyright © 2015, Emerald Group Publishing Limited