Mitigating Moral Hazard in Entrepreneurial Networks: Examining Structural and Relational Social Capital in East Africa

Entrepreneurial networks and family firm researchers are testing the limits of current understanding by investigating relationships in a variety of non-Western contexts. We extend Khayesi, George, and Antonakis's model of resource accumulation to include the relational dimension of an entrepreneur's social capital network to elaborate more fully entrepreneurial kinship network types. The propensity for moral hazard associated with each network type is explicated, and mechanisms for mitigating the cost/benefit of such dysfunctions are addressed.