Effect of Entrepreneur Network and Entrepreneur Self-efficacy on Subjective Performance: A Study of Handicraft and Handloom Cluster

Abstract

The article presents results of a study on the impact of entrepreneurial demographic characteristics (age, experience and education), entrepreneurial network structure (size, density and centrality), entrepreneurial network types (competitive and supportive) and entrepreneurial self-efficacy on subjective performance. The sample consisted of 148 micro and small enterprises in a textile handicraft and handloom cluster in Kutch, Gujarat, India. Regression analysis results suggested that size, density, centrality, entrepreneur self-efficacy, competitive network and supportive network predicted subjective performance significantly and together they accounted for about 56 per cent of the variance in the dependent variable. However, the unique contribution of the demographic variables and supportive network was not significant. Results are explained in the light of the theory of social capital and the entrepreneur cognitive theory. The research has implications for policymaking, research and entrepreneurship training and education.