Foreign Entrepreneurs’ Social Networks and Business Performance: Contingent Effects of Political

Abstract

This study explored how social networks of foreign entrepreneurs influence their business venture performance and how government policy uncertainty and political networking moderate this relationship. Using survey data from foreign business ventures in China, we find that foreign entrepreneurs’ network structural holes significantly contribute to their business venture performance. However, government policy uncertainty moderates the relationship between network structural holes and business venture performance. In three way interaction, the findings suggest that the positive relationship between network structural holes and business venture performance is reinforced by political networking, especially when government policy uncertainty is low. This study contributes to the international entrepreneurship and social network literature and provides a profound understanding of the mechanism that facilitates foreign business venture performance.