Unravelling Social Networks in Ethnic Minority Firms

Abstract

Dr Monder Ram is a senior lecturer in the mangment department, univerisity of Central England, Birmingham, England, and autohor of manging to Survive; working Lives in small firms (Blackwell). The concept of 'social networks' has underpineed much of the debate on the trajectory of ethnic minority enterprise. In the form of teh family and the community, such network are often presented as critical to the start-up, development and 'competitive advantage' of ethnic business. Drawing on interview with 50 Asian employers in the typical inner city areas of wolverhampton, England, this paper argues that the significance of socialnetworks needs to be assessed gainst the wider context of racism in which ethinc business. Drawing on interviews with 50 Asian employers in the typical innner city areas of Wolverhampton, England, this paper argues that the significance of social networks needs to be assessed against the wider context of racism in which ethnic minority firms often operate. furthmore, social networks are notan uncomplicated resourcws;they have the potential to act as a constraaint on mangment. family and commuicty networks were iportant in explaining the start up and markt position of ethnic minority business; but it was the opeation of racial constraint that propmted many to turn to self employment and often confined them to 'closted' market location. the importance of the the family to the management of the worplace was considerable but the primacy attached to this network actually hindered the possibility of more econoically ' rational' forms of organisation. moreover, the social network masked the differetials nature ofgenderrelation in such settings; women's contribution to the business was rarely acknowledged.