Question

2. Briefly discuss how important us strong vs weak tie social capital to the following two start up company: a new restaurant and e commerce platform.
3. what is the benefit of forming entrepreneurial team when starting a company? is a more diverse team better than a team with similar members for a business venture?

Answer 1

Answer-

Let us first discuss what is social capital?

The importance of social structures and their impact on development have become very important for researchers. Qualitative as well as quantitative studies have presented this relationship and a review of the literature has defined the extent to which these networks and structures are widely referred to as "social capital". Social capital helps individuals maintain a strong relationship with others and facilitates collective action and group work. Social capital is very important because it allows people to come together in groups to develop their environment.

Social capital has long been at the forefront of entrepreneurial research and most small business owners.
The network of relationships has been studied as a major factor in encouraging nascent and sustained entrepreneurship.

An individual with high social capital is often able to have better access to information and people, hence meeting their goals faster. These people can be used as network brokers and organizations can leverage on them to build connections intra and inter-organization to enhance organizational learning and agility hence strengthening the organization, as did building social capital strengthen Commonwealth.

For a new startup "a new restaurant and e-commerce platform" the importance of social capital -

There is a close relationship between social capital and startups as it is important to initially connect with customers for any new work. If the number of customers increases then the business will increase so social capital is important for any startup.

Here are 2 types of startup businesses. One is the important role of social capital for both a restaurant and an e-commerce.

The strength of weak ties and strong ties -

social networks consist of 2 kinds of ties – strong ties and weak ties. I would like to share a theory that is contrary to the intuitive belief that strong ties are more valuable than weak ties. According to Granovetter’s research on the “Strength of weak ties” which you can read up more on here, if you are interested, strong ties add lesser value during information search because we are likely to maintain strong ties with people who are similar to us. On the other hand, weak ties connect us to a world, which we previously are unfamiliar with. Indeed, I have noticed that the few times my mother job-hopped because of information on job postings from friends whom she seldom mentions to us, instead of her close group of friends or family members. I did not give it much thought but chancing upon Granovetter’s study, I agree that weak ties can actually increase one’s mobility by facilitating information flow.

According to research in this area, it is more likely that an entrepreneur will get a new business idea through a weak-tie than a strong-tie relationship because strong-tie relationships, which typically form between like-minded individuals, tend to reinforce insights and ideas the individuals already have.

Q. what is the benefit of forming entrepreneurial team when starting a company? is a more diverse team better than a team with similar members for a business venture?

ANSWER-

benefit of forming entrepreneurial team when starting a company-

Teamwork instantly brings multiple benefits to the workplace. From increased talent and shared work loads to empowering employees to make balanced decisions and self-governance, the advantages of teams in the workforce are many. With all benefits combined, team-based businesses are often rewarded with happy, motivated employees and increased productivity.

Yes, a diverse team is better than a team with similar members for a business venture.

Because reason is here -

Diversity improves a team’s problem-solving abilities
There’s never one way to solve a problem. Each person’s unique problem-solving approach is based on a blend of our different backgrounds, experiences, personality, and the different ways we process information. The more diverse your team is, the more opportunities you’ll have to approach a problem from different angles. Meanwhile, homogenous teams are more likely to approach a problem from a similar viewpoint, limiting their number of potential outcomes.