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The effect of business ties and government ties on new IT venture growth: an empirical examination in China
Authors:Xueling Li  Jia Shen  Wenjie Ma  Weiyong Zhang
Affiliation:1.School of Management,Jilin University,Changchun City,China;2.School of Management,Fudan University,Shanghai,China;3.Department of Information Technology and Decision Sciences, Strome College of Business,Old Dominion University,Norfolk,USA
Abstract:The advancement of information technology in the past three decades is tremendous, and much of the advancement can be attributed to numerous new IT ventures that invent and commercialize a variety of information technologies. But new IT venture growth has not been sufficiently addressed by IS/IT researchers. In this research, we synthesized the literature on entrepreneurship, strategy, and management to develop a model linking business ties and government ties to new IT venture growth, while considering the effect of two contextual factors, firm size and legitimacy. We then collected empirical data from new IT ventures in China (N = 457). Regression analyses showed that both business ties and government ties positively affect new IT venture growth, and their effect is moderated by firm size and legitimacy. These insights contribute to both the literature and practices.
Keywords:
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