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Sub-cultures and entrepreneurship: The value of social capital in Tanzanian business

The national cultures of African countries are fragmentedand it is of interest to know more about the influence of sub-cultural qualities on small-scale business development in various African contexts. We argue that the impact of sub-cultural characteristics on the acquisition of entrepreneurial resources at a specific location is influenced by the development of social capital. The paper is empirically based on case studies of entrepreneurs in the wood business in the coastal town of Tanga, Tanzania. The article concludes that sub-cultural qualities like group cohesion, mobility and level of education have significant effect on social capital formation, andthereby also on access to entrepreneurial resources. Entrepreneurs belonging to African and Asian sub-cultures have different preconditions for developing social networks, trust andsocial skills, which influence resources like motivation, information and access to capital and markets.
Publisert i Journal of Entrepreneurship, 2004
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