Implications of network diversity for venture growth: The mediation effect of entrepreneurial alertness

This paper extends the conventional wisdom of social networks and entrepreneurship by clarifying the relationship between network diversity and venture growth as well as by studying the mediation effect of entrepreneurial alertness on network diversity. It highlights the importance of diverse networks for providing heterogeneous information and resources, which is the antecedent of entrepreneurial alertness. In this paper, Global Entrepreneurship Monitor (GEM) data from 44 countries are used in our analysis, considering the country’s impact. Overall, we concluded that network diversity can significantly predict entrepreneurial alertness, and a venture’s growth. Furthermore, an entrepreneur’s educational level and entrepreneurial experience have positive moderating effects on the relationship between network diversity and entrepreneurial alertness.