Strong relationships matter : how female entrepreneurs grow and leverage social capital in the German consulting sector

Abstract

Social capital is vital for entrepreneurial success, and female entrepreneurs, as a significant emerging group in the start-up ecosystem, face unique challenges due to social role expectations, gender bias, and financial limitations. Despite this, they build and manage sustainable businesses, particularly in Germany’s consulting sector, where traditional gender roles persist. However, there is limited understanding of how female entrepreneurs grow and leverage social capital. This study explores how female entrepreneurs in Germany's consulting industry develop and leverage social capital for business growth. Drawing on the theories of Bourdieu (1983, 1986 & 2000), Skeggs (1997, 2004), and Granovetter (1983), this research employs a case-based approach to examine female entrepreneurs' particular experiences. Semi-structured interviews, analysed through thematic analysis, provided in-depth insights (Braun & Clarke, 2006). The study contributes to understanding how female entrepreneurs navigate social relations, how societal factors influence their practices, and how the consulting sector's dynamics shape their approaches. Findings highlight that female entrepreneurs prioritize strong ties, differing from typical business networks that rely on weak ties. Strong ties also enable barter, a common practice in the consulting industry. Additionally, they face gender-specific challenges while benefitting from female role models.