Resource mobilization among informal entrepreneurs : A case of event planning industry of Pakistan

Abstract: This dissertation studies resource mobilization among informal entrepreneurs. It combines the resource mobilization perspective with insights from social capital and human capital theory to understand the resource mobilization activities of informal entrepreneurs, focusing on the founding period and the early years of existence of informal ventures. Empirically the study is based on 15 cases from event planning industry of Pakistan. It primarily uses semi-structured interviews along with observations and secondary documents. The within and cross-case coding are aggregated into a conceptual model that paves the way to understanding inter-organizational gains through informal entrepreneurial networks. These informal entrepreneurial networks are largely based on competitor’s networks that support the exchange of resources, such as the exchange of knowledge, raw material, ideas, opportunities, etc. The new insights contributed from the findings are that resource mobilization is not competitive but rather collaborative among informal entrepreneurs. This collaborative resource mobilization is mainly based on activities like competitor’s collaboration, collaborative knowledge sharing through informal venturing, for the advancement of business goals at founding and in later stages. Collaborative resource mobilization is an alternative to competitive resource mobilization, whereby the flow of resources in the networks remains competitive when it comes to business rivalry. The study contributes to the role of social and human capital in resource mobilizing activities that improve the synergistic effects contributing to the readiness of informal entrepreneurs. Trust and reciprocal exchange of resources among competitors act as a major strengthening factor in promoting collaborative resource mobilization among informal entrepreneurs. It also contributes to the informal entrepreneurship literature and suggests that informal entrepreneurship should not be considered as marginalized activities, but rather a platform where the considerable potential of creative entrepreneurial activity is present.