Other Unpublished Work
Positions of Power and Status: Reciprocity in the Venture Capital Industry
This paper proposes a straightforward way of differentiating between central network positions that confer power from those that confer status. I argue that actors achieve high status by receiving numerous exchanges from actors who receive numerous exchanges from others. In contrast, power is obtained by engaging in exchanges with numerous alternative exchange partners, whose exchange opportunities are limited. These distinctions yield powerful insights into dynamics and consequences of power and status. Specifically, I show that possession of status brings higher benefits than possession of power. However, status puts greater constraints on mobility than power does, as it is harder for a high status actor than for a high power actor to acquire the high power, high status position.
Keywords: Venture Capital;
Power and Influence;
Status and Position;