Topic 5 The costs of networking

The other aspect, which is often overlooked, is the costs of networking. The proactive aspect of networking implies that the network is not formed by external factors alone. It requires guidance and direction of entrepreneur. To build up and to operate effectively in networks requires time and effort. Active selection of potential network members and alertness of their usefulness is always present. Thus, the network is always in dynamic but controlled state of flux.

As a proactive effort, it requires resources that can be divided into direct and indirect costs. Direct costs include actual supply of information or services and indirect ones come in the form of time and effort of developing the network. Seeing networking from the cost orientated perspective as a perpetual economic and social decision making allows to avoid disinvestments. As well as keeping the price you have to pay for establishing a new nod or keeping the old one helps to evaluate the risk better and take the right decision.