The quintessence of entrepreneurship is the recognition and pursuit of opportunities in the business environment. The entrepreneurial process starts with opportunity recognition. Several scholars have endeavored to explain opportunity recognition using various assumptions and a range of disciplines, ranging from cognitive process to environment view. Since entrepreneurship involves human agency and the entrepreneurial process occurs because people act to pursue opportunities (Shane, Locke, & Collins, 2003) our focus is on individual-internal factors (cognition). However, as social cognitive theory explains behavior, with cognitive and environmental events influencing each other (Wood & Bandura, 1989), entrepreneurial behavior is a result of the interplay of environment and the cognitive basis of entrepreneurs (De Carolis & Saparito, 2006). Therefore we address social context besides internal factors.

This paper seeks to explore how women entrepreneurs’ networking and self-efficacy affect their opportunity-recognition behavior. We focus exclusively on women entrepreneurs rather than comparing men and women entrepreneurs.