This paper argues that an accurate cognition of informal networks can itself be a base of power, above and beyond power attributable to informal and formal structural positions. To explore this claim, a small entrepreneurial firm was studied. Perceptions of the friendship and advice networks were compared to "actual" networte. Those who had more accurate cognitions of the advice network were rated as more powerful by others in the organization, although accuracy of the friendship network was not related to reputational power.*
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