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Probing Chinese Perception on the Importance of Social Capital in Entrepreneurial Success

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  • Liu Yue
  • John Paolo R. Rivera

Abstract

The link between entrepreneurship and economic growth has been established in the literature. The potency of an entrepreneurship ecosystem, driven by the role of financial capital, is now a determinant of an economy’s success. The People’s Republic of China has been successful on this expanse. However, in this conceptual study, we explicate the role social capital play in entrepreneurial venture growth. By conducting a survey on Chinese entrepreneurs, cross tabulating their categorical responses and conducting contingency table analysis, we get to illustrate how they see social capital as a facilitating factor of their entrepreneurial success. Results revealed that Chinese entrepreneurs believe that together with financial capital and government assistance, having more social capital is critical in developing start-ups, attracting more investments and acquiring a bigger market share. However, a premium is placed on technical skills and enterprise planning than personal charisma. Results were validated and augmented earlier results on Chinese perceptions on what makes entrepreneurial ventures successful.

Suggested Citation

  • Liu Yue & John Paolo R. Rivera, 2022. "Probing Chinese Perception on the Importance of Social Capital in Entrepreneurial Success," Vision, , vol. 26(4), pages 504-521, December.
    • Handle: RePEc:sae:vision:v:26:y:2022:i:4:p:504-521
    DOI: 10.1177/09722629211002573
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