The influence of entrepreneurial capital on social transformation by social enterprises in Kiambu County, Kenya

Njenga Francis K.; Kitonga Daniel M.; Gatumo Francis M.

doi:10.18535/ijsrm/v9i8.sh06

Abstract

Several studies have found entrepreneurial capital or finance to be significant in growth and performance of enterprises. This development has led the researchers in the present study to investigate the role of entrepreneurial capital in social transformation by social enterprises in Kiambu County, Kenya. This journal examines the influence of entrepreneurial capital on social transformation. The context of the study was Kiambu County, Kenya. Social entrepreneurship theory, market failure theory, empowerment theory, planned behavior theory and cultural dimension’s theory guided the study. The study used a descriptive survey design guided by a mixed methods research approach. The sample size was 322 social enterprises drawn from a target population of 1944 social enterprises distributed all from Kiambu County. Data was collected using survey questionnaires and interview guide instruments. Simple random sampling technique was used to get the proportionate sample for each strata. Data was descriptively and inferentially presented and analyzed. The findings shows R-value of .614, R² value of .377, adjusted R²-value of .375; F-statistics value is 1977.052 greater than critical value of 3.85 and p- value was 0.000. The study concludes that entrepreneurial capital has a statistically significant and positive effect on social transformation by social enterprises.

Keywords

Entrepreneurial capitalsocial transformationsocial enterprises

References

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[refR-1] Balasu, D. S. K. (2017). Management of social enterprises in Ghana: Challenges and strategies. Dissertation, MSc in Business and ManagementGoogle Scholar ↗

[refR-2] Basu, S. (2012). Social capital and social entrepreneurship: Analysing links. Interdisciplinary Journal of Contemporary Research in Business, 4(3), 386-405.Google Scholar ↗

[refR-3] Boden, R. J. & Nucci, A. R. (2000) ‘On the survival prospects of men’s and women’s new business ventures’, Journal of Business Venturing, 15(4), pp. 347–362.Google Scholar ↗

[refR-4] Bouchard, M. J., & Rousselière, D. (2016). Do hybrid organizational forms of the social economy have a greater chance of surviving? An examination of the case of Montreal. VOLUNTAS: International Journal of Voluntary and Nonprofit Organizations, 27(4), 1894-1922.Google Scholar ↗

[refR-5] Creswell, J. W. (2002). Educational research: Planning, conducting, and evaluating quantitative. Upper Saddle River, NJ: Prentice Hall.Google Scholar ↗

[refR-6] Davidsson, P. & Honig, B. (2003) ‘The role of social and human capital among nascent entrepreneurs’. Journal of Business Venturing, 18(3), pp. 301–331.Google Scholar ↗

[refR-7] De Carolis, D. M. & Saparito, P. (2006). ‘Social capital, cognition, and entrepreneurial opportunities: A theoretical framework’. Entrepreneurship: Theory and Practice, 30(1), pp. 41–56.Google Scholar ↗

[refR-8] De Clercq, D., Brieger, S. A., & Welzel, C. (2019). Leveraging the macro-level environment to balance work and life: an analysis of female entrepreneurs’ job satisfaction. Small Business Economics, 1-24.Google Scholar ↗

[refR-9] Firkin, P. (2003). ‘Entrepreneurial Capital’ In: de Bruin, A. & Dupuis, A. (ed.) Entrepreneurship: New Perspectives in a Global Age. Aldershot, United Kingdom: Ashgate, pp. 57-75.Google Scholar ↗

[refR-10] Furmańska-Maruszak, A., & Sudolska, A. (2017). Making Work Sustainable in Business and Social Enterprises. ECONOMIC, 261.Google Scholar ↗

[refR-11] Jenner, P., & Oprescu, F. (2016). The sectorial trust of social enterprise: friend or foe? Journal of Social Entrepreneurship, 7(2), pp. 236-261.Google Scholar ↗

[refR-12] Kachlami, H., Yazdanfar, D., & Öhman, P. (2018). Regional demand and supply factors of social entrepreneurship. International Journal of Entrepreneurial Behavior & Research.Google Scholar ↗

[refR-13] Krejcie, R. V., & Morgan, D. W. (1970). Determining sample size for research activities. Educational and psychological measurement, 30(3), 607-610.Google Scholar ↗

[refR-14] Laužikas, M., & Dailydaitė, S. (2015). Impacts of social capital on transformation from efficiency to innovation-driven business. Journal of Business Economics and Management, 16(1), 37-51.Google Scholar ↗

[refR-15] Mutai, R. (2011). Micro and small enterprise sector and existing support system with emphasis on high-tech oriented entrepreneurship in Kenya. Journal of Language, Technology & Entrepreneurship in Africa, 3(1), pp. 99-108.Google Scholar ↗

[refR-16] Sdrali, D., Goussia-Rizou, M., Giannouli, P., & Makris, K. (2016). What motivates employees to engage in the social economy sector? A case study of Greek cooperative enterprises. International Journal of Social Economics.Google Scholar ↗

[refR-17] Smith, W., & Darko, E. (2014). Social enterprise: constraints and opportunities–evidence from Vietnam and Kenya. ODI. www. odi. org/publications/8303-social-enterprise-constraintsopportunities-evidence-vietnam-kenya.Google Scholar ↗