Reflections on the omission of social capital from enterprise education and business start training

Abstract

Purpose – The purpose of this paper is to examine the case for the inclusion, in enterprise education, of training and/or guidance in the acquisition and use of social capital. Design/methodology/approach – The paper considers the reasons, not just why social capital should be included as a factor at least as important as financial capital, but also the possible reasons why so far it has largely been omitted – and then explores the implications behind that omission. Findings – The core assertion of the paper is that, despite its clear relevance, social capital is rarely included in enterprise education because the basis for much enterprise education is a traditional business plan menu which is in turn based on big business thinking. Practical implications – The implications of this are not just that social capital should be given a key place in enterprise education but that, before this can happen, the different nature of small business needs to be accepted and the basis of small business training adjusted accordingly. Originality/value – To date a lot of enterprise education and training has been based on the assumption that the traditional components of a business plan form a suitable agenda for enterprise education – either because it is directly based on a business plan or drawn from the same sort of thinking. The paper questions the validity of that assumption which excludes important factors such as social capital.