The Effect of Social Capital on the Performance of Women Entrepreneurs

Bala Ado Kofar Mata ,Fatima Ibrahim

doi:10.7176/ejbm/12-2-10

Abstract

This study investigates the effect of social capital on the performance of women entrepreneurs. Data was collected through a structured questionnaire which was administered on women entrepreneurs. Data was analyzed using Pearson moment correlation and linear regression analyses. Findings revealed a strong and positive relationship between social capital and the performance of women entrepreneurs. Put in another way, every unit or 100% increase in social capital will lead to an increase of .315 or 31.5% increase in business performance. This implies that enterprise performance is not restricted to availability of human and financial capital, but the valuable information on markets, suppliers, and methods of operation availed by social capital creates an avenue for improved performance. It was recommended that financial institutions should create avenues through which women would interact and learn diverse business practices. Keywords: Social Capital, Women Entrepreneurs, Performance, Financial Institutions. DOI : 10.7176/EJBM/12-2-10 Publication date: January 31 st 2020

Highlights

The performance of women entrepreneurs is essential to nations owing to the fact that women enterprises contribute positively to economic development of any country (Ekpe, Mat, & Ekpe 2015)
Summary of Findings and Conclusion The study investigates the impact of social capital on performance
Social capital has a beta coefficient of 0.315 indicating that with every unit increase in social capital, a corresponding increase of 31.5% in performance will ensue

Summary

Introduction

The performance of women entrepreneurs is essential to nations owing to the fact that women enterprises contribute positively to economic development of any country (Ekpe, Mat, & Ekpe 2015). This can be seen in advances in employment generation, and community development (Kim & Sherraden, 2014). In Malaysia, women entrepreneurs contributed 89.5% to services sector, 7.5% to manufacturing and 3% to agriculture in 2005, with a total of 82,911 business establishments owned by women (SMEs Census: Department of Statistics, 2005). In addition to generating employment, positive outcomes can be seen in community development. Researches (International Labour Organization (ILO) 2009; Lokhande 2003) have shown that whatever profits women get from entrepreneurial engagements, they invest it in their communities through investment in the health, education, and nutrition of their children

Objectives

Methods

Findings

Discussion

Conclusion