The Human Capital and Entrepreneurship Nexus (original) (raw)

The Impact of Human Capital on Entrepreneurship and Entrepreneurial Outcomes

2019

In the extant literature, innovativeness, opportunity identification, and performance of the firm are considered to be independently affected by the human capital (i.e., knowledge, skills, and experience) and entrepreneurship. The view that entrepreneurship involves both opportunity and people has led to the call from scholars to look at entrepreneurship in conjunction with human capital to better explain the firm's growth. Acknowledging this need, the three studies in this thesis explore the relationship between human capital and its impact on entrepreneurship and entrepreneurial outcomes. Chapter 2 of the thesis examines the underlying similarities and complementarities of human capital and entrepreneurship by studying the relationship between learning orientation and entrepreneurial orientation. Using a meta-analysis methodology, this study finds a fairly high correlation of 0.44 between learning and entrepreneurial orientations. The findings indicate that these two orientati...

Entrepreneurial Skills and Human Capital

Risk in Contemporary Economy

Researchers studying entrepreneurship have understood the importance of different forms of capital in creating and growing business and the effect that these businesses have on overall prosperity. The focus for entrepreneurship researchers has been on the "hard" assets of financial and physical capital. Many of the studies have begun to increasingly emphasize the knowledge and value of the skills that people bring to their work, as well as the effect that these inputs have on the economic development. In addition, increases in human capital measures have a positive influence on entrepreneurship.

Human Capital and its Influence on Entrepreneurial Success

2002

The focus of the paper is on human capital as the key factor for the success and growth of a newly founded company. The findings suggest that investments in human capital have significant influence on the growth of start-ups. The results should lead universities, politicians as well as individuals to a better education for potential founders to generate more successful start-ups. The results are based on survey data for nearly 1.000 German start-ups. The paper analyzes whether higher human capital of the founder leads to higher growth-rates among start-ups. Results show that companies started by a founder who invested heavily in his human capital generate higher growth rates in sales, jobs and income differences than start-ups founded by a less educated individual.

Human Capital for Entrepreneurs

Applied Science and Technology, 2017

Globalisation has shown the critical involvement of each individual with his/her compentencies. Every individual tries to maximize his/her skills in order to win in the competition of globalisation. In this sense, the discussion of human capital is needed. Human capital is embedded in the individual as the investation to be success in today’s world. It is the knowledge and skills that belongs to a person. Unfortunately, the discussion of human capital is obstructed by the generalization of the meaning of human capital in all field of work. It tends to assume that human capital is similar from one field to the other. It is merely about education and training. It is lack to identified that each field has its own uniqueness in which can create the need for specific human capital. In fact, the specific human capital may become the critical point of success in certain field. Therefore, this study will discuss about the human capital for entrepreneurial field. From the literature review, ...

Towards a qualitative understanding of human capital in entrepreneurship research

International Journal of Entrepreneurial Behavior & Research, 2017

Purpose The purpose of this paper is to revisit the conceptualization and measurement of human capital in entrepreneurship research. Design/methodology/approach By contrasting reflective and formative conceptions, it shows that human capital is more appropriately seen as defined and formed by its indicators (education, work experience, entrepreneurial experience, industry experience, and managerial experience). It, then, explores the configurations of these indicators in a qualitative comparative analysis framework based on Boolean algebra and fuzzy-set methodology. It derives an empirical typology of the human capital of nascent entrepreneurs, based on two primary combinations of indicators. Findings The paper shows that the relationship between human capital and venture emergence is best represented as multiple, conjectural causation, i.e. human capital matters through certain combinations of its indicators. Originality/value The discussion and results offer novel and valuable ins...

Human capital and entrepreneurial success: A meta-analytical review

Journal of Business Venturing, 2011

The study meta-analytically integrates results from three decades of human capital research in entrepreneurship. Based on 70 independent samples (N = 24,733), we found a significant but small relationship between human capital and success (rc = .098). We examined theoretically derived moderators of this relationship referring to conceptualizations of human capital, to context, and to measurement of success. The relationship was higher for outcomes of human capital investments (knowledge/skills) than for human capital investments (education/experience), for human capital with high task-relatedness compared to low task-relatedness, for young businesses compared to old businesses, and for the dependent variables size compared to growth or profitability. Findings are relevant for practitioners (lenders, policy makers, educators) and for future research. Our findings show that future research should pursue moderator approaches to study the effects of human capital on success. Further, human capital is most important if it is task-related and if it consists of outcomes of human capital investments rather than human capital investments; this suggests that research should overcome a static view of human capital and should rather investigate the processes of learning, knowledge acquisition, and the transfer of knowledge to entrepreneurial tasks.

Human capital investments as sources of skills: An analysis at different entrepreneurship phases

The Southern African Journal of Entrepreneurship and Small Business Management, 2017

Background: Entrepreneurs need entrepreneurial skills to run their businesses. Skills can come from various sources, and the usage of the sources of skills can vary according to the different entrepreneurship phases.Aim: Adopting a human capital theory perspective, this study determined the specific human capital investments as sources of skills needed by entrepreneurs across the different entrepreneurship phases. The sources of skills included work experience, formal education, entrepreneurship education and entrepreneurship experience.Setting: Entrepreneurs at the different entrepreneurship phases which are nascent (entrepreneurs with ventures less than 3 months in existence), new business (entrepreneurs with ventures with more than 3 months but less than 3.5 years in existence) and established business (entrepreneurs with ventures more than 3.5 years in existence).Method: The study employed a survey research design. An online questionnaire was used to collect the data.Results: Th...

A Study on Human Capital as a New Factor of Production in Reshaping the Entrepreneurial Education

11th International Conference on Information Science and Information Literacy

According to nowadays Digital Era, companies need to focus more and more on their intangible assets and the new factors of production in order to increase creativity and initiative. Thus, the article will focus on the scientific debate on human capital and entrepreneurship from the perspective of the knowledge-based economy theories. Furthermore, there will be explored the entrepreneurial behaviour and competences as part of the human capital, perceived as important intangible asset. The study will present an inventory of ideas on how the competencies (as part of human capital-HC) could support the entrepreneurs' success. Based on a structured interview with trainers/teachers a weak perception about the "capital" concept will be shown, HC and its relationship with entrepreneurship. Then, there will be presented a bibliometric research on human capital entrepreneurship to discover the gaps and defining the state of the research.

Human Capitalization Towards Entrepreneurship Effectiveness

Quantum Journal of Social Sciences and Humanities, 2020

With increased emphasis being placed on entrepreneurial thinking and acting in today's businesses, human capitalization growing over the last two decades. The present study provides a systematic review of the literature on the theoretical foundations, measurement, antecedents, and outcomes of EA, ESE and social support. Based on the review, an agenda for future research is developed and implications for entrepreneurship education and training highlighted. In doing so, the need to consider alternative theoretical perspectives to improve understanding of how human capitalization growing influences outcomes at different levels of analysis is highlighted. In addition, the review identifies a need to examine the success factors which drive short-term fluctuations and long-term changes in small business.

Human and social capital as drivers of entrepreneurship

Small Business International Review

The objective of this study is to determine whether human and social capital are drivers of entrepreneurship. The methodology involves the estimation of descriptive and inferential statistical techniques such as logistic regressions and correlations of variables. It is focused on information from the Global Entrepreneurship Monitor database for 2012 from Germany and Costa Rica. The results demonstrate that human and social capital, factors related to knowledge, have a positive statistical relationship with the propensity to become an entrepreneur. Little difference exists among knowledge-related factors across countries. They are mainly related to the cultural contexts, which affect the propensity to become an entrepreneur