A Study of the Impact of Social Capital on Entrepreneurial Capacity Building Among Management Students in Higher Education

Abstract

This study explores the influence of social capital on entrepreneurial capacity building among postgraduate management students, with a particular focus on the mediating role of linking social capital. As entrepreneurship continues to be a critical driver of economic growth and innovation, understanding the underlying social dynamics that shape entrepreneurial abilities is essential. Social capital, encompassing dimensions such as participation, trust, social networks, and social support, plays a pivotal role in enhancing individuals’ access to resources, information, and opportunities. This study was conducted among 120 postgraduate management students from selected institutions, using a structured questionnaire and a stratified random sampling technique. The research utilized descriptive statistics, Pearson correlation, and regression analysis to evaluate the relationships between different components of social capital and entrepreneurial capacity. The findings reveal a significant and positive relationship between social capital and entrepreneurial capacity building. More importantly, the study identifies linking social capital, defined as connections with institutions and individuals in positions of power, as a significant mediating factor that enhances the impact of general social capital on entrepreneurial outcomes. The results suggest that when students engage with diverse networks and institutional actors, their entrepreneurial abilities are further amplified. These findings highlight the need for academic institutions and policymakers to foster environments that promote strong social networks, trust-based relationships, and institutional linkages to encourage entrepreneurial mind-set development. The study contributes to the growing body of literature on social capital and entrepreneurship by offering empirical evidence of the mediating role of linking capital in the Indian higher education context. It underscores the importance of a multi-dimensional approach to social capital for developing entrepreneurial competencies and provides insights for curriculum design, policy formation, and institutional strategies aimed at nurturing future entrepreneurs. The study also opens avenues for further research on social capital dynamics across different demographic and cultural contexts.