Social Psychological Capital as a Factor of Success in a New Business

Abstract

The study looked into the association between social psychological capital of individuals and their activity associated with organization of a private business. The study is based in the theory of social psychological capital and the theory of planned behavior by I. Isen. The hypothesis was that higher social psychological capital of individuals is associated with more efforts invested into development of a private business. However, this associated can be mediated by attitudes, perceived behavioral control, perceived norms, and intentions to create a private business. The sample included 269 respondents who intended to open their private business. Questionnaires were used measuring social psychological capital (social support from family and friends, number of friends, frequency of contacts with relatives, participation in community activities), attitudes, perceived behavioral control, subjective norms, intention to create a new business, and steps actually taken towards its implementation. Structural equation modeling was used to test the hypotheses. The resulting model showed that the assistance of friends and participation in community activities are associated with more positive attitudes towards private business and increased perceived behavioral control, whereas higher number of friends is associated with lower perceived behavioral control. Attitudes and perceived control predict the intention to open a private business, which, in turn, predicts specific actions towards its implementation. However, there was also a direct effect of social psychological capital on entrepreneurial activity.