Effects of Human, Relational, and Psychological Capitals on New Venture Performance

Abstract

Entrepreneurship research has been focusing on intangible capitals of an entrepreneur or entrepreneurial teams. Intellectual capital has been a useful framework for researching entrepreneurship, though the inclusion of intangible capital has not been comprehensive enough. We followed and extended this stream to add psychological capital into the discussion of the relationship between intellectual capital and new venture performance. We argue that psychological capital, human capital, and relational capital are representative capitals of entrepreneurs at intra-personal, personal, and interpersonal levels, respectively, none of them can be neglected for new venture success. Based on the analyses of documentary materials of famous entrepreneurs’ interviews from trustable websites/media, this conceptual analyses with case examples found different constructs to serve as important entrepreneurial intellectual capital, which consists of human (i.e., age and education, graduate work experiences, non-graduate work experiences, role models), relational (i.e., trustworthiness and co-founder relations) capitals, and psychological capital (optimism, self-efficacy, hope, and strength). This study contributes by formalizing psychological capital as a theoretical element of intellectual capital and its effectiveness with other forms of intellectual capital on entrepreneurial performance and growth.

Psychological Capital and University Students’ Entrepreneurial Intention in China: Mediation Effect of Entrepreneurial Capitals

“…In other words, the entrepreneurs are high in PC. Hmieleski found that entrepreneurs' PC could explain significantly variance in new venture performance, above and beyond measures of FC, HC, and SC (Hmieleski and Carr, 2008).…”

“…For most entrepreneurs, PC is the important factor determining the entrepreneurship. Most entrepreneurs regularly confront the shortages of financial, human, and SC, and they have only themselves and their psychological state to rely on to get the job done (Hmieleski and Carr, 2008). The PC, especially hope and self-efficacy can promote entrepreneurial passion, which is a driver and source of energy to work hard and persist in the process (Baum and Locke, 2004).…”

Enhancing Internal Learning in Teams: The Role of Network Centrality and Psychological Capital of Undergraduate Students

“…For Luthans and Youssef-Morgan (2017), these aforementioned psychological capacities were the first to be incorporated into PsyCap because of certain criteria, such as adequacy to theory, measurement, development, and impact on performance. These four psychological capabilities together enable an individual to overcome obstacles and remain motivated to achieve goals and success (Harms et al, 2018;Wang et al, 2019).…”

Social and Psychological Capital for the Start-Up of Social Enterprises With a Migratory Background

“…At the same time, reliable social networks have the function to enhance those emotional competences related to psychological capital (Fredrickson and Levenson, 1998). Recently, Wang et al (2019) found out a bidirectional relation among psychological capital and what they address as relational capital. In a qualitative research they carried out about the "effect of human, relational, psychological capital on new venture performance, " the authors found out not only that some components of psychological capital fostered the establishment of resourceful networks but also that some horizontal and vertical relationships nurtured entrepreneurs' psychological capital.…”