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Social capital and SME’s performance in the Accra Metropolis, Ghana

  • This study sought to examine the relationship between the components of SMEs social capital and firm performance. Using the social capital theory and the resource-based view as the theoretical foundations and census, 1,532 SMEs were selected in the Accra Metropolis for the study. Empirical results from 717 SMEs, utilising the hierarchical linear regression model, revealed that owner/manger’s network relationships are beneficial to the firm depending on when the relationships are closed or opened. Moreover, the study found that social capital has a significant impact on the sales and market performance of small and medium-sized enterprises. The results also brought to the fore the fact that most social networks of SME entrepreneurs are family, friends and relatives, which most times can only be used for expressive purposes and not for instrumental gain. The practical implications of the results are also discussed.

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Document Type:Conference Object
Author:Regina Appiah-Gyimah, Rosemond Boohene
Parent Title (English):Bode, Freitag (Eds.): Universities, Entrepreneurship and Enterprise Development in Africa - Conference Proceedings 2018. Sankt Augustin, Germany, 13-14 September 2018
First Page:186
Last Page:201
Publishing Institution:Hochschule Bonn-Rhein-Sieg
Date of first publication:2019/03/27
Dewey Decimal Classification (DDC):6 Technik, Medizin, angewandte Wissenschaften / 65 Management, Öffentlichkeitsarbeit / 650 Management und unterstützende Tätigkeiten
Conference volumes:Universities, Entrepreneurship and Enterprise Development in Africa / Universities, Entrepreneurship and Enterprise Development in Africa, Sankt Augustin, Germany, 13-14 September 2018
Entry in this database:2019/03/27
Licence (Multiple languages):License LogoIn Copyright (Urheberrechtsschutz)