A Study of Social Capital's effect on entrepreneurship

Entrepreneurship is a process which is taken place in a changeable network of social relations and these relations can limit or facilitate the relationship of entrepreneurship with resources and opportunities. Studies and empirical witnesses have shown that in today’s Iranian society, putting aside political, economic, and legal and management factors, for many different reasons entrepreneurs are not successful and this possibly is rooted in different social-cultural reasons among which ignorance of social relations and connections can be named. For this reason present research considers surveying the social capital effect on entrepreneurship as one of the different forms of capitals in world bank categorization as a factor of social growth and development specially in developing societies. Surveying the degree of social capitals effect and its different aspects over entrepreneurship, surveying the weak and strong points of under study society from social capital and entrepreneurship point of view and providing suggestions for increasing the social capital effect over entrepreneurship are among the most important purposes of this study. The Hypotheses were tested through Freedman and Regression tests.The research has shown a positive and meaningful relation between social capital with its aspects and entrepreneurship. Moreover in this study is shown that the social capitals quality aspect in the under study society is more important and its correlation index is higher. In entrepreneurship its risk indicator has the highest priority, too. In addition the research results show that the relationship structure indicator has the highest effect over the entrepreneurship and connection indicator has the lowest effect and creativity and independence indicators (from ntrepreneurship) are affected by none of the social capitals indicators.

A Study of Social Capital's effect on entrepreneurship Keywords:

Social capital , entrepreneurship , social capital quality and structural aspect