Heterogeneous social capital influencing entrepreneurial intention among female business students in the Maldives

Abstract

Purpose This study aims to acknowledge the social capital challenges faced by female entrepreneurs in Small Island Developing States (SIDS), specifically the Maldives. As budding female entrepreneurs in a predominantly traditional culture are somewhat limited in their quest for economic empowerment, this study aims to clarify the role of social capital dimensions – structural, relational and cognitive – in shaping entrepreneurial intentions among women in the Maldives. Design/methodology/approach Data were gathered from 325 female business students from ten tertiary educational institutions in the Maldives. After establishing its validity and reliability, the data were analysed using partial least squares structural equation modelling, including hypothesis testing. Findings Structural social capital (SSC) has a significant positive influence on attitude (ATE), subjective norms (SNs), perceived behavioural control (PBC) and entrepreneurial intention (EI). Relational social capital (RSC) has a significant positive influence on ATE and SNs and a significant negative influence on PBC and EI; cognitive social capital (CSC) has a significant positive influence on ATE, SNs and PBC, but does not significantly influence EI. Additionally, ATE, SNs and PBC are significantly associated with EI. The results also show that the indirect and direct effects through the mediation of ATE, SNs and PBC are significant in the relationship between SSC, RSC and EI. Furthermore, this study reveals an indirect effect on the relationship between CSC and EI. Research limitations/implications The findings outline the intricate mechanism by which social capital influences EI. These findings provide useful insights for establishing policies and organising relevant programmes to promote female entrepreneurship in SIDS. Originality/value To the best of the authors’ knowledge, this study is one of the first to examine the role of social capital in a unique setting, such as SIDS. Moreover, this study integrates the heterogeneous role of social capital into the female EI model. This highlights the urgency of developing relevant social capital among women to promote EI.