Rural Poverty Alleviation Strategies and Social Capital Link: The Mediation Role of Women Entrepreneurship and Social Innovation

Abstract

This article presents a novel insight into the extent to which social capital, social innovation, and women entrepreneurial activities contribute to rural poverty alleviation. Applying the structural equation modeling (SEM) technique through SmartPLS software version 3.0, data from a total sample of 333 women entrepreneurs in the Agribusiness sector from the Sekyere South District in Ghana were empirically analyzed. The findings from the study highlight the transformative potential of rural women entrepreneurs who utilize social capital from both formal and informal social networks toward rural poverty alleviation. Thus, study results revealed that women entrepreneurship growth performance is positively and significantly associated with rural poverty alleviation. Furthermore, the impacts of social innovation and relational social capital on poverty alleviation showed positive. We recommend that policymakers and development practitioners should empower more women into entrepreneurial activities in the agribusiness sector in rural areas to promote rural poverty alleviation in developing countries.