The influence of psychological capital on the growth intentions of entrepreneurs

A study on Malaysian SME entrepreneurs

Mohd. Hizam Hanafiah, Sheikh Usman Yousaf, Bushra Usman

Research output: Contribution to journalArticle

1 Citation (Scopus)

Abstract

Growth of entrepreneurial ventures plays important role in a country’s economic development and entrepreneurs’ growth intention is considered as an important predictor of their venture growth. On the other hand, Psychological capital (PsyCap) is one such resource which can influence attitudes and behaviours like growth intentions of entrepreneurs. This study is aimed to investigate the relationship between psychological capital and growth intentions of entrepreneurs specifically in Malaysian context. The data was collected from 275 Malaysian SME entrepreneurs and Regression analysis reveals that PsyCap, as a core construct, positively and significantly influences the growth intentions of entrepreneurs. Further, it is also identified that two out of four dimensions of PsyCap (hope and self-efficacy) have significant and positive influence on entrepreneurs’ growth intentions. It is also revealed that PsyCap, as a core construct, more powerfully predicts the growth intentions as compared to its first order constructs separately. This finding highlights the significance of PsyCap as a core construct in entrepreneurial researches. It contributes knowledge to psychological capital and entrepreneurship literature and also has implications for existing and prospective entrepreneurs as well as government and private bodies.

Original languageEnglish
Pages (from-to)556-569
Number of pages14
JournalBusiness and Economic Horizons
Volume13
Issue number5
DOIs
Publication statusPublished - 1 Jan 2017

Fingerprint

Entrepreneurs
Psychological capital
Small and medium-sized enterprises
Venture
Regression analysis
Self-efficacy
Predictors
Resources
Entrepreneurial ventures
Entrepreneurship
Economic development
Government

Keywords

  • Entrepreneurship
  • Growth intention
  • Hope
  • Optimism
  • Psychological capital
  • Resilience
  • Selfefficacy

ASJC Scopus subject areas

  • Business and International Management
  • Economics, Econometrics and Finance(all)

Cite this

The influence of psychological capital on the growth intentions of entrepreneurs : A study on Malaysian SME entrepreneurs. / Hanafiah, Mohd. Hizam; Yousaf, Sheikh Usman; Usman, Bushra.

In: Business and Economic Horizons, Vol. 13, No. 5, 01.01.2017, p. 556-569.

Research output: Contribution to journalArticle

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