Social Capital and Organizational Innovation: The Mediating Effect of Entrepreneurial Orientation

Journal of Community Positive Practices, XIII(2) 2013, 22-40

19 Pages Posted: 2 Sep 2014

See all articles by Jahangir Farsi

Jahangir Farsi

University of Tehran - Faculty of Entrepreneurship

Arash Rezazadeh

University of Tehran - Faculty of Entrepreneurship

Amer Najmabadi

University of Tehran, Faculty of Entrepreneurship

Date Written: May 23, 2013

Abstract

The present study aims to investigate the impact of social capital on organizational innovation by studying the mediating factor of entrepreneurial orientation in auto parts manufacturers. The statistical population of the study includes the executive managers of Iranian auto parts companies. The collected data was analyzed using the partial least squares structural equation modeling (PLS-SEM) method. The Smart PLS 2.0 software was applied for analyzing data and path modeling with latent variables. Our findings showed that social capital has a positive, significant impact on organizational innovation and entrepreneurial orientation among the staff. Entrepreneurial orientation of the staff in turn affects organizational innovation, which confirms the mediating effect of entrepreneurial orientation on the relationship between social capital and organizational innovation. The findings of the study can help managers of auto parts companies to improve innovative activities and motivate the staff toward entrepreneurial activities.

Keywords: social capital, organizational innovation, entrepreneurial orientation

JEL Classification: M13, M14, M19, L21, O31

Suggested Citation

Farsi, Jahangir and Rezazadeh, Arash and Najmabadi, Amer, Social Capital and Organizational Innovation: The Mediating Effect of Entrepreneurial Orientation (May 23, 2013). Journal of Community Positive Practices, XIII(2) 2013, 22-40, Available at SSRN: https://ssrn.com/abstract=2490385 or http://dx.doi.org/10.2139/ssrn.2490385

Jahangir Farsi

University of Tehran - Faculty of Entrepreneurship ( email )

Farshi Moghadam (16 St.), North Kargar Ave., Tehr
Tehran, Tehran
Iran

Arash Rezazadeh (Contact Author)

University of Tehran - Faculty of Entrepreneurship ( email )

Farshi Moghadam (16 St.), North Kargar Ave., Tehr
Tehran, Tehran
Iran

Amer Najmabadi

University of Tehran, Faculty of Entrepreneurship ( email )

Farshi Moghadam (16 St.), North Kargar Ave., Tehr
Tehran, Tehran
Iran

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