Fostering social entrepreneurship through social capital approach: An empirical study in China

Purpose – The purpose of this paper is to examine the underlying mechanisms influencing the social
entrepreneurial intentions of individuals in China, adopting social capital theory, bottom-up and people-based
approach. The interrelated effects of intellectual capital (social community trust, social capital bonding and
social participation) on social innovation tendency were measured.
Design/methodology/approach – We recruited 502 Chinese individuals by utilising a reliable survey platform
in China. This study used structural equation modelling as an analytical approach to examine the influence of
social capital on social innovation and social entrepreneurship intention.
Findings – The findings showed that social innovation tendencies mediate the relationship between social
community trust, social capital bonding and social participation and the social entrepreneurial intentions of
individuals. The findingssupport the tested hypothesesthatsocial innovation tendencies are the key mechanism
to translate into stronger social entrepreneurial intentions. An iterative framework emphasising transparency
and open collaboration among stakeholders, which are vital for fostering social entrepreneurial intentions, was
proposed.
Originality/value – Thisis a novel empiricalstudy to apply social capital theory to the field ofsocial enterprises
in the Chinese context using structural equation modelling, bottom-up, people-based approach and iterative
model. The findings offer valuable practical insights for entrepreneurial and SME practices to foster social
entrepreneurship through a people-based approach, emphasising the importance offostering trust,strengthening
social bonds, and encouraging active social participation.