Academy of Entrepreneurship Journal (Print ISSN: 1087-9595; Online ISSN: 1528-2686)

Abstract

The Effect of Psychological Capital on Entrepreneurial Success in South Africa

Author(s): Obey Dzomonda

The purpose of this study was to examine the nexus between psychological capital and entrepreneurial success in South Africa. The study utilized a quantitative research design. A self-administered questionnaire was used to collect data in a survey. 250 entrepreneurs were considered as the sample of the study. The purposive sampling technique was used since it was difficult to find a sampling frame for the participants. The Cronbach’s Alpha was used to measure reliability. Data was analyzed using descriptive statistics and regression analysis. The findings showed that there is a significant and positive relationship between psychological capital and financial performance of the entrepreneurial venture. Also, a significant and positive relationship was established between psychological capital and entrepreneurial wellbeing. The implication of the above findings is that psychological capital is a key determinant of entrepreneurial success. Thus, entrepreneurs were recommended to engage in activities which can boost their psychological capital. 

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