The Influence of Relational Social Capital (RSC) on Micro, Small and Medium Enterprises (MSME) Innovation Performance: A Mixed Method Study

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Okechukwu Chiaha
Okechukwu Chiaha

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The Influence of Relational Social Capital (RSC) on Micro, Small and Medium Enterprises (MSME) Innovation Performance: A Mixed Method Study

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Abstract

This study investigates the influence of relational social capital focusing on trust, norms of cooperation, reciprocity, and identification on innovation performance among Micro, Small, and Medium Enterprises (MSMEs) within Nigeria’s textile manufacturing sector. Operating in a resource-limited environment, these MSMEs face unique challenges that make relational social capital a critical asset for sustaining competitive advantage and fostering innovation. Using a mixed-method approach, data was obtained from 564 respondents, we integrate Partial Least Squares Structural Equation Modelling (PLS-SEM) and fuzzy-set Qualitative Comparative Analysis (fsQCA) to capture both linear and configurational effects of relational social capital. Results from PLS-SEM reveal that identification significantly enhances innovation performance, while other elements like trust, norms of cooperation and reciprocity exert varied influences. Further, fsQCA identifies five unique configurations of relational social capital elements contributing to high innovation performance, highlighting the essential role of identification alongside specific relational dynamics.

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Funding

No external funding was declared for this work.

Conflict of Interest

The authors declare no conflict of interest.

Ethical Approval

No ethics committee approval was required for this article type.

Data Availability

Not applicable for this article.

How to Cite This Article

Okechukwu Chiaha. 2026. \u201cThe Influence of Relational Social Capital (RSC) on Micro, Small and Medium Enterprises (MSME) Innovation Performance: A Mixed Method Study\u201d. Global Journal of Management and Business Research - A: Administration & Management GJMBR A Volume 25 (GJMBR Volume 25 Issue A1): .

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Alt text: Study on relational social capital's effect on micro and small enterprises' innovation performance.
Journal Specifications

Crossref Journal DOI 10.17406/GJMBR

Print ISSN 0975-5853

e-ISSN 2249-4588

Version of record

v1.2

Issue date

March 12, 2025

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en
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This study investigates the influence of relational social capital focusing on trust, norms of cooperation, reciprocity, and identification on innovation performance among Micro, Small, and Medium Enterprises (MSMEs) within Nigeria’s textile manufacturing sector. Operating in a resource-limited environment, these MSMEs face unique challenges that make relational social capital a critical asset for sustaining competitive advantage and fostering innovation. Using a mixed-method approach, data was obtained from 564 respondents, we integrate Partial Least Squares Structural Equation Modelling (PLS-SEM) and fuzzy-set Qualitative Comparative Analysis (fsQCA) to capture both linear and configurational effects of relational social capital. Results from PLS-SEM reveal that identification significantly enhances innovation performance, while other elements like trust, norms of cooperation and reciprocity exert varied influences. Further, fsQCA identifies five unique configurations of relational social capital elements contributing to high innovation performance, highlighting the essential role of identification alongside specific relational dynamics.

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The Influence of Relational Social Capital (RSC) on Micro, Small and Medium Enterprises (MSME) Innovation Performance: A Mixed Method Study

Okechukwu Chiaha
Okechukwu Chiaha

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