The Impact of Social Capital on Entrepreneurial Performance of Small Business Owners: Focusing on the Mediating Effect of Business Model Awareness

This study empirically investigates the impact of social capital on the entrepreneurial performance of small business owners, focusing on the mediating effect of business model awareness. While previous research has predominantly focused on large corporations or SMEs in the context of business models, studies targeting small business owners remain limited. Despite being significant actors in the economy, small business owners often face constraints in resources and lack systematic approaches to respond to market changes. This study aims to examine how social capital influences entrepreneurial performance and whether business model awareness mediates this relationship. Data were collected from 144 small business owners using the Naver Office survey platform between September 21 and October 15, 2024. Regression and mediation analyses were conducted using SPSS 29.0. The results are as follows: First, social capital had a significant positive effect on business model awareness. Second, business model awareness positively influenced entrepreneurial performance. Third, the subdimensions of social capital—network and trust/norms—each showed significant positive effects on entrepreneurial performance. Lastly, business model awareness was found to have a partial mediating effect on the relationship between both subdimensions of social capital and entrepreneurial performance. This study highlights the importance of social capital in enhancing the entrepreneurial performance of small business owners and confirms the mediating role of business model awareness. From a practical perspective, the findings suggest that beyond financial support, small business owners need structured programs such as Business Model Canvas workshops and Lean Startup training, as well as strengthened networking events and collaborative activities.