Building strategic human capital resources: The effects of strategic entrepreneurship on employee recruitment and retention

Arndt Schulze and Olufunmilola (Lola) Dada

Journal of Small Business Management, 2025, vol. 63, issue 1, 388-421

Abstract: Although strategic entrepreneurship (SE) and strategic human capital are both crucial for competitive advantage, there is limited knowledge of how SE affects human capital levels within a firm. This study examines the relationship between SE and both employee recruitment and employee retention by drawing on an integrated framework of strategic human capital and incorporating a uniquely created direct construct for measuring SE’s complete domain. Results from survey data of 576 UK-based small- and medium-sized firms indicate that SE is positively related to both employee retention and recruitment. We document the moderating effects of corporate reputation and competitive intensity on those relations.

Date: 2025
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DOI: 10.1080/00472778.2024.2322985

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