Social Capital and Digital Transformation of Startups in Vietnam during the Covid-19 Pandemic: The Mediating Role of Human Capital and Access to Resources

Abstract

Based on social network theory, the study explained the digital transformation process of startups in Vietnam during the outbreak of the COVID-19 pandemic. The study examined the relationship between social capital, human capital, access to resources, and digital transformation of startups in Vietnam. The study used Partial Least Squares - Structural Equation Modelling (PLS-SEM) with a sample size of 230 startups managers. The results show that there are positive and statistically significant relationships between social capital, human capital, access to resources, and digital transformation. The results also reveal the partial mediating roles of access to resources and human capital in the relationship between social capital and digital transformation. The results proposed some managerial implications for startups managers in building relationship networks with stakeholders such as government agencies and business partners (customers, competitors, suppliers, and providers of digital platform services). Through managers' social capital, accessible resources and the improvement of human capital have accelerated digital transformation for startups to escape the crisis of the COVID-19 pandemic. Finally, the study presented some limitations and directions for further research.