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

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  • Arndt Schulze
  • Olufunmilola (Lola) Dada

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.

Suggested Citation

  • Arndt Schulze & Olufunmilola (Lola) Dada, 2025. "Building strategic human capital resources: The effects of strategic entrepreneurship on employee recruitment and retention," Journal of Small Business Management, Taylor & Francis Journals, vol. 63(1), pages 388-421, January.
  • Handle: RePEc:taf:ujbmxx:v:63:y:2025:i:1:p:388-421
    DOI: 10.1080/00472778.2024.2322985
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