Social capital and sustainable growth of full-service restaurants in the global south: testing the mediating role of dynamic capabilities

Abstract

Purpose The purpose of this study is to establish whether dynamic capabilities mediates the association between social capital and sustainable growth of full-service restaurants in Kampala, Uganda. Design/methodology/approach This study is cross-sectional and correlational in nature. A self-administered questionnaire was used to gather data from 154 full-service restaurants in Kampala. Statistical Package for the Social Sciences (SPSS.25) and Medgraph – Excel Version were used to conduct correlation, hierarchical regression and mediation analysis on the data in order to establish the mediating role of dynamic capabilities. Findings Study findings revealed that first, social capital and dynamic capabilities significantly predict sustainable growth of full-service restaurants, second, social capital is significantly associated with dynamic capabilities and third, dynamic capabilities significantly mediate social capital and sustainable growth of full-service restaurants. Originality/value The study confirmed that dynamic capabilities significantly mediate social capital and sustainable growth of full-service restaurants unlike the previous studies that focused on the direct association between the study variables in explicating sustainable growth.