Edelweiss Applied Science and Technology
ISSN: 2576-8484
Vol. 9, No. 5, 2277-2290
2025
Publisher: Learning Gate
DOI: 10.55214/25768484.v9i5.7462
© 2025 by the authors; licensee Learning Gate
© 2025 by the authors; licensee Learning Gate
History: Received: 24 February 2025; Revised: 6 May 2025; Accepted: 9 May 2025; Published: 22 May 2025
* Correspondence: artan.haziri@ubt-uni.net
The impact of human capital on the development of startup enterprises in
Kosovo
Burhan Reshat Rexhepi
1
, Artan Haziri
2*
, Nakije Kida
3
, Kestrim Avdimetaj
4
, Labeat Mustafa
5
,
Hamëz H. Rama
6
, Enver Daci
7
1,2,4,5,6,7
UBT College, 56 Rexhep Krasniqi Street, 10000 Pristina, Republic of Kosovo; burhan.rexhepi@ubt-uni.net (B.R.R.)
artan.haziri@ubt-uni.net (A.H.) kestrim.avdimetaj@ubt-uni.net (K.A.) labeat.mustafa@ubt-uni.net (L.M.) hamez.rama@ubt-
uni.net (H.H.R.) enver.daci@ubt-uni.net (E.D.).
3
AAB College, 56 Elez Berisha Street, 10000 Pristina, Republic of Kosovo; nakije.kida@universitetiaab.com (N.K.).
Abstract: The purpose of this study is to analyze the impact of human capital on the development and
success of startup enterprises in Kosovo. In an economic context marked by structural challenges and a
lack of sustainable investments, startups represent significant potential for job creation and long-term
growth. However, their success is often determined by the level of human capital—a key component
that includes the skills, knowledge, experience, and education of founders and employees. A quantitative
methodology was employed in this study. Data were collected from 150 startup enterprises in Kosovo
through structured questionnaires and analyzed using statistical methods via SPSS. The study measures
the relationship between components of human capital (education, training, and experience) and
performance indicators (revenue growth, number of employees, startup longevity). The findings indicate
a strong positive correlation between the level of human capital and the development of startups. In
particular, startups led by founders with higher education levels and prior managerial experience tend
to achieve faster market expansion and operational sustainability. The theoretical implications of this
research confirm the critical role of human capital in economic development models. Practically, the
results offer valuable insights for policymakers and economic development institutions in designing
training and education schemes tailored for entrepreneurs. The originality of this paper lies in its focus
on Kosovo, a developing economy with unique cultural and institutional features. The study contributes
to the existing literature by providing empirical evidence on the importance of human capital in
determining startup success in a Balkan context.
Keywords: Development policy, Economic development, Education, Entrepreneurship, Experience, Human capital, Kosovo,
Managerial skills, Startup enterprises, Startup performance.
1. Introduction
1.1. Background and Significance of the Topic
In recent decades, startup enterprises have become a cornerstone of economic development,
especially in developing countries. They serve as sources of innovation, job creation, and enhanced
competitiveness in open markets. In the context of Kosovo, a newly established country with a
transitional economy, the development of startups has gained particular importance as a mechanism to
address challenges such as unemployment, youth migration, and the lack of economic diversification.
However, the success and sustainability of these enterprises depend not only on financial opportunities
or infrastructure but fundamentally on the level of human capital.
Human capital, as a concept, encompasses the experience, skills, knowledge, and education of
individuals who constitute the organization. It represents a vital source of competitive advantage for
startups, particularly in their early stages of growth. Often, the success or failure of a business idea