Spot the differences in traditional and social entrepreneurial intention : highlighting the role of human and social capital

There is general agreement in the scientific community that entrepreneurship plays a central role in the growth and development of an economy in rapidly changing environments (Acs & Virgill 2010). In particular, when business activities are regarded as a vehicle for sustainable growth at large, that goes beyond mere economic returns of singular entities, encompassing also social problems and heavily relying on collaborative actions, then we more precisely fall into the domain of ‘social entrepreneurship’(Robinson et al. 2009). In the entrepreneurship literature, prior studies demonstrated the role of intentionality as the best predictor of planned behavior (Ajzen 1991), and assumed that the intention to start a business derives from the perception of desirability and feasibility and from a propensity to act upon an opportunity (Fishbein & Ajzen 1975). Recognizing that starting a business is an intentional act (Krueger et al. 2000) and entrepreneurship is a planned behaviour (Katz & Gartner 1988), models of entrepreneurial intentions have substantial implications for intentionality research in entrepreneurship. The purpose of this paper is to explore the emerging practice of social entrepreneurship by comparing the determinants of entrepreneurial intention in general versus those leading to startups with a social mission. Social entrepreneurial intentions clearly merit to be investigated given that the opportunity identification process is an intentional process not only typical of for profit start-ups, and yet there is a lack of research examining opportunity recognition in social entrepreneurship (Haugh 2005). The key argument is that intentionality in both traditional and social entrepreneurs during the decision-making process of new venture creation is influenced by an individual's perceptions toward opportunities (Fishbein & Ajzen 1975). Besides opportunity recognition, at least two other aspects can substantially influence intentionality: human and social capital (Davidsson, 2003). This paper is set to establish if and to what extent the social intentions of potential entrepreneurs, at the cognitive level, are influenced by opportunities recognition, human capital, and social capital. By applying established theoretical constructs, the paper draws comparisons between ‘for-profit’ and ‘social’ intentionality using two samples of students enrolled in Economy and Business Administration at the University G. d’Annunzio in Pescara, Italy. A questionnaire was submitted to 310 potential entrepreneurs to test the robustness of the model. The collected data were used to measure the theoretical constructs of the paper. Reliability of the multi-item scale for each dimension was measured using Cronbach alpha, and for all the dimensions measures of reliability are above 0.70. We empirically tested the model using structural equation modeling with AMOS. The results allow us to empirically contribute to the argument regarding the influence of human and social cognitive capital on social and non-social entrepreneurial intentions. Moreover, we highlight the importance for further researchers to look deeper into the determinants of traditional and social entrepreneurial intention so that governments can one day define better polices and regulations that promote sustainable businesses with a social imprint, rather than inhibit their formation and growth.

Social and traditional entrepreneurial intention : what is the difference?

The concept of entrepreneurship has developed during the past decades and has a long history in the business sector. Miller et al. (2009) refer that entrepreneurship is an important part of the economic scenery, providing opportunities and jobs for substantial numbers of people. Audresch et al. (2002) clarify how the positive and statistically robust link between entrepreneurship and economic growth has been indisputably verified across a wide spectrum of units and observation, spanning the establishment, the enterprise, the industry, the region and the country. In the literature there has been an evolution and intense debate about the role of entrepreneurship as a field of research and about the creation of a conceptual framework for the entrepreneurship field as a whole. Shane and Venkataraman (2000) define the field of entrepreneurship as the scholarly examination of how, by whom, and with what effects opportunities to create future goods and services are discovered, evaluated, and exploited. For this reason the field involves the study of sources of opportunities; the processes of discovery, evaluation, and exploitation of opportunities; and the set of individuals who discover, evaluate, and exploit them.

Importancia de los modelos de conducta en la intención emprendedora en estudiantes de ingeniería = The importance of role models for the entrepreneurial intention of technical degrees students

El emprendimiento de base tecnológica es un tema crítico para la generación de crecimiento económico, por lo que conocer los determinantes de la intención emprendedora de estudiantes de universidades técnicas adquiere una especial relevancia. En este estudio se analiza la importancia de los modelos de conducta en la intención emprendedora entre los estudiantes de carreras técnicas. Los resultados muestran que los estudiantes de padres empresarios tienen una intención emprendedora superior a la media, mientras que los de hijos de padres funcionarios están por debajo de ella. Igualmente, la ausencia de modelos de conducta emprendedora en el entorno cercano disminuye la intención emprendedora, mientras que la ausencia de funcionarios no la hace aumentar.

A cross-cultural approach to understanding entrepreneurial intention

The current research aims to shed light on the role of culture in the formation of career intentions. It draws on the Theory of Planned Behavior (TPB; Ajzen), which has been widely employed to predict intentions, including entrepreneurial career intentions, but past research has almost exclusively been conducted in "Western" countries. The current research specifically explores the extent to which both the strength of relationships of TPB predictors with entrepreneurial career intentions and the TPB predictors themselves are invariant across cultures. The study compares six very different countries (Germany, India, Iran, Poland, Spain, and the Netherlands), drawing on an overall sample of 1,074 students and their assessments of entrepreneurial career intentions. Results support culture universal effects of attitudes and perceived behavioral control (self-efficacy) on entrepreneurial career intentions but cultural variation in the effects of subjective norm. © The Curators of the University of Missouri 2012.

Entrepreneurial intention and entrepreneurial behaviour:a social psychological perspective

Increasing the supply of entrepreneurs reduces unemployment and accelerates economic growth (Acs, 2006; Audretsch, 2007; Santarelli et el. 2009; Campbell, 1996; Carree & Thurik, 1996). The supply of entrepreneurs depends on the entrepreneurial intention and activity of the people (Kruger & Brazeal, 1994). Existing behavioural theories explain that entrepreneurial activity is an attitude driven process which is mediated by intention and regulated by behavioural control. These theories are: Theory of Planned Behaviour (Ajzen, 1991; 2002, 2012); Entrepreneurial Event Model (Shapiro & Shokol, 1982), and Social Cognitive Theory (Bandura, 1977; 1986; 2012). Meta-analysis of existing behavioural theories in different fields found that the theories are more effective to analyse behavioural intention and habitual behaviour, but less effective to analyse long-term and risky behaviour (McEachan et al., 2011). The objective of this dissertation is to improve entrepreneurship behaviour theory to advance our understanding of the determinants of the entrepreneurial intention and activity. To achieve this objective we asked three compelling questions in our research. These are: Firstly, why do differences exist in entrepreneurship among age groups. Secondly, how can we improve the theory to analyse entrepreneurial intention and behaviour? And, thirdly, is there any relationship between counterfactual or regretful thinking and entrepreneurial intention? We address these three questions in Chapters 2, 3 and 4 of the dissertation. Earlier studies have identified that there is an inverse U shaped relationship between age and entrepreneurship (Parker, 2004; Hart et al., 2004). In our study, we explain the reasons for this inverse U shape (Chapter 2). To analyse the reasons we use Cognitive Life Cycle theory and Disuse theory. We assume that the stage in the life cycle of an individual moderates the influence of opportunity identification and skill to start a business. In our study, we analyse the moderation effect in early stage entrepreneurship and in serial entrepreneurship. In Chapter 3, the limitations of existing psychological theories are discussed, and a competency value theory of entrepreneurship (CVTE) is proposed to overcome the limitations and extend existing theories. We use a ‘weighted competency’ variable instead of a ‘perceived behavioural control’ variable for the theory of planned behaviour (TPB) and self-efficacy variable for social cognitive theory. Weighted competency is the perceived competency ranking assigned by an individual for his total competencies to be an entrepreneur. The proposed theory was tested in a pilot survey in the UK and in a national adult population survey in a South Asian Country. The results show a significant relationship between competencies and entrepreneurial intention, and weighted competencies and entrepreneurial behaviour as per CVTE. To improve the theory further, in Chapter 4, we test the relationship between counterfactual thinking and entrepreneurial intention. Studies in cognitive psychology identify that ‘upward counterfactual thinking’ influences intention and behaviour (Epstude & Rose, 2008; Smallman & Roese, 2009). Upward counterfactual thinking is regretful thinking for missed opportunities of a problem. This study addresses the question of how an individual’s regretful thinking affects his or her future entrepreneurial career intention. To do so, we conducted a study among students in a business school in the UK, and we found that counterfactual thinking modifies the influence of attitude and opportunity identification in entrepreneurial career intention.

An examination of factors that influence entrepreneurial intention of high school students in Kenya

Abstract Considerable research has been carried out on entrepreneurship in efforts to understand its incidence in order to influence and maximize its benefits. Essentially, researchers and policy makers have sought to understand the link between individuals and business creation: Why some people start businesses while others do not. The research indicates that personality traits, individual background factors and association of entrepreneurship with career choice and small business enterprises, cannot sufficiently explain entrepreneurship. It is recognized that entrepreneurship is an intentional process and based on Ajzen’s Theory of Planned Behavior, the most defining characteristic of entrepreneurship is the intention to start a business. The purpose of this study was, therefore, to examine factors that influence entrepreneurial intention in high school students in Kenya. Specifically, the study aimed at determining if there were relationships between the perceptions of desirability, and feasibility of entrepreneurship with entrepreneurial intention of the students, identifying any difference in these perceptions with students of different backgrounds, and developing a model to predict entrepreneurship in the students. The study, therefore, tested how well Ajzen’s Theory of Planned Behavior applied in the Kenyan situation. A questionnaire was developed and administered to 969 final year high school students at a critical important point in their career decision making. Participants were selected using a combined convenience and random sampling technique, considering gender, rural/urban location, cost, and accessibility. Survey was the major method of data collection. Data analysis methods included descriptive statistics, correlation, ANOVA, factor analysis, effect size, and regression analysis. iii The findings of this study corroborate results from past studies. Attitudes are found to influence intention, and the attitudes to be moderated by individual background factors. Perceived personal desirability of entrepreneurship was found to have the greatest influence on entrepreneurial intention and perceived feasibility the lowest. The study findings also showed that perceived social desirability and feasibility of entrepreneurship contributed to perception of personal desirability, and that the background factors, including gender and prior experience, influenced entrepreneurial intention both directly and indirectly. In addition, based on the literature reviewed, the study finds that entrepreneurship promotion requires reduction of the high small business mortality rate and creation of both entrepreneurs and entrepreneurial opportunities (Kruger, 2000; Shane & Venkataraman, 2000). These findings have theoretical and practical implications for researchers, policy makers, teachers, and other entrepreneurship practitioners in Kenya.

The influence of role models on students' entrepreneurial intentions

The Smart State initiative requires both improved education and training, panicularly in technical fields, plus entrepreneurship to commercialise new ideas. In this study, we propose an entrepreneurial intentions model as a guide to examine the educational choices and entrepreneurial intentions of first-year University students, focusing on the effect of role models. A survey of over 1000 first-year University students revealed that the most enterprising students were choosing to study in the disciplines of information technology and business, economics and law, or selecting dualdegree programs that include business. The role models most often identified for their choice of field of study were parents,followed by teachers and peers, with females identifying more role models than males. For entrepreneurship, students' role models were parents andpeers,followed by famous persons and teachers. Males and females identified similar numbers of role models, but males found starting a business more desirable and more feasible, and reponed higher entrepreneurial intention. The implications of these findings for Smart State policy are discussed.

The influence of role models on students' entrepreneurial intentions

The Smart State initiative requires both improved education and training, particularly in technical fields, plus entrepreneurship to commercialise new ideas. In this study, we propose an entrepreneurial intentions model as a guide to examine the educational choices and entrepreneurial intentions of first-year University students, focusing on the effect of role models. A survey of over 1000 first -year University students revealed that the most enterprising students were choosing to study in the disciplines of information technology and business, economics and law, or selecting dual degree programs that include business. The role models most often identified for their choice of field of study were parents, followed by teachers and peers, wish females identifying more role models than males. For entrepreneurship, students' role models were parents and peers, followed by famous persons and teachers. Males and females identified similar numbers of role models, but males found starting a business more desirable and more feasible, and reported higher entrepreneurial intention. The implications of these findings for Smart State policy are discussed.

University students' assessment of entrepreneurial environments

Entrepreneurial intention is a primary step to create new venture in the entrepreneurial process. Environmental conditions are one of the main factors that are strengthening or weakening intention of prospective entrepreneur. Therefore, it is important to develop conducive environments for entrepreneurship to promote entrepreneurial intention. Moreover, the promoted entrepreneurial intention will raise the rate of new venture creation. This paper investigates the relationships between five key environments for entrepreneurship and entrepreneurial intention. The five entrepreneurial environments are: government policies and procedures, socioeconomic conditions, entrepreneurial and business skills, financial assistance, and non-financial assistance, respectively. Conjoint analysis was used to determine the significance of five environmental factors conducive to entrepreneurial intention. In this conjoint experiment, 1370 decisions were made by 137 university students. Significant relationships were found between all of these environmental factors and intention. Comparative importance of environmental factors was also calculated, along with sub-conjoint analyses based on characteristics of the sample.

The Impact of Individual-Level Cultural Perceptions on Entrepreneurial Behavior

Entrepreneurial intention scholars have increasingly been investigating the link between entrepreneurial intentions and behaviour. While a solid empirical link has been confirmed, there is still a lack of in-depth theorizing about the underlying conceptual mechanisms. We address this gap by arguing that individual-level perceptions of cultural practices moderate the relationship between entrepreneurial intentions and behaviour. Investigating a longitudinal sample of 1’511 individuals from 13 countries reveals negative moderation effects of perceptions of power distance and collectivism in society and thus confirms our theorizing. This study provides valuable contributions to literatures of entrepreneurship and international business.

Entrepreneurial intentions in developing and developed countries

Purpose – This study proposes to use the Theory of Planned Behaviour to predict entrepreneurial intentions among students in five developing and nine developed countries. The purpose is to investigate whether entrepreneurial intention and its antecedents differ between developing and developed countries, and to test the theory in the two groups of countries. Design/methodology/approach – A total of 2,225 students in 13 countries participated in this study by responding to a structured questionnaire in classrooms. Structural equation modelling was used to analyse the data. Findings – The findings indicate that respondents from developing countries have stronger entrepreneurial intentions than those from developed countries. Moreover, the respondents from developing countries also score higher on the theory's antecedents of entrepreneurial intentions – attitudes, subjective norms, and perceived behavioural control – than respondents from developed countries. The findings support the Theory of Planned Behaviour in both developing and developed countries. Research limitations/implications – The findings strongly support the Theory of Planned Behaviour. The measure of subjective norms used, a multiple-item index encompassing the views of other people and motivation to comply with these, seems to have advantages over other measures of this concept. Practical implications – Developing countries need to focus on the development of institutions that can support entrepreneurial efforts. At the same time, developed economies may need to accept that entrepreneurial intentions are dependent on the dynamism of an economic environment and possibly on risk-perceiving behaviours. Originality/value – While multiple-country studies on entrepreneurship in developing and developed countries have been called for, no previous study has compared entrepreneurial intentions between developing and developed countries. The inclusion of developing countries provides a unique quasi-experimental setting in which to test the theory.

International student exchanges and entrepreneurial capabilities: insights from colombian students studying in France

It seems globalization has challenge different types of fields around the world. Cultures, politics, economies and even education are day by day challenged due to the open of boundaries, therefore countries, institution and people need to develop new activities in order to gain a competitive advantages over others, that’s why entrepreneurship comes to the discussion as an opportunity and a possible solution to situation, but what triggers it? Can it be influenced through different programs and can it be teach changing university curriculums? Well, as boundaries are falling even in educational institutions, this study aims to explain if there’s any effect on students’ entrepreneurial capabilities after being part of international exchange programs. It will be done through the collection of primary data from Colombian students studying in France and if this program influenced their skills as entrepreneurs.

The present attitude of African youth towards entrepreneurship

It is widely known that entrepreneurship plays a crucial role within the economy. As the African economy needs rapid development and growth, this paper investigates the present attitude of African youth towards new business creation and entrepreneurship. Both quantitative and qualitative research methods were used, and 204 people participated in the study. The participants were accessed via social media such as Facebook (pages and groups), LinkedIn (groups), Twitter, and WhatsApp. The results reveal that African youth have positive attitudes and that they are entrepreneurially active and ready to take risks, provided that they can be self-dependent. Similarly, the results show that entrepreneurship education is much needed to improve innovative start-ups in Africa.

Yrittäjyyden arvottaminen akateemisten nuorten argumentoinnissa

Evaluation of entrepreneurship in the speech of academic students and newly qualified young academics a summary of a qualitative attitude study. In Finland very few university students plan to become entrepreneurs. The aim of this research was to examine entrepreneurial attitudes expressed in speech. The material was gathered from interviews with university students and newly qualified young academic adults. The interviewees commented on twelve different sentences with claims formulated using research literature and views that have appeared in public discussions. The interviewees were divided into three different groups based on their self-expressed entrepreneurial intentions. The method of qualitative attitude research (Vesala & Rantanen 1999, 2007) was used in the interviews. The research material was studied using two interpretative theories: (1) The planned behaviour theory (Ajzen 1985, 1991a, b), which makes it possible to focus on the separate elements (attitude towards an act, subjective norms and perceived feasibility) necessary for intentions to develop; and (2) The theory of the two images of entrepreneurship (Vesala 1996), where individualism and relationism can be seen as resources for evaluating entrepreneurship. The subject of the research was how university students and newly qualified young adults viewed entrepreneurship as a general phenomen and in relation to the academic world. A second focus was on the attitudes expressed toward entrepreneurial university education and the possibility of combining entrepreneurship and academic knowledge. Of interest were also questions such as whether academic studies, knowledge and the university itself are resources or barriers to entrepreneurial intentions and entrepreneurship whether university students received any support for their entrepreneurial ambitions from the university and their fellow academic students. The problems tackled by this research were thus the following: How was entrepreneurship seen, both as a general phenomen and in an academic context, when it was evaluated positively, negatively or neutrally by the interviewees? In what way was entrepreneurship constructed in the interviewees attitudes? How were entrepreneurship and the academic world related in the interviewees attitudes? What kind of role did the university as an academic context play in the interviewees attitudes for example were university education and academic knowledge seen as resources or barriers to their entrepreneurial intentions. Traditional attitude studies claim that attitudes are a stable property of an individual. In contrast, rhetorical social psychological and qualitative attitude studies emphasize the contextual and linguistic aspects of attitude, and they offered an alternative viewpoint for this research. The study was based on two general assumptions: attitudes have objects and are evaluative. Here attitude was defined as an evaluative interpresentation made towards an object; adopting an attitude is a contextual process in the sense that attitudes are always concerned with the action context of the persons presenting them. Entrepreneurship, both as a general phenomen and in an academic context, was specified as the object to which an attitude was taken. From a theoretical point of view, qualitative methods suited the general structure of this research well. In a particular, qualitative approach which emphasized contextual elements proved to be both empirically valid and useful for avoiding the problematic assumptions associated with traditional attitude study. The subject of the analysis was the argumentative speech produced by the interviewees. The results of the study show the subjects responses to three main ways of viewing entrepreneurships. The first was an individualistic, ideal image of entrepreneurship. This was mostly evaluated positively and gained wide approval especially among interviewees who included entrepreneurship among their employment choices. Entrepreneurship was seen as the decision to earn one s living independently. In this individualistic image of entrepreneurship, the social context was hardly ever mentioned. Elements which were seen to threaten this ideal image were evaluated negatively. When entrepreneurship was evaluated negatively using the individualistic image of entrepreneurship, it was mentioned that it forced one into a never ending cycle of work and uninterested duties. The relationistic image of entrepreneurship was used as a speech resource when the social context was constructed as an economic resource or a threat to the ideal image of entrepreneurship. In the second view, entrepreneurship was characteristically seen as being based on economics, which was seen as a threat to the ideal individualistic image of entrepreneurship. The risk of economic failure was seen as a limiting factor to entrepreneurial ambitions as it forced entrepreneurs to work around the clock. The third view concerned the relationship between entrepreneurship and the academic world. Entrepreneurship as an employment choice for university educated persons was evaluated as relevant, and thus positively, when university education was constructed as a resource for entrepreneurship - and irrelevant and thus negatively when it was construed as an obstacle, too wide, or when successful entrepreneurship was seen as being mostly based on an individual s personal characteristics. The interviewees with no entrepreneurial intentions expressed the view that academic education didn t provide the proper skills and knowledge for entrepreneurship. The interviewees also expressed interest in university entrepreneurship education, although none had experience on this. The interviewees emphasized the fact that the University didn t encourage them to consider entrepreneurship as a relevant employment choice. The assumption made by this study was that becoming an entrepreneur is a conscious decision, the environment may influence an individual s decisions on how to make a living as it tends to socialise people to act in accordance with cultural traditions. Keywords: Entrepreneurship, Attitudes towards entrepreneurship, Intentional behaviour, Entrepreneurial intention, University entrepreneurship education, Qualitative attitude research (Vesala & Rantanen 1999, 2007), Rhetorical social psychology (Billig 1986), The theory of entrepreneuship s two images: individualism and relationism (Vesala 1996 ), The planned behaviour theory (Ajzen 1985, 1991a, b)