Antecedents of entrepreneurial intention: Empirical evidence in Vietnam

Antecedents of entrepreneurial intention: Empirical evidence in Vietnam.Antecedents of entrepreneurial intention: Empirical evidence in Vietnam.Antecedents of entrepreneurial intention: Empirical evidence in Vietnam.Antecedents of entrepreneurial intention: Empirical evidence in Vietnam.Antecedents of entrepreneurial intention: Empirical evidence in Vietnam.Antecedents of entrepreneurial intention: Empirical evidence in Vietnam.Antecedents of entrepreneurial intention: Empirical evidence in Vietnam.Antecedents of entrepreneurial intention: Empirical evidence in Vietnam.Antecedents of entrepreneurial intention: Empirical evidence in Vietnam.Antecedents of entrepreneurial intention: Empirical evidence in Vietnam.Antecedents of entrepreneurial intention: Empirical evidence in Vietnam.

MINISTRY OF EDUCATION AND TRAINING

NATIONAL ECONOMICS UNIVERSITY



NGUYEN QUANG KHAI

ANTECEDENTS OF ENTREPRENEURIAL

INTENTION: EMPIRICAL EVIDENCE IN VIETNAM

Specialization: BUSINESS AND ADMINISTRATION

Specialization code: 9340101

PHD DISSERTATION SUMMARY

Hanoi, 2022

THE RESEARCH PROJECT IS CONDUCTED AT NATIONAL ECONOMICS UNIVERSITY

Reviewers:

1:

2:

3:

The dissertation defense at the university level

at National Economics University

On:

The dissertation is archived at:

- The National Library of Vietnam

- The Library of National Economics University

INTRODUCTION

1 Rationale

Research on entrepreneurship is increasingly interested in practice because it is the

basis of the economic development and happiness of countries (Kao, 1993) Vietnam has

set out an ambitious development vision, aspiring to become a high-income country by

2045 Promoting entrepreneurship is one way to achieve this goal According to Fishbein

& Ajzen (1975), intention is the best predictor of behavior, and an increasing number of

studies show that intention has an important role in entrepreneurship (Liñán and Chen,

2009) Meanwhile, the intention of adult Vietnamese people to start a business (25%),

according to a survey by GEM in 2017, is much lower than the average rate in developed

countries based on the human resource (30.3%) (Gem and Vcci, 2018)

Based on the above discussion, I decided to work on the research topic

“Antecedents of entrepreneurial intention: Empirical evidence in Vietnam” for my

dissertation The research results as described in this dissertation have made some

significant contributions, as follows:

From a theoretical perspective: based on the perspective of entrepreneurial

learning, the research has clarified the important role of entrepreneurial education

and acculturation on entrepreneurial intention In addition, my research indicates that

prior self-employment experience has a significant moderating effect on the

relationship between the learning factor and EI

From a practical perspective: based on the research results, the dissertation

provides some policy implications that are suitable in the Vietnamese context,

thereby promoting the startup movement and contributing to the goal of one million

businesses in Vietnam

2 Research Objectives, Objects and Scope of the Research

2.1 Research Objectives

- To test the role of entrepreneurial learning (specifically entrepreneurial

education) on entrepreneurial intention among master’s students (young and highly

educated people) in Vietnam

- To explore and test the research model pertaining to the antecedents of

entrepreneurial intention among a group of ethnic-minority people, focusing on an

entrepreneurial learning perspective

- To present implications for policy makers and other relevant stakeholders to

increase entrepreneurial intention in Vietnam

2.2 Research Objects

The main research objects of this dissertation are the antecedents of (i.e.,

factors influencing) the intention to start a business in Vietnam, as well as their

impact on entrepreneurial intention

2.3 Research Scope Research context: Master’s students and ethnic minorities

Research space: students studying in master’s programs at universities in Vietnam and ethnic minority people in 10 mountainous provinces in the north of Vietnam Research period: Primary data (qualitative and survey data) was collected from

2020 to 2021; the study also employs secondary data from the years 2014 to 2021

3 Research Methodology

To achieve the stated objectives, the dissertation uses both qualitative and quantitative research approaches Specifically, the quantitative approach was used in Study 1, and mixed methods were used in Study 2

4 Structure of the Dissertation

In addition to its Introduction, References and Appendices, the dissertation includes four main chapters

Chapter 1: Literature Review and Theoretical Background

Chapter 2: Study 1: Antecedents of EI Among Master’s Students

Chapter 3: Study 2: Antecedents of EI Among Ethnic Minorities (EM) in Vietnam’s Mountainous Regions

Chapter 4: Discussion and Implications

CHAPTER 1: LITERATURE REVIEW AND THEORETICAL

BACKGROUND 1.1 Entrepreneurship and Entrepreneurial Intention 1.1.1 Entrepreneurship

Although there are numerous concepts of entrepreneurship (Popov et al., 2019), it appears that Shane and Venkataraman’s (2000) definition is the most detailed while also being the most well-known (Popov et al., 2019) According to Shane and Venkataraman, entrepreneurship is the scholarly examination of how, by whom, and with what effects opportunities for future goods and services are to be discovered, evaluated, and exploited I will use Shane and Venkataraman’s concept

of entrepreneurship in both the dissertation and the questionnaire he will use to interview the research subjects

1.1.2 Entrepreneurial Intention (EI) Many researchers have defined entrepreneurial intention However, Liñán’s (2004) concept of entrepreneurial intention seems to have received the most attention Based on Fishbein and Ajzen’s definition, Liñán (2004) defines entrepreneurial intention as a measure of personal effort spent on performing business behavior, which is also the definition that the author uses in this dissertation Later, based on this concept, Liñán and Chen (2009) developed scale measuring

entrepreneurial intention

1.2 Research on Entrepreneurial Intention

Although research on the factors affecting entrepreneurial intention has

attracted many researchers’ attention, there are still many gaps in the literature

(Donaldson, 2019) Synthesizing 409 studies from 2003–2013, Liñán and Fayolle

(2015) have systematized five main themes and one for new topics of entrepreneurial

intention studies (see Table 1.1)

Table 1.1: Main Themes and Sub-categories in Entrepreneurial Intention Research

Papers

1

Core

entrepreneurial

intention model

variables

3 Entrepreneurial

education

4 Role of context

Intention-behavior link

areas

Source: Liñán & Fayolle (2015)

4

Table 1.2: Entrepreneurial Intention Studies in Vietnam

No Authors (year) Subject

Factors ATE SN PBC PSE EEN PFE PT PP DE CR ATM SoN EE Gov _Po FS SoP SoC ESE RD ND MF

1 Nguyen (2015) Student X X X

2 Mai and Nguyen (2016) Student X X X X X

3 Nguyen et al (2016) Student X X X

4 Phong et al (2020) Student X X X X

5 Nguyen et al (2019) Young people X X X X X X X X X

6 Nasar et al (2019) Student X X X

7 Nguyen et al (2020) Student X X X X X X

8 Nguyen et al (2021) Student X X X X

9 Duong (2021) Student X X X X X X X X

10 Bui and Pham (2022) Young people X X X

ATE: attitude toward entrepreneurship; SN: subjective norm; PBC: perceived behavioral control; PSE: prior entrepreneurial experience, EEN: external environment; PFE: perceived feasibility; PT: personal trait; PP: proactive personality; DE: desire for success and challenge; CR: creativity; ATM: attitude toward money; SoN: social norms; EE: entrepreneurship education; Gov_Po: government's supportive policies; FS: family support; SoP: society support; SoC: social capital; ESE: entrepreneurial self-efficacy; RD: regulatory dimension; ND: normative dimension; MF: mindfulness

1.3 Research Gaps

 Despite the important role of acculturation in the entrepreneurship research

domain as discussed above, the impact of acculturation on entrepreneurial intention

has not received enough attention, especially from the perspective of learning This

calls for more research efforts to investigate the role of acculturation in relation to

entrepreneurship

 There is a lack of empirical evidence on the role of entrepreneurial

education as an important component of entrepreneurial learning in shaping

entrepreneurial intention

 The extant literature has suggested the significant role of individual

difference variables such as self-concept in shaping an individual’s behaviors In

the context of entrepreneurship, the impact of self-concept as an important factor

driving entrepreneurial behaviors has been neglected Moreover, to the author’s

knowledge the role of traditional self and modern self, important and interesting

individual difference variables that are specifically associated with the Asian

transitional economies, has not been investigated in research on entrepreneurial

behaviors in Vietnam This dissertation aims to fill in this gap by examining the

role of TS and MS in the entrepreneurial research model

 A number of previous studies around the world have emphasized the role of

IEOs as important antecedents of entrepreneurial intention However, studies in Vietnam

have not paid enough attention to the role of these factors This dissertation aims to fill in

this gap by examining the role of IEO in the entrepreneurial research model

 The attitudes and behaviors of indigenous ethnic minorities have rarely been

examined or only given very modest research attention in previous studies; most

previous studies on minorities have often targeted immigrants rather than indigenous

ethnic populations Meanwhile, these two groups have relatively different

characteristics The study of indigenous ethnic minorities, especially in the context

of entrepreneurship, is an important and intriguing topic This dissertation, in

addition to examining factors influencing master’s students’ entrepreneurial

intention, investigates antecedents of EI among ethnic minorities in Vietnam, which

has an emerging economy

1.4 Research Questions

This dissertation aims to address the following research questions to achieve

all major research objectives:

RQ1: What are the key antecedents of entrepreneurial intentions from the

entrepreneurial learning perspective in the context of Vietnam?

RQ2: Do and how entrepreneurial education and prior self-employed

experience play roles in shaping entrepreneurial intentions of Vietnamese,

specifically those of master students?

RQ3: Do and how acculturation and prior self-employed experience play roles

in shaping entrepreneurial intention of ethnic minorities?

In addition, do self-concept (i.e., traditional self and modern self) as well as individual entrepreneurial orientation (innovativeness, risk taking and proactiveness) have an impact on the intention to start a business among ethnic minorities? 1.5 Theoretical Background

1.5.1 Entrepreneurial Learning Perspective Over the last decade, there has been a remarkable increase in scholarly interest

in entrepreneurship learning (Jones et al., 2014), transforming entrepreneurial learning from one of the most understudied areas of study (Harrison and Leitch, 2005) to an accepted and integral part of entrepreneurship (Tseng, 2013)

“Entrepreneurship is a process of learning, and a theory of entrepreneurship requires

a theory of learning” (Minniti and Bygrave, 2001) The change “from a static perspective, i.e., a trait-based approach, to a dynamic view, i.e., a learning-based approach” (Secundo et al., 2017) of entrepreneurship has been aided by increased attention to entrepreneurial learning Thus, although there are many different views

on entrepreneurial learning, researchers all agree that entrepreneurial learning is the equipping of the potential entrepreneur with the necessary knowledge, skills, and attitudes for him or her to recognize and act on opportunities and social interactions

to initiate, organize and manage ventures This is the same concept of entrepreneurial learning that I will use in my dissertation

1.5.2 Theory of Planned Behavior Although several different theories have been used to measure EI, TPB is considered to be the most complete and widely accepted theoretical framework to account for EI in experimental studies (Munir et al., 2019), as well as in Vietnam (Nguyen et al., 2016) Similarly, Koe et al (2012) also confirmed that the TPB model was a crucial awareness process model for assessing entrepreneurial intention (Koe

et al., 2012) because TPB has been used to explain the entrepreneurship process very clearly (Schlaegel and Koenig, 2014) 1.6 Antecedents of Entrepreneurial Intention 1.6 Antecedents of Entrepreneurial Intention

1.6.1 Entrepreneurial Education According to Coetzer et al (2017), fostering future entrepreneurs can be based

on entrepreneurial learning through entrepreneurial education programs (Coetzer et al., 2017) Jones and English (2004, p 2) define entrepreneurship education as a process through which individuals learn to recognize and perceive opportunities, and reinforce self-esteem, knowledge, and skills to perform entrepreneurship activities Meanwhile, Hahn et al (2017) defined entrepreneurial education as any pedagogic

program or educational process that teaches start-up attitude and abilities (Hahn et

al., 2017) The entrepreneurial education concept of Jones and English (2004) is

geared towards training and focuses on the teaching of academic teachers Hahn et

al (2017) refer to entrepreneurial education as a process in which both learners and

teachers are involved; this definition is more suitable for this dissertation, since the

research object is entrepreneurship learners Therefore, this is also the concept that

the dissertation will use in the research

1.6.2 Acculturation

Acculturation has not been comprehensively defined, and there are several

conceptions of acculturation proposed by researchers Acculturation is the adaptive

process of cultural adjustment from direct contact and interaction between two distinct

cultural groups (Mena et al., 1987; Berry, 1990) It is the “process” and “state” from

first-hand contact with the host culture (Searle and Ward, 1990; Ward and Searle, 1991;

Ward and Kennedy, 1992; Ward and Kennedy, 1994), and hence a process of

intercultural adaptation Intercultural adaptation can be divided into two categories:

psychological adaptation—found in the stress and coping framework—and

sociocultural adaptation—found in the culture-learning framework (Zhou et al., 2008)

In line with the aim of this study, in the context of ethnic minorities, acculturation

refers to the degree to which the ethnic minority people adapt to/assimilate with the

new culture (i.e., the mainstream culture of Kinh people) such as exposure to the

mainstream culture, willingness to seek language education, and frequency of contact

with people from the mainstream culture

1.6.3 Perception of Self

Perception of modern self (MS) and perception of traditional self (TS) were

first defined by Nguyen et al (2009) MS and TS are characteristic factors of people

in countries with economies in transition such as Vietnam and China (Nguyen et al.,

2009) MS was defined as the degree to which an individual’s self-concept is

consistent with the norms, values, and beliefs imported from more developed

countries after the economic transition began (Nguyen et al., 2009) TS is defined as

the degree to which an individual’s self-concept is consistent with the Confucian

norms, values, and beliefs prevalent before the economic transition began (Nguyen

et al., 2009) In order to be suitable for the research subjects who are ethnic

minorities, TS is understood as “the degree to which an individual’s self-concept is

consistent with the norms, values, and beliefs of their ancestors before the economic

transition began.”

1.6.4 Individual Entrepreneurial Orientation

1.6.4.1 Entrepreneurial orientation

Rauch et al., (2009) stated that “EO may be viewed as the entrepreneurial strategy-making processes that key decision-makers use to enact their firm’s organizational purpose, sustain its vision, and create competitive advantage(s)” Though the five-dimensional definition of EO was firstly given by Lumpkin and Dess (1996), other researchers (Miller, 1983) have utilized three dimensions when measuring

EO in their studies: risk-taking, innovativeness, and proactiveness Below is the three-dimensional definition of EO:

Risk-taking Risk-taking is “the degree to which managers are willing to make large and risky resource commitments.” Individual risk-takers are ready to spend considerable levels of resources to chase entrepreneurial opportunities which may not succeed (Rauch et al., 2009)

Innovativeness Innovativeness is the degree to which an individual is relatively early in adopting innovations regarding others in a social system, as defined by Rogers (2010) Innovative individuals find creative solutions to problems

or needs (Rauch et al., 2009)

Proactiveness Proactiveness means “acting in anticipation of future problems, needs of changes.” Proactive people seek opportunities, display initiative, take action, and take all needed steps to complete an entrepreneurial opportunity (Rauch et al., 2009)

1.6.4.2 Individual entrepreneurial orientation

Researchers have noticed that research on emerging entrepreneurs has still concentrated on individuals in the higher levels of the organization, though attention has shifted from individual entrepreneurial behavior to firm-level EO and organizational entrepreneurial behavior (Lumpkin and Dess, 1996) Recently, the extension of the concept of EO to the individual level, called individual entrepreneurial orientation (IEO), has attracted more and more attention from researchers According to Covin et al (2020) IEO is “a tendency held by individual employees of the organization towards innovative, proactive, and risk-taking behaviors in the workplace.” This concept of Covin et al seems to be closely related

to the context of a business Individuals (in individual entrepreneurial orientation) are employees of the enterprise It seems that Covin et al did not consider individuals who were not members of any organizations In line with the research objectives, the concept of IEO in this dissertation has been adapted based on the concept of Covin

et al (2020) to mean IEO that is “a tendency held by individuals towards innovative, proactive, and risk-taking behaviors when they start up.”

CHAPTER 2:

STUDY 1: ANTECEDENTS OF ENTREPRENEURIAL

INTENTION AMONG MASTER’S STUDENTS

2.1 Research Context of Student Entrepreneurship and Entrepreneurial

Intention

In this study, I conduct research on the entrepreneurial intention of master’s

students, to have a clearer view of the role of entrepreneurial learning in

entrepreneurial intention The research aims to confirm that acquiring entrepreneurial

knowledge is an important antecedent of entrepreneurial intention The study also

examined the role of prior self-employment experience on entrepreneurial intention

These research results will be used as a premise to conduct further research on the

entrepreneurial intention of ethnic minorities in the next chapter

2.2 Hypothesis and Model

2.2.1 Attitude Toward Entrepreneurship (ATE)

Most of the studies on EI have found a positive influence of ATE on

entrepreneurial intention (Solesvik, 2013; Feder and Niţu-Antonie, 2017; Munir et

al., 2019; Nguyen et al., 2019a) Therefore, to examine the influence of ATE on EI

in the context of research on the entrepreneurship of master’s students in Vietnam, I

hypothesize:

H1: Attitude toward entrepreneurship positively affects entrepreneurial intention

2.2.2 The Role of Entrepreneurial Education (EE)

Some previous studies have shown the influence of entrepreneurial education on

entrepreneurial intention in different subjects, such as high-school students

(Kusumojanto et al., 2021) and higher-education students (Duong, 2021) Studies on the

role of entrepreneurial education in entrepreneurial intention also take place in different

contexts, both in countries with economies in transition, such as Vietnam (e.g., Duong,

2021b; Nguyen, 2019a) and in countries with developed economies (Duong, 2021)

Therefore, I propose the following hypothesis to test the relationship between

entrepreneurial education and the entrepreneurial intention of master’s students in

Vietnam

H2 Entrepreneurial education has positive impacts on entrepreneurial

intention

2.2.3 The Moderating Role of Prior Self-Employment Experience (PSE)

Prior self-employment experiences are expected to significantly influence a

person’s intention to become an entrepreneur (Bignotti and Le Roux, 2020) The

moderating role of prior self-employment experience with the relationship between

antecedents (e.g., entrepreneurial education, attitude toward entrepreneurship) to

entrepreneurial intention is often neglected (Walter and Heinrichs, 2015) Therefore,

we propose the following hypothesis to test the moderating role of prior self-employment experiences on the paths from entrepreneurial education to entrepreneurial intention:

H3 Prior self-employment experience (PSE) moderates the paths from (a) entrepreneurial education and (b) attitude toward entrepreneurship to entrepreneurial intention

2.2.4 Demographics

Figure 2.1: Graphic Depiction of the Conceptual Framework 2.3 Methodology

2.3.1 Sample

398 questionnaires were used for further analysis The 398-response sample comprised 182 males (45.7% of respondents) and 216 females (54.3%); two age groups were represented, consisting of students from 24–27 years old and students more than 27 years old, which accounted for 48.7% and 51.3% respectively A little more than half of the respondents did not have prior self-employment experience (55.3%) 137 students had parents who were self-employed or entrepreneurs (34.4%), while 261 respondents (65.6%) indicated that neither parent was self-employed or an entrepreneur

2.3.2 Measures and Questionnaire Development The scales used in the questionnaires have been adapted from previous studies The scale of entrepreneurial education has been adapted from study of Walter and Block (2016) and included five items The scale of entrepreneurial intention has been adjusted from Liñán and Chen (2009) and included six items All items were scored on a 5-Point Likert scale from 1 (strongly disagree) to 5 (strongly agree)

EE

EI H1(+)

PSE

H2(+)

ATE

H3a(+)

H3b(+)

Control variables

2.4 Research Results

2.4.1 Reliability and Validity of Scales

Table 2.2: KMO and Bartlett’s Test

Table 2.3: Total Variance Explained

Factor

Initial Eigenvalues Extraction Sums of Squared

Loadings

Rotation Sums of Squared Loadings a

Total % of

Variance

Cumulative

% Total

% of Variance

Cumulative

% Total

1 5.00 38.492 38.492 4.68 35.976 35.976 3.524

2 2.89 22.219 60.712 2.53 19.433 55.409 3.89

3 1.49 11.422 72.134 1.13 8.691 64.1 3.005

Source: Author’s survey data Table 2.4 and 2.1: EFA and Cronbach’s Alpha

Correlation

Cronbach's Alpha If

EI’s Cronbach’s Alpha = 916

ATE’s Cronbach’s Alpha = 895

EE’s Cronbach’s Alpha = 818

Source: Author’s survey data

Figure 2.2: CFA Analysis Table 2.6: Correlation Matrix, Construct Reliability and Discriminant

Validity

Source: Author’s survey data 2.4.2 Descriptive Statistics of the Observed Variables of the Factors in the Model 2.4.3 Structural Model Analyses

Hypothesis H1 and H2 are accepted Hypothesis H3b is supported, and hypothesis H3a is not supported

Figure 2.3: Structural Model

Source: Author’s survey data

2.5 Discussion of the Results of Study 1

Research results show that attitude towards entrepreneurship positively affects

entrepreneurial intention However, prior self-employment experience does not

moderate the relationship between attitude towards entrepreneurship and

entrepreneurial intention This result can come from the characteristics of the

master’s student object They are well-trained people, and may consider the

knowledge gained from previous self-employment experience minor, fragmented,

and unlikely to help them run a better business The important role of entrepreneurial

education with entrepreneurial intention is consistent with some previous studies

around the world (e.g.,Walter and Block, 2016) and in Vietnam in particular (e.g.,

Hoang et al., 2020) The results of hypothesis testing also support the above

arguments that individuals with prior self-employment experience will quickly grasp

entrepreneurial knowledge because they have previous experience in management

and entrepreneurship

CHAPTER 3:

STUDY 2: ANTECEDENTS OF EI AMONG ETHNIC MINORITIES IN

MOUNTAINOUS REGIONS 3.1 Reasons for Studying Ethnic Minorities

Ethnic minorities in the northern mountainous region of Vietnam play an

important role in national security, but most people living there still have a low

standard of living (The World Bank, 2022) In order to effectively support ethnic

minorities’ startups, it is necessary to better understand the factors affecting the

ethnic minorities’ EI

3.2 Phase 1: Qualitative Study

3.2.1 Research Objectives

In this phase, the author explored some main factors influencing intention to

start a business among the ethnic minorities in the northern mountainous region of

Vietnam, from an entrepreneurial learning perspective Specifically, I explored the

role of acculturation, past experience in self-employment, self-concept (i.e.,

traditional self or modern self), and IEO, and their influence on EI

3.2.2 Research Methods

This study used a qualitative research approach Specifically, the in-depth

interview method was employed as the main method of data collection In addition,

field visits were conducted and observation methods also helped to add more data to

interview data

3.2.2.1 The subjects

Table 3.1: The Characteristics of the Subjects

3.2.2.2 Data collection and analysis

In this study, ten out of twelve subjects were interviewed at their homes, for their convenience Two interviews were conducted at cafés since the subjects were out of their hometowns

3.2.3 Research Findings Several themes emerged from the interviews with ethnic minority people that are presented in the following

3.2.3.1 The role of acculturation and past experience in self-employment

Our informants often expressed that they learned to recognize opportunities and the ways to start and run a business through their contacts and interactions with experienced people (i.e., “experts”) in their networks who are Kinh people

All the informants with entrepreneurial intention participating in interviews demonstrated a significant level of cultural interference such as in the language they use daily

The Role of Prior Self-Employment Experience Several informants in our study suggested the important role of experience in self-employment in fostering one’s intention to become an entrepreneur The following is an example

3.2.3.2 The role of IEO

Risk-Taking When I asked about some of the defining characteristics of people who intend

or have started a business, some of the terms commonly mentioned by our respondents were “take the risk,” “accept the risk,” and “reckless.”

Innovativeness

When asked about the characteristics of people who intend to start a business

or have started a business, the terms “idea,” “think,” and “difference” appeared a lot

in the interviewees’ responses

Proactiveness

Interviewees also often mentioned proactiveness terms such as “myself,”

“herself,” and “stand on my two feet.” These terms are consistent with the proactiveness

characteristics of individual entrepreneurship orientation (Rauch et al., 2009)

3.2.2.4 The role of traditional self and modern self

When asked about common characteristics of those people who have intention

or willing to start a business, our informants often mentioned some terms such as

“being open-minded,” “having a wide network,” and “being able to recognize the

business opportunities.” These characteristics are in line with the concept of the

modern self as developed by Nguyen et al (2009)

In contrast, from our interviews, those who are associated with low or no

intention to start up a business often stick to tradition, closely follow the traditional

customs and habits, and hesitate to change They perhaps share some common

characteristics of people holding a high level of traditional self (Nguyen et al., 2009)

The following is an example

3.3 Phase 2: Quantitative Study

3.3.1 Hypothesis and Research Model

3.3.1.1 Attitude toward entrepreneurship (ATE)

Similar to study 1, I propose following hypothesis

H1: Attitude toward entrepreneurship positively affects entrepreneurial intention

3.3.1.2 Acculturation and entrepreneurial intention

Nwankwo (2005) suggested that “acculturation is likely to have a determinant

effect on the success of ethnic entrepreneurship – another area that deserves further

probing” Acculturation affects EI in two ways The first is indirect influence through

ATE The second is the direct influence on EI From another angle, Evansluong et

al (2019) have shown that ethnic minorities entrepreneurs often integrate with locals

through communication in the native language to better understand the needs and

wants of local customers From another angle, Rae (2005) has pointed out that

potential entrepreneurs can learn entrepreneurship by contextual learning,

specifically opportunity recognition through cultural participation, and thereby

promote their entrepreneurial attitudes and intentions (Rae, 2005) Based on the

above arguments, I propose the following hypothesis:

H2: Acculturation positively affects ATE

H3: Acculturation positively affects EI

3.3.1.3 Perception of modern self (MS) and perception of traditional self (TS) Meanwhile, entrepreneurship is a complex process involving many activities, involving high risk and uncertainty (Shirokova et al., 2016) but brings entrepreneurs autonomy (Gelderen, 2016; Shir et al., 2019) Thus, we argue that an individual with

a highly modern self-perception will have a positive attitude toward entrepreneurship

In other words, for people with a modern self, entrepreneurship can be a desirable career choice In addition, individuals with high modern self are often young They prefer to explore new experiences (Nguyen et al., 2019b) Consequently, they will tend

to be more open to other cultures Thus, they will have a higher level of acculturation From the above arguments, we formulate the following:

H4 Perception of modern self positively affects (a) attitude towards entrepreneurship, (b) acculturation

Individuals who hold a higher perception of traditional self often appreciate a thrifty and stable life (Nguyen et al., 2009), and are afraid of change and risks Accordingly, they prefer to be an employee than be an entrepreneur Therefore, individuals with higher perception of traditional self may have a negative attitude toward entrepreneurship Furthermore, individuals with high traditional self are often older people In Asian culture, older people tend to be afraid of change and they prefer a stable life (Nguyen et al., 2019b) Thus, they are likely to disagree with the acculturation process Based on these arguments, we propose the following hypotheses:

H5 Perception of traditional self negatively affects (a) attitude towards entrepreneurship, (b) acculturation

3.3.1.4 Individual entrepreneurial orientation (IEO)

Many studies on entrepreneurial intention have shown that individual entrepreneurial orientation plays an important role in influencing entrepreneurial intention (Ferreira et al., 2017; Lindberg et al., 2017; Sahoo and Panda, 2019; Falcão

et al., 2022) I propose the following hypotheses:

H6: (a) innovativeness, (b) Proactiveness, and (c) Risk-taking positively affects entrepreneurial intention

3.3.1.5 The moderating role of prior self-employment experience

Similar to Study 1, in this study I propose the following hypotheses:

H7 Prior self-employment experience (PSE) moderates the paths from (a) acculturation and (b) attitude toward entrepreneurship to entrepreneurial intention 3.3.1.6 Demographics

Demographic characteristics are often used as control variables in studies on human behavior in general and on entrepreneurship behavior in particular

3.3.1.7 Research model

Figure 2.4: Research Model 3.3.2 Research Methods

3.3.2.1 Sample and data collection

A convenience/quota sample was collected from IEMs in 10 mountainous

provinces in northern Vietnam, including Lao Cai, Ha Giang, Dien Bien, Cao Bang,

Son La, Yen Bai, Bac Kan, Tuyen Quang, Phu Tho, and Thai Nguyen

Age

(Range from 18 to 60

years old)

Education

graduated from post-university

Prior Self-employment

experience

Population

Over one million: Hmong,

Less than one million: Dao, Kho Mu, Lu, San Chi, and San Diu

Control variables

H1 (+) H2 (+)

H3 (+)

H4a (+)

H5a (-)

H5b (-)

H4b (+)

Acculturation

MS

TS

ATE

EI

H6a (+)

PSE H7b (+) H7a (+)

3.3.2.2 Questionnaire development

Attitude Toward Entrepreneurship (five items) and Entrepreneurial Intention (six items) scale adapted from Liñán and Chen (2009) Acculturation Scale (ten items) adapted from Ryder (2000) TS (five items) and MS (five items) scale from Nguyen et al (2009) IEO scale (ten items) from Bolton and Lane (2012)

3.3.3 Pilot Research 3.3.4 Research Results 3.3.4.1 Reliability and validity of scales

Exploratory factor analysis by EFA and reliability testing by Cronbach’s alpha TS’s AVE did not pass, with only 0.475 < 0.5 The software recommended removing the observation variable TS1; after removing this observation, EFA and Cronbach’s alpha were performed again

KMO and Bartlett’s test

Table 3.8: KMO and Bartlett’s Test

Bartlett's Test of Sphericity

Source: Author’s survey data Table 3.9: Coefficients of Eigenvalues and Extracted Variance

Factor

Initial Eigenvalues Extraction Sums of Squared

Loadings

Rotation Sums of Squared Loadings a

Total % of Variance

Cumulative

% Total

% of Variance

Cumulative

% Total

1 11.673 29.182 29.182 11.373 28.433 28.433 9.339

2 3.689 9.222 38.404 3.38 8.45 36.882 7.323

3 3.111 7.778 46.182 2.733 6.832 43.715 7.425

4 2.953 7.381 53.564 2.534 6.335 50.05 4.818

5 2.079 5.197 58.761 1.719 4.298 54.347 3.939

6 2.000 5.000 63.761 1.583 3.958 58.305 3.126

7 1.576 3.939 67.7 1.151 2.877 61.182 2.343

8 1.452 3.629 71.329 1.011 2.527 63.709 2.134

9 0.773 1.933 73.262

40 0.099 0.248 100