Background
1.1.1 History of entrepreneurship in Vietnam
During Vietnam's Subsidy Period, the government tightly controlled the economy, requiring citizens to use coupons or food stamps for purchasing essential goods and services This system fostered nepotism, as those in government positions received more coupons and had access to exclusive shops, while ordinary citizens often spent entire days waiting in line for basic commodities like rice In 1986, the Vietnamese government initiated the "Doi Moi" campaign, a strategy aimed at gradually integrating the country into the global economy This political and economic renewal promoted a balanced development of both industry and agriculture through a combination of state, collective, and private ownership, marking a significant shift from a centrally planned economy to a form of market socialism.
The socialist-oriented market economy in Vietnam has significantly benefited from the establishment and growth of private businesses and foreign investments, which are vital for economic development By the late 1990s, over 30,000 private enterprises had emerged, contributing to an annual growth rate exceeding 7% However, a 2014 report by the Bertelsmann Stiftung’s Transformation Index highlighted structural challenges in the banking sector and state-owned enterprises, resulting in a reduced growth rate of only 5.03% in 2012, marking the fifth consecutive year of below-average growth In contrast, the private sector has demonstrated its importance by accounting for approximately 60% of the nation's GDP, showcasing its role in enhancing the country's wealth.
Vietnam's economic progress is evident, with GDP growth consistently positive over the past decade In 2012, the income per capita rose to $1,523 from $1,224 in 2010, marking a significant achievement as the country transitioned to middle-income status according to World Bank criteria The private sector played a crucial role, contributing to 29% of the national budget through taxes in 2010, up from 18% in 2006, and creating 3.2 million jobs during the 2006-2010 period—four times more than state-owned enterprises The investment capital ratio for the private sector was 36.1% in 2010 and 35.2% in 2011, highlighting the need for continued support for private enterprises to ensure sustainable growth.
The Company Law and Law on Private Enterprise, initially adopted in 1990 and revised into the New Enterprise Law in 1999, fostered a favorable environment for entrepreneurial activities in Vietnam This updated legislation eliminated unnecessary business license restrictions across 145 industries, facilitating private market entry Additionally, it permitted private investment funds, complementing the existing public investment capital sourced from the state budget.
Following the implementation of the New Enterprise Law in 2001, the number of new enterprises surged to 35,447, surpassing the total generated by the previous Company Law and Law on Private Enterprise over eight years This significant growth led to the emergence of a new class of professionals known as "entrepreneurs."
Entrepreneurship development through Small and Medium Enterprises (SMEs) has become a significant driver for socio-economic diversification, promoting de-collectivization SMEs are officially defined in document 681/CP-KNT issued by the government.
1998 Accordingly, SMEs are those independent business and production establishments that have registered their business under the current legislation
Small Enterprises are defined as those with registered capital of less than VND 1 billion and a maximum of 50 employees In contrast, Medium Enterprises are characterized by capital ranging from VND 1 billion to VND 5 billion and an employee count between 51 and 200.
Vietnam's entrepreneurial landscape has been significantly shaped by prominent figures such as Pham Nhat Vuong of Vingroup, Đang Le Nguyen Vu of Trung Nguyen, and Le Phuoc Vu of Ton Hoa Sen Recently, a surge in entrepreneurial activity has emerged, particularly among the youth and university students, highlighting its growing importance in Vietnam's economy Popular search terms like "Doanh nhan tai Viet Nam" yield over 14 million results, while "Khoi nghiep kinh doanh tai Viet Nam" generates over 1 million results, reflecting the vibrant ecosystem of websites, associations, and competitions dedicated to entrepreneurship This dynamic environment encompasses a diverse range of participants, from local Vietnamese to expatriates, as startups increasingly become a trend with high expectations for their future impact Factors driving this self-employment trend include high unemployment rates, low opportunity costs for starting businesses, unfavorable conditions for office workers, and family traditions encouraging entrepreneurship.
Regarding this, Ngan (2013) figured out some figures from General Statistic of Vietnam as a good explanation for the high rate of startups in Vietnam In
2013, 76,955 enterprises were established (10.1% higher than 2012); however, 60,737 enterprises went bankrupt or stopped operating (12.0% higher than
2012) The reasons of declaring bankruptcy included continuing losses (56.4%), management ability (5.1%) and lack of capital and market (38.5%)
Diep (2013) reported that the number of unemployed graduates aged 21 to 29 reached 101,000, representing 9.89% of the total unemployment rate.
Research gap
Recent decades have seen a significant increase in the research on entrepreneurship, as noted by Alfonso and Cuevas (2012), who highlight its vital role in economic growth, revitalizing productive structures, and generating employment Krueger et al (2000) emphasize the growing need to predict individuals' behavioral intentions in relation to starting their own businesses Additionally, Tung and Mui (2011) point out that numerous studies have extensively explored personal and environmental factors influencing entrepreneurial intent, including personality traits, attitudes, and social environments.
Despite the growing trend of new business ventures in Vietnam, research on entrepreneurial intentions remains limited, particularly regarding cognitive-based factors Previous studies have shown inconclusive results and insufficient explanations of external influences on entrepreneurial intent This study aims to explore the impact of Ajzen's model variables—attitude, social norms, and perceived behavioral control—alongside the personality scale by Batteman & Crant (1993) to predict the entrepreneurial intentions of business students in Vietnam The research highlights the significance of combining these four antecedents, marking a novel contribution to the existing literature on entrepreneurship.
Research objectives
This study utilizes Ajzen's (1991) theory of planned behavior, which comprehensively encompasses the key factors influencing entrepreneurial intention as identified in existing literature Additionally, it examines the impact of proactive personality, as proposed by Batteman and Crant (1993), on entrepreneurial intent.
This study utilizes SPSS to analyze the impact of key factors on entrepreneurial intention and to determine if this intention effectively predicts the behavior of business students in Vietnam regarding new venture creation, specifically in starting a business.
Research scope
This study examines business students and alumni from both local and foreign universities in Vietnam, specifically targeting those enrolled in Advanced Diploma, Bachelor, MBA, and second-degree programs at institutions such as the University of Economics (UEH), International Business School (ISB - UEH), ERC International Business School, and Foreign Trade University (FTU) Data was collected through questionnaires during July and August of 2014.
Contributions and implications
This research enhances the understanding of cognitive processes that drive entrepreneurial activities and their measurement, while also assessing the generalizability of the model in Vietnam It serves as a valuable resource for individuals considering entrepreneurship, as well as for educators, investors, economists, and policymakers aiming to foster entrepreneurial activity and stimulate economic development.
Structure of the research
The research is derived from general introduction to the literature review and hypothesis development, and the research methodology Chapter one named
This article begins with an introduction that outlines the research problem and highlights the significance of studying the factors influencing entrepreneurial intent in Vietnam Chapter two, titled "Literature Review," delves into fundamental concepts and the development of hypotheses related to the research model Chapter three, "Research Methodology," details the approach taken to conduct the study, while chapter four, "Data Analysis," presents the collected data to inform the conclusions and recommendations in the final chapter of the research.
Theoretical background
2.1.1 The application of Ajzen’s (1991) Theory Planned Behaviour (TPB) model in predicting entrepreneurial intent
Many entrepreneurship studies have been done in an attempt to identify the situational and environmental factors that predict entrepreneurial behavior
Krueger et al (2000) assert that intentions are the most reliable predictor of planned behaviors, including entrepreneurship, as entrepreneurial activity is inherently intentional When behaviors are challenging to observe, intentions provide essential insights into the underlying processes, with external factors influencing intentions and behaviors indirectly through attitude changes (Ajzen, 1991) Segal et al (2005) further support this notion, indicating that external forces do not directly correlate with entrepreneurial activity but serve as triggers that create a supportive environment for entrepreneurship Many contemporary entrepreneurship models are grounded in cognitive processes, emphasizing salient beliefs in entrepreneurial performance Shapero’s (1982) model of the “Entrepreneur Event” (SEE) aligns with this cognitive approach, identifying three key factors influencing entrepreneurial intention: perceived desirability, perceived feasibility, and the propensity to act on opportunities Additionally, entrepreneurial intention can be enhanced through various means.
Displacement events, such as social pressure, significantly influence individual desirability and credibility Additionally, having family members who are self-employed can enhance the impact of social pressure on entrepreneurial intentions, as noted by Shapero and Sokol.
In 1982, a three-step venture creation process was established: the preliminary phase, where "displacement" events motivate individuals to consider entrepreneurship; the transforming phase, where various circumstances such as training, education, and support from family or friends help shape potential entrepreneurs; and the deciding phase, where access to financial, human, or technical resources encourages individuals to take the leap into entrepreneurship.
Alfonso and Cuevas (2012) summarize Shapero’s study, indicating that an individual's intent to launch a new venture is influenced by their desirability and feasibility, which are activated by their propensity to act on opportunities and a displacement event Additionally, Krueger et al (2000) demonstrate that potential venture creation must be established prior to the displacement, with a subsequent propensity to act.
Figure 2.1 Shapero’s (1982) model of the “Entrepreneur Event” (SEE)
The theory of planned behavior (TPB), proposed by Ajzen in 1991, serves as a key framework for understanding individual actions Engle et al (2008) explored this theory in their research across twelve countries, focusing on behaviors related to venture creation Their findings highlight the use of cognitive theory as a method for explaining specific individual actions.
Propensity to act Intention tot nghiep down load thyj uyi pl aluan van full moi nhat z z vbhtj mk gmail.com Luan van retey thac si cdeg jg hg
Cognitive processes encompass the perception, storage, retrieval, response, and evaluation of information, yet they often leave individuals "lost in thought," which can obscure the understanding of the motivations behind their actions (p.37) Segal et al (2005) highlight that throughout the history of research on predicting behavioral intentions, the Theory of Reasoned Action (TRA) developed by Fishbein and Ajzen in 1975 has been a foundational framework.
Ajzen & Fishbein, 1980) and the theory of planned behavior (TPB) (Ajzen,
The Theory of Reasoned Action (TRA), developed in 1987 and 1991, is widely utilized and comprises two key constructs: attitude towards the behavior and subjective norm The Theory of Planned Behavior (TPB), introduced by Ajzen in 1991, extends the TRA by incorporating an additional construct known as perceived behavioral control (PBC), addressing the limitations of the original theory.
Figure 2.2 Ajzen’s theory of planned behavior (1991)
Attitude toward behavior reflects an individual's positive or negative evaluation of a specific behavior, shaped by their overall beliefs about various outcomes and attributes.
In their 2008 study, Engle et al highlighted the findings of McClelland, Shapero, Val Gelderen, and Jasen (1991), which identified three key variables that shape the construct of "attitude toward the behavior": autonomy, personal wealth, and achievement motivation.
Specifically, autonomy includes the concepts of “independence” and
“freedom”, personal wealth is often accepted as a financial motivation and achievement motivation can be described as the need an individual places on
Success is defined by the extent to which an individual sets and pursues their goals Typically, a strong belief in the positive outcomes of intentional actions correlates with a more favorable attitude towards those behaviors.
Subjective norm refers to the “likelihood that important referent individuals or groups approve or disapprove of performing a given behavior.” (Ajzen,
In 1991, it was noted that an individual's perception of social support significantly influences their behavior Bandura (1977b) observed that people are more likely to adopt behaviors modeled by family, friends, or mentors, particularly when those behaviors yield positive outcomes Additionally, Gopi and Ramayah (2007) highlighted findings from Vankatesh and Davis (2000) indicating that social influence and pressure can compel individuals to engage in behaviors, even if they personally disagree with them.
Perceived behavioral control refers to an individual's belief in their ability to achieve desired outcomes Even with a positive attitude and supportive social norms, a person may struggle to adopt a behavior due to limited opportunities and resources Ajzen (1991) introduced the concept of perceived behavioral control to address situations where individuals lack full control over their actions This perception is shaped by personal experiences, information exchange with the environment, and various factors that affect the perceived difficulty of performing the behavior.
Entrepreneurship is characterized by a mindset that prioritizes opportunities over threats, making it an intentional process where intentions are strong predictors of planned entrepreneurial activities This study highlights that while personal and situational factors may indirectly influence entrepreneurial actions, intention-based models provide valuable insights into the psychological aspects of individuals and the external factors affecting new venture creation (Krueger et al., 2000) Ajzen’s (1991) Theory of Planned Behavior (TPB) is widely recognized for predicting the intention to start new ventures, extending beyond just entrepreneurial behavior to encompass various types of conduct (Alfonso & Cuevas, 2012).
The 1991 model by Ajzen has been extensively validated through numerous studies on entrepreneurial intention, both at micro and macro levels (Krueger and Brazeal, 1994; Krueger et al., 2000; Engle et al., 2008), demonstrating that behavioral intent is a strong predictor of actual behavior Additionally, Christopher and Michael (2014) conducted a meta-analysis confirming that the relationships between attitude and entrepreneurial intent, social norms and entrepreneurial intent, and perceived behavioral control and entrepreneurial intent are all positive and statistically significant.
2.1.2 Proactive Personality (Batteman and Crant, 1993) in predicting entrepreneurial intent
Batteman and Crant (1993) introduced the Proactive Personality concept, characterized by a 17-item measurement scale that reflects a stable behavioral tendency distinct from self-consciousness, need for achievement, need for dominance, and locus of control Individuals exhibiting proactive behavior actively influence their environments; they are not easily constrained by situational factors Such proactive personalities are adept at identifying opportunities, demonstrating initiative, taking decisive action, and persisting until they achieve meaningful change.
Review on “Entrepreneurial intent”
Entrepreneurship is the process of converting innovation into new products, services, or businesses to capitalize on market opportunities.
Entrepreneurship is a way of thinking that emphasizes opportunities over threats The opportunity identification process is “clearly an intentional process, and, therefore, entrepreneurial intention clearly merit our attention”
According to Krueger et al (2000), human behavior is often intentional, indicating that the establishment of a new firm is not merely a reaction to external stimuli This perspective is supported by the findings of Alfonso and Cuevas.
According to a 2012 study, the intention to start a business often precedes entrepreneurial actions and is influenced by various factors It is suggested that by managing these elements, we can positively impact entrepreneurial intent, which in turn can enhance venture creation and entrepreneurial activities within a specific region, ultimately contributing to economic growth.
Conceptions of Individual Entrepreneurial Intent According to Thompson
The concept of "entrepreneurial intent" has been emphasized as a crucial factor in the formation of new business ventures, closely linked to various elements such as career orientation, vocational aspirations, nascent entrepreneurs, attitudes towards self-employment, and the desire for business ownership.
Clarifying the concept of individual entrepreneurial intent is essential, as the intent to own a business or be self-employed differs significantly from the act of establishing a new firm For instance, an individual may own a business by purchasing an existing company and appointing managers to operate it, without engaging in entrepreneurial activities Additionally, one can also become a business owner by acquiring a franchise or the rights to sell a product.
Secondly, he distinguishes the term “nascent entrepreneurs” from
“entrepreneurial intent” “Nascent entrepreneurs” is often referred to
A nascent entrepreneur is defined as an individual whose intention to start a business has evolved from initial interest to a more advanced stage, where concrete actions are being taken to establish a new firm This process involves multiple stages, beginning with the awareness of the desire to become an entrepreneur and culminating in the operational phase, which includes tasks like creating a legal structure and hiring personnel Furthermore, entrepreneurial intent is distinct from entrepreneurial disposition; individuals with entrepreneurial intent have consciously considered the possibility of starting a business in the future, while those with merely an entrepreneurial disposition may lack this awareness or may even dismiss the idea of a startup This study aligns with Thompson (2009), affirming that individuals with entrepreneurial intent meet specific criteria that distinguish them in the entrepreneurial landscape.
Individual entrepreneurial intent is defined as a self-recognized conviction to start a business venture, as noted by Thompson (2009) This intent may exist even if individuals do not establish a business due to unforeseen circumstances Those who take proactive steps toward launching a firm may transition into nascent entrepreneurs, making entrepreneurial intent a crucial factor for this group Prabhu et al (2011) support this notion, indicating that individuals with entrepreneurial intent are more likely to engage in business activities than those without While actual behavior may diverge from intentions, the intent to act can be a predictor of real actions, as highlighted by Engle et al (2008) However, this definition may not fully apply to the Vietnamese market, where entrepreneurship is shaped by a diverse community with varying backgrounds Do (2009) identifies three criteria for Vietnamese entrepreneurs: they aim to earn profits through marketable products or services, possess the necessary resources and psychological traits for business, and rely on their ventures as their primary source of income, ensuring their and their families' livelihoods.
In this study, "individual entrepreneurial intent" refers to a person who aspires to start a business and actively plans to do so in the future, regardless of whether they have actually established a new venture due to unforeseen circumstances To qualify as having entrepreneurial intent, the business must meet three specific criteria: it should not be of too small a scale, it must possess a sufficient level of manufacturing skills, and it should offer products or services in the market Individuals who do not meet these criteria are not considered to have entrepreneurial intent.
Hypotheses development
According to Ajzen's theory of planned behavior (1991), an individual's intention to perform a behavior is stronger when the three antecedents are favorable He emphasized that "the stronger the intention to engage in a behavior, the more likely should be its performance" (Ajzen, 1991, p 188) This theory posits that behavioral performance can be predicted based on a person's plans and intentions regarding the behavior, highlighting the critical role of intentions in influencing actions.
Motivational factors play a crucial role in influencing behavior, reflecting the level of effort individuals are willing to invest to perform a specific action Generally, a stronger intention to engage in a behavior correlates with a higher likelihood of actually performing that behavior (Ajzen, 1991, p.181, as cited in Engle et al., p.38).
Attitude toward entrepreneurship is defined as an individual's evaluation of performing a specific behavior, which can be either positive or negative (Fishbein & Ajzen, 1975) This definition has evolved to emphasize that attitude reflects the degree to which an individual feels favorably or unfavorably about a psychological object (Ajzen & Fishbein, 2000) This construct highlights the importance of the desire for success, representing a person's effort to achieve their goals.
Attitude toward entrepreneurship refers to an individual's feelings, which can be either favorable or unfavorable Research by Krueger et al (2000) demonstrates that intentions can effectively predict behavior, with attitudes accounting for over 50% of the variance in intentions According to Alfonso and Cuevas (2012), Latin America exhibits generally favorable attitudes toward entrepreneurship, making business initiation a common occurrence; stronger positive attitudes correlate with increased entrepreneurial intentions and greater chances of starting a business Additionally, a study by Solesvik (2012) highlights a positive relationship between attitude and entrepreneurial intent among students in Ukraine, indicating that negative perceptions of business conditions—such as difficulty, risk, or low benefits—can lead to unfavorable attitudes toward entrepreneurship.
Krueger et al (2000) emphasize that an individual's attitudes significantly influence the decision to start a business, often occurring well before entrepreneurs actively seek out opportunities This phenomenon can be understood through the idea that we tend to favor behaviors we perceive as having positive outcomes while developing negative attitudes towards those associated with unfavorable results.
(Ajzen, 1991, p 191), i.e., those entrepreneurs expect that the outcomes of the behavior will satisfy their needs and wants Following on that, Krueger et al
Research indicates that university business students with positive attitudes toward entrepreneurship are likely to express vocational preferences during critical career decision-making moments The findings support the hypothesis that a strong belief in the positive outcomes of entrepreneurship correlates with a more favorable attitude toward pursuing entrepreneurial ventures.
H1: There is a positive relationship between attitudes toward entrepreneurship and entrepreneurial intention
Social norms play a crucial role in shaping entrepreneurial intentions, as they reflect the approval or disapproval from significant individuals or groups regarding the establishment of a new business (Krueger et al., 2000) This construct is influenced by perceptions of family, friends, and mentors (Ajzen, 1991) Research presents mixed findings on the relationship between social norms and entrepreneurial intention, with some studies indicating no significant correlation, while others demonstrate a strong link, particularly within the frameworks of the Theory of Reasoned Action (TRA) and the Theory of Planned Behavior (TPB) (Gopi & Ramayah, 2007) Notably, a study by Engle et al (2008) across twelve countries found that social norms significantly predict entrepreneurial intent, with Costa Rica showing that they accounted for 40% of the variance in such intentions This suggests that social norms can motivate individuals to pursue entrepreneurship even in adverse conditions, often influenced by the entrepreneurial experiences of those close to them Ultimately, the impact of social influence and pressure is evident in the decision-making process of aspiring entrepreneurs (Gopi & Ramayah, 2007).
In many high-income European countries, the lack of an "Entrepreneurial Culture" diminishes the desire to pursue entrepreneurship This is largely due to significant bureaucratic hurdles and stringent worker protections, which create a high opportunity cost for self-employment compared to other options The study supports the hypothesis that social norms positively influence entrepreneurial intentions.
H2: There is a positive relationship between social norms toward entrepreneurship and entrepreneurial intent
Perceived behavioral control toward entrepreneurship Alfonso and Cuevas
Research indicates that even with a positive attitude and support from loved ones, behavior change may be hindered by factors such as opportunities and resources, including money, time, and skills Ajzen (1991) acknowledged the limitations of the Theory of Reasoned Action (TRA) and introduced a new factor, perceived behavioral control, which reflects an individual's perception of their ability to achieve specific outcomes This addition addresses the shortcomings of the original model, establishing a more comprehensive understanding of behavioral intent.
A positive attitude and supportive subjective norms towards a behavior, combined with a high level of perceived behavioral control, significantly enhance an individual's intention to engage in that behavior.
According to Ajzen (1991), a stronger intention to engage in a behavior significantly increases the likelihood of its execution This highlights the importance of personal capability in initiating a business, which is crucial for entrepreneurial intentions (Scherer et al., 1989, as cited in Krueger and Brazeal, 1994).
This construct is alternatively called self-efficacy (Byabashaija & Katono,
Entrepreneurs are distinguished by their belief in their capabilities to overcome obstacles, which influences their intention to pursue new business ventures (Krueger and Brazeal, 1994) This paper posits that the more credible information and support an individual receives, the stronger their belief in their ability to establish a business becomes Consequently, this belief drives them to consciously plan and take action towards becoming an entrepreneur in the future.
H3: There is a positive relationship between perceived behavioral control toward entrepreneurship and entrepreneurial intent
The Proactive Personality scale developed by Batteman and Crant (1993) highlights individual differences in how people influence their environments A typical proactive individual actively seeks opportunities, demonstrates initiative, takes decisive action, and persists until significant change is achieved (Crant, 2000) This proactive disposition serves as a bridge between potential entrepreneurial orientation and one's perception of the environment.
215 presidents of small companies explores the relationship between proactive personality and entrepreneurial behavior, Becherer and Maurer (1999) indicate that a proactive personality disposition is related to entrepreneurship
A proactive president is more inclined to establish an organization that actively seeks opportunities and adopts an aggressive market strategy Analysis of variance indicates that such proactive leaders are more likely to initiate new businesses rather than acquiring or inheriting existing ones.
In addition, another typical proactive personality study of Crant (1996) present data from undergraduate and MBA students demonstrating a positive correlation between proactive personality and entrepreneurial intent (r =.48)
Proactive personality accounts for an additional 17% of the variance in entrepreneurial intention, even when considering factors such as gender, education, and the influence of entrepreneurial parents This indicates that a proactive personality significantly enhances the likelihood of pursuing entrepreneurial endeavors.
H4: The extent to which people possess a proactive personality will be positively associated with entrepreneurial intent
The proposed model is developed based on the above hypothesis which developed from Ajzen’s Theory of planned behavior (1991) and Proactive Personality construct (Batteman & Crant, 1993) applying on entrepreneurial intent
Perceived behavioral control toward entrepreneurship
H4 tot nghiep down load thyj uyi pl aluan van full moi nhat z z vbhtj mk gmail.com Luan van retey thac si cdeg jg hg
Research design
The research design began with identifying the research objective, followed by a literature review to gather relevant concepts related to the theory of planned behavior and proactive personality, and their impact on the dependent variable, "entrepreneurial intent." A proposed model was then developed to align with the specific context of Vietnam Subsequently, the paper detailed the research methodology, including data collection methods, sources, measurement scales, sampling techniques, and data analysis methods.
A comprehensive questionnaire, adapted from previously studied scales and translated into Vietnamese, was developed A pilot test involving 20 business students in Ho Chi Minh City was conducted to ensure clarity and understanding of the final questions, as well as to estimate an appropriate sample size and refine the study design before the full-scale research Following the pilot test, the finalized questionnaire was distributed in both English and Vietnamese to business students at local and foreign universities in Vietnam After collecting the responses, data analysis was performed to extract insights and provide valuable recommendations for entrepreneurial activities in Vietnam.
Measurement scales
This study aimed to examine the factors influencing the entrepreneurial intent of business students in Vietnam, utilizing scales derived from Ajzen’s Theory of Planned Behavior (TPB) model, which includes attitude, social norms, and perceived behavioral control, alongside the proactive personality construct established by Batteman and Crant in 1993.
An individual with "entrepreneurial intent" is someone who desires to start a business and actively plans to do so in the future, even if they have not yet established a new venture due to unforeseen circumstances This concept is closely related to the "attitude towards becoming an entrepreneur."
The study specifically addressed entrepreneurial activity by examining "social norms towards entrepreneurship" and "perceived behavioural control" (Solesvik, 2012) The "proactive personality" construct was evaluated using a 17-item scale developed by Batteman and Crant (1993), while "entrepreneurial intent" was measured based on the scale from Engle et al (2008) A personal coding system and a seven-point scoring scale were utilized, where a score of 1 indicated "absolutely disagree" or "extremely low level," a score of 4 represented "neutral," and a score of 7 denoted "absolutely agree" or "extremely high level."
Construct 1- Attitude toward entrepreneurship Solesvik
Being an entrepreneur implies more advantages than disadvantages to me
A career as an entrepreneur is attractive for me
If I had the opportunity and resources, I would love to start a business
Being an entrepreneur would give me great satisfaction
Among various options, I would rather be an entrepreneur
Construct 2 - Social norm toward entrepreneurship
My closest family members, friends, and other important individuals in my life believe that I should pursue a career as an entrepreneur This raises the question of how much their opinions influence my decision to become self-employed.
SN5 To what extent do you care about what your closest friends think as you decide on whether or not to pursue a career as self- employed?
Construct 3 - Perceived behavioural control toward entrepreneurship
I have the potential to become an entrepreneur, as I would have significant control over my business The factors that could hinder my entrepreneurial journey are minimal and largely within my control Ultimately, the decision to pursue entrepreneurship rests entirely with me.
Construct 4 - Individual's proactive personality Batteman and Crant
I am always seeking new ways to enhance my life and make a positive impact in my community and beyond While I often allow others to initiate new projects, I have consistently been a strong advocate for constructive change wherever I go I thrive on overcoming challenges related to my ideas, and there is nothing more exhilarating than witnessing them come to fruition When I encounter something unsatisfactory, I take the initiative to address and improve it.
I am committed to turning my beliefs into reality, regardless of the challenges I face I take pride in championing my ideas, even when they encounter opposition My strength lies in recognizing opportunities and continuously seeking improved methods to achieve my goals If I am passionate about an idea, no obstacle can deter me from pursuing it.
I thrive on challenging the status quo and confront problems directly My strength lies in transforming challenges into opportunities, allowing me to recognize valuable prospects ahead of others Additionally, I am always ready to assist those in need, offering help in any way possible.
Construct 5 - Entrepreneurial intent Engle et al
EI1 To what extent have you considered starting your own business?
EI2 To what extent have you prepared to start your own business?
EI3 How likely is it that you are going to start your own business within the next five years?
Sampling design
This study focused on university business students and alumni in Vietnam, encompassing both local and transitional business universities A convenient sampling method was employed, with questionnaires distributed to students enrolled in Advanced Diploma, Bachelor, MBA, and second-degree programs at the University of Economics (UEH), International Business School (ISB - UEH), ERC International Business School, and Foreign Trade University The research was conducted during July and August of 2014.
According to Williams et al (2010), as sample size is important in factor analysis, there are several guiding rules of thumb are cited in the literature
The minimum sample size required for the study was 170, calculated based on the guideline that it should be at least five times the number of items, with a minimum threshold of 100 samples (Hair et al., 2010) This ensures that the sample size meets the necessary criteria for robust analysis.
In addition, based on four independent factors of the conceptual model, the multiple regression analysis required sample size at least (Tabachnick &
50 + (8xm) = 50 + (8x4) = 82 samples (Where m: is the number of independent factors of the model)
Hair et al (1998) emphasized that factor loading is a crucial criterion for establishing the practical significance of Exploratory Factor Analysis (EFA) in multivariable data analysis, with a recommended minimum value of 0.3 Additionally, they suggested that a sample size of at least 350 is necessary for reliable results.
Consequently, the research aimed at the minimum sample size of 350.
Sampling techniques
The study employed a convenience sampling method, involving a sample size of 396 students, to investigate the factors influencing entrepreneurial intent among students from the University of Economics (UEH), International Business School (ISB - UEH), ERC International Business School, and Foreign Trade University (FTU).
Data collection methods
The primary data for the quantitative analysis was gathered through printed questionnaires distributed to business students at selected universities To ensure the validity of the measurement scale, a draft questionnaire was initially tested with 20 business students to identify any potential misunderstandings in the translation or wording Feedback from this group was used to refine the measurement scale and its translation The finalized versions of the original questionnaire and its translation can be found in Appendix A.
Data analysis method
Personal coding and categorizing data was done manually while analyzing data was progressed by SPSS (Statistical Package for Social Scientists)
Data analysis was performed on respondents' information through two main approaches: descriptive and inferential analysis Descriptive statistics offered methods for numerically and graphically presenting data, enabling a clear summary and visualization of the collected information.
Descriptive statistics alone limited the researcher from drawing conclusions beyond the immediate data or testing any hypotheses To address this, the researcher employed inferential statistics, enabling her to extend conclusions beyond the collected data and make broader inferences While descriptive statistics provided insights into the data, inferential statistics allowed for a more general understanding of the findings.
To evaluate the internal consistency of the survey data, Cronbach’s alpha and item-to-total correlation coefficients were employed to eliminate unsuitable items The standardized Cronbach’s alpha formula indicates that an increase in the number of items raises alpha, while a decrease in average inter-item correlation lowers it Consistent with common practices in social science research, this study excluded any variables with a Cronbach’s alpha below 0.6.
After conducting Reliability analysis, Exploratory Factor Analysis (EFA) was utilized to examine the interrelationships among the variables EFA simplifies the complex relationships among interval-level variables, aiming to clarify the underlying constructs that connect them (Leech et al., 2005).
• Barlett’s test was smaller than 0.05: indicates sufficient items for each factor
• KMO index was greater than 0.7 (the range from 0 to 1): indicates that the correlation matrix is significantly different from an identity matrix
Eigenvalues greater than 1.0 indicate a useful factor, representing explained variance This chapter utilized an orthogonal rotation method (Varimax) to ensure that the final factors remained as uncorrelated as possible Consequently, we can infer that the information provided by one factor is independent of the information from the other factors.
Multiple regression analysis was employed for hypothesis testing to examine the correlation and variation among four independent variables predicted by a single dependent variable As noted by Leech et al (2005), this method relies on several key assumptions: (1) a linear relationship exists between the predictor and dependent variables, (2) residuals (errors) are independent, (3) there is homoscedasticity of residuals, meaning equal error variances, (4) no multicollinearity is present, (5) significant outliers are absent, and (6) the residuals/errors follow a normal distribution.
This chapter outlines the research process, detailing the development of the measurement scale and its application in an official questionnaire for data collection It also discusses the determination of sample size and sampling techniques, as well as the methods employed for data collection.
Descriptive analysis
A total of 500 questionnaires were distributed to targeted business students in Vietnam, yielding 497 responses The survey targeted students enrolled in Advanced Diploma, Bachelor's, and MBA programs at various Vietnamese universities, including the University of Economics and Foreign Trade University, as well as transnational institutions such as ERC International/Greenwich University-UK and the International School of Business (University of Economics)/University of Western Sydney - Australia.
The study included students enrolled in evening classes for a second degree at the University of Economics Ho Chi Minh City However, incomplete and randomly circled responses led to potential bias, resulting in the exclusion of these cases Ultimately, 396 valid responses were selected and analyzed using SPSS for further data analysis.
Table 1 (Appendix B) presents descriptive statistics indicating a balanced gender distribution among respondents, with females representing 58.8% and males 41.2% The largest age group was 20-24, comprising 51.8% of the sample, followed by the 16-19 age group at 28.3%.
The study reveals that a significant portion of the respondents, 84.3%, are undergraduate students, with 68.5% identifying as college/university students and 19.7% as white-collar workers Consequently, it is not surprising that 65.6% of respondents earn less than VND5 million per month, while 23.5% earn between VND5 million and less than VND10 million Additionally, 70.5% of respondents own at least one business alongside their main occupation, although less than 38% reported that their close family and friends also own businesses This indicates a healthy data source that accurately represents the target population, highlighting the entrepreneurial intent among respondents at an early stage in their lives.
Assessment and refinement of measurement scale
In this part of research, the measurement scales were assessed and refined by:
- Cronbach alpha to test the reliability of measurement scales
- Exploratory factor analysis (EFA) to test the validity of measurement scales
Firstly, to assess whether the items in each measurement scale form a reliable scale, Cronbach’s alpha were computed, and alpha should be above 0.70
However, it is common to have the 0.60 - 0.69 range of alpha (Leech et al.,
In analyzing the process, the two key outputs are the Corrected Item-Total Correlation and the Cronbach’s alpha if Item Deleted Items with a Corrected Item-Total Correlation of 0.40 or higher are considered at least moderately correlated with other items, indicating they are valuable components of the summated scale and should be retained for further analysis.
The Exploratory Factor Analysis (EFA) was conducted to validate the measurement scales, simplifying the representation of relationships among interval-level variables According to Leech et al (2005), EFA aids in understanding the underlying constructs of these variables A Kaiser-Meyer-Olkin (KMO) value greater than 0.70 indicates adequate items for each factor, while Bartlett’s Test of Sphericity should yield a significance level below 0.50, confirming that the correlation matrix differs significantly from an identity matrix Factors are deemed useful when their Eigenvalues exceed 1.0, indicating explained variance The analysis employed an orthogonal rotation (Varimax), ensuring that final factors remain as uncorrelated as possible, allowing for the assumption that the information from one factor is independent of the others.
In Appendix B, Table 2 presents the original Cronbach’s alpha, while Table 3 details the modified reliability statistics The Cronbach’s alpha results from Table 3 were utilized for the subsequent data analysis steps.
The reliability of the Entrepreneurial Intention (EI) scale, which includes three items (EI1, EI2, and EI3), is confirmed by a Cronbach’s Alpha of 0.802, exceeding the acceptable threshold of 0.6 Additionally, the Corrected Item-Total Correlation for all three items is greater than 0.4, indicating that EI1, EI2, and EI3 are strong components of the EI summated scale and should be retained for future exploratory factor analysis (EFA).
The reliability of the AT scale was confirmed with a Cronbach’s Alpha of 0.833, exceeding the acceptable threshold of 0.6 for exploratory factor analysis (EFA) Among the five items, AT2, AT3, AT4, and AT5 demonstrated Corrected Item-Total Correlations greater than 0.4, while AT1 had a correlation of only 0.34, indicating it should be removed After excluding AT1, the Cronbach’s Alpha rose significantly to 0.881, indicating that the remaining items (AT2, AT3, AT4, and AT5) form a more reliable scale, making them suitable for further EFA.
The reliability of the SN scale was initially assessed with a Cronbach’s Alpha of 0.794, exceeding the acceptable threshold of 0.6, and all items demonstrated a Corrected Item-Total Correlation greater than 0.4 However, to improve the scale's reliability, items SN4 and SN5 were removed Consequently, the revised results, as shown in Table 4.6, indicated an increase in all metrics, with Cronbach’s Alpha rising to 0.826, allowing the remaining items to be accepted for exploratory factor analysis (EFA).
The reliability of the PB scale was assessed similarly to the SN scale Although the Cronbach’s Alpha and Corrected Item-Total Correlation for each item met the necessary standards, the item with the lowest correlation, PB4, was removed to enhance the scale's reliability The remaining items were subsequently accepted for exploratory factor analysis (EFA).
Reliability of P scale The P scale included 17 items with Cronbach’s Alpha
The initial scale demonstrated a Cronbach's Alpha of 0.876, indicating acceptable reliability Due to the scale's density with 17 items, the Corrected Item-Total Correlation was deemed crucial, leading to the exclusion of items P3, P6, P7, and P17, which had correlations below 0.5 Following these adjustments, the Cronbach's Alpha slightly decreased to 0.884, while the correlations of the remaining items showed an upward trend, making them suitable for exploratory factor analysis (EFA).
Summary of Interpretation of Reliability Measurement To assess whether the items in each scale form a reliable scale, Cronbach’s alpha was computed
The alphas for all scales ranged from 0.8 to 0.9, with most items exhibiting correlations of 0.50 and above, demonstrating that each scale possesses strong internal consistency and reliability.
Scale Cronbach’s Alpha No of items Remaining variables
EI1, EI2, EI3 AT2, AT3, AT4, AT5 SN1, SN2, SN3 PB1, PB2, PB3
The analysis presented in Figure 4.1 illustrates the Cronbach’s Alpha values for the remaining variables, indicating the reliability of the data For further inquiries or access to the latest full thesis, please contact via the provided email.
The exploratory factor analysis (EFA) for the dependent factor (EI) revealed that the Kaiser-Meyer-Olkin (KMO) values for all factors were between 0.7 and 1.0, indicating an adequate number of items for each factor Additionally, Bartlett's Test of Sphericity was significant (p < 0.05), confirming that the correlation matrix significantly differed from an identity matrix, suggesting strong correlations among the variables The dependent factor (EI) exhibited Eigenvalues greater than 1.0, a standard criterion for determining the utility of a factor, and accounted for 72.104% of the cumulative variance explained.
Component Initial Eigenvalues Extraction Sums of Squared
Figure 4.2 KMO and Bartlett’s Test of Dependent Factor (EI) and Total
Variance Explained of Dependent Factor
Kaiser-Meyer-Olkin Measure of Sampling Adequacy
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The exploratory factor analysis (EFA) for independent factors concluded after the removal of items P10, P16, and P4 due to their factor loadings being below 0.5 While there were no significant changes in the factors, P4 emerged as strongly associated with the "perceived behavioral control towards entrepreneurial intention" factor, despite its initial aim to measure "proactive personality." This decision to retain P4 is justified by its alignment with the perceived behavioral scale, as the item states, "Wherever I have been, I have been a powerful force for constructive change," reflecting a strong personality driven by a desire to improve one's environment.
A strong intention to become one's own boss drives individuals to seek better business practices throughout their entrepreneurial journey However, the data revealed a weak correlation between P4 (0.514) and the PB scale, especially when compared to PB1, PB2, and PB3, which all exceeded 7.0 Additionally, the exclusion of P4 from factor number 3 increased the cumulative percentage from 59.504% to 60.488% Consequently, the analysis recommended the removal of P4 from the factor, as illustrated in figure 4.3.
P12 If I believe in an idea, no obstacle will prevent me from making it happen
P8 No matter what the odds, if I believe in something I will make it happen
P11 I am always looking for better ways to do things .677
I enjoy challenging the status quo and exploring new ideas You can download the latest thesis and related materials at my email, vbhtj mk gmail.com.
P5 I enjoy facing and overcoming obstacles to my ideas
P1 I am constantly on the lookout for new ways to improve my life
P9 I love being a champion for my ideas, even against others' opposition
P2 I feel driven to make a difference in my community, and maybe the world
P15 I am great at turning problems into opportunities
AT4 Being an entrepreneur would give me great satisfaction
AT3 If I had the opportunity and resources, I would love to start a business
I would rather be an entrepreneur
AT2 A career as an entrepreneur is attractive for me
PB3 There are very few circumstances outside my control that may prevent me from becoming an entrepreneur
PB1 If I wanted to, I could easily become an entrepreneur
PB2 As an entrepreneur, I would have sufficient control over my business
I have consistently been a strong advocate for positive change throughout my experiences.
SN1 My closest family members think that I should pursue a career as an entrepreneur
SN2 My closest friends think that I should pursue a career as an entrepreneur
SN3 People that are important to me think that I should pursue a career as an entrepreneur
P12 If I believe in an idea, no obstacle will prevent me from making it happen
P8 No matter what the odds, if I believe in something I will make it happen
P14 When I have a problem, I tackle it head-on
P11 I am always looking for better ways to do things
P13 I love to challenge the status quo .673
P5 I enjoy facing and overcoming obstacles to my ideas
P1 I am constantly on the lookout for new ways to improve my life
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P9 I love being a champion for my ideas, even against others' opposition
P2 I feel driven to make a difference in my community, and maybe the world
P15 I am great at turning problems into opportunities
AT4 Being an entrepreneur would give me great satisfaction
AT3 If I had the opportunity and resources, I would love to start a business
AT5 Among various options, I would rather be an entrepreneur
AT2 A career as an entrepreneur is attractive for me
SN1 My closest family members think that I should pursue a career as an entrepreneur
There are very few circumstances outside my control that may prevent me from becoming an entrepreneur
SN2 My closest friends think that I should pursue a career as an entrepreneur
SN3 People that are important to me think that I should pursue a career as an entrepreneur
PB3 There are very few circumstances outside my control that may
Multiple Linear Regression
After evaluating the reliability and validity of the measurement scale, multiple linear regression was employed to examine the correlations, hypotheses, and the impact of each independent factor on the dependent variable The findings from the multiple linear regression analysis are illustrated in Figure 4.5 below.
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F_EI F_AT F_SN F_PB F_P Pearson
F_EI 1.000 F_AT 640 1.000 F_SN 469 470 1.000 F_PB 302 352 371 1.000 F_P 512 546 399 390 1.000 Sig (1-tailed) F_EI 000 000 000 000
Std Error of the Estimate
Sum of Squares df Mean Square F Sig
Residual 292.644 391 748 Total 553.882 395 tot nghiep down load thyj uyi pl aluan van full moi nhat z z vbhtj mk gmail.com Luan van retey thac si cdeg jg hg
Figure 4.5 Multiple linear regression 4.3.1 Test of assumptions
The assumptions were tested in Appendix C, confirming a linear relationship between independent and dependent variables, the absence of multicollinearity among independent variables, and the normality of residuals The analysis included two stages for identifying multicollinearity: examining correlation coefficients and Tolerance/VIF values The results showed that all variance inflation factors (VIF) were below 10, and all correlation coefficients were less than 0.8 and not equal to 0.5, validating the assumptions.
Moreover, all the tolerance value was higher than (1-R 2 ) and was considered as acceptable Altogether, the test of assumptions was satisfied for the next step of multiple linear regression
The ANOVA table revealed a significant F-value of 260, indicating that the combination of predictors effectively predicted entrepreneurial intention According to Davis (1971), the correlation coefficients ranged from moderate (0.3-0.49) to substantial (0.5-0.69) The correlations table demonstrated that each predictor was associated with the dependent variable, and there was no multicollinearity among the predictors.
The Model Summary table indicated a multiple correlation coefficient (R) of 0.69, with an R² value of 0.47 and an adjusted R² of 0.47 This suggests that 47% of the variance in entrepreneurial intent can be predicted by factors such as attitude, social norms, perceived behavioral control regarding entrepreneurship, and an individual's proactive personality.
Besides, the adjusted R 2 was higher than 0.4, illustrating that the proposed model could be used to explain independent factors affecting entrepreneurial intent
The Coefficient table presented the standardized beta coefficients, which were interpreted like correlation coefficients to formulate an equation for predicting entrepreneurial intent based on all independent variables The t value and significance level (Sig) determined the contribution of each variable to the prediction of entrepreneurial intent from the entire set of predictors Notably, F_AT, F_SN, and F_P were identified as the three significant variables that enhanced the prediction, even after considering F_PB.
The findings indicated that F_PB, while showing a moderate association with the dependent variable and a tolerance value exceeding (1 - R²), did not significantly contribute to predicting entrepreneurial intent in the multiple regression analysis Specifically, F_PB had a significance level greater than 5%, leading to the conclusion that hypothesis number 3, which posited a positive relationship between perceived behavioral control and entrepreneurial intent, was not significant and should be excluded from the regression equation The results of the supportive hypotheses testing were derived from the multiple linear regression analyses.
There exists a positive correlation between individuals' attitudes toward entrepreneurship and their intention to engage in entrepreneurial activities.
• H2: There is a positive relationship between social norms toward entrepreneurship and entrepreneurial intent
• H4: The extent to which people possess a proactive personality will be positively associated with entrepreneurial intent
The analysis indicates that among the independent variables, attitude toward entrepreneurship (AT) has the highest contribution, followed by proactive personality (P), while social norms toward entrepreneurship (SN) contribute the least Research on the antecedents of entrepreneurial intent remains ongoing, revealing a positive relationship between attitude, proactive personality, and entrepreneurial intent, whereas the relationship between social norms and perceived behavioral control can vary For example, Alfonso and Cuevas (2012) found that stronger attitudes toward entrepreneurial behavior and higher perceived self-efficacy lead to increased entrepreneurial intent among Latin American populations However, their study also identified a significant negative relationship between the perception of social value and entrepreneurial intent, challenging findings from most existing entrepreneurial intention models.
Research by Prabhu et al (2011) and earlier studies from 1999 demonstrate a positive correlation between proactive personality and entrepreneurial intent This finding paves the way for future research aimed at exploring the underlying reasons for this relationship.