Factors Influencing Willingness of University Students to Start a Business, High school final essays of Business

Download Factors Influencing Willingness of University Students to Start a Business and more High school final essays Business in PDF only on Docsity! WILLINGNESS OF STUDENTS IN ESTABLISHING A STARTUP BUSINESS KYLA JUNETH M. ABELLERA KYLE CHAZEN IMEE RAMOS JAYPEE GLENN M. GAID QUENNY GIE M. RAS Marketing Research Proposal Submitted to the Department of Business Administration, College of Business, Development Economics and Management, University of Southern Mindanao, Kabacan, Cotabato in Partial Fulfillment of the Requirements for the Degree of BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION (Marketing Management) 2023 TABLE OF CONTENTS INTRODUCTION Page Significance of the Study 1 Objectives of the Study 3 Expected Output of the Study 4 Place and Time of the Study 5 Operational Definition of Terms 5 Hypothesis 7 Theoretical Framework 8 Conceptual Framework 9 REVIEW OF RELATED LITERATURE 10 METHODOLOGY 20 Research Design 20 Respondents of the Study 20 Sampling Procedure 21 Research Instrument 21 Data Gathering Procedure 21 Statistical Analysis 22 LITERATURE CITED 23 3 of factors, including the increasing accessibility of information and resources, changing attitudes toward traditional employment, and the lure of financial rewards and personal fulfillment that entrepreneurship promises. Moreover, the evolving global economy and the digital age have made it easier than ever for aspiring student entrepreneurs to access a vast array of tools and platforms, facilitating the launch and growth of startups. The success stories of young entrepreneurs who have disrupted industries and achieved unprecedented financial success have further fueled this entrepreneurial spirit among students. Understanding the motivations and determinants behind students' willingness to establish startup businesses is not only academically intriguing but also holds significant implications for educators, policymakers, and industry leaders. By gaining insights into this phenomenon, we can adapt educational curricula, design tailored support systems, and develop policies that encourage and foster entrepreneurship among students, ultimately driving innovation, economic growth, and personal fulfillment in the 21st century. Objectives of the Study The general objective of this study is to determine the Willingness of Students in Establishing a Startup Business. 4 Specifically, it aims to: 1. Describe the socio-economic profile of students; 2. Determine the knowledge of students for a startup business; 3. Determine the willingness of students for a starup business; 4. Determine if there is significant influence of socio-economic profile on the willingness of students; and 5. Determine if there is significant influence of knowledge for startup on their willingness. Expected Outputs of the Study The expected output of this study is to determine the acceptability of iPhone products sold by retail market to the college students of University of Southern Mindanao. The customers’ preferences in purchasing iPhone product such as specification of an iPhone, features, benefits, warranty. Factors considered in accepting iPhone product in terms of customers’ choice. Determine the acceptability of iPhone products in the retail market through give knowledge to the customers to purchase in the retail market. 5 Place and Time of the Study The study will be conducted with the selected students of the University of Southern Mindanao-main campus, particularly in Kabacan. The university is the only state university in the province of North Cotabato. The University of Southern Mindanao (USM) is a prestigious land-grant university in the Philippines’ southernmost region. The USM, formerly known as the Mindanao Institute of Technology, was founded by the late Bai Hadja Fatima Matabay Plang, a devoted Muslim educator and philanthropist (MIT). In addition, data gathering will begin in October 2023 to December 2023. Operational Definition of Term Knowledge refers to the level of understanding and familiarity that students possess about the fundamental concepts and skills required for launching and operating a startup enterprise. Resources This refers to the availability of financial, human, technological, and other resources that may support or hinder a student's ability to initiate a startup. 8 8 Theoretical Framework The theoretical framework of the study is based on the Theory of Planned Behavior (TPB): The Theory of Planned Behaviour (TPB) is an extension of the Theory of Reasoned Action (TRA) (Fishbein & Ajzen 1975, Ajzen & Fishbein 1980). Both models are based on the premise that individuals make logical, reasoned decisions to engage in specific behaviours by evaluating the information available to them. The performance of a behaviour is determined by the individual’s intention to engage in it (influenced by the value the individual places on the behaviour, the ease with which it can be performed and the views of significant others) and the perception that the behaviour is within his/her control. This theory suggests that an individual's intention to engage in a behavior, such as starting a business, is influenced by three main factors the attitude this is how positively or negatively the student perceives entrepreneurship. Next is the Subjective Norms where the influence of peers, family, and society on the student's decision. Lastly Perceived Behavioral Control that the student's perception of their ability to start and manage a business. 9 Conceptual Framework Independent Variables Dependent Variables Figure1. The diagram shows the factors affecting the willingness of the students in establishing a startup business In this study the independent variable are the factors that are believe to influence the willingness of the students in establishing a startup business in Kabacan Cotabato. These factors are the attitude, subjective norms and perceived behavioral control. Willingness of students plays a role of dependent variable. Factors Considered  Attitude  Subjective Norms  Perceived Behavioral Control Willingness of student 10 REVIEW OF RELATED LITERATURE In starting up business, one should consider many factors that would be of help on one’s success that shall not welcome any financial loss. Factors such as the (attitude, subjective norms, and perceived behavioral control), that would possibly affect the number of customers to those who are willing to purchase in someone's business. Entrepreneurship has been viewed as a critical contributor and an economic engine of every country as it helps in creating new jobs, and increases innovation and competitiveness in the labor market (Barba-Sánchez et al. 2022) In the realm of human psychology and behavior, it has been consistently demonstrated that certain acquired characteristics play a pivotal role in shaping an individual's propensity towards entrepreneurship. Among these influential traits are cognitive and personality factors, which include self- efficacy, individual attitudes, the desire for achievement, and behavioral control. These elements collectively wield a considerable influence on students' entrepreneurial intentions, guiding their inclination towards pursuing entrepreneurial endeavors. It is through the interplay of these acquired attributes that individuals develop the mindset, determination, and strategic control required to embark on entrepreneurial journeys. In essence, the amalgamation of self-belief, attitude, ambition, and the ability to manage one's 13 Arokiasamy, 2022). Although there are many theories determining entrepreneurial intention, TPB theory is more widely applied because it is a theory with high reliability and a good predictor of intention to perform actual behavior over many different areas. Several studies and theories state that if entrepreneurship attitudes, subjective norms can affect the variable student entrepreneurship intentions. Subjective norm is to receive direction or input from people around about entrepreneurship, so that motivation can provide mental pressure for students to be interested in and interests in entrepreneurship arise. Subjective norms are one of the factors in Planned Behavior Theory (TPB) that affect entrepreneurial interests, subjective norms mean an individual's beliefs to fulfill the direction or advice of people around to participate in entrepreneurial activities (Kristiadi et al. 2016). Subjective norms are individual beliefs about the surrounding environment and individual motivation to follow these norms. Subjective norms can affect entrepreneurial intentions from the external side in the form of support for the environment, both of family, friends, lecturers, and successful entrepreneurs. In subjective norms, the support of people around and seeing people who are already successful is very influential in shaping students' intentions so that they are able to be encouraged by entrepreneurs and those around them. Subjective norms give confidence to individuals to get support from friends, family roles, entrepreneurs who have been successful so that individuals feel confident about what individuals have done when 14 entrepreneurship. Students who have the support of friends and family roles tend to have higher entrepreneurial intentions than students who do not have support from friends, family roles and those around them. In the entrepreneurial literature, entrepreneurial intention is defined as a person’s self-recognition that they intend to set up a new business and consciously plan to do so in the future. Intention can help explain why a person plans to start a business before they look for a business opportunity (Wang, Lin, Yeh, Li, & Li, 2016) and is a prerequisite factor for predicting entrepreneurial behavior (Duong, 2021; Yousaf, Ali, Ahmed, Usman, & Sameer, 2021). Meanwhile, subjective norms refer to a person’s perception of the opinions of social reference groups (such as family and friends) about whether or not they should start a business. Based on the argument of the TPB model, scholars posit that the more positive the opinion of the reference group about entrepreneurship, the more support the person receives from this reference group and thus the higher intention to start a business. The linkage between subjective norms and entrepreneurial intention has been examined in many empirical studies (Duong, 2021; Sun, Lo, Liang, & Wong, 2017). However, there is inconsistency in the finding regarding this linkage. One group of studies illustrated that subjective norms positively influence entrepreneurial intention (Ahmed et al., 2020; Maresch et al., 2016; Shah et al., 2020). 15 Another group of studies reported that subjective norms have no impact, not even a negative impact on entrepreneurial intention (Duong, 2021; Tung et al., 2020). In addition, several researchers suggested that the nexus between subjective norms and intention to start a business is not direct, but some intervening factors mediate or moderate this nexus. For example, some studies have explored the moderate role of gender, educational fields, country, creativity, and regional conditions in the linkage between subjective norms and entrepreneurial intention (Duong, 2021; González-Serrano, Valantine, Hervás, Pérez-Campos, & Moreno, 2018; Kibler, 2013; Pauline & T, 2019; Shi, Yuan, Bell, & Wang, 2020). Similarly, some studies reported the mediate roles of perceived behavior control, and attitude toward behavior (Doanh & Bernat, 2019; Duong, 2021). The findings of these studies imply that the relationship between subjective norms and entrepreneurial intention is not just a simple direct relationship. Therefore, this study introduces entrepreneurial self- efficacy and attitude toward entrepreneurship as mediators, and entrepreneurial education as a moderator in the association between subjective norms and entrepreneurial intention. In the theory of self-efficacy, self-efficacy is seen as a key construct in regulating psychological well-being, physical health, psychological problems and career choices (Liguori, Winkler, Vanevenhoven, Winkel, & James, 2019). Bandura suggested that individual behaviors are regulated by their cognition, and that self-efficacy, a cognitive factor, is a central motivator for a person to maintain their self-regulation. In 18 of entrepreneurship education on entrepreneurial intentions. Besides, there are inconsistent findings from extant literature about the effect of entrepreneurship education on entrepreneurial intentions. For instance, Kuttim et al. (2014) and Kim-Sun et al. (2016) revealed that participation in entrepreneurship education was exerted positive impact on entrepreneurial intentions of university students. However, Sanyal and Al Mashani (2018) found that entrepreneurship education did not play a significant role in promoting entrepreneurial traits and intentions of university students. Mahendra et al. (2017) conducted research in Indonesia and found that there was no significant relationship between entrepreneurship education and entrepreneurial intention. As a result, the present study is conducted to confirm whether entrepreneurship education has a significant effect or not on entrepreneurial intentions of university students, predicting power of PBC on entrepreneurial intentions from Ethiopian context and to fill the gap in existing literature by investigating the mediating role of PBC on the relationship between entrepreneurship education and entrepreneurial intentions. Perceived behavioral control refers to a person’s belief in their own ability to carry out a task (Abina et al. 2015) . Perceived behavioral control is strongly linked to entrepreneurial intentions, according to the conventional entrepreneurship literature (Nuringsih et al. 2019). Furthermore, people who feel they have a lot of control over their actions are more likely to achieve them and have higher hopes of accomplishing set goals in the launch of a 19 successful company (Vuorio, Puumalainen, & Fellnhofer 2018). Consequently, perceived behavior control and skill have been highlighted as crucial aspects in the adoption of sustainability measures in a company context by (Singh et al., 2019; Cabral & Jabbour, 2020)) . The social issues surrounding sustainable development are often viewed as intractable, making this a crucial point. Researchers have used the term “wicked problems” to describe these types of issues (Yasir, Mahmood, Babar & Irfan, 2021). Thus, we expect that people will be more likely to form intentions to launch a sustainable firm when they feel they have a great deal of behavioral control over sustainable entrepreneurship. METHODOLOGY Research Design In this study, the researcher used both descriptive research design and regression research design. Descriptive research design was used determine the socio-demographic profile of the respondents, to determine the willingness of the students a start-up business, the knowledge of the students for a start- up business, if there is a significant influence of socio-economic profile on the willingness of the students and determine if there is a significant influence of knowledge for a start-up business on their willingness and the factors considered namely, attitudes, subjective norms, and perceived behavioural control. Hence, Respondents of the Study The respondent of the study are the University of Southern Mindanao students. LITERATURE CITED Adler-Constantinescu, C., Beşu, E.-C., & Negovan, V. (2013). Perceived social support and perceived self-efficacy during adolescence. Procedia - Social and Behavioral Sciences, 78, 275-279. https://doi.org/10.1016/j.sbspro.2013.04.294 Aga, M.K. The mediating role of perceived behavioral control in the relationship between entrepreneurship education and entrepreneurial intentions of university students in Ethiopia. J Innov Entrep 12, 32 (2023). https://doi.org/10.1186/s13731-023-00297-w Ahmed, T., Chandran, V. G. R., Klobas, J. E., Liñán, F., & Kokkalis, P. (2020). Entrepreneurship education programmes: How learning, inspiration and resources affect intentions for new venture creation in a developing economy. The International Journal of Management Education, 18(1), 100327. https://doi.org/10.1016/j.ijme.2019.100327 Darmawan, I Made Yudi & Warmika, I Gede Ketut. (2016). Pengaruh Norma Subjektif, Personal Attitude, Perceived Behavior Control, Dan Aspek Psikologis Terhadap Minat Wirausaha (Entrepreneurial Intention). Jurnal Manajemen, 5(7), 4660-4689 24 Doanh, D. C., & Bernat, T. (2019). Entrepreneurial self-efficacy and intention among Vietnamese students: A meta-analytic path analysis based on the theory of planned behavior. Procedia Computer Science, 159, 2447–2460. https://doi.org/10.1016/j.procs.2019.09.420 Duong, C. D. (2021). Exploring the link between entrepreneurship education and entrepreneurial intentions: The moderating role of educational fields. Education + Training. https://doi.org/10.1108/et-05-2021-0173 Duong, C. D., & Le, T. L. (2021). ADHD symptoms and entrepreneurial intention among Vietnamese college students: An empirical study. Journal of Entrepreneurship in Emerging Economies, 14(3), 495-522. https://doi.org/10.1108/jeee-02-2021-0049 González-Serrano, M. H., Valantine, I., Hervás, J. C., Pérez-Campos, C., & Moreno, F. C. (2018). Sports university education and entrepreneurial intentions. Education + Training, 60(5), 389-405. https://doi.org/10.1108/et-12-2017-0205 25 Kibler, E. (2013). Formation of entrepreneurial intentions in a regional context. Entrepreneurship & Regional Development, 25(3-4), 293-323. https://doi.org/10.1080/08985626.2012.721008 Kristiadi, Sigit dkk. (2016). Pengaruh Sikap Berperilaku, Norma Subjektif Dan Efikasi Diri Terhadap Intense Kewirausahaan Pada Siswi Melalui Motivasi Di SMK Negeri 1 Pati. Jurnal Pendidikan Ekonomi, 5(1), 11-21. Kuckertz A, Block J. Reviewing systematic literature reviews: ten key questions and criteria for reviewers. Manag Rev Q. 2021;71(3):519–524. doi: 10.1007/s11301-021-00228-7. Liguori, E. W., Winkler, C., Vanevenhoven, J., Winkel, D., & James, M. (2019). Entrepreneurship as a career choice: Intentions, attitudes, and outcome expectations. Journal of Small Business & Entrepreneurship, 32(4), 311-331. https://doi.org/10.1080/08276331.2019.1600857 Maheshwari, G., Kha, K. L., & Arokiasamy, A. R. A. (2022). Factors affecting students’ entrepreneurial intentions: A systematic review (2005–2022) for future directions in theory and practice. Management Review Quarterly. https://doi.org/10.1007/s11301-022-00289-2 28 Vamvaka, V., Stoforos, C., Palaskas, T. et al. Attitude toward entrepreneurship, perceived behavioral control, and entrepreneurial intention: dimensionality, structural relationships, and gender differences. J Innov Entrep 9, 5 (2020). https://doi.org/10.1186/s13731-020-0112-0 Wahyuni, N. K. S., Darmawan, K. K., & Adityasih, B. (2019, November). The Role of Entrepreneurship Education and Subjective Norms on the Intention of Entrepreneurship. In International Conference on Tourism, Economics, Accounting, Management, and Social Science (TEAMS 19) (pp. 322-328). Atlantis Press. Wang, Y.-S., Lin, S.-j., Yeh, C.-H., Li, C.-R., & Li, H.-T. (2016). What drives students’ cyber entrepreneurial intention: The moderating role of disciplinary difference. Thinking Skills and Creativity, 22, 22-35. https://doi.org/10.1016/j.tsc.2016.08.003 Wu YCJ, Wu T (2017) A decade of entrepreneurship education in the Asia Pacific for future directions in theory and practice. Manag Decis 55. 10.1108/MD-05-2017-0518 Yasir N, Babar M, Mehmood HS, Xie R, Guo G. The Environmental Values Play a Role in the Development of Green Entrepreneurship to Achieve 29 Sustainable Entrepreneurial Intention. Sustainability. 2023; 15(8):6451. https://doi.org/10.3390/su15086451 Zhao, H., Seibert, S. E., & Hills, G. E. (20015). The mediating role of self- efficacy in the development of entrepreneurial intentions. Journal of Applied Psychology, 90(6), 12-65. APPENDICES 16 UNIVERSITY OF SOUTHERNMINDANAO Kabacan, Cotabato Philippines ESTIMATED BUDGET OF THE RESEARCH Title of Study _______________________________________________________________________ _______________________________________________________________________ ____________________________________________________________. ITEMS/DESCRIPTION ESTIMATED COST Grand Total Prepared and submitted by: _______________________________________ Printed Name and Signature of the Student NOTED _______________________________________ Adviser ___________________________ Date _______________________________________ Department Research Coordinator ___________________________ Date _______________________________________ Department Chairperson ___________________________ Date Appendix C. Estimated Budget of the Research USM-EDR-F06-Rev.3.2020.02.24 17 Name Degree/Major Thesis Title Date of Examination Time Place MEMBERS OF THE EXAMINING COMMITTEE Name Signature Date _______________________________________ __________________ __________________ _______________________________________ __________________ __________________ _______________________________________ __________________ __________________ RECOMMENDING APPROVAL: _______________________________ _______________________________ Adviser Co-Adviser (Optional) APPROVED: _______________________________ _______________________________ College Statistician Department Research Coordinator (Optional) _______________________________ Department Chairperson REPORT ON THE RESULT OF EXAMINATION Name Signature Remarks _______________________________________ __________________ __________________ _______________________________________ __________________ __________________ _______________________________________ __________________ __________________ _______________________________________ __________________ __________________ APPROVED: _______________________________ Department Research Coordinator _____________________ Date UNIVERSITY OF SOUTHERNMINDANAO Kabacan, Cotabato Philippines APPLICATION FOR THESIS OUTLINE DEFENSE Appendix D. Application for Thesis Outline Defense USM-EDR-F07-Rev.3.2020.02.24 18 CURRICULUM VITAE