The effects of students’ entrepreneurial characteristics on their propensity to become entrepreneurs in Malaysia

Abstract

Purpose The purpose of this paper is to reflect on the data collected from Malaysian students to investigate the effects of students’ entrepreneurial characteristics (need for achievement, locus of control, propensity to take risk, self-confidence, tolerance of ambiguity and uncertainty, and leadership) on their propensity to become entrepreneurs in Malaysia. Design/methodology/approach As a quantitative study, various analyses, such as exploratory factor analysis, confirmatory factor analysis and structural equation modelling, were conducted to analyze the data collected from 257 students known to have participated in entrepreneurship course and programmes. Findings The results show that leadership skill, need for achievement, tolerance of ambiguity, and risk-taking propensity are positively and significantly associated with students’ intention to initiate entrepreneurial activities in Malaysia. Originality/value The researchers have used data from the perspective of Malaysian students to increase the readers’ understanding on students’ entrepreneurial characteristics that could enhance their likelihood to become entrepreneurs in Malaysia.

Nascent entrepreneurs of millennial generations in the emerging market of Indonesia

“…Three big five personality traits (conscientiousness, disagreeableness and emotional stability) have a direct relationship with entrepreneurship (Mahmoud et al, 2020). Individual characteristics have been associated with entrepreneurs (Matos & Hall, 2020), and the more commonly observed and cited ones are risk-taking propensity, tolerance for ambiguity, internal locus of control, innovativeness, and independence (Embi et al, 2019;Mujahid et al, 2020;Ndofirepi, 2020). The contribution of values in entrepreneurial undertaking has received proportionately modest concern from scholars.…”

“…Figure 1. The proposed model of nascent millennial entrepreneursSource: own elaboration ofObschonka et al, 2019;Bogatyreva et al, 2019;Matos & Hall, 2020;Embi et al, 2019. …”

Cultivating entrepreneurial culture among students in Malaysia

“…Regardless of a substantial number of studies in relation to entrepreneurial competencies, problems in relation to the competency improvement process and fostering entrepreneurial culture are generally neglected, as are key variables such as the need for achievement, internal locus of control, innovativeness, risk-taking propensity, and also tolerance of ambiguity were not covered in the competency model (Schneider & Albornoz, 2018). On the other hand, psychological theories of entrepreneurship emphasise that promoting risk-taking, innovativeness, need for achievement, and tolerance for ambiguity were found to have positive and important control on entrepreneurial tendency (Embi, Jaiyeoba, & Yussof, 2019). Alternatively, economic approaches of entrepreneurship also proposed to cultivate entrepreneurial culture by promoting capitalism where entrepreneurs obtained support to become successful in their ventures (Trivedi, 2016).…”

“…Scholars find that risk-taking behaviour among students studying at Malaysian PHEIs encourages them to become entrepreneurs (Tunkarimu & Hassan, 2017). Another study shows that risk-taking behaviour among the students promotes entrepreneurial intention to cultivate entrepreneurial culture in Malaysia (Embi et al, 2019). Since risk-taking propensity is described as a person's existing predisposition to seek or evade risks (Shamsudin, Al Mamun, Nawi, Nasir, & Zakaria, 2017), PHEIs could apparently teach their students the best way to deal with an entrepreneurial way of thinking and acting through assessments and group work (Embi et al, 2019;Gelaidan & Abdullateef, 2017).…”

“…Another study shows that risk-taking behaviour among the students promotes entrepreneurial intention to cultivate entrepreneurial culture in Malaysia (Embi et al, 2019). Since risk-taking propensity is described as a person's existing predisposition to seek or evade risks (Shamsudin, Al Mamun, Nawi, Nasir, & Zakaria, 2017), PHEIs could apparently teach their students the best way to deal with an entrepreneurial way of thinking and acting through assessments and group work (Embi et al, 2019;Gelaidan & Abdullateef, 2017). This approach promotes risk-seeking states of mind to cultivate entrepreneurial culture among the students at PHEIs in Malaysia (Embi et al, 2019;Gelaidan & Abdullateef, 2017;Martins, Monsalve, & Martinez, 2018).…”