• Tiada Hasil Ditemukan

ENHANCING THE ENTREPRENEURIAL INTENTION OF THE RETIRING MILITARY PERSONNEL THROUGH ENTREPRENEURIAL TRAINING

N/A
N/A
Protected

Academic year: 2022

Share "ENHANCING THE ENTREPRENEURIAL INTENTION OF THE RETIRING MILITARY PERSONNEL THROUGH ENTREPRENEURIAL TRAINING "

Copied!
315
0
0

Tekspenuh

(1)

The copyright © of this thesis belongs to its rightful author and/or other copyright owner. Copies can be accessed and downloaded for non-commercial or learning purposes without any charge and permission. The thesis cannot be reproduced or quoted as a whole without the permission from its rightful owner. No alteration or changes in format is allowed without permission from its rightful owner.

(2)

ENHANCING THE ENTREPRENEURIAL INTENTION OF THE RETIRING MILITARY PERSONNEL THROUGH ENTREPRENEURIAL TRAINING

LAMIDI YUSUF

DOCTOR OF PHILOSOPHY UNIVERSITI UT ARA MALAYSIA

2017

(3)

ENHANCING THE ENTREPRENEURIAL INTENTION OF THE RETIRJNG MILITARY PERSONNEL THROUGH ENTREPRENEURIAL TRAINING

By

LA.MIDI YUSUF

Thesis Submitted to Othman Yeop Abdullah Graduate School of Business, Universiti Utara Malaysia, in Fulfillment of the Requirement for the Degree of

(4)

PERMISSION TO USE

In presenting this thesis in fulfilment of the requirements for a postgraduate degree from Universiti Utara Malaysia, I agree that the Universiti Library may make it freely available for inspection. I further agree that permission for the copying of this thesis in any manner, in whole or in part, for scholarly purpose may be granted by my supervisor(s) or, in their absence, by the Dean of Othman Yeop Abdullah Graduate School of Business. It is understood that any copying or publication or use of this thesis or parts thereof for financial gain shall not be allowed without my written permission. It is also understood that due recognition shall be given to me and to Universiti Utara Malaysia for any scholarly use which may be made of any material from my thesis.

Requests for permission to copy or to make other use of materials in this thesis, in whole or in part, should be addressed to:

Dean of Othman Yeop Abdullah Graduate School of Business UUM College of Business

Uoiversiti Utara Malaysia 06010 UUM Sintok

(5)

ABSTRACT

This study examined the factors enhancing the entrepreneurial intention of the retiring military personnel in Nigeria, using entrepreneurial training as a moderator. A total of 423 retiring military personnel on pre-retirement entrepreneurial and vocational training programme at the Nigerian Armed Forces Resettlement Centre, Oshodi, Lagos, Nigeria participated in the study. Four variables were used to explain the entrepreneurial intention, which are the entrepreneurial finance, government policy, market opportunities and physical facilities. Partial Least Squares-Structural Equation Model (PLS-SEM) algorithm and bootstrap techniques were used to test the study hypotheses. The results provided support for the hypothesized direct effects of the four variables on the entrepreneurial intention of the retiring military personnel in Nigeria. The study revealed that entrepreneurial finance is the most important variable of the model, follow by market availability, physical facilities and government policies. It was also found that the entrepreneurial training moderated the relationship between two of the independent variables ( entrepreneurial finance and physical facilities) and entrepreneurial intention. Training strengthens the relationship between physical facilities and intention, however, it weakens the relationship between entrepreneurial finance and intention. The study recommends that the retiring military personnel must plan towards becoming entrepreneurs upon retirement by engaging in early saving as it constitutes most reamly available source of seed capital. The Government should also create an enabling business environment (improving market availabilities and physical facilities) and ensure the provision of specific entrepreneurial training to improve the skills needed to succeed as entrepreneurs upon retirement (for examples, marketing skills and financial planning). In general, these findings support the view that entrepreneurial training enhances and stimulates the intention of the retiring military personnel (possibly also for the other government uniform personnel) to become entrepreneurs.

Keywords: Nigeria, entrepreneurial intention, entrepreneurial training, military personnel, PLS-SEM

(6)

ABSTRAK

Kajian ini mengkaji faktor-faktor yang meningkatkan niat keusahawanan dalam kalangan anggota tentera yang bakal bersara di Nigeria, menggunakan latihan keusahawanan sebagai moderator. Seramai 423 orang bakal pesara tentera yang sedang menjalani program latihan pra-persaraan !(eusahawanan dan vokasional di Nigerian Armed Forces Resettlement Centre, Oshidi, Lagos Nigeria terlibat dalam kajian mt. Empat pembolehubah telah digunakan untuk menjelaskan niat keusahawanan, iaitu kewangan keusahawanan, dasar kerajaan, peluang pasaran dan kemudahan fizikal. Partial Least Squares-Structural Equation Model (PLS-SEM) algoritma dan teknik bootstrap te]ah digunakan untuk menguji hipotesis kajian.

Keputusan yang diperoleh rnenyokong kesan langsung hipotesis daripada empat pembolehubah pada niat keusahawanan anggota tentera yang bakal bersara Nigeria.

Kajian menunjukkan bahawa kewangan keusahawanan adalah pembolehubah yang paling penting dalam model, diikuti dengan ketersediaan pasaran, kemudahan fizikal dan dasar-dasar kerajaan. Ia juga mendapati bahawa latihan keusahawanan mempunyai hubungan sederhana antara dua pembolehubah bebas (kewangan keusahawanan dan kemudahan fizikal) dan niat keusahawanan. Latihan menguatkan hubungan antara kemudahan fizikal dan niat, bagaimanapun, ia melemahkan hubungan antara kewangan keusahawanan dan niat. Kajian ini mencadangkan agar anggota tentera yang bakal bersara mesti merancang ke arah menjadi usahawan selepas bersara dengan memulakan tabung simpanan seawal mungkin kerana ia merupakan sumber paling mudah didapati daripada modal pennulan. Kerajaan juga perlu mewujudkan persekitaran pemiagaan yang kondusif (meningkatkan ketersediaan pasaran dan kemudahan fizikal) dan memastikan penyediaan latihan keusahawanan khusus untuk meningkatkan kemahiran yang diperlukan untuk berjaya sebagai usahawan selepas bersara (sebagai contoh, kemahiran pemasaran dan perancangan kewangan). Secara umum, penemuan ini menyokong pandangan bahawa latihan keusahawanan meningkatkan dan merangsang hasrat anggota tentera yang bakal bersara (kemungkinan juga untuk kakitangan seragam kerajaan yang lain) untuk menjadi usahawan.

Kata kunci: Nigeria, niat keusahawanan, latihan keusahawanan, anggota tentera, PLS- SEM

vi

(7)

ACKNOWLEDGEMENT

Alhamdulillab, all praises and adoration are due to Almighty Allah who has spared my life and enabled me to complete my PhD work. Peace and Allah's blessing be unto his chosen servant, his family, companions and those who follow his path till the day of Judgement.

I am indebted to my able supervisor, Prof. Dr. Mohd Sobri Minai, for his untiring support, moral encouragement, excellent guide as well as unlimited advice during my PhD journey. May Almighty Allah rewards him abundantly. My appreciation also goes to my reviewers during proposal defence, Dr. Ali Yusob Md Zain and Dr. Noor Azmi Hashim, and to the examiners of my viva voce, whose comments and suggestions have assisted _in improving the standard of my thesis. I also wish to express my gratitude to Prof. Dr. Yusnidah Ibrahim, Prof. Hamzah Dato Abd Rahman, Prof. Dr Zakaria Abas, Dr. Ossai Essuh-Jgwe and Dr. Hisham Mohammad for their useful comments and suggestions during the course of my programme.

My appreciation also goes to my loving parents, Allahyarham Yusuf Ogunyemi and Allahyarhamah Fatima Binta for their wonderful care, parental advice, moral and spiritual support in all my academic pursuits. I pray to Almighty Allah to grant them AI-Jannah Al-Firdaus.

I would also like to register my apprec1at10n to the members of my family, particularly my lovely wife Hajia Mulikat Mojirade, our children, brothers, sisters, friends, boss and colleagues from my place of work, and the entire Nigerian community in UUM for their immense contributions.

vii

(8)

TABLE OF CONTENTS

PERAKUAN KERJA TESIS I DISERTASI

CERTIFICATION OF THESIS/ DISSERTATION PERMISSION TO USE

ABSTRACT ABSTRAK

ACKNOWLEDGEMENT TABLE OF CONTENTS LIST OFT ABLES LIST OF FIGURES LIST OF APPENDICES LIST OF ABBREVIATIONS

CHAPTER ONE: INTRODUCTION

1.1 Background

1.2 Problem Statement 1.3 Research Questions

1.4 The Research Objective 1.5 Significance of the Study

1.5.1 Theoretical Contribution 1.5.2 Practical Contribution 1.6 Scope of Study

1.7 Organizations of the Thesis 1.8 Definitions of Keywords

1. 8. 1 Entrepreneurship

1.8.2 Entrepreneurial Intention 1.8.3 Entrepreneurial Training 1.8.4 Government Policy 1.8.5 Entrepreneurial Finance 1.8.6 Physical Facilities

ii

111 IV V

vi vu viii

Xll

xiii

XIV

xv

1

1 5 14 15 16 17

18 19

20

21 21

22 22

22

23 23

(9)

CHAPTER TWO: LITERATURE REVIEW 24

2.1 Introduction 24

2.1 The Underlying Models 28

2.2 The Supporting Theory and Model 35

2.3 Selected Relevant Research Models 57

2.4 Conceptualizing on the factors that contribute to the entrepreneurial intention 71

2.4.1 Studies on Entrepreneurial Finance 75

2.4.2 Studies on Government Policy 83

2.4.3 Studies on Physical Facilities 91

2.4.4 Studies on Market Availability 93

2.5 Entrepreneurial Training and Entrepreneurial Intention 100 2.5.1 The Concept and Model of Entrepreneurial Training 100 2.5.2 Entrepreneurial Training as Constructs of Entrepreneurial Intention 104

2.6 The Research Theoretical Framework 113

CHAPTER THREE: RESEARCH METHODOLOGY 124

3.1 Introduction 124

3.2 Nature and Research Philosophy 124

3.3 Research Design 127

3.3.1 Population and sample 128

3.3.2 Sample Size Determination. 131

3.3.3 Data coJJection Technique 134

3.5 Questionnaire Design 139

3 .6 Pilot Study 150

3.7.1 Descriptive Analysis 152

(10)

3.7.2 Partial Least Square (PLS) Techniques 152

CHAPTER FOUR: ANALYSIS RESULTS 156

4.1 Introduction 156

4.2 Data Cleaning and Cleansing 157

4.2.1 Response Rate 158

4.2.2 Missing Value Analysis 159

4.2.3 Assessment of Outliers 161

4.2.4 Normality Test 162

4.2.5 Multicollinearity Test 165

4.2.6 Non-Response Bias 167

4.2.7 Common Method Variance Test 170

4.3 Analysis Presentation 171

4.3.1 Demographic Profile of the Respondents 171

4.3.2 Descriptive Analysis of the Latent Constructs 173

4.3.3 Assessment of PLS-SEM Path Model Results 174

4.3.3. l Assessment of Measurement Model 175

4.3.4.4 Convergent Validity 177

4.3.4 Assessment of Significance of the Structural Model 180

4.3.5.2 Testing Moderating Effect 183

4.3.5 Assessment of Variance Explained in the Endogenous Latent Variables 186

4.3.6 Assessment of Effect Size (f2) 188

4.3.7 Assessment of Predictive Relevance (Q2) 189

4.3.8 Testing Moderating Effect 191

4.4 Summary of Findings 195

(11)

CHAPTER FIVE: DISCUSSIONS AND CONCLUSIONS

5.1 Introduction

5.2 Recapitulation of the Study's Findings 5 .3 Discussion

5 .3 .1 The Latent Independent Variable Effect 5.3.2 The Moderating Effect

5.4 Research Implication

5.4.1 Managerial Implications 5.4.2 Theoretical Implications

5.5 Limitation and Research Direction 5.6 Conclusions

REFERENCES

197

197 198

202 202 213 220 220 226 228 230

233

(12)

Table 2. I Table 3.1 Table 3.2 Table 3.3 Table 4.1 Table 4.2 Table 4.3 Table 4.4 Table 4.5 Table 4.6 Table 4.7 Table 4.8 Table 4.9 Table 4.10 Table 4. I I Table 4. 12 Table 4.13 Table 4.14 Table 4.15 Table 4.16 Table 4.17 Table 4.18

LIST OFT ABLES

List of some contributors to entrepreneurship theories and models

Summary of the questionnaire items Summary of questionnaires

Cronbach Alpha of the pilot study Response rate of the questionnaire Total number of missing data

Total number of dataset that exceeded the Mahalanobis values Correlation Matrix of the Exogenous Latent Constructs

Tolerance and Variance Inflation Factors (VLF) Latent Constructs

Results of independence samples T-test for non-response-bias Demographic. Profile of the Respondents

Descriptive Analysis of the Latent Constructs Convergent validity

Discriminant validity Cross Loadings

Direct Hypotheses Testing Moderating Hypotheses

Assessment of Variance Explained in the Endogenous Latent Variables

Effect size of the latent exogenous variable (f) Construct Validated measure Q2

Effect size of moderating variable (f2) Summary of hypotheses testing

xii

26 148 148 151 159 160 162 166 166

169 171 174 177 178 179 182 185 188 189 190 194 195

(13)

Figure 2.1 Figure 2.2 Figure 2.3

Figure 2.4 Figure 2.5 Figure 2.6 Figure 2.7 Figure 2.8

Figure 2.9 Figure 2.10 Figure 2.11 Figure 2.12 Figure 2.13 Figure 2.14 Figure 2.15 Figure 2.16 Figure 2.17 Figure 2.18 Figure 2.19 Figure 2.20 Figure 2.21 Figure 2.22 Figure 2.23 Figure 2.24 Figure 3.1 Figure 3.2

Figure 4.1 Figure 4.2 Figure 4.3 Figure 4.4 Figure 4.5 Figure 4.6 Figure 4.7

LIST OF FIGURES

Institutional and economic determinants

The Effect of Infrastructure on Entrepreneurial Expansion Shapiro Entrepreneurial Event

Entrepreneurial Event Model Theory of Reason Action Theory of Planned Behavior

Model of the Extended Theory of Planned Behavior Theory of Expectancy model

Basic Expectancy Model

Development of Entrepreneurial Intention Models Entrepreneurial Intention Model

Influence of Internal Variables on Intention Influence of External Factors on Intention Technology Acceptance Model

Individual Social Capital on the Entrepreneurial Intention Entrepreneurial Motivation Model

Conceptual Model of the Micro-foundation of Entrepreneurial Intention

Factors Fostering Academics to Start-up New Ventures

Impact of Entrepreneurial Training on Entrepreneurial Intention Moderating Role of Entrepreneurial Training

Effect of Infrastructural Factors on Entrepreneurial Expansion Institutional and Economic Factors

The Conceptual Framework The Research Framework

Research Framework of Direct Relationship The Research Framework with moderating effect Histogram for Entrepreneurial Intention

Normal Probability Plot Measurement Model Structural Model

Structural Model with Moderating Effect Model Showing the R-square Explained

Interacting Effect of Entrepreneurial Training on the Relationship between Entrepreneurial Finance and Intention

29

32 37

38

41 44 45 52 56 58 62 63 65 66 68 69

70

73

106 111 115 116 119

121

136

137

163 164 176

181

184 187

193

(14)

LIST OF APPENDICES

Appendix A Academic Research Questionnaire Appendix B Smart-PLS Output -Measurement Model Appendix C Blindfolding Procedure Output

294 298 299

(15)

AVE CR CMV Dr fl

OYAGSB PBUH PhD PLS Prof Q2 R2 SEE SEM SET SPSS SWT

TAM

TPB TRA VIF

LIST OF ABBREVIATIONS

Average Variance Extracted Composite Reliability Common Method Variance Doctor

Effect Size

Othman Y eop Abdullah Graduate School of Business Peace Be Upon Him

Doctor of Philosophy Partial Least Squares Professor

Construct Crossvalidated Redundancy R-squared values

Shapiro Entrepreneurial Event Structural Equation Modelling Self Efficacy Theory

Statistical Package for the Social Sciences Subhanahu Wa Ta'ala

Technology Acceptance Model Theory of Planned Behaviour Theory Reason Action

Variance Inflated Factor

(16)

1.1 Background

CHAPTER ONE

INTRODUCTION

Entrepreneurship has been acknowledged by a lot of scholars and has been given major attention over the past decades, mainly because of its ability to trigger business creation which becomes a source of value creation, wealth, and employment (Entrialgo & Iglesias, 2016; Boukamcha, 2015). The field of entrepreneurship is rapidly and significantly growing over the past few decades (Minai, Uddin & Ibrahim 2014; Shane, 2012). Entrepreneurship undeniably impacted the global business, which led to the emergence of entrepreneurial activities worldwide (Kuratko, 2005). The emergence of entrepreneurship is due to the growing need for entrepreneurs to accelerate economic growth (Turker & Selcuk, 2009) and to stimulate the economy as well as drive the new industry of the country (Nina, et al., 2014).

Entrepreneurship is about creating or identifying opportunities to create wealth (Bae, Qian, Miao & Fiet, 2014). Thus, promoting entrepreneurial intention has an enormous economic impact with the accompanying multiplier effect, such as creating jobs and income (Duval-Couetil & Long, 2014), especially among retiring military personnel (Choo & Wong, 2006). According to Shane and Venkataraman (2000), entrepreneurship is the process of examining of how, by whom, and with what the opportunities affect the desire to create future goods and services and being discovered, evaluated, and exploited. It involves the process of discovery, evaluation, and exploitation of opportunities by the individuals (Shane & Venkatararnan, 2000).

(17)

Most entrepreneurs start their career at the early age whilst some start after assuming certain career. They retire from their jobs to become entrepreneurs. This post career as entrepreneurs or the career as entrepreneurs after retirement is a classic event example in one life journey. According to Yusuf and Minai (2016), retirement is an evolution that must be experienced in the circumstance of an individual life journey. It is a normal process of self-renewal and a development of disorientation and reorientation that characterize the individual turning point especially, among military personnel.

The governments across the globe are trying to stimulate entrepreneurship by encouraging the individual to become entrepreneurs, through the cultivation of entrepreneurial intention (Kunday & Cakir, 2014; Fayolle, Gailly & Lassas-Clerc, 2006). However, the degree to which the individual is encouraged varies based on the individual context and peculiarities. For instance, the school curriculum has been made to accommodate entrepreneurship education to inculcate students with entrepreneurial virtues and orientations (Kuratko, 2005). Similarly, various degrees of vocational and entrepreneurial training are traditionally given to the retiring individuals in the civil and military settings, with the aim of producing a productive individual, who in turn gives a meaningful contribution in terms of the social and economic development to the nation upon retirement (Akingbade, Ak.inlabi &

Ogundele, 2012).

In particular, the present study argues that the existence of external support mechanisms would increase the confidence level of entrepreneurial intention of Nigerian retiring military personnel to get involved in an entrepreneurship program or

(18)

activity upon retirement. This links the individual towards entrepreneurial intention (Vidal-Sune & Lopez-Panisello, 2013; Liao, Welsch & Pistrui, 2009), of the interest of the retiring military personnel. These external supports include the entrepreneurial finance, the government policy, the market availability, the physical facilities and the entrepreneurial training.

Muller (2011) suggests that if individuals are born as entrepreneurs, the entrepreneurial training would be much easier. Hence, it is sufficient to ensure that the individual who intends to be entrepreneurs are equipped with the enabling environment to launch new businesses, generate new jobs, increase people and nation's prosperity (van Prag & van Ste!, 2013). Regrettably, it is not that easy as studies have shown that an individual has the propensity of becoming an entrepreneur through entrepreneurial training. For instance, studies have revealed a significant association between entrepreneurial training and the tendency to become an entrepreneur (Altaf & Norashida, 2015; Farashah, 2013; Martin, McNally & Kay, 2013; Rodrigues, Dinis, Paco, Ferreira & Roposo, 2012; Gholami & Jalilvand, 2012;

Muller, 2011).

Self-employment is perceived as one way to promote financial independence upon retirement while contributing to the economy at large, through encouragement and training of the retiring individuals (Halvorsen & Morrow-Howell, 2016). The need to promote the entrepreneurial intention through entrepreneurial training programs among the retiring military personnel is evidence, according to Ronkko and Lepisto (2015); Lautenschlager and Haase (2011) entrepreneurial training promotes the

(19)

possibility of changing people's intentions concerning entrepreneurship and entrepreneurship economic relevance. Moreover, the growing attention of promoting entrepreneurial intention and culture in research and education all over the world suggests it necessary importance and seriousness considering the increasing rate of unemployment (Entrialgo & Iglesias, 2016; Dias-Garcia, Saez-Martinez & Jimenez- Moren, 2015).

Furthermore, Mares, et al. (2016); Zhao, Seibert, and Hills, (2005) suggest that psychological characteristics (individual domains) together with developed skills and abilities influence entrepreneurial intentions. Whilst, other studies such as Vidal-sune and Lopez-Panisello (2013); Sriram and Mersha (2010); Liao, Welsch and Pistrui.

(2009) demonstrated that environmental influences (contextual variables) have an impact on entrepreneurial intention. For instance, Sriram and Mersha (2010) considered that quite a lot of factors constitute the business environment such as the external and domestic macro environment, the social and physical infrastructure, the government policies which may actively encourage intention to business start-ups or act as a hurdle. Hence, the choice of entrepreneurial finance, government policy, market availability, physical facilities and entrepreneurial training as factors that enhance entrepreneurial intention of the retiring military personnel in Nigeria.

This present research specifically focuses on the entrepreneurial intention of the retiring military personnel because intentions have been identified by Krueger, et al., (2000) as the best predictors of the planned behavior. Moreover, the transition from working to retirement life places great psychological burden and financial distress on

(20)

the individual workers, especially among the retiring military personnel (Osman, et al., 2016; Choo & Wong, 2006; Spiegel & Shultz, 2003).

1.2 Problem Statement

Generalization about entrepreneurial intention has been made based on a specific population. It is evidenced that most of the prior studies regarding entrepreneurial intention have used the research population based on educational populations, who often opt for paid employment upon graduation (Miralles, Riveole & Giones, 2012;

Thornton, Ribeiro-Soriano, & Urbano., 2011), thus questioning and limiting the extent of the generalization of such study's findings (Martin, McNally & Kay, 2013;

Linan, Rodriguez-Cohard & Rueda-Cantuche, 2005), in particular, to the people of all ages in the society. For example, those individuals, who are thinking about becoming entrepreneurs after serving the national duty as the military.

Research input from the other population is required to make the generalization of the entrepreneurial intention more valid and acceptable (Miralles, Riveole & Giones, 2012), specifically, studies covering on the other settings and conditions such as the military and individuals who had previous employment. Moreover, Negash and Amentie (2013) argued that studies on those who have undertaken previous employment are few. According to Rasli, Khan, Malekifar, and Jabeen (2013);

Gibson, Gibson and Zhao (2011 ), studies on entrepreneurship, so far, mainly covered on the entrepreneurial intentions of students' population. This is the initial motivation for this study, to examine the entrepreneurial intention of the retiring military personnel to enhance the knowledge regarding entrepreneurial intention.

(21)

Retirement forces the individuals to disconnect with their known behavioural standards and economic position, as leaving a job has a significant effect on the psychological well-being of the retiring individual (Osman, et al., 2016), therefore promoting entrepreneurial intention among the retiring military personnel provides a solution for the retirees to continue working after retirement and further help to provide an adaptive lifestyle upon retirement (Wang & Shultz, 2010).

Past studies on retiring workers and career jobs intention after retirement are limited in tenns of specific sectors (Halvorsen & Morrow-Howell, 2016; Osman, et al., 2016;

Gobeski & Beehr, 2009), for examples, the industrial sectors. Not many focus on the government uniform (military) department, especially the compulsory retirement age is still considered as early, at the age less than 40 years old, where the individual is still active and productive, for example, the military personnel. Hence, this study focuses on investigating factors influencing entrepreneurial intention of the retiring military personnel.

Evidently, most of the empirical studies have mainly concentrated on the question of whether or not entrepreneurial training and education have an impact on the entrepreneurial intention among the college and university students (Oosterbeek, Van Praag & Ijsseelstein, 2010; Martinez, Levie, Kelley, Samundsson & Schort, 2010).

These studies mainly focus on students who are young and most of them are not prepared to be entrepreneurs upon their graduation, despite receiving entrepreneurial training and education during their study (Bae, Qian, Miao & Fiet, 2014; Von Graevenitz, Herhoff & Weber, 2010). Osman, et al. (2016) and Choo and Wong

(22)

(2006) call for researchers to address the issue of less attention given to the entrepreneurial intention of retiring military personnel to offer richer information and this study attempts to do so.

Moreover, the entrepreneurial intention of the retiring military personnel is a process towards a bridge employment of the retiring military personnel upon retirement, part of the transition and adjustment process of retirement (Halvorsen & Morrow-Howell, 2016; Fasbender, et al., 2015). According to Wang and Shultz (2010); Choo and Wong (2006) fewer studies have relatively examined the intention and outcomes of bridge employment, especially among retiring military personnel.

In examining the empirical evidence regarding the entrepreneurial intention of retiring military personnel, Vidal-Sune and Lopez-Panisello (2013), while looking into the institutional and economic factors influencing entrepreneurial intention of the Spanish autonomous region suggest to look into the following constructs;

(i) Financing facilities (ii) Government policies (iii) Entrepreneurial training (iv) Dynamics of Market

(v) Business opportunity perception

(vi) Perception of abilities towards entrepreneurial intention.

Similarly, Liao, Welsch, and Pistrui (2009) examine some of the listed antecedents related to intention towards entrepreneurial intention, as the following.

(23)

(i) Government assistance (ii) Business support services (iii) Family business harmony (iv) Physical facilities

(v) Financial support (vi) Information services

According to Liao, et al. (2009), the establishment of constructs to measure the intention and the identification of the predictors which enhance or hinder the entrepreneurial intention should include (i) the infrastructure conditions and (ii) the external factors that can have great impacts on the decision of individuals to become an entrepreneur. Both Vidal-Sune and Lopez-Panisello (2013) assert that institutional policies have a major impact on entrepreneurial intentions. Hence, based on the above discussions, the factors can be grouped into four constructs as the following;

(i) Entrepreneurial finance (ii) Government policy (iii) Market availability (iv) Physical facilities

The above constructs, referring to the environmental factors, of the entrepreneurial finance, government policy, market availability and physical facilities are thought to be strong predictors of entrepreneurial intentions (Da Costa & Mares, 2016).

However, these factors remain empirically underdeveloped (Bayron, 2013; Kolvereid

& Isaksen, 2006). According to Gibb (2012), entrepreneurial finance is the necessary

(24)

construct refe1Ting to the fund that assists the individual in a new venture creation.

The availability of entrepreneurial finance constitutes a stumbling block or support in creating a new firm (Peng, Lu & Kang, 2012). For example, lack of information and financial difficulty are among the major difficulties encountered by entrepreneurs (Kheng & Minai, 2016).

The availability of venture capital is crucial in starting a business, especially for small firms (Mohammad, Minai & Lucky, 2014; Roman, Congregado & Millan, 2013).

Entrepreneurial finance is considered as a prerequisite to establishing a venture would, therefore, influence entrepreneurial intention (Liao, et al., 2009). Therefore, the current study examines the expectation of people towards access to entrepreneurial financial that in tum enhances the individual intention to become the entrepreneur in this study context, as one of the constructs for the retiring military personnel entrepreneurial intention.

Government policies refer to the enactment of business laws and policies aim at stimulating firm development and performance through enabling policies that promote international competitiveness, growth, and job creation via new firms (Hehavarria & Ingram, 2014). The market imperfection which leads to market failure justifies government intervention in the form of policies which exert either a positive or a negative influence on the entrepreneurs (Storey, 2008). Thus, this present study examines how the government policies on entrepreneurship influences generally, and particularly the entrepreneurial intentions of the retiring military personnel in Nigeria.

Oosterik (2008) views that the availability of the market is the art of knowing the

(25)

potential customer's needs and the ability to exploit the perceived opportunity by linking such needs to one's own business. Individual ability to identify and evaluate business opportunity is not an easy task, where the individual must deliberately search for creative business ideas that can be converted into the new business venture. The market demand and market structure are the key ingredients to measuring opportunities (Schutte & Barkhuizen, 2014). Shane and Venkataraman (2000) assert that individual ability to spot and exploit entrepreneurial opportunity will influence the individual entrepreneurial intention. Vidal-Sune and Lopez-Panisello (2013) argues that the identification of market opportunities is a necessary skill that the potential entrepreneur must possess, without that entrepreneurial intention is not likely to come to reality.

The entrepreneur is driven by the desire to commence a set of actions to develop an idea towards an opportunity and concept into a company; consequently, actions of entrepreneur are mostly motivated by the availability of market and opportunities, furthermore, perceived availability of business opportunities would motivate more retiring military personnel towards entrepreneurial intention. Moreover, opportunity in this regard is perceived as a set of the subjective likelihood of what the entrepreneur views can be achieved and these expectancies are mainly propelled by entrepreneurial ideas and perceptions of the environment and they influence an entrepreneur's behavior (Omoarebun, 2014). According to Edelman and Yli-Renko (2010), the entrepreneur is driven by knowledge of the market opportunity, and accordingly, entrepreneur's efforts to commence a new business is motivated by the perceived opportunity. The larger the opportunity, the more rational an entrepreneur

(26)

will aggressively seek the opportunity. It is projected that this scenario is the same for the mature individual and in particular, the retiring military personnel towards entrepreneurial intention.

According to Liao, et al. (2009) views the infrastructure facilities as resources necessary for survival and growth of business. Karim, Biemans, Chizari and Mulda (2011 ), views that, lack of adequate infrastructural facilities, the absence of conducive business environment and access to relevant technology hinders the growth of entrepreneurship. Infrastructure can have a great influence on the functioning of a business and unfortunately, the effect of physical infrastructure on entrepreneurial intention has received little empirical attention (Liao, et al., 2009). Similarly, Achchuthan and Balasundaram (2014) asserts that inadequacies of; infrastructure, technological facilities, entrepreneurial awareness, support from government and nongovemment organizations are identified as the hindrance to individual entrepreneurial intention.

In view of these, the present study examines how infrastructure facilities influence the intention of the retiring military personnel to become the entrepreneur. Moreover, Nigeria is currently facing an acute infrastructure deficiency such as constant power outages (Ado & Josiah, 2015). In particular, Muriithi (2017) asserts that power supply is vital to SMEs operational and cost efficiency, he concludes that non-existence or inadequate power supply suggets that the entrepreneurs cannot operate effectively, thus, affecting entrepreneurial intention. The above four constructs are viewed as sufficient to serve as the construct to examine the entrepreneurial intention. It covers

(27)

all the construct proposed by Vidal-Sune and Lopez-Panisello (2013) and covers the suggestion of the construct by Liao et al. (2009). These constructs require further tests to form the theoretical framework for the study.

Researchers have demonstrated that entrepreneurial intention is determined by entrepreneurial courses and training, for example, Dias-Garcia, Saez-Martinez &

Jimenez-Moren (2015); Ronkko and Lepisto (2015); Nieminen and Lemmetyinen (20 l 5). The model of Entrialgo and Iglesias (2016) highlighted the moderating effect of entrepreneurial education on the relationship between (i) perceptions and (ii) attitudes towards entrepreneurial intention. However, the available studies seem to concentrate on investigating the direct influence of entrepreneurial training on entrepreneurial intention. Similar to positioning entrepreneurial education as the moderator, there is a logical situation to examine entrepreneurial training as a moderator towards entrepreneurial intention.

One study by Kunsay and Cakir (2014) has proposed a simple model examining the relationship between self-esteem and entrepreneurial intention with entrepreneurial training as a moderator. Examining entrepreneurial training as the moderator to the four constructs mentioned earlier is something 'new' and may produce mix results.

Such examination is important to provide new information for the enhancement of the entrepreneurial intention, in particular to the retiring military personnel. Furthermore, Entrialgo and Iglesias (2016) and Ertuna and Gu rel (2011) have emphasized to examine entrepreneurial training as a moderating factor.

(28)

Moreover, studies on the relationship between entrepreneurial training and entrepreneurial intention have highlighted the inconsistency of the research results.

Studies on the influence of entrepreneurship training on entrepreneurial intentions have continued to show conflicting outcomes, for example, studies have shown a significant association between entrepreneurial training and intention (Altaf &

Norashida, 2015; Farashah, 2013; Martin, McNally & Kay, 2013), while, other studies have revealed non-significant relationship (Bae, Qian, Miao & Fiet, 2014;

Oosterbeek, et al., 2010; Martinez, Levie & Kelley, 2010). This is creating a research gap as the independent variable, leading to the examining of entrepreneurial training

as

a moderator between (i) government policy, (ii) entrepreneurial finance, (iii) physical facilities and (iv) market availability and the entrepreneurial intention of the retiring military personnel in Nigeria.

Within the context of entrepreneurial training contributions, the issue of company survival is very important, the newly established firms in Nigeria barely survives the first two years (Osalor, 2014), suggests that the issue needs urgent attention.

Similarly, Muriithi (2017) revealed a very high rate of SMEs failures in Africa, he suggests that the African governments must involve practical solutions to address the challenges of the SMEs alarming rate of failures. For instance, Oyebola, Irefin, and Olaposi (2014) view that the main problem of business failure in Nigeria, among other factors, is due to the lack of entrepreneurial training that would impact and improve necessary entrepreneurial skills that would contribute to enhancing individual entrepreneurial intention, especially, among retiring military personnel. So,

(29)

the entrepreneurial training construct is important, if not as an independent variable, then as the moderating variable as this research sets forth to examine.

1.3 Research Questions

On the basis of the problem statements stated above, the present research work attempts to address the following research questions within the context of the retiring military personnel in Nigeria. Specifically, this study attempts to answer the following questions relating to the construct of the research model justified in chapter 3.

1. Does entrepreneurial finance enhance the entreprenemial intention of the retiring military personnel in Nigeria?

2. Does government policy enhance the entrepreneurial intention of the retiring military personnel in Nigeria?

3. Does market availability enhance the entrepreneurial intention of the retiring military personnel in Nigeria?

4. Does the construct of the physical facility enhance the entrepreneurial intention of the retiring military personnel in Nigeria?

Then, the research questions regarding the moderating effect of the entrepreneurial training emerge and they are as the following;

5. Does the construct of entrepreneurial training moderate the relationship between the construct of entreprenemial finance and the entrepreneurial intention of the retiring military personnel in Nigeria?

(30)

6. Does the constrnct of entrepreneurial training moderate the relationship between the construct of government policy and the entrepreneurial intention of the retiring military personnel in Nigeria?

7. Does the construct of entrepreneurial training moderate the relationship between the construct of market availability and the entrepreneurial intention of the retiring military personnel in Nigeria?

8. Does the construct of entrepreneurial training moderate the relationship between the construct of the physical facility and the entrepreneurial intention of the retiring military personnel in Nigeria?

The above research questions lead to the following research objectives of this study.

1.4 The Research Objective

ln line with the above research questions, the main objective of this research work is to examine the factors enhancing the entrepreneurial intention of the retiring military personnel of (i) entrepreneurial finance, (ii) government policy, (iii) market availability, and (iv) physical availability. Then, the research work examines the entrepreneurial training as a moderator to the proposed relationship in enhancing the entrepreneurial intention of the retiring military personnel in Nigeria.

In specific, in the achievement of the main objective, the following objectives are set.

a. To examine the positive and significant relationship between entrepreneurial finance and entrepreneurial intention of the retiring military personnel in Nigeria.

(31)

b. To investigate the positive and significant relationship between government policy and entrepreneurial intention of the retiring military personnel in Nigeria.

c. To investigate the positive and significant relationship between market availability and entrepreneurial intention of the retiring military personnel in Nigeria.

d. To exam.ine the positive and significant relationship between physical facilities and entrepreneurial intention of the retiring military personnel in Nigeria.

e. To exam.ine the moderating the effect of entrepreneurial training on the relationship between entrepreneurial finance and the entrepreneurial intention of the retiring military personnel.

f. To investigate the moderating role of entrepreneurial training on the relationship between government policy and the entrepreneurial intention of the retiring military personnel.

g. To examine the moderating role of entrepreneurial training on the relationship between market availability and the entrepreneurial intention of the retiring military personnel.

h. To investigate the moderating role of entrepreneurial training on the relationship between physical facilities and the entrepreneurial intention of the retiring military personnel.

1.5 Significance of the Study

This study, which is about investigating factors enhancing the retiring military personnel entrepreneurial intention, with the selected constructs affecting the entrepreneurial intention contributes to knowledge and practitioners as the following;

(32)

1.5.1 Theoretical contribution

First, the present study tests for the significant relationship between entrepreneurial finance, government policy, market availability, physical facilities with the entrepreneurial intention of the retiring military personnel in Nigeria. The effect of the individual construct and combined constructs is provided, which is not being tested before (the combined constructs). This is a major contribution in terms of the knowledge revealed in the findings.

Second, the study also tests if entrepreneurial training can improve the effect of the relationship between (i) the entrepreneurial finance, (ii) the government policy, (iii) the market availability and (iv) the physical facilities on the entrepreneurial intention.

Testing as the moderators for the construct of entrepreneurial training on such relationship shall provide new knowledge, in particular for the 'old age' entrepreneurs' understudy, the retired military personnel.

Third, the present study investigates the entrepreneurial intention among the retiring military personnel. Most of the previous studies were conducted among university's students, polytechnics and college populations (Miralles, Riveole & Giones, 2012;

Turker & Selcuk, 2009). This study adds to the body of knowledge by investigating entrepreneurial intention among specific organization such as the retiring military personnel and an older group of potential entrepreneurs. For instance, Choo and Wong (2006) assert that there is a scarcity of knowledge of the various barriers that enhance entrepreneurial intention of the retiring military personnel and their

(33)

experiences of setting up and running a business. Thus, this research work offers more knowledge for this group of people.

Fourth, the present study similarly contributes to the entrepreneurial intention among the retiring military .personnel, as according to Wang and Shultz (2010) who viewed that there is a paucity of knowledge about the intention and the workings of the retired military personnel towards a bridge employment upon retirement. Importantly, the post-retirement job has become more and more important form of the labor force (Fasbender, Wang, Voltmer & Deller, 2015). Thus, current study contributes to the factors of constructs that enhance the entrepreneurial intention of the retiring military personnel in Nigeria.

1.5.2 Practical contribution

First, this study aims to offer a contribution to the government of Nigeria and the Nigerian armed forces. The outcome of this study shall offer some valuable insights and implications for the policy-makers and the Nigerian military authority with regard to the entrepreneurship programs for the retiring military personnel in Nigeria. The findings reveal the importance of entrepreneurial intention leading to the entrepreneurial activities in the economic transformation and with the moderating factor of entrepreneurial training as a remedy to the unemployment and poverty raging in Nigeria, especially, among retired military personnel.

Secondly, this study suggests that the intention of retiring military personnel and entrepreneurial individuals are strongly influenced by entrepreneurial finance,

(34)

government policy, market availability, physical facilities and such influences are moderated by the entrepreneurial training. By this, the retiring military personnel and the individual may assess their relative strengths and weaknesses and thereby have a more realistic perspective regarding their entrepreneurial intention.

1bird, the robust and indebt analysis of the data allow the study to be replicated by others, stimulating interest among scholars and training institutions. In addition, it allows the educators and training institutions, to a better understanding of the critical factors enhancing the entrepreneurial intention of retiring military personnel.

1.6 Scope of study

This study focuses on examining the factors through the identified construct to enhance the entrepreneurial intention of the retiring military personnel in Nigeria and the potential moderating effect of entrepreneurial training. As mentioned earlier, the study seeks to examine the constructs affecting the entrepreneurial intention, focusing on the four exogenous constructs namely; (i) government policy, (ii) entrepreneurial finance, (iii) physical facilities, (iv) market availability as developed from Vidal-Sune and Lopez-Panisello (2013) and Liao, Welsch and Pistrui (2009) before further test of the moderating effect of entrepreneurial training, as suggested by Entrialgo and Iglesias (2016) and Kunday and Cakir (2014) towards entrepreneurial intention, in this study, within the context of retiring military personnel.

The rationale for focusing on the retiring military personnel as the context of this study is as follows. Firstly, the literature indicates that retiring individuals have more

(35)

experience, maturity and less likely to return to be employed and thus, has a high probability of entrepreneurial success (Salami, 2013; Herssels & Zwan, 2010). The study can be extended to the other uniform organization, however, only focus on the military personnel.

Secondly, this group is a less studied group as most studies on entrepreneurship mainly cover on the entrepreneurial intentions of students population (Negash &

Amentie, 2013), thus, limiting the generalization of such findings (Martin, McNally &

Kay, 2013; Linan, Rodriguez-Cohard & Rueda-Cantuche, 2005). The scope of this study that covers beyond students' population offers additional dimensions to the findings regarding the entrepreneurial intention.

1. 7 Organizations of the thesis

The chapter one of this thesis includes the background to the study, problem statement, research question, research objectives, the significance of the study, the scope of the study and the organization of the thesis.

Chapter two deals with the review of important concepts in entrepreneurship studied in this study. In particular, the concepts of (i) entrepreneurial finance, (ii) government policy, (iii) market availability, (iv) physical facilities, (v) entrepreneurial training and (vi) entrepreneurial intention are explored. The review of the previous studies that link the entrepreneurial concepts toward the development of a model that explain the relationships and the conceptual framework of the study, as the Shapiro entrepreneurial event (Farsi, Aribium & Moradi, 2012; Meeks, 2009; Shapiro, 1984)

(36)

and theories of training (Schutte & Barkhuizen, 2014; Lackeus, Lundqvist &

Middleton, 2013; Gibson, Gibson & Zhao, 2011; Mwasalwiba, 2010). Thus, linking to the establishment of the theoretical foundation of this present study.

Chapter three explains the proposed methods and techniques including the research paradigms, hypotheses development, research design, a collection of data and procedures, sampling technique, data analysis techniques and the result of the pilot study.

Chapter four describes the analyses of data cleaning and cleansing and findings of the study.

In chapter five, the key findings of the study are analyzed and discussed based on the research objectives. Additionally, in chapter five, the theoretical, methodological and practical implications of the findings are highlighted. Also in chapter five, future research recommendations and suggestions are offered.

1.8 Definitions of keywords

1.8.1 Entrepreneurship

Entrepreneurship is a process that involves the recognition of a need and the exploitation of an opportunity to fulfill the need through the establishment of a business venture (Marcotte, 2014). Similarly, entrepreneurship is a process of evolution, build on the emergence of perspective, with a view to creating new

(37)

business venture through a dynamic process of evolution that incorporates cultural cognitive beliefs that individua1s used to portray their interest and situations (Klyver

& Thornton, 2010). However, the present study define entrepreneurship from the perspective of Shane and Venkataraman (2000), as the study of sources of opportunities, the processes of identification, evaluation, and exploitation of opportunities by an individual.

1.8.2 Entrepreneurial intention

The entrepreneurial intention is defined as a state of mind, which directs and guides the actions of individuals to the development and implementation of new business concepts and ideas (Rigby & Ramlogan, 2013). Examining retiring military personnel in Nigeria who rarely engage in entrepreneurial activity as research objects, present study explains the entrepreneurial intention as a mental orientation such as wish, aspiration, and hope to influence the individual choice of entrepreneurship.

1.8.3 Entrepreneurial training

Entrepreneurship training concerns with the development and improvement of the individual entrepreneurial knowledge, inspiration, consciousness and skills that motivate individuals towards entrepreneurial intention (Ozaralli & Rivenburgh, 2016).

1.8.4 Government Policy

Government Policies are enactments and actions of the government that can impact the market frame and build an entrepreneurship-friendly environment that encourages

(38)

individual towards entrepreneurial intention (Yusuf, Minai, Mohammed & Isah, 2016;

Sadeghi, et al., 2013).

1.8.5 Entrepreneurial Finance

Entrepreneurial Finance is the process of taking financial decisions on entrepreneurial intention. The financial resource is one of the major challenges that confront an individual in the course of intention about setting up a business (Muller, 2013).

1.8.6 Physical Facilities

Physical facilities are the process of making available basic facilities like steady electricity supply, good transportation system, communication system among others that would enhance entrepreneurial intention of the individual.

(39)

2.1 Introduction

CHAPTER TWO

LITERATURE REVIEW

This chapter provides the research on entrepreneurial intention, entrepreneurial training, and theories of entrepreneurship; the Shapiro entrepreneurial event, Theory of Planned Behavior, reason action, theory of expectancy, theories of technology acceptance models. The literature review sets out to identify the specific factors of entrepreneurship; government policy, entrepreneurial finance, physical infrastructure and market availability influence the intention of the retiring military personnel to become entrepreneurial upon retirement. In addition, training theories that enhance the effective teaching and learning of entrepreneurship of the retiring military personnel in Nigeria are theorized.

Fostering entrepreneurship is not new (Ozaralli & Rivenburgh, 2016). The societal focus on the entrepreneurial society today implies a shift from the economic interventions of the managed economy that prevails decades ago (Farashah, 2013), where large firms were attracted by providing substantial incentives by policy-makers (Ertuna & Gurel, 2011). Therefore, the challenges confronting the new global economy in the twenty-first century, that is, changing from the managed economy to the entrepreneurial economy is to promote, inspire and sustain an entrepreneurial society (Hechavarria & Ingram, 2014 ).

(40)

The trend thus, demonstrates the interest of scholars in entrepreneurship, in addition, the impact of entrepreneurship on the economic development and job creation is not in doubt as evidenced by several scholarly studies on entrepreneurship; however, the perspective can be group into economics, psychological and sociological (Ozaralli &

Rivenburgh. 2016). Similarly, Bruck, Naude, and Verwimp (2013) view entrepreneurship as a phenomenon studied across diverse disciplines, thus, leading to its numerous definitions.

The concept of entrepreneurship has been viewed in various ways, ranging from narrow definitions such as beginning self-business to broad conceptualisations such as actions that emphasise innovativeness, self-reliance, initiative, and risk-taking (Austin, Stevenson & Wei-Skillern, 2012). Klyver and Thornton (2010) posit that entrepreneurship is a process of evolution, build on the emergence of perspective, with a view to creating new business venture through a dynamic process of evolution that incorporates cultural cognitive beliefs that individuals used to portray their interest and situations.

Studies have continuously striving to improve the entire entrepreneurial process to get a better understanding the forces behind entrepreneurial success (Gartner, 2001).

Similarly, Mansor, Mohamad, and Khalid (2012) assert that entrepreneur is a word derived from the French verb entreprendre, meaning to undertake, the study continues that, the entrepreneur is individual who build and create something new for the satisfaction of other people. This implies that entrepreneurship is about creating new business and new business results in more wealth, the building of a business is a

(41)

social and economic process that involve and takes place within a society (Mueller, 2011). Whilst, Jeckell (2012) views that, entrepreneurship is not restricted to new ventures, he argued that, it as well involves entrepreneurial activities in the established organisations; he continued that, entrepreneurs are individuals agreeing to start a business venture and admit responsibility for the consequence of the action.

Table 2.1 is the list of selected works with information about theories, models, and developments that have a major contribution to the study regarding the entrepreneurial intention and it also helps to clarify the research design of this study.

Table: 2.1

List of some contributors to entrepreneurship theories and models

Year Author Contribution

1755 Cantillon Organizer of factors of production

1921 Knight Theory of profit

1934 Schumpeter Innovation and entrepreneurship

1934 Bum Product cycle model.

1949 von Mises Entrepreneurs profit motive to exploit 1964 Becker

1964 Vroom 1965 McClelland 1972 Bern

1975 Ajzen and Fishbein 1977 Oliver 1977 Bandura 1984 Shapiro 1985 Ajzen 1985 Kirzner

1988 Bird and Jelinek 1988 Katz and Gartner 1989 Bandura

1989 Davis

1991 Robinson, et al.

opportunities.

Human capital theories Theory of expectancy

Theory of need for achievement Theory of self-perception Theory of Reason Action

Theory of Expectancy Disconfirmation Theory of self-efficacy

Shapiro Entrepreneurial Event Theory of Planned Behavior

Alertness and opportunity recognition and exploitation.

Schemas, opportunity recognition and mental models.

Entrepreneurial intention, recognition and entrepreneurship.

Theory of Social Cognition Technology Acceptance Model Entrepreneurial Attitude Orientation

(42)

Figure 2.1 (continued) Year Author

1994 Krueger and Brazeal 1995

1997

Sternberg Venkataraman 1999 Timmons 2000

2001 2004 2012 2017

Krueger Hofstede Linan

Cardon, et al Kautonen,, et al.

Contribution

Entrepreneurial Potential Model Theory of investment creativity.

Spotting and exploiting opportunity The role of experience in opportunity recognition

The role of intention in opportunity development Measure of individualism-collectivism

Entrepreneurial Intention Model

Entrepreneurship measurement instrument Measuring opportunity recognition and opportunity exploitation

According to Remeikiene, Startiene and Dumciuviene (2013) entrepreneurial intention is a state of mind by which a person wish to create a new business or a new value in existing establishments; they affirm that the intention to create a business is mainly born on the theories of Ajzen's theory of planned behavior and Shapero's model of the entrepreneurial event. While, Przepiorka (2016) views that, the theory of expectancy is an important model to describe the human motivation towards entreprenew-ial intention.

Focusing on an entrepreneurial intention model by Linan (2004), the entrepreneurial intention is explained in this study by;

(i) Shapiro entrepreneurial event (ii) Theory of reason action (iii) Theory of planned behavior (iv) Theory of expectancy.

The theories are relevant and are explained to guide this study.

(43)

2.1 The Underlying Models

The entrepreneurial intention has been regarded as a significant factor in understanding the new business creation process (Linan, et al., 2011; Linan, 2008), similarly, Fayolle and Gailly, (2004) described it, as a priority and influential factor in performing entrepreneurial behaviors. Intentional models have been found to be a better alternative to predict entrepreneurial actions likewise studies have revealed that intention-based models have offered a great opportunity in enhancing the understanding and predictive capability for entrepreneurship (Izquierdo & Buelens, 2011).

Several studies have explained the entrepreneurship phenomenon through literature and models (Guerrero, Rialp & Urbano, 2008). Scholars have immensely contributed to the development of entrepreneurial intention models. According to Linan (2004), the external environment is the result of the conscious or unconscious analysis carried out by the individual about the desirability and feasibility of the different possible alternative courses of in that situation. Moreover, a greater knowledge of the entrepreneurial environment will surely contribute to the individual's realistic perceptions about the external constructs affecting entrepreneurial intention and it will further directly make the intention to become an entrepreneur more credible (Linan, et al., 2011).

Pang, Lu, and Kang (2012) view that studies have identified several factors influencing individual's entrepreneurial intentions while evaluating the individual entrepreneurial intentions, many engaged models. Weiss (2015) view that, among the

(44)

factors that are mostly stressed by the institutional approach as a factor in the development of entrepreneurial intention is individuals' confidence in self-knowledge and entrepreneurial skills. According to Vidal-sune and Lopez-Panisello (2013), institutional and economic influences may be perceived as an aggregate structure that has an influence on the individual's perception of business opportunities, and the latter's influence on entrepreneurial intention as shown in figure 2.1

Government Policy

Entrepreneurship education and training Market Dynamism

Government Regulation

GOP per capital

Unemployment rate

Inflation

Figure 2.1

Perception

of Business Opportuniti

Perception of Abilities

Entrepreneurial intention

Financing Facilities

Institutional and economic determinants by Vidal-sune and Lopez- p anise/lo (2013)

(45)

In examining the empirical evidence regarding the intention, in particular, Vidal-Sune and Lopez-Panisello (2013), while looking into the institutional and economic factors influencing entrepreneurial intention of the Spanish autonomous region suggest to look into;

(i) Entrepreneurial education and training, (ii) Market dynamics

(iii) Financing facilities (iv) Government policies

(v) Perception of business opportunity (vi) Perception of abilities.

(vii) Unemployment (viii) Inflation

(ix) GDP per capital

Entrepreneurial training according to Vidal-sune and Lopez-Panisello (2013) is the process by which people acquire knowledge, attitudes, values and skills related to the creation businesses. They affirm that entrepreneurial training and education is one of the most widely used ways of stimulating entrepreneurial intention. The perception of business opportunities which is perceived the ability to identify business opportunities, according to Vidal-sune and Lopez-Panisello is positively connected to entrepreneurial intention. The ease or difficulty of access to sources of entrepreneuria1 finance is perceived as a structural factor that affects entrepreneurial intention, Entrepreneurs often cite financing difficulties encountered as a barrier to intention

(46)

towards creation of new businesses (Vidal-sune & Lopez-Panisello, 2013; Choo and Wong, 2006)

Similarly, Vidal-sune and Lopez-Panisello (2013) posits that the government role is a key factor influencing the individual perception of opportunities, they postulate that the government should create a culture through policies and actions that validate and encourages entrepreneurship and develops a capacity within the society to stimulate entrepreneurial intention. Vidal-sune and Lopez-Panisello (2013) also affirm that other institutional and economic factors such as GDP per capita, unemployment rate, inflation, individuals Perception of abilities stimulate entrepreneurial intention. They postulate that the unemployment rate may incline individual towards entrepreneurial intention, increase in unemployment leads correspondence increase in entrepreneurial intention.

Liao, Welsch, and Pistrui (2009) results of the factor analysis have resulted in factor listed below as related to intention towards entrepreneurial intention for expansion.

Shown in figure 2.2.

(47)

Financial Support

Family-Business Harmony

Government Assjstance ~ Entrepreneurial

~

Expansion

I

Physical Facilities

~

Business Support

> - -

Services

Information Services

Figure 2.2

The Effect of Infrastructure on Entrepreneurial Expansion (Liao, et al., 2009)

This model demonstrates the empirical investigation of infrastructure factors regarding the intention for entrepreneurial expansion, in particular, Liao, et al. (2009), while looking into the infrastructure factors affecting entrepreneurial growth intentions identifies;

(i) Financial support

(ii) Business support services (iii) Physical facilities

(iv) Family business harmony (v) Government assistance (vi) Information services

(48)

Financial Support in the form of foreign investment, banks, government support, family savings or partnership is an important factor towards intention for entrepreneurship and business expansion (Liao, et al., 2009). Liao, et al. (2009) affirm that the existence of physical facilities is an important factor for entrepreneurial intention, activities, and growth, according to the study, physical facilities such as physical location, warehouses, retail locations and distribution facilities are required towards intention for business and business expansion. Liao, et al. (2009) opines that government Assistance in relationship to programs on entrepreneurial intention, growth, and expansion should embrace. The study demonstrates the importance of other factors such as business support services, family-business harmony, and informational services allow the individual to make the essential entrepreneurial intention and expansion of business.

Moreover, Vidal-sune and Lopez-Panisello (2013); Liao, et al. (2009), asse11s that the establishment of constructs to measure the intention and the identification of the predictors which enhance or hinder the entrepreneurial intention should include;

(i) Infrastructural conditions (ii) Government policy (iii) Entrepreneurial training

(iv) Perception of business opportunity and market dynamism (v) Finance facilities

They assert that the above-listed factors can have great impacts on the decision of individuals to become an entrepreneur. Similarly, Khuong and An (2016) view that

(49)

external factors have the consequential effects on individual entrepreneurial decisions;

they concluded that the external factors would affect the individual perceptions about the available alternatives.

According to both, Vidal-Sune and Lopez-Panisello (2013) asserts that institutional policies have a major impact on entrepreneurial intentions. Hence, the examination of entrepreneurial finance, government policy, market availability, physical facilities towards the entrepreneurial intention of the retiring military personnel in Nigeria, moreover, environmental factors are thought to be strong predictors of entrepreneurial intentions (Da Costa, & Mares, 2016) and the construct remains empirically underdeveloped (Bayron, 2013; Kolvereid & Isaksen, 2006).

These factors are relevant to the present study. The present study model suggests that entrepreneurial training and environmental influences such as;

(i) Entrepreneurial finance (ii) Government policies

(iii) Market availability

(iv) Physical facilities (v) Entrepreneurial training

These factors are found to be relevant to the entrepreneurial intention of the retiring military personnel in Nigeria suggesting that their study has implication for the present study.

Rujukan

DOKUMEN BERKAITAN

storage and retrieval system, without permission in writing from The Secretariat ISICAS 2015, Institut Islam Hadhari (HADHARI), Universiti Kebangsaan Malaysia, 43600 UKM

Secondly, the methodology derived from the essential Qur’anic worldview of Tawhid, the oneness of Allah, and thereby, the unity of the divine law, which is the praxis of unity

In view of the above phenomenon and to fill-in the gap, this study attempts: first, to determine consumers’ general purchasing behaviour pattern when they

The aim of this study is to establish the percentage of mismatch bCI\\ cell the an thropometries variable and the classroom chaIr dimension used during school

Gen A mengawal penukaran satu pigmen putih, Po, kepada satu pigmen putih yang lain, Pi, di mana alel dominan A menghasilkan enzim benfungsi sementara ale/ a menghasilkan

Exclusive QS survey data reveals how prospective international students and higher education institutions are responding to this global health

which generated through intentions and reasons (Biesta, 2010). Strategies of inquiry adopted by this study is called “basic concurrent mixed design”, in which data

In this research, the researchers will examine the relationship between the fluctuation of housing price in the United States and the macroeconomic variables, which are