Factors affecting entrepreneurial intention of high quality program students of banking university HCMC

MINISTRY OF EDUCATION AND TRAINING STATE BANK OF VIETNAM BANKING UNIVERSITY OF HO CHI MINH CITY  TRUONG LY QUYNH NHI FACTORS AFFECTING ENTREPRENEURIAL INTENTION OF HIGH QUALITY PROGRAM STUDENTS OF BANKING UNIVERSITY HCMC BACHELOR’S THESIS SPECIALIZED IN BUSINESS MANAGEMENT CODE: 7340101 HO CHI MINH CITY, 2018 MINISTRY OF EDUCATION AND TRAINING STATE BANK OF VIETNAM BANKING UNIVERSITY OF HO CHI MINH CITY  TRUONG LY QUYNH NHI FACTORS AFFECTING ENTREPRENEURIAL INTENTION OF HIGH QUALITY PROGRAM STUDENTS OF BANKING UNIVERSITY HCMC BACHELOR’S THESIS SPECIALIZED IN BUSINESS MANAGEMENT CODE: 7340101 SUPERVISOR M.A DINH THU QUYNH HO CHI MINH CITY, 2018 i ABSTRACT Most countries in the world have plans to support the formation of small businesses, especially the policy of encouraging students to start their own business This can be explained by the fact that researchers hope that well-educated entrepreneurs will create businesses which has a faster and stronger growth than the others To encourage graduates to pursue entrepreneurship, researchers believe that there should be more stimuluses while they were still undergraduates Entrepreneurial intention has an effect on students’ future attitude towards entrepreneurship This study’s purpose is to understand how attitude toward the behavior, subjective norm and perceived behavioral control and entrepreneurship education affect entrepreneurial intention of high quality (HQ) program students of Banking University Ho Chi Minh City (BUH) This study conducted in Banking University Ho Chi Minh City through two steps, qualitative research and quantitative research Qualitative research conducted through group discussions with high quality program students in Banking University Quantitative research conducts on the application of techniques such as Cronbach's Alpha coefficient assay, exploratory factor analysis (EFA), correlation of variables test, ANOVA and multivariate regression This study used statistical data processing software SPSS 20 to run the tests Based on the research result, the determinant factors that affect entrepreneurial intention of HQ program students are attitude toward the behavior, subjective norm and perceived behavioral control and entrepreneurship education, in which the most influential factor is attitude toward the behavior and the least impact factor is perceived behavioral control From the result of this study, we have come to some new suggestions for the school and policy makers These suggestions are training and supporting activities, propaganda campaigns They can inspire and create motivation for students’ entrepreneurial intention, especially among high quality program students ii DECLARATION OF AUTHENTICITY I the undersigned declare that all material presented in this paper is my own work or fully and specifically acknowledged wherever adapted from other sources I understand that if at any time it is shown that I have significantly misrepresented material presented here, any degree or credits awarded to me on the basic of that material may be revoked I declared that all statements and information contained herein are true, correct and accurate to the best of my knowledge and belief Ho Chi Minh City, December 2018 Truong Ly Quynh Nhi iii ACKNOWLEDGEMENT I would like to express my sincere appreciation to Mrs Dinh Thu Quynh for her valuable guidance and patience during this period of writing the dissertation Sometimes, I get discouraged and confused about what to next or where to go, her specific comments, useful advices, and motivations make me more confident and overcome the initial difficulties to complete this research Once again, I really appreciate her enthusiasm and whole-hearted guidance I am highly happy and fortunate to carry out this study under her supervisor Special thanks to my family, who are the best supporters for me during my study and during my life Next, my deeply thanks come to all of my friends who alway support me during time I study in university I am thankful for the times that they have listened to me, advised me and even comforted me Their kindly help, care and motivation gave me strength and lift me up all the trouble for the rest of my life I also thank for assistance of lecturers in Management Department and also in Office of Academic Affairs during a period of studying for a bachelor degree at Banking University of Ho Chi Minh city iv TABLE OF CONTENTS ABSTRACT i DECLARATION OF AUTHENTICITY .ii ACKNOWLEDGEMENT iii TABLE OF CONTENTS iv LIST OF ABBREVIATION vii THE LIST OF TABLES viii THE LIST OF FIGURES ix CHAPTER 1: INTRODUCTION 1.1 The necessity of the researching 1.2 Objectives and exploration questions 1.2.1 Objectives of the thesis 1.2.2 Exploration questions 1.3 Scope of the study 1.4 Research methodology 1.5 A significant of the exploration 1.6 A structure of the thesis SUMMARY CHAPTER 2: LITERATURE REVIEW 2.1 Entrepreneur, Entrepreneurship, Entrepreneurial Intention 2.1.1 Entrepreneur 2.1.2 Entrepreneurship 10 2.1.3 Entrepreneurial Intention 11 2.2 Theory of Planned Behavior and Shapero’s Entrepreneurial Event model 13 v 2.2.1 Theory of Reasoned Action (TRA) 13 2.2.2 Theory of Planned Behavior (TPB) 15 2.3 Review of relevant theoretical models 18 2.3.1 Model by Francisco Linan (2004) 18 2.3.2 Model from Ahmed et al (2010) 19 2.3.3 Model by Sofia Karali (2013) 20 2.3.4 Model from Nguyen Doan Chi Luan (2012) 21 2.3.5 Model from Phan Anh Tu and Giang Thi Cam Tien (2015) 22 2.4 The current status of entrepreneurship in Vietnam and Banking University 23 2.5 Proposed theoretical framework 26 2.5.1 Attitude toward the behavior 27 2.5.2 Subjective norm 30 2.5.3 Perceived behavioral control 32 2.5.4 Entrepreneurship education 34 SUMMARY 36 CHAPTER 3: RESEARCH METHODOLOGY 38 3.1 Research’s progress 38 3.2 Scale construction and questionnaire 39 3.2.1 Operational definition and variables measurement 39 3.2.2 Qualitative interview, form the draft scale 41 3.2.3 Questionnaire design 46 3.3 Sampling design 47 3.3.1 Sample size selective 47 3.3.2 Sampling method and survey subjects 47 3.4 Statistic process 48 3.4.1 Measure the scale 48 vi 3.4.2 Evaluate the regression of the model 51 SUMMARY 53 CHAPTER 4: RESULT’S ANALYSIS AND DISCUSSION 55 4.1 Descriptive statistics analysis and data examination 55 4.2 Result of Cronbach’s Alpha 58 4.2.1 Evaluating attitude toward the behavior scale 58 4.2.2 Evaluating subjective norm scale 59 4.2.3 Evaluating perceived behavioral control scale 60 4.2.4 Evaluating entrepreneurship education scale 61 4.2.5 Evaluating entrepreneurial intention scale 61 4.3 Result of exploratory factor analysis (EFA) 62 4.3.1 Factor analysis for independent variables 62 4.3.2 Factor analysis for dependent variables 66 4.4 Correlation analysis 70 4.5 Result of regression analysis 72 SUMMARY 75 CHAPTER 5: CONCLUSION AND RECOMMENDATIONS 76 5.1 Conclusion 76 5.2 Recommendations of the study 79 5.3 Limitations of the study 81 5.4 Recommendations for future study 82 SUMMARY 83 REFERENCES 84 APPENDIX 89 vii LIST OF ABBREVIATION Abbreviation Meaning ANOVA Analysis of variance AT Attitude toward the behavior BUH Banking University of Ho Chi Minh City EE Entrepreneurship education EFA Exploratory Factor Analysis EI Entrepreneurial intention HCMC HCMC Ho Chi Minh City HQ High quality KMO Kaiser-Meyer-Olkin PBC Perceived Behavioral Control SEE Shapero’s Entrepreneurial Event model SN Subjective Norm SPSS Statistical Package for Science TPB Theory of Planned Behavior TRA Theory of Reasoned Action the Social viii THE LIST OF TABLES Table Encode scale 43 Table Descriptive statistics analysis 56 Table Result of the reliability assessment of attitude toward the behavior scale 58 Table Result of the reliability assessment of subjective norm scale 59 Table 4 Result of the reliability assessment of perceived behavioral control scale 60 Table Result of the reliability assessment of entrepreneurship education scale 61 Table Result of the reliability assessment of entrepreneurial intention scale 61 Table The independent variables analysis’s result in the first time (EFA test) 62 Table The result of KMO and Bartlett’s Test for independent variables in the second time (EFA test) 63 Table Eigenvalues and covariance deviations for independent variables in the second time (EFA test) 64 Table 10 Result of independent factor analysis with Principal Varimax rotation method in the second time (EFA test) 65 Table 11 The result of KMO and Bartlett’s Test for dependent variables 66 Table 12 Eigenvalues and covariance deviations for dependent variables 67 Table 13 The factor rotation matrix of the dependent variable 68 Table 14 Result of the reliability assessment of subjective norm and perceived behavioral control scale 69 Table 15 Pearson correlation analysis 70 Table 16 Model summary 72 Table 17 ANOVA analysis 73 Table 18 Result of dependent variables’ linear regression 73 Table 19 Summary the testing result of hypothesis about entrepreneurial intention of HQ program students of BUH 74 95 What major you are studying? (Chuyên ngành học bạn?) A Finance and Banking (Tài ngân hàng) B Business Administration (Quản trị kinh doanh) C Accounting (Kế toán) What HQ program’s course you are in? (Bạn thuộc khóa học chương trình chất lượng cao) A st course (Khóa 1) B nd course (Khóa 2) C th course (Khóa 3) D th course (Khóa 4) E th course (Khóa 5) F th course (Khóa 6) How much your income a month? (Thu nhập bạn?) A Less 5.000.000 VND/month (Ít triệu/ tháng) B 5.000.000- 8.000.000 VND/ month (Từ triệu – triệu/ tháng) C 8.000.000- 11.000.000 VND/ month (Từ triệu – 11 triệu/ tháng) D Over 11.000.000 VND/ month (Hơn 11 triệu/ tháng) Does your family own a business? (Gia đình (bố, mẹ) bạn có chủ kinh doanh khơng?) A Yes (Có) B No (Không) Do you have any other suggestions for personal information questions? (Bạn có góp ý thêm câu hỏi cho phần thơng tin cá nhân khơng?) …………………………………………………………………………………………………………… …………………………………………………………………………………………………………… THANK YOU FOR YOUR IQUIRY TRÂN TRỌNG CẢM ƠN CÁC ANH/CHỊ 96 APPENDIX 2: THE OFFICIAL QUESTIONNAIRE FACTORS AFFECTING ENTREPRENEURIAL INTENTION OF HIGH QUALITY PROGRAM STUDENTS OF BANKING UNIVERSITY HCMC Các nhân tố ảnh hưởng đến ý định khởi nghiệp kinh doanh sinh viên chương trình chất lượng cao đại học Ngân hàng TP.HCM Dear Sir/Miss I’m a student of Business adminstration, University of Banking of Ho Chi Minh city I am doing a final research about “Factors affecting entrepreneurial intention of high quality program students of Banking University Ho Chi Minh city Please expect some time to support my research by answering this survey The information you provide will be kept confidential and will only be used for scientific purposes, not for commercial purposes Kính chào anh/chị bạn Em sinh viên khoa Quản trị kinh doanh Trường đại học Ngân hàng Tp Hồ Chí Minh Em thực nghiên cứu “Các nhân tố ảnh hưởng đến ý định khởi nghiệp kinh doanh sinh viên chương trình chất lượng cao đại học Ngân hàng Tp Hồ Chí Minh” Kính mong anh/chị bạn dành chút thời gian hỗ trợ nghiên cứu em thông qua việc trả lời bảng khảo sát Những thông tin anh/chị bạn cung cấp bảo mật, sử dụng cho mục đích nghiên cứu khoa học, khơng sử dụng cho mục đích thương mại PART This section presents statements related to factors affecting entrepreneurial intention of high quality program students of BUH Please provide your level of agreement/disagreement to the following statements: Phần trình bày yếu tố ảnh hưởng đến ý định khởi nghiệp kinh doanh sinh viên chương trình chất lượng cao BUH Anh/Chị bạn vui lòng cho biết mức độ đồng/ không đồng ý bạn cách đánh dấu vào số phát biểu sau: Strongly disagree Hồn tồn khơng đồng ý Disagree Không đồng ý Neutral Trung lập Agree Đồng ý Strongly agree Hoàn toàn đồng ý 97 No STT The statements Phát biểu Answerings Câu trả lời I’d rather be my own boss than have a secure job Tơi thích tự làm chủ kinh doanh có công việc ổn định A career as entrepreneur is attractive for me Việc trở thành doanh nhân hấp dẫn với If I had the opportunity and resources, I’d like to start a firm Nếu tơi có hội đủ nguồn lực, tơi thành lập doanh nghiệp Being an entrepreneur would entail great satisfactions for me Trở thành chủ doanh nghiệp mang lại hứng thú lớn với I believe that if I were to start my business, I will certainly be successful Tôi tin bắt đầu khởi nghiệp, chắn thành công My parents are positively oriented towards my future career as an entrepreneur Bố mẹ ủng hộ trở thành chủ doanh nghiệp tương lai My friends see entrepreneurship as a logical choice for me Những người bạn nhận thấy việc khởi nghiệp lựa chọn phù hợp với I believe that people, who are important to me, think that I 98 should pursue a career as an entrepreneur Tôi nghĩ người quan trọng với thấy nên theo đuổi việc khởi nghiệp There is a well-functioning support infrastructure in my University to support the start-up of new firms Trong trường đại học có hệ thống hỗ trợ khởi khiệp hiệu In my University, students are actively encouraged to pursue their own ideas 10 Trong trường đại học tôi, sinh viên khuyến khích tích cực theo đuổi ý tưởng kinh doanh To start a firm would be easy for me 11 Thành lập doanh nghiệp dễ dàng To keep a firm working well is easy for me 12 Việc trì doanh nghiệp hiệu dễ I know how to develop an entrepreneurial project 13 Tôi biết cách phát triển dự án khởi nghiệp If I tried to start a firm, I would have a high probability of succeeding 14 Nếu thành lập doanh nghiệp có khả thành cơng cao If I want, I could become self-employed after my studies 15 16 Nếu muốn, tự làm chủ sau tốt nghiệp To start my own firm would probably be the best way for me to take advantage of my education 99 Việc lập doanh nghiệp riêng cách tốt để tận dụng kiến thức Entrepreneurship should be taught in University 17 Khởi nghiệp nên đưa vào giảng dạy trường đại học Entrepreneurship course should be made compulsory in order to stimulate entrepreneurial spirit in campus 18 Các khoá học khởi nghiệp nên bắt buộc để kích thính tinh thần khởi nghiệp trường đại học More entrepreneurial and business educational programmes on campus would help students to start businesses 19 Việc tổ chức nhiều khoá học khởi nghiệp kinh doanh giúp sinh viên việc bắt đầu kinh doanh My University course prepares people well for entrepreneurial careers 20 Các khoá học trường đại học giúp cho sinh viên sẵn sàng việc theo đuổi nghiệp kinh doanh My professional goal is to become an entrepreneur 21 Mục tiêu nghề nghiệp trở thành chủ doanh nghiệp I’m determined to create a firm in the future 22 Tôi tâm thành lập doanh nghiệp tương lai I will make every effort to manage my own firm 23 Tôi cố gắng để quản lý doanh nghiệp 100 PART – PERSONAL INFORMATION THÔNG TIN CÁ NHÂN Please answer the following questions: Xin vui lòng trả lời câu hỏi sau: What is your gender? (Giới tính bạn?) A Male (Nam) B Female (Nữ) What major you are studying? (Chuyên ngành học bạn?) A Finance and Banking (Tài ngân hàng) B Business Administration (Quản trị kinh doanh) C Accounting (Kế toán) What HQ program’s course you are in? (Bạn thuộc khóa học chương trình chất lượng cao) A st course (Khóa 1) B nd course (Khóa 2) C th course (Khóa 3) D th course (Khóa 4) E th course (Khóa 5) F th course (Khóa 6) How much your income a month? (Thu nhập bạn?) A Less 3.000.000 VND/month (Ít triệu/ tháng) 101 B 3.000.000-5.000.000 VND/ month (Từ triệu – triệu/ tháng) C 5.000.000- 8.000.000 VND/ month (Từ triệu – triệu/ tháng) D Over 8.000.000 VND/ month (Hơn triệu/ tháng) Have you got any experience in business? (Bạn tự kinh doanh chưa?) A Yes (Có) B No (Khơng) Does your family own a business? (Gia đình (bố, mẹ) bạn có chủ kinh doanh khơng?) A Yes (Có) B No (Không)  THANK YOU FOR YOUR IQUIRY  TRÂN TRỌNG CẢM ƠN CÁC ANH/CHỊ 102 Appendix 3: The EFA testing of independent variables at the first time KMO and Bartlett's Test Kaiser-Meyer-Olkin Measure of Sampling Adequacy .877 Approx Chi-Square Bartlett's Test of Sphericity 2.676E3 Df 190 Sig .000 Total Variance Explained Component Initial Eigenvalues % of Total Variance Extraction Sums of Squared Rotation Sums of Squared Loadings Loadings Cumulati ve % % of Total Variance Cumulative % Total % of Cumulative Variance % 6.615 33.075 33.075 6.615 33.075 33.075 3.518 17.589 17.589 2.273 11.363 44.438 2.273 11.363 44.438 3.328 16.640 34.228 1.992 9.962 54.400 1.992 9.962 54.400 2.931 14.656 48.884 1.627 8.139 62.539 1.627 8.139 62.539 2.731 13.655 62.539 (Source: Result of data processing) 103 Rotated Component Matrixa Component Component AT1 796 PBC1 774 AT2 727 PBC2 718 AT3 812 PBC3 731 AT4 766 PBC4 824 AT5 822 PBC5 SN1 718 PBC6 SN2 782 EE1 753 SN3 738 EE2 823 EE3 749 EE4 825 SN4 SN5 760 824 (Source: Result of data processing) 104 Appendix 4: Test for normal distribution and Testing the differences according to the characteristics of the research object Test for normal distribution Descriptive Statistics Std N Minimum Maximum Statistic Statistic Statistic Mean Statistic Deviation Skewness Kurtosis Statistic Statistic Std Error Statistic Std Error AT 280 1.00 5.00 3.6229 92332 -.946 146 014 290 SN 280 2.00 5.00 3.7830 60909 -.257 146 120 290 PBC 280 1.60 5.00 3.8571 60596 -.490 146 548 290 EE 280 1.75 5.00 3.6964 54030 -.427 146 1.027 290 EI 280 1.67 5.00 3.8845 61425 -.402 146 489 290 Valid N (listwise) 280 (Source: Result of data processing) The attitude toward the behavior (AT) scale of observation was Mean = 3.6229, Skewness = -0.946 and Kurtosis = 0.014 In this distribution, the Skewness varies from -1 to +1, so it is considered to be a normal distribution The subjective norm (SN) scale of observation was Mean = 3.7830, Skewness = -0.257 and Kurtosis = 0.120 In this distribution, the Skewness varies from -1 to +1, so it is considered to be a normal distribution The perceived behavioral control (PBC) scale of observation was Mean = 3.8571, Skewness = -0.490 and Kurtosis = 0.548 In this distribution, the Skewness varies from -1 to +1, so it is considered to be a normal distribution 105 The entrepreneurship education (EE) scale of observation was Mean = 3.6964, Skewness = -0.427 and Kurtosis = 1.027 In this distribution, the Skewness varies from -1 to +1, so it is considered to be a normal distribution The entrepreneurial intention (EI) scale of observation was Mean = 3.8845, Skewness = -0.402 and Kurtosis = 0.489 In this distribution, the Skewness varies from -1 to +1, so it is considered to be a normal distribution Charts (Source: Result of data processing) Testing the differences according to the characteristics of the research object The comparative test of entrepreneurial intention factor is to determine whether or not the difference between each object group Difference in comparisons only makes sense when Sig is less than 0.05 2.1 The differences about gender 106 Table Comparing the entrepreneurial intention of HQ students program by gender Test of Homogeneity of Variances EI Levene Statistic df1 5.188 df2 Sig 278 024 (Source: Result of data processing) The Sig (0.024) is less than 0.05, so it is not possible to use ANOVA, we will go into Welch’s test for this case Table Tesing Welch for gender Robust Tests of Equality of Means EI Welch Statistica df1 df2 Sig 2.203 273.662 139 (Source: Result of data processing) The Sig of the Welch test for gender is 0.139 > 0,05 Therefore, we can conclude that male and female students belong to high quality program evaluate the same for the entrepreneurial intention 2.2 The differences about major 107 Table Comparing the the entrepreneurial intention of HQ students program by major Test of Homogeneity of Variances EI Levene Statistic df1 6.799 df2 Sig 277 001 (Source: Result of data processing) The Sig (0.001) is less than 0.05, so it is not possible to use ANOVA, we will go into Welch’s test for this case Table Tesing Welch for major Robust Tests of Equality of Means EI Welch Statistica df1 df2 Sig 1.728 135.658 181 (Source: Result of data processing) The Sig of the Welch test for major is 0.181 > 0,05 Therefore, it can be concluded that there is no statistically significant difference in entrepreneurial intention of HQ program students who belong to different majors 2.3 The differences about courses 108 Table Comparing the entrepreneurial intention of HQ students program by courses Test of Homogeneity of Variances EI Levene Statistic df1 461 df2 Sig 274 805 (Source: Result of data processing) The result of table showed that Sig (0.805) is greater than 0.05 We can conclude that the variance between the choices of course variables is not different and we can see the result of ANOVA Table ANOVA of the entrepreneurial intention of HQ students program by courses ANOVA EI Sum of Squares Between Groups df Mean Square 2.189 438 Within Groups 103.078 274 376 Total 105.266 279 F 1.164 Sig .327 (Source: Result of data processing) The result of table showed that Sig = 0.327 > 0.05, so we can conclude that there is no statistically significant difference in entrepreneurial intention of HQ program students who belong to different courses 2.4 The differences about income 109 Table Comparing the entrepreneurial intention of HQ students program by income Test of Homogeneity of Variances EI Levene Statistic df1 618 df2 Sig 276 604 (Source: Result of data processing) The result of table showed that Sig (0.604) is greater than 0.05 We can conclude that the variance between the choices of income variables is not different and we can see the result of ANOVA Table ANOVA of the entrepreneurial intention of HQ students program by income ANOVA EI Sum of Squares Between Groups Mean Square df 2.084 695 Within Groups 103.182 276 374 Total 105.266 279 F 1.858 Sig .137 (Source: Result of data processing) The result of table showed that Sig = 0.137 > 0.05, so we can conclude that there is no statistically significant difference in entrepreneurial intention of HQ program students who belong to different income ...MINISTRY OF EDUCATION AND TRAINING STATE BANK OF VIETNAM BANKING UNIVERSITY OF HO CHI MINH CITY  TRUONG LY QUYNH NHI FACTORS AFFECTING ENTREPRENEURIAL INTENTION OF HIGH QUALITY PROGRAM STUDENTS. .. ? ?Factors affecting entrepreneurial intention of high quality program students of Banking University Ho Chi Minh City” This research’s purpose is to study the causes of entrepreneurial intention. .. entrepreneurship education affect entrepreneurial intention of high quality (HQ) program students of Banking University Ho Chi Minh City (BUH) This study conducted in Banking University Ho Chi Minh City