Multidimensional Approach for New Venture Creation

Abstract

Entrepreneurship is a major economic indicator for economic development. The main purpose of this study was to frame a multidimensional model of new venture creation on the bases of different approaches. Through review of prior literature authors continually detect a problem regarding a question why some peoples are entrepreneurs’ and others don’t? To find an answer of this question proposed a multidimensional conceptual model on the bases of behavioral, contextual and psychological approaches. The empirical study framed three approaches with eight variables as independent and entrepreneurial intentions as dependent variable. Study employed quantitative technique through close ended questionnaire. Respondents of current study was under graduate and master students of different universities of Pakistan. The research instrument was used form existing literature after piloting and minor modifications according to suggestions. Total n= 418 sample were analyzed through SPSS 21.0 version for window and smart PLS version 2. The findings of study revealed that behavioral approach (perceived behavioral control, attitude to behavior and subjective norms) positively related with student’s intention to become entrepreneur. Second contextual approach found education support and structural support insignificant with entrepreneurial intentions of students. Thirdly psychological approach was hypothesized and found innovativeness and risk taking positively whereas locus of control negatively. This study contributes to literature about entrepreneurial intentions development. Further, study will guide to policy maker, course developer, parents’ students’ regarding new multidimensional model of entrepreneurial intentions.