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Factors affecting entrepreneurial intention among the rural population in India

Jabir Ali (Economics and Business Environment Area, Indian Institute of Management Jammu, Jammu, India)
Muqbil Burhan (Business Policy, Strategy and Entrepreneurship Area, Indian Institute of Management Jammu, Jammu, India)
Zakia Jabeen (Hunter Centre for Entrepreneurship, Strathclyde Business School, University of Strathclyde, Glasgow, UK)

European Business Review

ISSN: 0955-534X

Article publication date: 5 October 2022

Issue publication date: 2 January 2023

109

Abstract

Purpose

This paper aims at examining the factors affecting entrepreneurial intention (EI) among the rural adult population in India using the social cognitive theory (SCT).

Design/methodology/approach

This study is based on the Adult Population Survey of the Global Entrepreneurship Monitor of 2017, covering 1,397 rural respondents from India. The data has been analysed using simple techniques such as Chi-square statistics, correlation and logistics regression.

Findings

About 16% of the rural adults have reported EI in India. A significant relationship emerged between the demographics of rural adults with and without intention towards entrepreneurship. Finally, the regression model representing two components of the SCT, that is, confidence towards entrepreneurship and outcome expectations from entrepreneurship, showed a significant impact on EI among the rural population when controlled by family size and working status.

Practical implications

This paper provides insights on factors affecting EI among rural adults, which can help in developing a policy framework for promoting new ventures among rural entrepreneurs. The result of the analysis indicates that the rural population need to be imparted the necessary skills to gain confidence in entrepreneurship, which should be aligned with the outcome expectations of the entrepreneurs.

Originality/value

This piece of research can be valuable for different stakeholders in adopting inclusive entrepreneurial initiatives. Moreover, entrepreneurship in rural areas has not gained much attention among scholars, and this study is intended to provide future research motivation.

Keywords

Acknowledgements

The authors would like to extend sincere thanks to GEM 2017 team for providing the valuable data set for this research.

Citation

Ali, J., Burhan, M. and Jabeen, Z. (2023), "Factors affecting entrepreneurial intention among the rural population in India", European Business Review, Vol. 35 No. 1, pp. 74-91. https://doi.org/10.1108/EBR-05-2022-0082

Publisher

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Emerald Publishing Limited

Copyright © 2020, Emerald Publishing Limited

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