Application of Entrepreneurial Intention Model in Comparative International Entrepreneurship Research: A Cross-Cultural Study of India and Saudi Arabia

Abstract

The development of entrepreneurial activities helps in realization of multiple goals of sustainable development. This study aims to inspect the applicability of the entrepreneurial intention model (EIM) to explain entrepreneurial intention in different cultural contexts. A survey was conducted using the Entrepreneurial Intention Questionnaire. Based on 535 valid responses received from business students in India (N = 285) and Saudi Arabia (N = 250), the model was analyzed using the partial least square regression method. The results show that the EIM is validated for the combined sample (R2combined = 0.522) as well as for the individual samples (R2India = 0.644; R2Saudi = 0.412). Demographic variables and human capital variables were found to impact the entrepreneurial intention differently in the combined sample and the individual samples of the two countries. Multigroup analysis was performed to test if the country variable influences the hypothesized paths in the model. The results of the multigroup analysis show that many of the hypothesized relationships (gender-personal attitude; gender-subjective norm; gender-perceived behavioral control, role model-subjective norm, role model-perceived behavioral control, subjective norm-personal attitude, and subjective norm-entrepreneurial intention) are significantly different in the two countries. This study addresses the gap in comparative international entrepreneurship (CIE) research by testing the applicability of EIM in two different cultures. The findings are also significant for policymakers at both national and international levels for facilitating entrepreneurship.

Transition from entrepreneurship education to entrepreneurial intention: A cross-cultural effect

“…Gorgievski et al (2018) reported lower EIs among Spanish students than among Dutch, German, and Polish students. Hoda et al (2021) found similar EIs between Indian and Saudi Arabian students. Bouncken et al (2009) observed different EIs between German and Polish students.…”

“…Gorgievski et al (2018) found that, out of the TPB variables, ATE had the strongest relationship with EIs. Hoda et al (2021) also concluded that attitude and behavioural control significantly impact intentions among Indian and Saudi Arabian students. Several studies have confirmed the positive and significant effect of attitude and behavioural control (Liñán, Chen, 2009;Koe, 2016;Leiva et al, 2021).…”

“…This means EE explains 56.4% of the variation in ATE; EE explains 55.2% of the variation in PBC; and EE, ATE, and PBC explain 90.0% of the variation in EI (Table 3). Hoda et al (2021) found a combined EI of 52.2% R 2 in a study of Indian and Saudi Arabian students.…”

Sustainable Entrepreneurial Intention of Youth for Agriculture Start-Up: An Integrated Model

“…As for the role of perceived behavior control, according to [106], it has a significant influence on entrepreneurship. In addition, [107] stated that the level of influence of attitudes, subjective norms, and perceived behavioral control on the model of entrepreneurial activity in each country would, of course, be different. This is influenced by the culture and social life that is formed in each country.…”

“…In addition, the study by [112] stated that during the pandemic, young entrepreneurs were able to adopt digital entrepreneurship in developing their businesses. Moreover, [107] states that the level of influence of attitudes, subjective norms, and perceptions of behavioral control on models of entrepreneurial activity in each country will certainly be different. This is influenced by the culture and social life that is formed in each country.…”