Description
With this brief file interpret a study of entrepreneurial traits and skills among university students.
Sub Theme A - Enhancing Employability through Quality Assurance - ASAIHL 2009
University of Kelaniya, Sri Lanka 103
A-7
A study of entrepreneurial traits and skills among university students.
H.A.K.N.S.Surangi,
Lecturer.
Dept of Commerce & Financial Mgt, Faculty of Commerce & Mgt Studies,
University of Kelaniya.
[email protected], 0722488850.
Abstract.
Entrepreneurship is identified by many economists as a vital force in the process of
industrialization in general and economic development in particular. Accordingly, it suggests
that economic development is not only a function of land, labour, capital and technology.
There must be some elements to co-ordinate these factors in the right proportions, which can
be identified as entrepreneurial traits, skills, desires and abilities (Prabhakara, 2000). Thus
entrepreneur with these traits is the central figure of any activity. Accordingly, the
entrepreneurs are those who initiate, organize, manage and control the affairs of businesses.
In order to perform these tasks successfully they need specific skills, abilities and motives.
Research studies on personal entrepreneurial characteristics have generated a long list of
characteristics often attributed to entrepreneurs.
Thus, entrepreneurship has been now identified as a crucial activity to ensure
economic growth and employment generation in almost all the countries. However, this area
has been not still recognized sufficiently by the Sri Lankan authorities. In this context, it is
important to examine how far entrepreneurship abilities have been recognized to be
developed by the university education system. Accordingly, this study aims at assessing
entrepreneurial traits, skills and the desires of undergraduate students in the university
system based on the sample of one hundred fifty students of the Bachelor of Commerce
Special Degree Programme in the University of Kelaniya.
Data were collected for this study administering questionnaire, holding general
enterprising test, thematic appreciation test and self repots. To analyze the collected data
simple statistical methods such as percentage, charts and graphs were used.
The study concludes that university students have lack of ability, traits and skills and
interest to engage in entrepreneurial activities. Out of total sample 96% were interested in
engaging in jobs under the existing organizations. Only the balance few expressed their
desire to start new ventures. Therefore, it can be concluded that university study
programmes, even Commerce Degree Programmes are not sufficiently geared towards
improving entrepreneurial abilities among undergraduates.
Key words: Entrepreneurship, traits, skills, economic development, effectiveness.
1. Introduction.
Entrepreneurship is identified by many economists as a vital force in the process of
industrialization in general and economic development in particular. Accordingly, it suggests
that economic development is not only a function of land, labour, capital and technology.
There must be some elements to co-ordinate these factors in the right proportions, which can
be identified as entrepreneurial traits, skills, desires and abilities (Prabhakara, 2000). Thus
entrepreneur with these traits is the central figure of any activity. Accordingly, the
entrepreneurs are those who initiate, organize, manage and control the affairs of businesses.
In order to perform these tasks successfully they need specific skills, abilities and motives.
Sub Theme A - Enhancing Employability through Quality Assurance - ASAIHL 2009
University of Kelaniya, Sri Lanka 104
Research studies on personal entrepreneurial characteristics have generated a long list of
characteristics often attributed to entrepreneurs.
Developing entrepreneurial competency has been given a lot of attention in recent
scientific literature and the development programmes of education, in connection with
changes in entrepreneurial environment, which have been brought along by globalization and
liberalization and movement towards a more entrepreneurial society. Economics theoreticians
think that on this road the important role is played by the development of so-called
entrepreneurial capital, which includes achieving public approval of entrepreneurial behaviour,
existence of institutional support (including banks, venture capital) and individuals who wish to
take the risk of establishing a new company [Audretsch,D B., The Entrepreneurial Society].
Concentrating on entrepreneurial competency has been justified with the necessity of
developing human capital, where the skill to be entrepreneurial creates the opportunities and
motivation to be a successful entrepreneur, employee or family, in order to better exploit the
increasing prosperity and wealth in the interest of common as well as personal development
and satisfaction in a globalizing society.
Fostering entrepreneurship among students has become an important topic in
universities and governments‘ as well as in research. Behavior of students are confirmed
by a number of studies which help to explain the emergence of entrepreneurial intention
among target groups as well as suggest the stimulation of entrepreneurship education. In a
recent (2004)empirical study of Estonian Institute of Economic Research residents were
asked to evaluate which knowledge and characteristics are beneficial while starting and
acting in entrepreneurship [Hannon, P. D. The Journey from Student to Entrepreneur. ].
The inquiry showed that the preparation of entrepreneurs for starting in entrepreneurship is
quite modest. Potential entrepreneurs (i.e. who were thinking to start in entrepreneurship or
were establishing a company at the time of the inquiry) did mostly not have any experience
in establishing and managing a company or business education. Half of the questioned
potential entrepreneurs did not have knowledge on accounting and marketing. By age, the
25-34 year-olds were more aware of writing a business plan, experience of establishing a
company, finding finances and business education. Younger persons (16-24 year-olds) were
sure on knowing who to turn to in order to find entrepreneurial help. The theoretical treatment
of entrepreneurship is complicated because of its tight connection with different disciplines, e.g.
psychology, sociology and anthropology. Theories of psychology (e.g. McLelland) pay attention
to personal traits, motives and incentives and conclude that entrepreneurs have a strong
achievement-need. In literature there are quantities of definitions of entrepreneurship and the
personal traits necessary for entrepreneurs and the developments of the definitions have been
analyzed as a result of entrepreneurial researches [Landstrom, H., Pioneers in
Entrepreneurship and Small Business Research].
The objective of this research is to analyze the personal traits and entrepreneurial
skills of students of university, at the example of Kelaniya University. The results could help to
develop entrepreneurial education and raise the entrepreneurial competency of higher
educational establishment graduates. On the assumption of the main objective, the study is
based on theoretical premises developed by Robert D. Hisrich and Michael P. Peters and their
tests (General Enterprising Tendency Test) for evaluating the personal traits of
entrepreneurs and entrepreneurial skills. In addition to Thematic apprehension test, self report
and structured questionnaire were used to evaluate students‘ entrepreneurial traits and skills.
2. Research problem.
There is general agreement that attitudes, their traits and skills towards the
entrepreneur, entrepreneurial activity, and its social function are determinant factors for
university students to decide an entrepreneurial career. Considering the empirical studies,
results reveal a negative entrepreneur‘s image of younger generation. Many studies have a
unfavorable perception of desirability of new venture creation and their entrepreneurial
traits and skills although the perception of feasibility is by far not so positive and only a
small percentage has the firm intention to create a new company. In this context it is very
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important to study whether Sri Lankan university students are also facing similar situation
or not.
3. Research objectives.
The prime objective of this research is to study the entrepreneurial traits and skills
among university students.
Secondary objectives.
? To review entrepreneurship programmes in Sri Lankan Universities.
? To examine entrepreneurial education and environment in Sri Lanka.
4. Significance of the study.
It is well known that a career in entrepreneurship offers significant opportunities for
individuals to achieve financial independence and benefit the economy by contributing to job
creation, innovation, and economic growth. Today‘s students are tomorrow‘s potential
entrepreneurs, which may explain why a growing number of US universities offer courses
and programs in entrepreneurship. However, there is little understanding of the factors that
affect students‘ intentions of becoming entrepreneurs and the relationship between
entrepreneurship education and students‘ entrepreneurial attitudes and intentions
(Souitaris et al 2007). Similarly, little is known about differences in entrepreneurial intentions
and attitudes among students belonging to different cultures and ethnicities (Wilsonet al
2004).
In recent years fostering entrepreneurship has become a topic of highest priority in
public policy. This trend is due to the widespread recognition that business start-ups are a
driving force of economic growth and significant job creation.
Entrepreneurship education has been intensified in universities during the past four
decades. In the sixties, less than ten universities in the USA were teaching in this field, 1990
there were already 400 universities in America active in entrepreneurship education and
estimates today exceed 700 universities (Vesper and McMullan 1988; Hills and Morris 1998;
Fiet 2001). Many of these academic institutions have established majors on the graduate level
or other kinds of concentrations. Entrepreneurship centers have been founded to coordinate
the broad array of activities, programs and resources within universities. Very seldom, schools
pashed back out of entrepreneurship once they had entered.
This growth in interest and funding is accompanied by an increasing demand for
legitimization of entrepreneurship education at the university level. Consequently, the impact of
education on the creation of future entrepreneurs and the link between university training and
the success of the new ventures has been subject of much discussion in the academic
community. A review of the entrepreneurship literature reveals contradictory findings (Gorman,
Hanlon and King 1997). The results suggest differentiating between general business and
specific entrepreneurship education when exploring the role of university programs.
The existing literature on entrepreneurship in Sri Lanka has not focused on
entrepreneurial traits or skills with reference to university students. So it helps to bridge
research gap in the area of entrepreneurship.
Thus, entrepreneurship has been now identified as a crucial activity to ensure
economic growth and employment generation in almost all the countries. However, this area
has been not still recognized sufficiently by the Sri Lankan authorities. In this context, it is
important to examine how far entrepreneurship abilities have been recognized to be
developed by the university education system.
Considerable attention has therefore been paid to formal entrepreneurship education
at the university level. Public authorities and economic experts stress the importance of
promoting aspirations for entrepreneurship among young and highly-educated people. If the
business birth rate in any nation can be enhanced by supporting students and graduates in
their entrepreneurial activities, it is worthwhile to examine the current status of
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entrepreneurship education.
5. Literature Review.
5.1 Entrepreneur traits and skills.
Entrepreneurs have many of the character traits as leaders. Similarity to the early
great man theories of leadership: however trait based theories of entrepreneurship are
increasingly being called into question. Entrepreneurs are often contrasted with managers
and administrators who are said to be more methodological and less prone to risk taking.
Although such person –centric models of entrepreneurship have shown to be of questionable
validity a vast but clearly dated literature studying the entrepreneurial personality found that
certain traits seem personality found that certain traits seem to be associated with
entrepreneurs.
David McClelland (1961) described the entrepreneur as primarily motivated by an
overwhelming need for achievement and strong urge to build.
Collins and Moore (1970) studied 150 entrepreneurs and concluded that they are
tough, pragmatic people driven by needs of independence and achievement. They seldom
are willing to submit to authority.
Cooper, Woo and Dunkelberg (1988) argue that entrepreneurs exhibit extreme
optimism in their decision making process. In a study of 2994 entrepreneurs they report that
81% indicate their personal odds of success as greater than 70% and a remarkable 33 %
seeing odds of success of ten out of ten.
Busenitz and Barney (1997) claim entrepreneurs are prone to over confidence and
over generalizations.
Cole (1959) found there are four types of entrepreneur: the innovator, the calculating,
and the over optimistic promoter and the organization builder. These types are not related to
personality but to the type of opportunity the entrepreneur faces.
However, there is common understanding that although entrepreneurs can be very
different, they can de described by certain common features or personal traits. Already in the 18
th
century Cantillon defined an entrepreneur as someone who makes grounded decisions, takes
on risk and manages a company. Entrepreneur has been defined as an innovator
entrepreneurial person, organizer and risk-taker .The ability to see the imbalance of demand
and supply and to direct the entrepreneurial activity towards changing that difference through
business activity has also been seen as one of the traits of an entrepreneur [J. Timmons,1994].
Also in more recent literature an entrepreneur has been characterized as a person who
has a great ability of imagination, flexibility, creativity and innovation; as a person who is ready
for conceptual thinking and who sees change as a business opportunity [Wilsonet al 2004).].
Some authors agree on entrepreneur having a high readiness to take risks, optimistic attitude
towards success, also having sufficiently self-confidence to start implementing their idea and
aspiration towards independence [Audretsch,D B., The Entrepreneurial Society]. The
entrepreneurial mind (e.g. dedication, persistence) has been described by J. Timmons (1994)
However, in case of the existence of potential to act as an entrepreneur, appropriate
environment and conditions are needed to actualize the potential.
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Table 1. Entrepreneurial skill Estimating variables
5.2 Exposure to Entrepreneurship Education
Specifically, the role of education in affecting attitudes, norms, perceptions of
controllability, and behavior merits further investigation. Previous research indicates that
entrepreneurship education can enhance an individual‘s level of self-efficacy (Bandura 1986;
Hollenbeck and Hall 2004; Wilson et al 2007). Wilson et al‘s (2007) study concluded that this
relationship is more pronounced in the case of female students. Noel (1998) found that
entrepreneurship education is strongly related to entrepreneurial intention, with
entrepreneurship majors expressing higher intentions to start their own businesses. Dyer
(1994) and Wilson et al (2007) argued that entrepreneurship education can also increase
students‘ interest in entrepreneurship as a career. Souitaris et al (2007) found that
entrepreneurship programs significantly raised students‘ subjective norms and intentions
toward entrepreneurship by inspiring them to choose entrepreneurial careers.
In Malayasia, the entrepreneurship programmes have been attracting school drop
outs ,small traders and women (Rao, Entrepreneurship and Economic Development).
In Australia, schools offer progrmmes for managing the enterprises; whereas in
Jamaica, Zambia, Switzerland, Uganda, New Guinea, Zimbabwe the entrepreneurship
programmes are encouraged the respective governments.
In, India, Entrepreneurship Development programmes are sponsored by the state
governments.
In Sri Lanka Chamber of Commerce conducts entrepreneurship programmes
regularly. The Ministry of Youth Affairs in Sri Lanka conducts short term programmes for
creating awareness about self employment among school college dropouts and gives
preliminary information on accounts, management, marketing etc.
The entrepreneurship education in Germany has been intensified in recent years.
While only 21 chairs for entrepreneurship had been founded in 1998, this number raised to 42
chairs in 2001 (Klandt and Heil 2001). In addition, several universities designed
entrepreneurship education and training programs without establishing dedicated chairs.
In 1996, 106 courses in entrepreneurship were offered at 92 German universities (Kofner,
Menges and Schmidt 1999). However, experts still see the entrepreneurial activities in
outstanding US universities as a benchmark for the educational system in Germany. A recent
evaluation of German universities indicates that, although the situation has clearly improved, the
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University of Kelaniya, Sri Lanka 108
teaching and training of students in entrepreneurship are far away from excellent. Only 6 out of
the 78 investigated universities offer a good or very good program for entrepreneurial education
(Schmude and Uebelacker 2001). Among others, Minsk can show that German universities play
a secondary role for the qualification and motivation of future entrepreneurs. The parental
background, for instance, is a much stronger impact factor on entrepreneurial propensity than
the knowledge and skills that the graduates acquire during their studies (Minks 1998).
An autonomous institute was set up within the University of Phillipines for small scale
industries, which is recognized as a focal point of expertise and resource for entrepreneurship
programmes.
The Asian institute of Management has a clear objective that the students must
become entrepreneurial managers rather than management executives. Students are
encouraged to take up projects which they conceptualize, set up and successfully run and then
report their experiences, instead of writing thesis.
Considering the Sri Lankan universities, University of Ruhuna and University of Uwa
Wellassa offered several (twelve courses) course modules related to entrepreneurship. Most
recently university of Kelaniya has introduced Entrepreneurship subject stream in their new
curriculum revision. All other universities didn‘t much care about this.
5.3 The impact of education on entrepreneurial propensity
Many of these academic institutions have established majors on the graduate level or
other kinds of concentrations. Entrepreneurship centers have been founded to coordinate the
broad array of activities, programs and resources within universities. Very seldom, schools
pashed back out of entrepreneurship once they had entered.
This growth in interest and funding is accompanied by an increasing demand for
legitimization of entrepreneurship education at the university level. Consequently, the impact of
education on the creation of future entrepreneurs and the link between university training and
the success of the new ventures has been subject of much discussion in the academic
community. A review of the entrepreneurship literature reveals contradictory findings (Gorman,
Hanlon and King 1997). The results suggest differentiating between general business and
specific entrepreneurship education when exploring the role of university programs.
Most of the surveys show that entrepreneurship education encourages graduates to
start their own business. In an early study, Clark surveyed a sample of students of a medium-
sized American university who were enrolled in an introductory entrepreneurship course. He
found that almost 80% of these students were considering setup their own business. These
plans were often turned into reality. Three out of four students who reported concrete plans
for founding a company in fact started a new venture. Furthermore, 76% of the respondents
stated that the entrepreneurship course had a large or very large effect upon their founding
decision (Clark, Davis and Harnish 1984). McMullan, Long and Wilson report a high rate of
new venture creation among MBA students who attended more than three entrepreneurship-
related courses at a Canadian university (McMullan, Long and Wilson 1985). A review of a
graduate enterprise program in the UK suggests that the program provided an incentive to
more than half of the participants to start their business sooner than intended. Thus, this
initiative had an enabling and accelerating impact on the graduates‘ founding activities.
(Brown 1990). Irish students who participated in a student enterprise award indicated that the
initiative had a?very important? impact on their subsequent career choice (Fleming 1994). Finally,
Vesper and McMullan can show that entrepreneurship courses help alumni to make better
decisions in the startup process (Vesper and McMullan 1997).
6. Methodology.
This study aims at assessing entrepreneurial traits, skills and the desires of
undergraduate students in the university system based on the sample of one hundred fifty
students(Fourth year) of the Bachelor of Commerce Special Degree Programme in the
University of Kelaniya.
Data were collected for this study administering questionnaire, holding general
Sub Theme A - Enhancing Employability through Quality Assurance - ASAIHL 2009
University of Kelaniya, Sri Lanka 109
enterprising tendency test, thematic appreciation test and self repots.
To evaluate students‘ personal traits, general enterprising tendency test was used
(authors Hisrich and Peters]), in which the questions were directed to making certain
behavioral choices and where it was possible to give ?agree? and „not agree? answers. To
analyze the entrepreneur‘s psycho-logical portrait test I have worked out a system, based
on which the prerequisites of becoming an entrepreneur can be evaluated. As a criterion of
those prerequisites, questions characterizing the five important personal traits – Need for
achievement, need for independent, readiness to take risks, creativity and drive and
determination -have been put into the test.
Another tool Thematic Apperception Test also used to measure students
entrepreneurial traits and skills. Before starting this test, facilitator instructs the participants as
follows, ? For twenty seconds, you will see a picture on the screen. Then you will be five minutes
to interesting and dramatic story about what you have seen?. After fulfill the story, these stories
can be categorized into three groups such as AI (Achievement Imaginary), TI (Task Imaginary)
and UI (Unrelated Imagery).
If the writer involves an achievement goal, either in explicit terms or in an implied
fashion, then a story has achievement imaginary. If some person has desire for success in
competition with others, competition with self, unique accomplishment, long term involvement,
that story can be categorized into AI story. If there is a story which is unrelated, either explicitly
or implicitly to any competitive standard, but bears some reference to achievement, then it is
classifies as TI. The ?T? Stand for common ?task? in a routine problem. If a story fails to bear any
reference, whatsoever, to any achievement criteria mentioned above, then it is generally
classified as unrelated imagery.
If a story has AI, then it can be scored for achievement related sub categories as
follows,
Scoring of sub categories.
Sub categories Score
1. Need +1
2. Activity +1
3. Goal anticipation
Positive +1
Negative +1
Obstacles or blocks
Personal blocks +1
Worldly blocks +1
Help +1
Feeling
Positive +1
Negative +1
Achievement theme +1
Stories with AI +1
Maximum obtainable score in one story will be +11.
Thirdly, the students‘ answers to the individual questions of the entrepreneur‘s
psychological portrait were analyzed and their attitudes towards entrepreneurship were
evaluated. The analysis of the answers to the individual questions helps to better understand
the influence of those answers to the final results of the analysis.
To analyze the collected data simple statistical methods such as percentage, charts and
graphs were used.
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7. Research Results.
Out of total sample 96% were interested in engaging in jobs under the existing
organizations. Only the balance (4%) few expressed their desire to start new ventures.
Most students want to occupy managerial positions in various fields and others
students want to go into further studies, which can be interpreted in two ways: either as a way
of delaying a choice of profession a bit longer or to acquire more knowledge in specific fields
(often in management).
Some students still have no idea, which means they rely very much on opportunities in
their job search. But what is more striking for our subject is the case of potential entrepreneurs.
Thematic Apperception Test results.
Table 2.
Type of story %
AI 28.2
TI 48.6
UI 24.2
After analyzing the personal traits of the students based to the Thematic Apperception
Test according to the answers they didn‘t have good prerequisites necessary for an
entrepreneur, it appeared that 71.8 % of the respondents have no good prerequisites of
becoming an entrepreneur and only 28.2 % have those prerequisites.
Considering that, a conclusion can be made that most questioned students didn‘t
have prerequisites of be-coming an entrepreneur.
Table 3.
General Enterprising Tendency Test results.
Variables Marks Results
F M Total F M Mean value
Need for
achievement
458 483 941 6.542857 6.0375 6.273333
Need for
independence
158 240 398 2.257143 3 2.653333
Creativity 404 439 843 5.771429 5.4875 5.62
Risk taking 456 364 820 6.514286 4.55 5.466667
Drive &
determination
418 411 829 5.971429 5.1375 5.526667
Total 1,894 1,937 3,831 27.05714 24.2125 25.54
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Table 4.
According to the GETT students marks should be as follows,
Variables Maximum
score
Average
Need for achievement 12 9
Need for independence 6 4
Creativity 12 8
Risk taking 12 8
Drive & determination 12 8
Mean value
>37
Considering the students results any variables were not come up to at least average
level. So we can‘t satisfy with students above entrepreneurial skills. Considering that, a
conclusion can be made that most students didn‘t have entrepreneurial skills.
The analysis of the impact of answers to self-evaluation questions of
entrepreneurial competency shows also that respondents with partial skills have yet the
most impact. In order to organize the study programmes better it is important to find a
possibility to determine the target groups more specifically by analyzing the relationships
between the answers to the questions of the questionnaire.
Table 5. Entrepreneurial skills, share of respondents, %
No Main skills
Do you have them?
Yes Partly No
Do not
know
1. Skill to manage a small enterprise 15.5 30.2 53.5 0.8
2. Skill to develop new business ideas 18.4 30.2 51.4 0.0
3. Skill to make deals 24.9 47.8 26.1 1.2
4. Clear understanding of entrepreneurship 13.9 22.4 63.7 0.0
5.
Skill to behave and pass decisions under the
conditions of uncertainty
29.4 54.7 14.7 1.2
6. Skill to find unconventional solutions 38.4 12.7 48.6 0.4
7. Skill to make contacts, negotiate 39.6 12.7 47.3 0.4
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8.
Ability to evaluate the results of different activities
objectively
39.6 47.3 12.2 0.8
9. Skill to evaluate the perspective for new ideas 37.1 49.4 11.8 1.6
10. Skill to make grounded judgments 38.0 10.6 50.2 1.2
11. Skill to evaluate the external environment 25.7 62.9 9.8 1.6
12. Skill to obtain what one owns 49 44.1 6.1 0.8
13.
Skill to evaluate different activities from the
perspective of ethics and morale
66.9 26.9 5.3 0.8
The analysis of the relationships between the answers to the questions enables to
make some rather logical conclusions. For example students, who said that they are unable
to manage a small enterprise have also answered that they cannot make contacts (47% of
sample), find innovative solutions (49 %), have no clear understanding of entrepreneurship
(64 %) and cannot make deals (26 %). So more than two-third of the students are in need of
entrepreneurship training and of acquiring practical skills in the aforementioned areas that are
necessary for obtaining knowledge about managing an enterprise. In the same group of
respondents there is also a big part of those who do not have a clear understanding of
entrepreneurship together with the lack of some other skills in the area of implementing
business ideas. On the other hand, those who wrote that they are able to evaluate deals
from the stand-point of ethics and morale, have several other skills as well (answers ?yes? or
?partly?) in the area of managing an enterprise, in evaluating the results of their actions and
in finding solutions. In terms of relationships of answers of the last group of respondents,
there were no answers saying that they cannot do something. It can be therefore assumed
that they have basic entrepreneurial skills at a certain level and are in need of specialized
education the content of which needs to be further specified before starting with the course.
8. Conclusion.
Currently the idea that entrepreneurial skills can be studied is supported more and
more. In this context it would be interesting to know, which is the potential of Sri Lankan
university students in connection with entrepreneurship and what aspects entrepreneurship
policy and educational programmes should consider in order developing entrepreneurship
competency.
The analysis of the test of Thematic Apperception of an entrepreneur showed that
most of the students who participated in the study don‘t have prerequisites for becoming an
entrepreneur .Moreover according to GETT results student have a lack of skills related to
entrepreneurship
The study concludes that university students have lack of ability, traits and skills and
interest to engage in entrepreneurial activities. Out of total sample 96% were interested in
engaging in jobs under the existing organizations. Only the balance few expressed their
desire to start new ventures. Therefore, it can be concluded that university study
programmes, even Commerce Degree Programmes are not sufficiently geared towards
improving entrepreneurial abilities among undergraduates.
Due to the need of developing personal traits and skills necessary for an entrepreneur
it is the task of educational institutions and also of institutions implementing entrepreneurship
policy to direct study programmes towards developing the skills of students according to the
needs of specific target groups.
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9. Recommendations.
We point out the importance of group dynamics during the curriculum. This is an issue
we will explore in the future. Setting up these project activities is probably a major factor for
developing Entrepreneurial Spirit.
Networks and links to industry
Successful universities outline the necessity to establish strong links between the
university and the entrepreneurship community (Leclerc 1985). The many student moves from
entrepreneurial awareness and opportunity identification to concrete activities within the stage
of pre-creation the more critical these networks are.
Knowledge about innovative opportunities
Entrepreneurship is characterized by new combinations causing discontinuity. It is
therefore fundamental to the subsequent formation of growth companies that the students have
access to the forefront of technological development.
Theory-based knowledge
In order to generate theory-based knowledge, it is essential to ground entrepreneurship
education on theoretical frameworks and empirical research findings. Students have to be
encouraged to apply their theoretical and conceptual knowledge when interpreting text cases,
when developing business plans and when implementing new venture projects. Good
teaching will help students to use theories as a tool to answer practical questions (Fiet
2001).
Experiential learning and real-world experiences.
Involvement in ?hands-on? projects of opportunity identification and new venture
creation would be a central part of education programs. In this respect, business plans are a
useful approach. They teach the application of theoretical concepts and academic
knowledge to business reality (Kelmar 1992).
10. References.
Audretsch, D. B., The Entrepreneurial Society, 2001,The FSF-Nutek Award Winner Series,
http://www.nutek.se/sb/d/193/a/1168.
Gibb, A. A., The role of education in entrepreneur-ship development, July 1994 Lead
plenary paper, INDEC World Conference on Entrepreneurship, Singapore.
Hadimani, R.N., Dynamics of industrial entrepreneurship, 1985, Sunil printers, New Delhi.
Hannon, P. D. The Journey from Student to Entrepreneur, 2005,A Review of the
Existing Research into Graduate Entrepreneurship. Paper presented at the In-tEnt2005
Conference, University of Surrey, UK.
Rao,J.V., Prabakara, Entrepreneurship and economic development, 2000, Kanishka
publishers, New Delhi.
Schumpeter, J. A. The Theory of Economic Development. 1934, Harvard University Press,
Harvard.
Shapero, A. The Displaced Uncomfortable Entrepreneur. , 1975, Psychology Today.
Kirzner, I. M. Competition and Entrepreneurship. 1973,Chicago University
Press, Chicago.
Timmions, J. A. New Venture Creation, Entrepre-neurship for the 21
st
Century, 1997, Irwin, Burr Ridge, Illinois.
Hisrich, R. D.; Peters, M. P. Entrepreneurship.Starting, Developing and Managing a New
Enterprise,1989,USA.
Sub Theme A - Enhancing Employability through Quality Assurance - ASAIHL 2009
University of Kelaniya, Sri Lanka 114
Man T. W. Y.; Lau, T.; Chan, K. F. The Competitiveness of Small and medium
enterprises, 2002,A Conceptualization with Focus on Entrepreneurial Competencies. Journal
of Business Venturing, No 17 p. 123-142.
doc_331509612.pdf
With this brief file interpret a study of entrepreneurial traits and skills among university students.
Sub Theme A - Enhancing Employability through Quality Assurance - ASAIHL 2009
University of Kelaniya, Sri Lanka 103
A-7
A study of entrepreneurial traits and skills among university students.
H.A.K.N.S.Surangi,
Lecturer.
Dept of Commerce & Financial Mgt, Faculty of Commerce & Mgt Studies,
University of Kelaniya.
[email protected], 0722488850.
Abstract.
Entrepreneurship is identified by many economists as a vital force in the process of
industrialization in general and economic development in particular. Accordingly, it suggests
that economic development is not only a function of land, labour, capital and technology.
There must be some elements to co-ordinate these factors in the right proportions, which can
be identified as entrepreneurial traits, skills, desires and abilities (Prabhakara, 2000). Thus
entrepreneur with these traits is the central figure of any activity. Accordingly, the
entrepreneurs are those who initiate, organize, manage and control the affairs of businesses.
In order to perform these tasks successfully they need specific skills, abilities and motives.
Research studies on personal entrepreneurial characteristics have generated a long list of
characteristics often attributed to entrepreneurs.
Thus, entrepreneurship has been now identified as a crucial activity to ensure
economic growth and employment generation in almost all the countries. However, this area
has been not still recognized sufficiently by the Sri Lankan authorities. In this context, it is
important to examine how far entrepreneurship abilities have been recognized to be
developed by the university education system. Accordingly, this study aims at assessing
entrepreneurial traits, skills and the desires of undergraduate students in the university
system based on the sample of one hundred fifty students of the Bachelor of Commerce
Special Degree Programme in the University of Kelaniya.
Data were collected for this study administering questionnaire, holding general
enterprising test, thematic appreciation test and self repots. To analyze the collected data
simple statistical methods such as percentage, charts and graphs were used.
The study concludes that university students have lack of ability, traits and skills and
interest to engage in entrepreneurial activities. Out of total sample 96% were interested in
engaging in jobs under the existing organizations. Only the balance few expressed their
desire to start new ventures. Therefore, it can be concluded that university study
programmes, even Commerce Degree Programmes are not sufficiently geared towards
improving entrepreneurial abilities among undergraduates.
Key words: Entrepreneurship, traits, skills, economic development, effectiveness.
1. Introduction.
Entrepreneurship is identified by many economists as a vital force in the process of
industrialization in general and economic development in particular. Accordingly, it suggests
that economic development is not only a function of land, labour, capital and technology.
There must be some elements to co-ordinate these factors in the right proportions, which can
be identified as entrepreneurial traits, skills, desires and abilities (Prabhakara, 2000). Thus
entrepreneur with these traits is the central figure of any activity. Accordingly, the
entrepreneurs are those who initiate, organize, manage and control the affairs of businesses.
In order to perform these tasks successfully they need specific skills, abilities and motives.
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Research studies on personal entrepreneurial characteristics have generated a long list of
characteristics often attributed to entrepreneurs.
Developing entrepreneurial competency has been given a lot of attention in recent
scientific literature and the development programmes of education, in connection with
changes in entrepreneurial environment, which have been brought along by globalization and
liberalization and movement towards a more entrepreneurial society. Economics theoreticians
think that on this road the important role is played by the development of so-called
entrepreneurial capital, which includes achieving public approval of entrepreneurial behaviour,
existence of institutional support (including banks, venture capital) and individuals who wish to
take the risk of establishing a new company [Audretsch,D B., The Entrepreneurial Society].
Concentrating on entrepreneurial competency has been justified with the necessity of
developing human capital, where the skill to be entrepreneurial creates the opportunities and
motivation to be a successful entrepreneur, employee or family, in order to better exploit the
increasing prosperity and wealth in the interest of common as well as personal development
and satisfaction in a globalizing society.
Fostering entrepreneurship among students has become an important topic in
universities and governments‘ as well as in research. Behavior of students are confirmed
by a number of studies which help to explain the emergence of entrepreneurial intention
among target groups as well as suggest the stimulation of entrepreneurship education. In a
recent (2004)empirical study of Estonian Institute of Economic Research residents were
asked to evaluate which knowledge and characteristics are beneficial while starting and
acting in entrepreneurship [Hannon, P. D. The Journey from Student to Entrepreneur. ].
The inquiry showed that the preparation of entrepreneurs for starting in entrepreneurship is
quite modest. Potential entrepreneurs (i.e. who were thinking to start in entrepreneurship or
were establishing a company at the time of the inquiry) did mostly not have any experience
in establishing and managing a company or business education. Half of the questioned
potential entrepreneurs did not have knowledge on accounting and marketing. By age, the
25-34 year-olds were more aware of writing a business plan, experience of establishing a
company, finding finances and business education. Younger persons (16-24 year-olds) were
sure on knowing who to turn to in order to find entrepreneurial help. The theoretical treatment
of entrepreneurship is complicated because of its tight connection with different disciplines, e.g.
psychology, sociology and anthropology. Theories of psychology (e.g. McLelland) pay attention
to personal traits, motives and incentives and conclude that entrepreneurs have a strong
achievement-need. In literature there are quantities of definitions of entrepreneurship and the
personal traits necessary for entrepreneurs and the developments of the definitions have been
analyzed as a result of entrepreneurial researches [Landstrom, H., Pioneers in
Entrepreneurship and Small Business Research].
The objective of this research is to analyze the personal traits and entrepreneurial
skills of students of university, at the example of Kelaniya University. The results could help to
develop entrepreneurial education and raise the entrepreneurial competency of higher
educational establishment graduates. On the assumption of the main objective, the study is
based on theoretical premises developed by Robert D. Hisrich and Michael P. Peters and their
tests (General Enterprising Tendency Test) for evaluating the personal traits of
entrepreneurs and entrepreneurial skills. In addition to Thematic apprehension test, self report
and structured questionnaire were used to evaluate students‘ entrepreneurial traits and skills.
2. Research problem.
There is general agreement that attitudes, their traits and skills towards the
entrepreneur, entrepreneurial activity, and its social function are determinant factors for
university students to decide an entrepreneurial career. Considering the empirical studies,
results reveal a negative entrepreneur‘s image of younger generation. Many studies have a
unfavorable perception of desirability of new venture creation and their entrepreneurial
traits and skills although the perception of feasibility is by far not so positive and only a
small percentage has the firm intention to create a new company. In this context it is very
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important to study whether Sri Lankan university students are also facing similar situation
or not.
3. Research objectives.
The prime objective of this research is to study the entrepreneurial traits and skills
among university students.
Secondary objectives.
? To review entrepreneurship programmes in Sri Lankan Universities.
? To examine entrepreneurial education and environment in Sri Lanka.
4. Significance of the study.
It is well known that a career in entrepreneurship offers significant opportunities for
individuals to achieve financial independence and benefit the economy by contributing to job
creation, innovation, and economic growth. Today‘s students are tomorrow‘s potential
entrepreneurs, which may explain why a growing number of US universities offer courses
and programs in entrepreneurship. However, there is little understanding of the factors that
affect students‘ intentions of becoming entrepreneurs and the relationship between
entrepreneurship education and students‘ entrepreneurial attitudes and intentions
(Souitaris et al 2007). Similarly, little is known about differences in entrepreneurial intentions
and attitudes among students belonging to different cultures and ethnicities (Wilsonet al
2004).
In recent years fostering entrepreneurship has become a topic of highest priority in
public policy. This trend is due to the widespread recognition that business start-ups are a
driving force of economic growth and significant job creation.
Entrepreneurship education has been intensified in universities during the past four
decades. In the sixties, less than ten universities in the USA were teaching in this field, 1990
there were already 400 universities in America active in entrepreneurship education and
estimates today exceed 700 universities (Vesper and McMullan 1988; Hills and Morris 1998;
Fiet 2001). Many of these academic institutions have established majors on the graduate level
or other kinds of concentrations. Entrepreneurship centers have been founded to coordinate
the broad array of activities, programs and resources within universities. Very seldom, schools
pashed back out of entrepreneurship once they had entered.
This growth in interest and funding is accompanied by an increasing demand for
legitimization of entrepreneurship education at the university level. Consequently, the impact of
education on the creation of future entrepreneurs and the link between university training and
the success of the new ventures has been subject of much discussion in the academic
community. A review of the entrepreneurship literature reveals contradictory findings (Gorman,
Hanlon and King 1997). The results suggest differentiating between general business and
specific entrepreneurship education when exploring the role of university programs.
The existing literature on entrepreneurship in Sri Lanka has not focused on
entrepreneurial traits or skills with reference to university students. So it helps to bridge
research gap in the area of entrepreneurship.
Thus, entrepreneurship has been now identified as a crucial activity to ensure
economic growth and employment generation in almost all the countries. However, this area
has been not still recognized sufficiently by the Sri Lankan authorities. In this context, it is
important to examine how far entrepreneurship abilities have been recognized to be
developed by the university education system.
Considerable attention has therefore been paid to formal entrepreneurship education
at the university level. Public authorities and economic experts stress the importance of
promoting aspirations for entrepreneurship among young and highly-educated people. If the
business birth rate in any nation can be enhanced by supporting students and graduates in
their entrepreneurial activities, it is worthwhile to examine the current status of
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entrepreneurship education.
5. Literature Review.
5.1 Entrepreneur traits and skills.
Entrepreneurs have many of the character traits as leaders. Similarity to the early
great man theories of leadership: however trait based theories of entrepreneurship are
increasingly being called into question. Entrepreneurs are often contrasted with managers
and administrators who are said to be more methodological and less prone to risk taking.
Although such person –centric models of entrepreneurship have shown to be of questionable
validity a vast but clearly dated literature studying the entrepreneurial personality found that
certain traits seem personality found that certain traits seem to be associated with
entrepreneurs.
David McClelland (1961) described the entrepreneur as primarily motivated by an
overwhelming need for achievement and strong urge to build.
Collins and Moore (1970) studied 150 entrepreneurs and concluded that they are
tough, pragmatic people driven by needs of independence and achievement. They seldom
are willing to submit to authority.
Cooper, Woo and Dunkelberg (1988) argue that entrepreneurs exhibit extreme
optimism in their decision making process. In a study of 2994 entrepreneurs they report that
81% indicate their personal odds of success as greater than 70% and a remarkable 33 %
seeing odds of success of ten out of ten.
Busenitz and Barney (1997) claim entrepreneurs are prone to over confidence and
over generalizations.
Cole (1959) found there are four types of entrepreneur: the innovator, the calculating,
and the over optimistic promoter and the organization builder. These types are not related to
personality but to the type of opportunity the entrepreneur faces.
However, there is common understanding that although entrepreneurs can be very
different, they can de described by certain common features or personal traits. Already in the 18
th
century Cantillon defined an entrepreneur as someone who makes grounded decisions, takes
on risk and manages a company. Entrepreneur has been defined as an innovator
entrepreneurial person, organizer and risk-taker .The ability to see the imbalance of demand
and supply and to direct the entrepreneurial activity towards changing that difference through
business activity has also been seen as one of the traits of an entrepreneur [J. Timmons,1994].
Also in more recent literature an entrepreneur has been characterized as a person who
has a great ability of imagination, flexibility, creativity and innovation; as a person who is ready
for conceptual thinking and who sees change as a business opportunity [Wilsonet al 2004).].
Some authors agree on entrepreneur having a high readiness to take risks, optimistic attitude
towards success, also having sufficiently self-confidence to start implementing their idea and
aspiration towards independence [Audretsch,D B., The Entrepreneurial Society]. The
entrepreneurial mind (e.g. dedication, persistence) has been described by J. Timmons (1994)
However, in case of the existence of potential to act as an entrepreneur, appropriate
environment and conditions are needed to actualize the potential.
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Table 1. Entrepreneurial skill Estimating variables
5.2 Exposure to Entrepreneurship Education
Specifically, the role of education in affecting attitudes, norms, perceptions of
controllability, and behavior merits further investigation. Previous research indicates that
entrepreneurship education can enhance an individual‘s level of self-efficacy (Bandura 1986;
Hollenbeck and Hall 2004; Wilson et al 2007). Wilson et al‘s (2007) study concluded that this
relationship is more pronounced in the case of female students. Noel (1998) found that
entrepreneurship education is strongly related to entrepreneurial intention, with
entrepreneurship majors expressing higher intentions to start their own businesses. Dyer
(1994) and Wilson et al (2007) argued that entrepreneurship education can also increase
students‘ interest in entrepreneurship as a career. Souitaris et al (2007) found that
entrepreneurship programs significantly raised students‘ subjective norms and intentions
toward entrepreneurship by inspiring them to choose entrepreneurial careers.
In Malayasia, the entrepreneurship programmes have been attracting school drop
outs ,small traders and women (Rao, Entrepreneurship and Economic Development).
In Australia, schools offer progrmmes for managing the enterprises; whereas in
Jamaica, Zambia, Switzerland, Uganda, New Guinea, Zimbabwe the entrepreneurship
programmes are encouraged the respective governments.
In, India, Entrepreneurship Development programmes are sponsored by the state
governments.
In Sri Lanka Chamber of Commerce conducts entrepreneurship programmes
regularly. The Ministry of Youth Affairs in Sri Lanka conducts short term programmes for
creating awareness about self employment among school college dropouts and gives
preliminary information on accounts, management, marketing etc.
The entrepreneurship education in Germany has been intensified in recent years.
While only 21 chairs for entrepreneurship had been founded in 1998, this number raised to 42
chairs in 2001 (Klandt and Heil 2001). In addition, several universities designed
entrepreneurship education and training programs without establishing dedicated chairs.
In 1996, 106 courses in entrepreneurship were offered at 92 German universities (Kofner,
Menges and Schmidt 1999). However, experts still see the entrepreneurial activities in
outstanding US universities as a benchmark for the educational system in Germany. A recent
evaluation of German universities indicates that, although the situation has clearly improved, the
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teaching and training of students in entrepreneurship are far away from excellent. Only 6 out of
the 78 investigated universities offer a good or very good program for entrepreneurial education
(Schmude and Uebelacker 2001). Among others, Minsk can show that German universities play
a secondary role for the qualification and motivation of future entrepreneurs. The parental
background, for instance, is a much stronger impact factor on entrepreneurial propensity than
the knowledge and skills that the graduates acquire during their studies (Minks 1998).
An autonomous institute was set up within the University of Phillipines for small scale
industries, which is recognized as a focal point of expertise and resource for entrepreneurship
programmes.
The Asian institute of Management has a clear objective that the students must
become entrepreneurial managers rather than management executives. Students are
encouraged to take up projects which they conceptualize, set up and successfully run and then
report their experiences, instead of writing thesis.
Considering the Sri Lankan universities, University of Ruhuna and University of Uwa
Wellassa offered several (twelve courses) course modules related to entrepreneurship. Most
recently university of Kelaniya has introduced Entrepreneurship subject stream in their new
curriculum revision. All other universities didn‘t much care about this.
5.3 The impact of education on entrepreneurial propensity
Many of these academic institutions have established majors on the graduate level or
other kinds of concentrations. Entrepreneurship centers have been founded to coordinate the
broad array of activities, programs and resources within universities. Very seldom, schools
pashed back out of entrepreneurship once they had entered.
This growth in interest and funding is accompanied by an increasing demand for
legitimization of entrepreneurship education at the university level. Consequently, the impact of
education on the creation of future entrepreneurs and the link between university training and
the success of the new ventures has been subject of much discussion in the academic
community. A review of the entrepreneurship literature reveals contradictory findings (Gorman,
Hanlon and King 1997). The results suggest differentiating between general business and
specific entrepreneurship education when exploring the role of university programs.
Most of the surveys show that entrepreneurship education encourages graduates to
start their own business. In an early study, Clark surveyed a sample of students of a medium-
sized American university who were enrolled in an introductory entrepreneurship course. He
found that almost 80% of these students were considering setup their own business. These
plans were often turned into reality. Three out of four students who reported concrete plans
for founding a company in fact started a new venture. Furthermore, 76% of the respondents
stated that the entrepreneurship course had a large or very large effect upon their founding
decision (Clark, Davis and Harnish 1984). McMullan, Long and Wilson report a high rate of
new venture creation among MBA students who attended more than three entrepreneurship-
related courses at a Canadian university (McMullan, Long and Wilson 1985). A review of a
graduate enterprise program in the UK suggests that the program provided an incentive to
more than half of the participants to start their business sooner than intended. Thus, this
initiative had an enabling and accelerating impact on the graduates‘ founding activities.
(Brown 1990). Irish students who participated in a student enterprise award indicated that the
initiative had a?very important? impact on their subsequent career choice (Fleming 1994). Finally,
Vesper and McMullan can show that entrepreneurship courses help alumni to make better
decisions in the startup process (Vesper and McMullan 1997).
6. Methodology.
This study aims at assessing entrepreneurial traits, skills and the desires of
undergraduate students in the university system based on the sample of one hundred fifty
students(Fourth year) of the Bachelor of Commerce Special Degree Programme in the
University of Kelaniya.
Data were collected for this study administering questionnaire, holding general
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enterprising tendency test, thematic appreciation test and self repots.
To evaluate students‘ personal traits, general enterprising tendency test was used
(authors Hisrich and Peters]), in which the questions were directed to making certain
behavioral choices and where it was possible to give ?agree? and „not agree? answers. To
analyze the entrepreneur‘s psycho-logical portrait test I have worked out a system, based
on which the prerequisites of becoming an entrepreneur can be evaluated. As a criterion of
those prerequisites, questions characterizing the five important personal traits – Need for
achievement, need for independent, readiness to take risks, creativity and drive and
determination -have been put into the test.
Another tool Thematic Apperception Test also used to measure students
entrepreneurial traits and skills. Before starting this test, facilitator instructs the participants as
follows, ? For twenty seconds, you will see a picture on the screen. Then you will be five minutes
to interesting and dramatic story about what you have seen?. After fulfill the story, these stories
can be categorized into three groups such as AI (Achievement Imaginary), TI (Task Imaginary)
and UI (Unrelated Imagery).
If the writer involves an achievement goal, either in explicit terms or in an implied
fashion, then a story has achievement imaginary. If some person has desire for success in
competition with others, competition with self, unique accomplishment, long term involvement,
that story can be categorized into AI story. If there is a story which is unrelated, either explicitly
or implicitly to any competitive standard, but bears some reference to achievement, then it is
classifies as TI. The ?T? Stand for common ?task? in a routine problem. If a story fails to bear any
reference, whatsoever, to any achievement criteria mentioned above, then it is generally
classified as unrelated imagery.
If a story has AI, then it can be scored for achievement related sub categories as
follows,
Scoring of sub categories.
Sub categories Score
1. Need +1
2. Activity +1
3. Goal anticipation
Positive +1
Negative +1
Obstacles or blocks
Personal blocks +1
Worldly blocks +1
Help +1
Feeling
Positive +1
Negative +1
Achievement theme +1
Stories with AI +1
Maximum obtainable score in one story will be +11.
Thirdly, the students‘ answers to the individual questions of the entrepreneur‘s
psychological portrait were analyzed and their attitudes towards entrepreneurship were
evaluated. The analysis of the answers to the individual questions helps to better understand
the influence of those answers to the final results of the analysis.
To analyze the collected data simple statistical methods such as percentage, charts and
graphs were used.
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7. Research Results.
Out of total sample 96% were interested in engaging in jobs under the existing
organizations. Only the balance (4%) few expressed their desire to start new ventures.
Most students want to occupy managerial positions in various fields and others
students want to go into further studies, which can be interpreted in two ways: either as a way
of delaying a choice of profession a bit longer or to acquire more knowledge in specific fields
(often in management).
Some students still have no idea, which means they rely very much on opportunities in
their job search. But what is more striking for our subject is the case of potential entrepreneurs.
Thematic Apperception Test results.
Table 2.
Type of story %
AI 28.2
TI 48.6
UI 24.2
After analyzing the personal traits of the students based to the Thematic Apperception
Test according to the answers they didn‘t have good prerequisites necessary for an
entrepreneur, it appeared that 71.8 % of the respondents have no good prerequisites of
becoming an entrepreneur and only 28.2 % have those prerequisites.
Considering that, a conclusion can be made that most questioned students didn‘t
have prerequisites of be-coming an entrepreneur.
Table 3.
General Enterprising Tendency Test results.
Variables Marks Results
F M Total F M Mean value
Need for
achievement
458 483 941 6.542857 6.0375 6.273333
Need for
independence
158 240 398 2.257143 3 2.653333
Creativity 404 439 843 5.771429 5.4875 5.62
Risk taking 456 364 820 6.514286 4.55 5.466667
Drive &
determination
418 411 829 5.971429 5.1375 5.526667
Total 1,894 1,937 3,831 27.05714 24.2125 25.54
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Table 4.
According to the GETT students marks should be as follows,
Variables Maximum
score
Average
Need for achievement 12 9
Need for independence 6 4
Creativity 12 8
Risk taking 12 8
Drive & determination 12 8
Mean value
>37
Considering the students results any variables were not come up to at least average
level. So we can‘t satisfy with students above entrepreneurial skills. Considering that, a
conclusion can be made that most students didn‘t have entrepreneurial skills.
The analysis of the impact of answers to self-evaluation questions of
entrepreneurial competency shows also that respondents with partial skills have yet the
most impact. In order to organize the study programmes better it is important to find a
possibility to determine the target groups more specifically by analyzing the relationships
between the answers to the questions of the questionnaire.
Table 5. Entrepreneurial skills, share of respondents, %
No Main skills
Do you have them?
Yes Partly No
Do not
know
1. Skill to manage a small enterprise 15.5 30.2 53.5 0.8
2. Skill to develop new business ideas 18.4 30.2 51.4 0.0
3. Skill to make deals 24.9 47.8 26.1 1.2
4. Clear understanding of entrepreneurship 13.9 22.4 63.7 0.0
5.
Skill to behave and pass decisions under the
conditions of uncertainty
29.4 54.7 14.7 1.2
6. Skill to find unconventional solutions 38.4 12.7 48.6 0.4
7. Skill to make contacts, negotiate 39.6 12.7 47.3 0.4
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8.
Ability to evaluate the results of different activities
objectively
39.6 47.3 12.2 0.8
9. Skill to evaluate the perspective for new ideas 37.1 49.4 11.8 1.6
10. Skill to make grounded judgments 38.0 10.6 50.2 1.2
11. Skill to evaluate the external environment 25.7 62.9 9.8 1.6
12. Skill to obtain what one owns 49 44.1 6.1 0.8
13.
Skill to evaluate different activities from the
perspective of ethics and morale
66.9 26.9 5.3 0.8
The analysis of the relationships between the answers to the questions enables to
make some rather logical conclusions. For example students, who said that they are unable
to manage a small enterprise have also answered that they cannot make contacts (47% of
sample), find innovative solutions (49 %), have no clear understanding of entrepreneurship
(64 %) and cannot make deals (26 %). So more than two-third of the students are in need of
entrepreneurship training and of acquiring practical skills in the aforementioned areas that are
necessary for obtaining knowledge about managing an enterprise. In the same group of
respondents there is also a big part of those who do not have a clear understanding of
entrepreneurship together with the lack of some other skills in the area of implementing
business ideas. On the other hand, those who wrote that they are able to evaluate deals
from the stand-point of ethics and morale, have several other skills as well (answers ?yes? or
?partly?) in the area of managing an enterprise, in evaluating the results of their actions and
in finding solutions. In terms of relationships of answers of the last group of respondents,
there were no answers saying that they cannot do something. It can be therefore assumed
that they have basic entrepreneurial skills at a certain level and are in need of specialized
education the content of which needs to be further specified before starting with the course.
8. Conclusion.
Currently the idea that entrepreneurial skills can be studied is supported more and
more. In this context it would be interesting to know, which is the potential of Sri Lankan
university students in connection with entrepreneurship and what aspects entrepreneurship
policy and educational programmes should consider in order developing entrepreneurship
competency.
The analysis of the test of Thematic Apperception of an entrepreneur showed that
most of the students who participated in the study don‘t have prerequisites for becoming an
entrepreneur .Moreover according to GETT results student have a lack of skills related to
entrepreneurship
The study concludes that university students have lack of ability, traits and skills and
interest to engage in entrepreneurial activities. Out of total sample 96% were interested in
engaging in jobs under the existing organizations. Only the balance few expressed their
desire to start new ventures. Therefore, it can be concluded that university study
programmes, even Commerce Degree Programmes are not sufficiently geared towards
improving entrepreneurial abilities among undergraduates.
Due to the need of developing personal traits and skills necessary for an entrepreneur
it is the task of educational institutions and also of institutions implementing entrepreneurship
policy to direct study programmes towards developing the skills of students according to the
needs of specific target groups.
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9. Recommendations.
We point out the importance of group dynamics during the curriculum. This is an issue
we will explore in the future. Setting up these project activities is probably a major factor for
developing Entrepreneurial Spirit.
Networks and links to industry
Successful universities outline the necessity to establish strong links between the
university and the entrepreneurship community (Leclerc 1985). The many student moves from
entrepreneurial awareness and opportunity identification to concrete activities within the stage
of pre-creation the more critical these networks are.
Knowledge about innovative opportunities
Entrepreneurship is characterized by new combinations causing discontinuity. It is
therefore fundamental to the subsequent formation of growth companies that the students have
access to the forefront of technological development.
Theory-based knowledge
In order to generate theory-based knowledge, it is essential to ground entrepreneurship
education on theoretical frameworks and empirical research findings. Students have to be
encouraged to apply their theoretical and conceptual knowledge when interpreting text cases,
when developing business plans and when implementing new venture projects. Good
teaching will help students to use theories as a tool to answer practical questions (Fiet
2001).
Experiential learning and real-world experiences.
Involvement in ?hands-on? projects of opportunity identification and new venture
creation would be a central part of education programs. In this respect, business plans are a
useful approach. They teach the application of theoretical concepts and academic
knowledge to business reality (Kelmar 1992).
10. References.
Audretsch, D. B., The Entrepreneurial Society, 2001,The FSF-Nutek Award Winner Series,
http://www.nutek.se/sb/d/193/a/1168.
Gibb, A. A., The role of education in entrepreneur-ship development, July 1994 Lead
plenary paper, INDEC World Conference on Entrepreneurship, Singapore.
Hadimani, R.N., Dynamics of industrial entrepreneurship, 1985, Sunil printers, New Delhi.
Hannon, P. D. The Journey from Student to Entrepreneur, 2005,A Review of the
Existing Research into Graduate Entrepreneurship. Paper presented at the In-tEnt2005
Conference, University of Surrey, UK.
Rao,J.V., Prabakara, Entrepreneurship and economic development, 2000, Kanishka
publishers, New Delhi.
Schumpeter, J. A. The Theory of Economic Development. 1934, Harvard University Press,
Harvard.
Shapero, A. The Displaced Uncomfortable Entrepreneur. , 1975, Psychology Today.
Kirzner, I. M. Competition and Entrepreneurship. 1973,Chicago University
Press, Chicago.
Timmions, J. A. New Venture Creation, Entrepre-neurship for the 21
st
Century, 1997, Irwin, Burr Ridge, Illinois.
Hisrich, R. D.; Peters, M. P. Entrepreneurship.Starting, Developing and Managing a New
Enterprise,1989,USA.
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University of Kelaniya, Sri Lanka 114
Man T. W. Y.; Lau, T.; Chan, K. F. The Competitiveness of Small and medium
enterprises, 2002,A Conceptualization with Focus on Entrepreneurial Competencies. Journal
of Business Venturing, No 17 p. 123-142.
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