Determinants of Entrepreneurial Intention

This poster examines determinants of entrepreneurial intention using a novel dataset representing over 1,400 households generated by the Kentucky Entrepreneurship Survey. Whereas the literature discusses the potential role of entrepreneurial self-efficacy (ESE) and community entrepreneurial climate (CEC) in explaining entrepreneurship, this study provides an empirical model which tests these relationships by including in the econometric analysis both individual and environmental factors, which are quantified using a scale based on each respondent’s ranking of questions regarding their perception of ESE and CEC. Marginal effects from a probit regression suggest that innovativeness and previous experience are significant predictors of entrepreneurial intention in rural and urban areas, among other findings. The results have implications for entrepreneurship and small business development programming in Kentucky and beyond.