Interest in Entrepreneurship and Influencing Factors

Interest in Entrepreneurship and Influencing Factors

By: Made Susilawati dan Desak Putu Eka Nilakusmawati

The rapid population growth if it is not matched by sufficient number of employment opportunities, can make it difficult for people to have jobs and ultimately lead to unemployment. Even people with high education can become unemployed. High unemployment rates can have a direct or indirect impact on increasing poverty, crime and other problems. The large number of the workforce, the continuous flow of migration, and the impact of the economic crisis, have made the labor problem a complex problem. One solution that can be done is entrepreneurship. Development will be more successful if it is supported by entrepreneurs who can create jobs, as well as because the government's ability to provide employment is limited. Therefore, entrepreneurship is a development potential, both in number and in the quality of entrepreneurship itself.

Zimmerer in (Patulak, 2015) said that in the context of entrepreneurial business is the result of a discipline, a systematic process of applying creativity and innovation to meet and seize opportunities in the market. Meanwhile, according to Raymond W. Y Kao (1995) mentions entrepreneurship as a process of creating something new (new creation) and making something different from what already exists (innovation).

It is interesting to discuss in this paper about how is the community's interest in entrepreneurship? Are the income expectations of entrepreneurship greater than working for BUMN / BUMS employees, parents' work, latest education level, and gender affect interest in entrepreneurship?

Entrepreneurial interest in this paper was collected by means of an online survey of the people of Denpasar City using a questionnaire in the form of a google form. Sampling was done purposively on 156 respondents. The variables used are Gender, Expectations regarding Entrepreneurial Income are higher (Yes / No), Parents' Occupation (Non-entrepreneur and Entrepreneur), and the respondent's Education Level.

The relationship between the entrepreneurial income expectations variable is greater than working at BUMN / BUMS, parent's occupation, latest education level, and gender with interest in entrepreneurship were analyzed using binary logistic regression analysis. The logistic regression model obtained is:

g(x) = e^{(-2,20X1 -1,26X2 -0,619X3 – 1,386X4)}/(1+= e^{(-2,20X1 -1,26X2 -0,619X3 – 1,386X4)})

The interpretation of the model above is: for the gender variable with a coefficient of -2.200 means that someone who is female will have a tendency of interest in entrepreneurship by e-2,200 = 0.52 times lower than that of men. Meanwhile, respondents who had expectations that entrepreneurial income was higher than working as a civil servant or private had a tendency of e-1.26 = 1.46 times higher interest in entrepreneurship than people who had expectations that entrepreneurial income was not higher than working as an public employee or private employees.

In the parent job variable with a coefficient value of -0.619 shows that the work of parents who are entrepreneurial e - 0.619 = 2.1 times more interested in entrepreneurship than the work of parents who are not self-employed. The variable level of education with a coefficient of -1.386 with the interpretation that the respondent's education with a higher level of 1.33 has a higher tendency to be interested in entrepreneurship compared to respondents with a lower level of education.