A closer look at entrepreneurial intentions

Abstract

This paper tests the initial Shapero-Sokol model of an entrepreneurial event, as well as expands it through the use of quadratic and moderating effects. Structural equation modelling is applied to a sample of undergraduate students in Croatia that completed a questionnaire in 2019. Findings show that perceived desirability and perceived feasibility have a positive impact on entrepreneurial intentions, whereas the propensity to act has a negative effect. A closer look reveals that there are other significant effects in the model as well. Quadratic effect is positive for perceived desirability and perceived feasibility, while negative for propensity to act. Lastly, perceived feasibility positively moderates the relations for both perceived desirability and propensity to act on entrepreneurial intentions.