The impact of entrepreneurial education and competitiveness on business performance of Indonesian SMEs Moderating role of self-efficacy

Abstract

The prime concern of the present study is the investigation of the link between effective entrepreneurial education and competitiveness that influence the business performance of Indonesian SMEs. The study was conducted to determine the empirical examination between constructs through utilization of PLS. The results of the study found that entrepreneurial education and competitiveness significantly and positively influence the business performance, but moderation role of self-efficacy was not observed between constructs. Therefore, H1 and H2, which were the direct hypotheses were accepted statistically but moderating hypotheses H3 and H4 were rejected on statistical grounds. The study provides guidelines for SMEs to initiate entrepreneurial activities for business performance. However, it is observed that various limitations are also attached with the present study. For example, this study is limited in terms of some qualitative analysis where the interview session with the respondents would be quite meaningful. In addition, this study missed the implication on some bigger business firms or large industries as it is only addressing the SMEs firms that are working in the region of Indonesia. Future studies are highly recommended to focus on these limitations.

Keyword: Entrepreneurial Education; Competitiveness; Self-Efficacy; Business Performance