Impact of institutional environment on social entrepreneurial intentions

Abstract

Scholars have recognized the need for further research to explore the role of institutional factors in social entrepreneurship (SE) within emerging markets (Urban and Kujinga, 2017). In response, this study investigates how the institutional environment influences the antecedents of social entrepreneurial intention (SEI) in Vietnam by expanding the SEI model of Mair and Noboa (2006). Drawing data from 401 university students in Vietnam, this study employed Structural Equation Modeling (SEM) to examine the research hypotheses and model. The results reveal that social entrepreneurial self-efficacy (SES) and perceived social support (PSS) significantly and positively influence the intention to become a social entrepreneur, while empathy (EMP) and moral obligation (MO) show no effect. Furthermore, the institutional environment, comprising the regulatory dimension (RD), normative dimension (ND), and cognitive dimension (CD), plays a crucial role in boosting EMP, MO, SES, and PSS. This study contributes to SE literature by extending established intention models with the inclusion of institutional dimensions. Additionally, the findings of this study imply that policymakers should design SE-supportive policies and regulations, and create a culture that values and promotes SE in order to encourage social innovation and reduce barriers to entry for social ventures. Educators should also increase opportunities for students to experience SE and develop entrepreneurial skills in order to enhance their perception of cognitive and normative environments, making SE a more attractive career option.