Influence of Entrepreneurship Knowledge on Employability of TVET Graduates in Tanzania: The Moderating Role of Self-Efficacy

Abstract

This paper is based on the study aimed to examine the influence of entrepreneurship knowledge on employability among TVET graduates in Tanzania and the moderating role of Self-Efficacy. The study was guided by human capital and self-efficacy theories. An explanatory research design was employed, and data was collected using a structured questionnaire administered on a sample of 353 graduates from TVET institutions by a Kobo toolbox. Structural Equation Modelling was used for data analysis. The finding of the study revealed a positive and significant relationship between entrepreneurship knowledge and employability of graduates. Furthermore, a multi-group moderation analysis indicated that, the relationship was positive and significantly stronger in the group with high self-efficacy but it was insignificant relationship in the group with low self-efficacy. Therefore, the education policy makers, curriculum developers and TVET institutions in Tanzania should emphasize on programs that will improve graduates’ entrepreneurship knowledge such as recognizing business resources, financial resources, and use of technology in business, ability to target customers, understanding of tax laws and regulations in business as well as improving sales and creation of market plan. The study also concluded the effect on entrepreneurship knowledge on employability is improved when self-efficacy is increased, calling for measures to raise graduates’ self-efficacy