The Impact of Micro and Macro Environment on Entrepreneurial Success: Case of J&K MSMEs

Abstract

The present research is focussed on examining the influence of micro- and macro-environmental factors on entrepreneurial success; and the impact of entrepreneurial success on perceived socio-economic benefits in the Jammu and Kashmir (J&K) micro, small and medium enterprises (MSMEs) sector. The information was gathered from 373 entrepreneurs of MSME from different industrial areas of J&K (India). Structural equation modelling (SEM) has been applied to study the relationship among various variables and to develop the model. The findings of the study showed that various micro- and macro-environmental factors significantly influence entrepreneurial success in J&K (India). Furthermore, the study also depicted that entrepreneurial success has a significantly positive impact on perceived socio-economic benefits in J&K (India). Finally, an entrepreneurial environmental and entrepreneurial success model was also developed for strategizing socio-economic development in J&K (India). The study suggests economists and policymakers to use entrepreneurship as an engine to stimulate economic growth, generate job opportunities and overcome poverty. The present study collected information from entrepreneurs of MSMEs operating in different districts of J&K (India). The study is imperative because of its empirical nature within the area of the business environment, entrepreneurial success and its perceived socio-economic impact on the J&K’s MSMEs sector, as little has been done in this area.