The Relationship between Intention and Actual Entrepreneurial as a Career Choice of Malaysian Graduate

Abstract

Entrepreneurship has been recognized as a catalyst for the economic growth of a nation and is becoming an important field in Malaysia. Graduates’ involvement in entrepreneurial activities is encouraged and the Malaysian government has invested millions of Ringgit in support of this agenda to increase the intention of students to be entrepreneur. However, the statistics showed that, as of 2013, only 1.7 percent of graduates were self-employed, compared to the 5 percent aspired by the government. It is therefore imperative to study the relationship between the intention and actual choice to be graduate entrepreneur. Data analysis using logistics model were carried out with a sample of 2,300 graduates (including those pursuing entrepreneur degrees). Results indicate a significant positive relationship between the graduates’ intention to become entrepreneurs and their actual choice of being entrepreneurs. However, some of the intentions are not translated into actual choice. In choosing to become an entrepreneur, having the intention alone may not be enough but it is an important prerequisite. The graduate’s actual choice to be entrepreneur is triggered by intention. Although there is a probability for intention to not being translated into actual choice, entrepreneurial intention is required to ensure the actual choice of becoming an entrepreneur. In other words, in choosing to become an entrepreneur, having the intention alone may not be enough but it is definitely an important prerequisite.