Abstract
PurposeThe aim of this study is to examine the relationship between educators' professional competence, pedagogical competence and the entrepreneurial behaviour of students in higher education as well as the role of entrepreneurial literacy in mediating these variables.Design/methodology/approachThe study involved a sample of 361 students from several universities in Indonesia. A probability sampling method approach with cluster sampling was applied to collect the data, which aims to ensure the representation of each region in Indonesia. The data were retrieved through self-administered questionnaires and structural equation modelling was employed to analyse the relationship between each variable.FindingsThe results revealed a positive and significant relationship between educator competencies and students' entrepreneurial behaviour: professional competence (β = 0.26, p < 0.001) and pedagogical competence (β = 0.27, p < 0.001), indicating that higher educator competencies levels were associated with greater students' entrepreneurial behaviour. The mediation analysis showed that entrepreneurial literacy was partially mediated for professional competence (LL = 0.42; UL = 0.460, p < 0.008) and fully mediated for pedagogical competence (β = 0.021; β = 0.375, p < 0.058).Research limitations/implicationsA study solely concerned with a specific group of educators and students in a particular region as well as a cross-sectional study, may lead to generalisations of the findings. Future studies could expand the sample size and include a more diverse group of participants to increase the external validity of the results.Practical implicationsIt offers valuable insights for educational institutions, policymakers and educators themselves, who can use the findings to design effective entrepreneurship education programmes and initiatives.Originality/valueThis study contributes to the field of higher education by emphasising the importance of educators as catalysts for entrepreneurship and by providing guidance on how to enhance their competencies and literacy in fostering entrepreneurial behaviour among students.