Challenges in measuring readiness for entrepreneurship

Abstract

Purpose – The purpose of this paper is to establish a readiness for entrepreneurship theoretical framework. The paper marks the first of three stages to build a scale to measure readiness for entrepreneurship. Design/methodology/approach – The current paper is conceptual. The research approach consists of formulating proposals and definitions based on an extensive literature review. Findings – The literature review reveals that no such readiness for entrepreneurship measurement tool exists. The literature review also yields definitions and components of key concepts for the theoretical framework. Research limitations/implications – The paper offers a new, holistic perspective of readiness for entrepreneurship. This research addresses measurement of readiness for entrepreneurship from a rigorous, scientific approach. The main limitation lies in capturing and organizing extensive information on topics from diverse disciplines (i.e. sociology, psychology, and business management). Practical implications – This theoretical framework enables the design and creation of a scale to measure readiness for entrepreneurship. The literature review confirmed the possibility of building such a measurement scale. Social implications – A complex tool able to identify and measure readiness for entrepreneurship would be applicable in numerous situations including the following: determining entrepreneurial abilities, analyzing potential for entrepreneurship, simulating organizational transformations, and evaluating investment recommendations. Originality/value – No holistic, scientifically grounded tool to measure readiness for entrepreneurship exists, yet there are numerous entrepreneurial capacity tests with no rigorous scientific grounding. As a remedy, this paper provides solid scientific foundations upon which to develop an instrument for measuring readiness for entrepreneurship.