Entrepreneurial Readiness of Young Muslim Entrepreneurs: The Role of Need for Achievement, Family Support, and Entrepreneurial Interest

Abstract

Entrepreneurial readiness for young entrepreneurs, especially Muslim entrepreneurs, is a challenge in the current era. Intense competition and increasing competitors are the cause of the need for entrepreneurial readiness among young Muslim entrepreneurs to compete with experienced entrepreneurs. This study aims to design and test the suitability (goodness of fit) theoretical model of the influence of the need for achievement, family support, and interest in entrepreneurship on entrepreneurial readiness supported by empirical data in the field. This study uses a quantitative approach with a sample of 106 young Muslim entrepreneurs in Yogyakarta. This research uses a purposive sampling technique in the entrepreneurial group. Sample characteristics include samples belonging to the young entrepreneur community, aged between 18-30 years, business experience of less than three years, Muslim and 106 research samples were obtained. The data were analyzed using Partial Least Squared (PLS) SmartPLS version 3.3.9. The results showed that the entrepreneurial readiness model proposed in the study was based on empirical data in the field. Partially, the need for achievement, family support, and interest in entrepreneurship have a positive and significant influence on entrepreneurial readiness.  Based on the results of the analysis, it is concluded that the model is acceptable to explain the influence of the need for achievement, family support, and entrepreneurial interest on entrepreneurial readiness, which provides an effective contribution of 58.7 percent.