Startup intention of university students in the economic sector in Hanoi using structural equation modeling

Abstract

Purpose - This article investigates the startup intention of 316 students in six universities in the economic sector, which are at the top in terms of training scale and number of training disciplines in Hanoi, Vietnam. Design/methodology/approach - The study considered the groups of external factors that have impacts on startups in addition to two of the three directed factors of the Theory of Planned Behavior (TPB), which are higher education programs and financial support from the university. The study was conducted by utilizing quantitative research to measure the structural relationship among various proposed latent variables using the partial least squares method. SmartPLS 3.0 software was applied to analyze and verify the gathered data, and the proposed hypothesis model. Findings - The findings reveal that the startup intention questionnaire was found to be a valid instrument for measuring the startup intention of university students in the economic sector in Ha Noi. The result of path analysis indicates that all these variables have a positive effect on startup intention. Additionally, the direct effect of attitude toward the act to startup, perceived feasibility, higher education program, financial support, and startup intention has a significant positive effect on strategy alignment. These results help policymakers build the appropriate educational environment to foster students’ startup and develop a startup ecosystem. Implications - Overall, this study implies that many factors can influence students’ startup intentions. Policymakers can use the results to build the appropriate educational environment to foster students’ startups and develop a startup ecosystem. Originality/value - This paper is the first empirical study that critically investigates the startup intention of students in the top six universities in the economic sector.