Liquid modernity as an analytical framework: A study of entrepreneurial intention among business students

Abstract

Entrepreneurship literature has assigned both social context and entrepreneurial intentions a central role in explaining entrepreneurial behavior. Yet, the person-context interaction with regard to an individual’s intention to perform entrepreneurial behavior has not been sufficiently studied. Drawing on the Theory of Planned Behavior (TPB), the liquid modernity thesis and the social capital tradition, this study attempts to explore the intrinsic mechanisms of entrepreneurial intention development, adopting a sociological approach. Specifically, the research investigates the role of bridging social capital, bonding social capital, emancipation, time perspective, readiness for mobility and perceived uncertainty and examines their direct and indirect effect on entrepreneurial intention formation. The statistical analysis is based on cross-sectional survey data of 537 final -year business students attending a Greek public sector university. Results of multiple regression analysis indicate that the predictor variables attitude, perceived behavioral control, subjective norms, bridging social capital and perceived uncertainty explain 65% of the variance in business students’ entrepreneurial intention. Mediation analysis by means of regression- based bootstrapping provides evidence in support of all hypotheses set out to examine indirect effects. Listed in accordance with the strength of impact they exert, the con- structs of emancipation, time perspective, readiness for mobility, perceived uncertainty, subjective norms, bridging social capital and bonding social capital affect entrepreneurial intention via its two main antecedents, namely personal attitude and perceived behavioral control. Attitude is found to be the most influential factor in entrepreneurial intention. This empirical study contributes to the entrepreneurship literature by providing additional insight into the sociopsychological processes underlying entrepreneurial intention formation. Furthermore, the extension of existing socio-cognitive models with constructs examining person- context interaction provides valuable practical implications. Consider ing that research participants are students, the knowledge gained by this study is of special interest to educators in the field of entrepreneurship.