Navigating the entrepreneurial landscape: The interplay of government support and self-efficacy in entrepreneurial education

Abstract

Building upon the core concept of Ajzen's Theory of Planned Behavior, this study aims to investigate the dynamic relationship between Entrepreneurial Education (EED) and business success, considering the mediating roles of Government support and entrepreneurs' self-efficacy beliefs. The study collected data from a sample of 300 small business owners in the Peshawar district of Pakistan, utilizing adapted constructs and analyzing the data through measurement and structural modeling using Smart PLS. The results reveal a significant positive association between EED and business success among business owners. Similarly, Government support is found to play a role in fostering a culture of EED among these business owners. When examining mediating factors, Government support is shown to mediate the relationship between an individual's EED and their business success, whereas it does not significantly mediate the relationship between an individual's Entrepreneurial Self-Efficacy (ESE) and business success. Conversely, Entrepreneurial self-efficacy is identified as a potential mediator between EED and business success. However, it does not mediate the relationship between Government support and business success. Based on the findings, it is concluded that government support significantly contributes to shaping the relationship between Entrepreneurship Education (EED) and business success within the SME sector in developing countries. Likewise, the self-efficacy of business owners is identified as a pivotal individual element that positively influences business success in various circumstances. The study suggests that the SME sector in developing countries can thrive with the support of government initiatives promoting Entrepreneurial Education.