ANALYSIS OF FACTORS THAT INFLUENCE EMPLOYEES‟ ENTREPRENEURIAL INTENTION (A CASE OF EMPLOYEES IN JAKARTA)

Abstract

Nowadays, entrepreneurship is an important factor in the world economic development. However, in Indonesia, the number of entrepreneurs is low compare to other developing countries. The number of job seekers and employees are high, and it indicates that most of the people have low intention in being entrepreneur. This research was conducted to examine how self-efficacy, risk tolerance, and instrument readiness (accessibility to capital, network, and information) influence people‟s entrepreneurial intention, especially those who are employees and working in Jakarta. Quantitative data analysis by using multiple linear regression was applied in this research. The research was conducted from September 2014 to January 2015. The sampling technique used was non-probability sampling, especially convenience and snowball sampling techniques. Questionnaire was used as the research instrument for collecting the data. The result suggests that risk tolerance and instrument readiness have influences toward employees‟ entrepreneurial intention. In addition, self-efficacy alone does not influence the entrepreneurial intention. Increasing self-efficacy, risk tolerance, and instrument readiness is important to increase employees‟ entrepreneurial intention. Early education will help the young generation to develop those factors so that it is likely for them to have high entrepreneurial intention.