Study of Universities Entrepreneurship Education Role in Graduates Occupation Presenting a Proper Model

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1 International Journal of Basic Sciences & Applied Research. Vol., 3 (SP), , 2014 Available online at ISSN Study of Universities Entrepreneurship Education Role in Graduates Occupation Presenting a Proper Model Mohammad Rahmanpour 1, Reza Ali Norouzi 2, Fatemeh Karimi 3*, Atefeh Sharafi 4 1 Student of Pedagogical Sciences Doctorate Program, University of Isfahan 2 Faculty Member of the Pedagogical Sciences Department, University of Isfahan 3 MSc of Educational Planning 4 MSc of Educational Management * Corresponding Author Abstract Economic development based on efficient labor market keeps states in line with sustainable development in the 3 rd millennium. This requires efficient and effective university system as to students entrepreneurship. This article aims at the study of universities entrepreneurship education role in entrepreneurial abilities development and graduates occupation eventually. By using the analytical-inferential approach, we try to explain the concept of entrepreneurship education, highlight the effectiveness of university education as to the transfer and development of students entrepreneurial behaviors, and describe education methods by using entrepreneurship education parameters within the general education model. Furthermore, we clarify the assessment method and the effect of university entrepreneurship education on student s occupation by presenting a proper conceptual model. Keywords: Entrepreneurship, University education, General education model. Introduction The 21 st century is introduced as the century of knowledge, where communities main assets are their knowledge, skill, and human resources attitudes. In order for these assets to bring about prosperity for the community, entrepreneurship abilities are required presently being the core of states development programs (Jahanian,2010). Entrepreneurship is a practical and objective concept that came into existence simultaneous with the beginning of man s life on Earth and his attempt to earn a living. Setting forth this concept as a scientific concept is rooted in thoughts of economists like Richard Cantillon and Joseph Schumpeter. The latter introduced an entrepreneur as a factor of economic activities development and the former regarded the entrepreneur as a drive to economic growth and studied its different aspects (Saeidi Mehrabad & Mohtadi, 2008). In today s world where the growth of science and technology creates new challenges to states entrepreneurs existence can help communities leave these challenges behind successfully (Izadi, 2010). In other words, effective human asset production by entrepreneurship is governments important concern and many countries have put entrepreneurship education programs and investment in this field on their agenda (Martin et al., 2012). The UNESCO describes the modern university in the 21 st century global prospective of higher education as a place where entrepreneurship skills develop for abilities of graduates to be turned into entrepreneurs (UNESCO, 2003). In fact, entrepreneurship is the result of an organized disciplined process of applying innovation for needs and opportunities available in open environment (Martinez& Aldrich, 2002). In other words, entrepreneurship is a purposeful conscious and organized process in which non-entrepreneurs who enjoy potential ability are educated innovatively. This kind of education is an activity used to transfer knowledge and information required to enhance and manage a business; it causes promotion and improvement of attitudes, skills, and abilities of non-entrepreneurs (Zabihi & Moghadasi, 2000). Experts and activists of business education have developed the fiction that one does not acquire entrepreneurship skill but is born entrepreneur congenitally (Saeidi Mehrabad & Mohtadi, 2008). There are many proofs denying this view and necessitating entrepreneurship education such that attempts to conduct entrepreneurship and develop new entrepreneurs in large companies, especially in universities have sped up (Ahmadpourdariani, 2007). scholars regard entrepreneurship as a requisite to national and regional economic development and an account to keep governments in the global economy process (yers, 2005),(Mars & Ginter, 2012),(O Conner,2010). To achieve entrepreneurship goals in universities we should note that if people being trained coordinate with one another as to the objectives, content, and

2 teaching method, and more benefits would be obtained from educational attempts, though according to some scholars this has not yet reached an increased level despite existence of a broad body of knowledge. This has turned entrepreneurship education in the university an important necessity and mission (Block & Stump, 2000), (Henry et al., 2005). Participants of such educational programs have launched more businesses than those who attended other job programs (Clark, 2001). Entrepreneurial knowledge and skills education impacts on the startup and growth rate of commercial enterprises directly and positively leading to economic development and qualitative-quantitative improvement of new businesses founders (Matlay, 2008),( Urban et al., 2009). In Iran, entrepreneurship was not noticed until the beginning of the 3 rd Economic, Social, and Cultural Development Plan. Entrepreneurship was noticed in this plan due to high unemployment rate, especially of young people and university graduates as well as to the problem exacerbation forecast in the 2000s. Based on Clause A2 stipulated in the 2 nd edition of Annex II of the 3 rd Development Plan Act regarding the executive guidelines of higher education, entrepreneurship and efficiency of students and graduates via educational methods & programs reform within the UEDP (universities entrepreneurship development) plan has been emphasized (Moghimi, 2002). Although education alone does not make grounds for entrepreneurship and business creation, it is crucial as part of a system. The country's expanded higher education system (national universities, PNU, IAU, nonprofit, and recently UAST) take on the education and research missions as well as entrepreneurship education development and education duties. The aim of this article is to describe the important role of higher education universities and institutes in teaching and transferring entrepreneurial skills and abilities to students. We intend to clarify the important role of university education in students' entrepreneurial behavior and eventually in their occupation and highlight students' entrepreneurial behavior in labor market. Components of University Entrepreneurship Education Components of university entrepreneurship education which in fact justify it include a general and theoretical framework of entrepreneurship as to its importance; entrepreneurship education needs assessment, education, and effectiveness of entrepreneurship education. Entrepreneurship Education Importance and Necessity Today, most scholars of higher education field regard entrepreneurship as the requirement of universities and higher education institutes development and survival because in the era of advanced technologies development and knowledge-based industries in global, regional, and even local economy, it is only by university-labor market link that today s widespread crises could be challenged (Hasanmoradi, 2006). From another view, universities as the richest scientific-research centers as to production of knowledge and technology have always had a key role in economic, social, and cultural changes, though entrepreneurship being a principal axis of growth & development and important as to economic development planning and sustainable development, is directly influenced by surrounding changes (Sharifzadeh et al.,2009). Sustainable development itself leads to more investment in education and in better words it leads to entrepreneurship education development (Hegarty, 2008). The importance and necessity of entrepreneurship can be summarized as follows: Employment Rise It is of the most important results of entrepreneurship development plans in community. The more entrepreneurship possibility in society rises, the more job-creators can establish their own businesses and besides getting themselves employed, they can recruit extra manpower as well. In fact, there is a close relation today between entrepreneurship education and unemployment decrease such that a direct relation has been made between this kind of education and commercial enterprises increase (Askon & Yildirim 2011). Economic Development Active commercial enterprises increase is a scale of economic development. Studies indicate that there is a positive relation between the number of active commercial enterprises and the amount of wealth creation in community. Economic Competition Increase and Market Efficiency Promotion The higher the number of active commercial enterprises rises, the more competition in industry and economic efficiency increases. Competition rise causes optimized use of resources as well as improvement of prices and services & products quality. Studies show that higher education upper levels have remarkable influence on a job-creating institute's performance and efficiency. Innovation Promotion and Technology Dissemination Educationally entrepreneur students who feel they can best realize fruitful and new economic opportunities (Sharifzadeh & Zamani, 2006). Technology expands and becomes applied by commercial enterprises. Small businesses development leads to further innovative use of technology as well as to greater dissemination of technology by applied course. Contribution to Export Increase States which seek export increase in their economies facilitate entrance of small businesses and entrepreneur firms into global markets by protecting them and this is generally to the benefit of the country s export.

3 Regional Development Achievement In some cases, governments take advantage of entrepreneurship development tool to achieve regional socioeconomic development goals especially in poor areas as well as to remove discrimination among society members Large Companies Monopoly Decrease and Decentralization Small firms decrease large company s monopoly, complete their services, and reduce modern economics shocks. Private Sector Economic Involvement Increase Increase in the number of small-scale and medium-sized businesses leads to increase in the number of private sector owners and public involvement in economics (Jahanian, 2010). Entrepreneurship Education Needs Assessment The first step in designing a university entrepreneurship education plan is to illustrate its perspective. This is carried out by identifying and understanding needs of students and the labor market followed by coordinating them with university needs and education. University entrepreneurship education is successful when it is purposeful & correct and we specify needs and preliminary processing requirements in advance and put them into action. These requirements, mentioned below, can be considered as the input and process of the university education system. The Need to Students with Entrepreneurial Properties (Input) Considering the effect of individual factors in entrepreneurship education, the scholars believe that entrepreneurship education is in fact a psychological or behavioral model (Hong et al., 2012). Many researchers have tried to study entrepreneurial properties and factors influencing entrepreneur s success (O Conner, 2010), (Luthje & Frank, 2002). What is remarkable as to the properties mentioned by most of the scholars is that we cannot say entrepreneurship is basically intrinsic because people can create or strengthen their properties by being in educational environments and getting aware of them. Among properties in direct relation with entrepreneurship are risk power, creativity, individual achievements, innovation, and responsibility to make new ideas (Yildirim& Askon, 2011,).Of major psychological properties influencing people's entrepreneurship, we can point to having internal locus of control, seeking success, risk ability, seeking independence, creativity & innovation, ambiguity tolerance, etc (Ahmadi et al.,2009). Required Education Type (Process) Educational methods and techniques based on students' entrepreneurial education needs, existence of a proper scientific approach to entrepreneurship promotion, accepting the education by students, etc. are factors influencing entrepreneurship courses. Paying attention to and applying new education methods as well as applying communication and information technology are important aspects of the education procedure. Experienced Instructors (Input) An instructor plays substantial and key role in entrepreneurship education. Researchers believe that most university instructors should have entrepreneurial spirits and merits because they are working in a highly organized system and they should be able to transfer the said properties to students. Also, an instructor should be quite flexible with regard to teaching methods (Jahanian.2010). Required Educational Content What has to be taught? To answer this question the real environment in which entrepreneurship is supposed to happen should be studied because it is entirely dependent on environment (Wortman, 1999). One of the most perfect educational contents for university entrepreneurship education was introduced by Gibb. From his point of view, considering that entrepreneurship education is a new approach in university education system a comprehensive entrepreneurship education program should cover all educational needs (Magnos, 2003). In general, entrepreneurship education and the required content necessitate a holistic view which combines the entrepreneurship process with the real business environment and simulates it in the best way. Education Entrepreneurship education and involvement in the education process are the most important parts of university entrepreneurship education. At this stage, what has been illustrated and defined as an idea or favorable situation as per the "needs assessment" has to be put into action; this requires involvement of several factors including the framework or main components of the education program. Entrepreneurship Education Objectives In higher education, behavior and entrepreneurial properties development has been mentioned as general objectives of entrepreneurship education; behaviors may be addressed within graduates' knowledge, ability, and attitude, i.e. if graduates obtain favorable and positive view toward entrepreneurship so that they can involve in risk ability, seeking opportunities, and innovation

4 (attitude), gain a broad knowledge and understanding of entrepreneurship (knowledge), and apply this knowledge dexterously and skillfully (ability) the objectives have been met. Instructional Design At this stage, the education process has to be described clearly, duties of any individual involved in entrepreneurship education specified, and education resources & methods determined. These resources include material, financial, and human ones. Faculty members as the most important human resource involved in education should enjoy required motivation, expertise, and entrepreneurial properties. Information and communication technology experts and elite administrative specialists are other important human resources. Material resources denote proper physical environment, required and sufficient educational equipment, computer equipment (hardware & software), etc. Budget prediction and allocation to implement the education program is another principal requirement. Content composition and organization into lessons and course credits followed by organizing them as theoretical and practical ones are other tasks of instructional design requiring special attention and expertise. Management and Support Management and supporting services are important components of the entrepreneurship education process. Management includes a committed and specialized management and planning system inside universities to direct and adjust tasks. Support means network and research backing. Entrepreneurial researches support by proper supporting policies prediction as well as by research results publication to share the experiences with others is an important component. Also, communicative networks creation and development is an influencing requirement which provides for theory-practice relation, being shared with information and activities resources, taking people's involvement, scientific communities contact facilitation, and effective use of university labs and research centers (Imani, 2009). Entrepreneurship Programs Revision and Assessment Successful implementation of entrepreneurship education program requires a continuous revision and assessment procedure to assess the programs by precise and proper criteria followed by revising, modifying, and adjusting measures based on results of such assessment. The assessment covers faculty members' properties and merits, entrepreneurship programs depth and diversity, students' scientific points and standards, and resources depth and quality. Entrepreneurship Education Programs Efficiency Assessment As described, entrepreneurship education programs development besides increase of resources allocated to such programs have brought about a growing tendency both from capital providers and educational centers & related government organizations toward efficiency and capability of these programs along with recognition and promotion of the best measures. Regarding the direct (new business and job creation) or indirect (growing entrepreneurial spirits) effects on economic development, several researchers have discovered ways to assess entrepreneurship program and indicated the complicacy of this matter. Many researchers like Curran, Stan Worth, Cox, Young, and Storey have pointed out the necessity of entrepreneurship education programs assessment mentioning it an undeniable necessity (Henry et al., 2006). In order for university entrepreneurship programs to be effective, we have to see if an answer to the question "the effect of education" has been provided or not. The best assessment tools of entrepreneurship education programs should primarily be economic and capable of properly measuring components like commenced or prohibited jobs, income creation and increase, and job & profit creation and sustainment. Many assessment programs have measured variables such as instructor's knowledge, implementation method, and contents difficulty level (Saeidi Mehrabad & Mohtadi, 2008). Also, entrepreneurship programs effectiveness can highlight the relation between students' entrepreneurship motivation, management courses passed, and costs spent for them. Furthermore, by these programs we can study the effect of entrepreneurship education on students' current behavior and their future motives (Henry et al.,2005). In general, to assess the influence of university entrepreneurship education on students and graduates employment, initially we have to make such courses effectiveness. Effectiveness assessment would be successful when precise and scientific criteria have been defined firstly and then the assessment & examination process is continuously performed. Maybe the best effectiveness assessment criteria are resources and factors involved in the entrepreneurship education process including students acquired abilities, finances spent on this education, amount of using communication and information technology, number of studies conducted in this regard, and above all, university entrepreneurship education being in coordination and conformity with the labor market requirements. The Role of Entrepreneurship Education in Students Employment; Presenting a Proper Model As mentioned previously, entrepreneurship education is carried out with specific goals and results such as modifying people s knowledge and attitude, strengthening entrepreneurial behaviors, and finally students employment; the latter receives special important under special conditions due to some political and sociocultural considerations. University entrepreneurship education would be effective on graduates employment when there are major differences between student who have passed the courses and those who have not and started a business or been employed only by experience. Now,

5 to better describe the role of university entrepreneurship education in student s employment a general optimized model is firstly presented to specify and clarify components involved in the education. As you see, university entrepreneurship education requires some arrangements and consideration of many components in the education process; in order to implement it correctly and principally, material, financial, and especially human constituents & resources should be used in an optimized way and any individual fulfill his/her duties responsibly and expertly appropriate to their specialty. The model expresses that when we specify the necessity and importance of entrepreneurship education, we could then perform needs assessment and consequently appropriate & optimized education and assessments could be carried out based on logical and rational criteria. Now by getting help from this model, a model of university entrepreneurship education could be presented. Based on the above figure, we can say if students input behavior, i.e. their knowledge, abilities, and attitude after completion of their studies allow them to create a business, present more quality & cost-effective products/services, and above all, have higher risk ability than when they were not given university education, within a shorter period, we may then say entrepreneurship education has been effective. To explicate, if we consider business creation an index, the following model helps us to find out whether university education has led to the growth of students' abilities or not. As you see, if a student gets Situation 5 and passes the related cycle within a shorter, more regular and continuous period, we could claim that university education has brought about required capacity and capability in students and it should be assessed positively. Discussion and Conclusion The present research indicated that in today's developing and knowledge-based world a successful state taking steps in the course of sustainable development is one which enjoys high power and efficiency with regard to economics and labor market. Also, it is shown by experience that this efficiency is the result of an efficient higher education system as to the business market. If university entrepreneurship education is implemented principally obeying the general education model mentioned herein, it can generate required capacity and capability in students to create appropriate business and employment. The said model denoted that university entrepreneurship education requires broad and diverse resources as well as high manpower involvement to gain success and meet the goals. According to the results, if entrepreneurship education can convert students' input behaviors to desired output behaviors by a quality and updated teaching course or in other words, if their output behaviors at three levels of knowledge, ability, and attitude is at an extent enabling them to get desired employment in the labor market and the education is appropriate to requirements of the labor market, we could be hopeful of an efficient entrepreneurial system establishment. To assess the efficiency of university entrepreneurship education, we can evaluate graduates' behaviors at the local community. If students can, after graduation, create a business and present goods/services of their own specialty in a short time with lower prices and higher quality than their non-educated competitors, we may claim that the entrepreneurship education system has had both efficiency and effectiveness and needs of the labor market and students have been met. Proper and desired entrepreneurship education depends on different social, cultural, political, and economic factors as well as on making optimized infrastructures; it is influenced by how much a state's authorities pay attention to them. The effectiveness of any of these factors requires study and this can make grounds for future researches. References Ahmadi H, Hoseini S J & Omidi Najafabadi M, Detection of some Factors Associated with Entrepreneurship Promotion among MSc Students of the Agriculture Faculty of IAU Science & Research Branch,Journal of Educational Management & Leadership, 3: Ahmadpourdariani M, Entrepreneurship; Definition; Theories & Models. Tehran: Pardis Co. Pub. Askon B & Yildirim N, Insights on Entrepreneurship Education in Public Universities in Turkey: Creating Entrepreneurship or not? International Strategic Management Conference, pp: Block Z & Stump S A, Entrepreneurship Education Research Experience and Challenge, In D L Sexton & J D Kasarda (Eds), The State of the Art of Entrepreneurship,Boston: PWS-Kent Publishing, pp: Clark Burton R, Creating Entrepreneurial Universities Organizational Pathways of Transformation, New York: IAU Press. Matlay H,2008. (2008), The Impact of Entrepreneurship Education on Entrepreneurial Outcomes, Journal of Small Business and Enterprise Development,UCE Birmingham, Birmingham, UK, 15(2). Hasanmoradi N, Entrepreneur University Modeling Project. Tehran IAU. Hegarty C & Jones C, 2008.Graduate Entrepreneurship: more than Childs Play, Education and Trainning, 7: Henry C, Frances H & Claire L, Etrepreneurship Education and Training: Can Entrepreneuship be Taught?, Part I, journal of Education+Training, 47( 2). Henry C, Frances H & Claire L, 2006.Entrepreneurshipeducation and Training: Can Tntrepreneurship be Taught? 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6 Imani M T, Entrepreneurship Education in Universities; A Framework to Plan, Implement, and Assess Entrepreneurship Programs, Journal of Educational Management Researches, 1: Izadi Yazdanabadi A & Fadaeishahab M, Necessity of Entrepreneurship Education Assessment and Scientific Development for MSc Students of Educational Management Field of Study and Presenting a Proper Model, Journal of Pedagogical Sciences of Shahid Chamran, University of Ahvaz, 1 : Jahanian R, Study of Entrepreneurship Development Guidelines in IAU Technical & Vocational Schools, Journal of Educational Management Researches, 2 : Luthje C & Frank N, Fostring Entrepreneurship through University Education and Training: Lesson from Masachusets Institute of Technology, European academy of management, 2nd annual conference on: innovative Research in management. Magnos K, Training Entrepreneurship at universities: a Swedis Case. International Entrepreneurship Conference Proceeding. Mars M M & Ginter M B, Academic Innovation and Autonomy: An Exploration of Entrepreneurship Education within American Community Colleges and the Academic Capitalist Context, Community College Review, 1: Martin B C, McNally J J & Kay M J, Examining the Formation of Human Capital in Entrepreneurship: A Meta-analysis of Entrepreneurship Education Outcomes, Journal of Business venturing, 14: Martinez A & Aldrich H E, Called, but Reward Chosen: an are May, Perspetive for the Study of Entrepreneurship,Theory and Practice Evalutionary, 4(25): Moghimi F, Entrepreneurship; Assessment & Research, Journal of Iranian Education Assessment Organization, No.3. O Conner A, A Conceptual Framework for Entrepreneurship Education Policy: Meeting Government and Economic Purposes, Journal of Business Venturing, 18: Saeidi M, Mohamad and Mohtadi M, Effect of Entrepreneurship on Entrepreneurial Behaviors (Case study: Entrepreneurship Education of Ministry of Cooperatives, Labor, and Welfare), Journal of Entrepreneurship Development, 2: Sharifzadeh Fatah, Razavi S M, Zahedi Sh and Najari R, Design and Description of Model of Factors Affecting University Entrepreneurship (Case study: PNU), Journal of Entrepreneurship Development, 6: Sharifzadeh M & Zamani Gh, Study of Agriculture Students Educational Needs to Strengthen their Entrepreneurial Spirits. MSc Thesis, School of Agriculture, Shiraz University. UNESCO:vision and Action, Century: 21st on Higher Educatio for the World Declaration, United States Association of Small Business and Entrepreneurship AnnualMeeting. Urbano D, Marinés A & Nuria T, Doctoral Education in Entrepreneurship: An European Case Study, Journal of Small Business and Enterprise Development, 15(2). Wortman M S Jr,1999. Critical Issues in Family Business: Aninternational Perspective of Practice and Research. yers D F, Neolibral Ideology in Community College Mission Statements: A Critical Discourse Analysis, The Review of Higher Education, 28: Zabihi M R & Moghadasi A, Entrepreneurship from Theory to Practice, Mashhad: Jahan-e-Farda Pub. 232

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