INCLINATION OF ENTREPRENEURSHIP AMONG MBA WOMEN STUDENTS IN NAMAKKAL DISTRICT, TAMIL NADU

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1 INCLINATION OF ENTREPRENEURSHIP AMONG MBA WOMEN STUDENTS IN NAMAKKAL DISTRICT, TAMIL NADU ABSTRACT Dr. V. RATHIKA Assistant Professor, Dept of Management, K. S. Rangasamy College of Arts and Science, Tiruchengode E Mail: Entrepreneurship awareness is gaining importance in today s world. Women are brought into limelight as most inspirational entrepreneurs and they are stepping at par with men in the field of business. The role of college is gaining importance in creating entrepreneurial inclination among the students by creating Entrepreneurial curriculum and content and by building business incubators. In this context questionnaire was administered and circulated among women MBA students of Namakkal district to find out the influence of demographic characteristics, family background, motivating factors and perceived difficulties hinders their choice on MBA women students towards the entrepreneurial inclination. At the meantime, the role of colleges for providing entrepreneurial education to the students has been examined. Finally based on the findings the implications of the study have been forwarded. Key Words: Entrpreneurship, Business Incubators, Entrepreneurial Education, Demographic Characteristics, Motivating, Perceived Difficulty.

2 Introduction In this dynamic world, women entrepreneurs are an important part of the global quest for sustained economic development and social progress. In India, though women have played a key role in the society, their entrepreneurial ability has not been properly tapped due to the lower status of women in the society. In the words of president APJ Abdul Kalam "empowering women is a prerequisite for creating a good nation, when women are empowered, society with stability is assured. Empowerment of women is essential as their thoughts and their value systems leading to the development of a good family, good society and ultimately a good nation." When a woman is empowered it does not mean that another individual becomes powerless or is having less power. On the contrary, if a woman is empowered her competencies towards decision- making will surely influence her family's behavior. In advanced countries, there is a phenomenon of increase in the number of self- employed women after the World War II. In USA, women own 25% of all business, even though their sales on an average are less than twofifths of those of other small business. In Canada, women own one-third of small business and in France it is onefifth. The Role of The College s In Promoting Entrepreneurship. To promote Entrepreneurship by the colleges is felt as the need of the hour. There is greater scope for first generation Entrepreneurs as college started nurture Entrepreneurship among their students. Colleges had also started building business incubators to support the start-up firms. A business incubator facilitates businesses, provides resources to establish them, and sustains them during their start-up phase. They provide assistance in the form of infrastructure, business advice and services, access to investors and markets, mentoring, and an active management team. The incubation period for a particular business is generally two to three years. Earlier, business incubator programs emphasized on the technology companies, while recently new incubators are increasingly concentrating on industries such as, food processing, software development, etc. In India there are many universities from which a number of graduates pass out every year in all streams of education. All students perusing their education hope to get a good job in the flourishing economy. Most of the students may be getting jobs of their choice and the rest of the students then think of other activities of earning money. The other activities could be various kinds of business activities. The percentage of these people are again very less compared to those who give preference to paid/salaried job. The basic reason behind this is our education system which does not concentrate on the development of entrepreneurship. At present Indian economy is growing at an average nine to ten percent every year which creating ample scope for all kinds of business activities. National Entrepreneurship Network (NEN ) Today, NEN is India s leader in entrepreneurship education. NEN works with over 425 top tier academic institute members; has developed a Namex International Journal of Management Research 112 Vol. 2, Issue No. 1, Jan-June2 012

3 pool of more than 950 entrepreneurship faculty members, growing the number from an initial group of about 50 across the country; has launched more than 350 student e- cells; and reaches over 400,000 young people across 30 cities in India. NEN member graduates are going on to start companies, join existing startups, and launch entrepreneurial careers. In addition, NEN provides critical support and community to India s growing pool of young and future entrepreneurs. NEN has more than 65,000 individual members, representing the largest group of new and future entrepreneurs in India. National Science and Technology Entrepreneurship Development Board (NSTED), aims to convert "jobseekers" into "job-generators" through Science & Technology (S&T) interventions. They act as network agencies of the support system, academic institutions and Research & Development (R&D) organizations to foster entrepreneurship and selfemploying using Science & Technology S&T with special focus on backward areas as well. The Entrepreneurial Curriculum and Content Entrepreneurship education should focus on developing students knowledge, skills, and ideas on the management of emerging and growing enterprises. The curriculum should consist of modules to apply students knowledge to real-world scenarios and to realize expansive contacts between students and entrepreneurs so that the former can acquire the necessary skills, knowledge, and ideas related to entrepreneurship. Besides providing classroom learning, the colleges should invite entrepreneurs to teach college students real-world entrepreneurship face-to-face. Research Methodology To examine the hypotheses, data were gathered from a self-administered questionnaire conducted in selffinancing colleges among the MBA women students in Namakkal district, Tami Nadu. Primary data were collected using a questionnaire. A questionnaire was divided into four parts: Demographic details, family background, Future career planning, Motivational factors for selection of entrepreneurship, Obstacles perceived to choose entrepreneurship, Role models, College role in promoting entrepreneurship. The scales used in the questionnaire were based on a 5- point Likert scale (with 1= strongly disagree, 2= disagree, 3= no opinion, 4= agree, 5= strongly agree) for each closed ended question. 110 women MBA students were chosen randomly from self-financing Arts & Science and Engineering colleges located in Namakkal District of and informations were collected with the help of the concerned department faculties. Hypothesis 1. H 0 : The relationship between the entrepreneurial inclinations is stronger for, Family status Income of the parents Education qualification of their parents Occupation of their parents Area of the dwelling of the women students Namex International Journal of Management Research 113 Vol. 2, Issue No. 1, Jan-June2 012

4 2. H 0 : The motivational factors increase the entrepreneurial inclination among the women students 3. H 0 : The perceived barriers do not affect the entrepreneurial inclination among the women students 4. H 0 : The availability of role models (Motivators, Educators, Guest lecturers) increases the entrepreneurial inclination among women students. 5. H 0 : Internship programme/ Inplant training programme undergone by the MBA students increases the entrepreneurial inclination among the women students. Data Analysis and Interpretation Table No. 1 - Reasons for Choosing Management Course Reasons for choosing Management course Percentage To Get A Good Job 74.6 To Do Own Business 31.8 To Support Family Business 10.9 To Gain Knowledge 58.2 For Prestige Issue % women students have chosen management course to get good jobs, whereas 31.8% of students have chosen MBA to make own business and 10.9% to support the family business. Another 41.8% of students choose a management course for prestige issue and to sell themselves in the marriage market. A good number of students (58.2%) have chosen management course to gain knowledge. Table No. 2 - Motivational Factors Towards Selection of Entrepreneurship Motivating factors Percentage To Be Own Boss 32.7 To Get Respect In Society 52.7 To Prove Yourself 25.5 To Make More Money 62.9 To Fulfill Parents Wish 26.4 Obviously, 62.9% of students have the inclination to become entrepreneur to make more money. For this group, it is clear that starting own business is the best choice to make more money. The next highest percentage of 52.7% feels that by starting their own business, one can get respect from the society. Only 25.5% opined that they can prove themselves by starting their own business. Table No. 3 - Obstacles Perceived Towards The Selection of Entrepreneurship Perceived obstacle Percentage High Risk 57.3 No Knowledge About Business 67.3 Lack of Funds 75.5 Namex International Journal of Management Research 114 Vol. 2, Issue No. 1, Jan-June2 012

5 Parents Against It 37.3 Unhealthy Competition 47.3 Male Domination % of women students were heavily in favour of lack of funds available for starting their own business, followed by no adequate knowledge about starting their own business, 67.3%. Male domination is also an important factor considered by the female students as the response is 64.5%. The results show that parents are not treated barrier towards the selection of entrepreneurship, since the percentage is just 37.3 when compared to other factors. Table No. 4 - Relationship Between Family Status And The Students Choice of Entrepreneurship Family Status Entrepreneur Non-Entrepreneur Total Joint Nuclear The chi-square result shows that the p value (0.617) is more than 0.05, H 0 is accepted at the 5% level of significance. Hence we conclude that there is no significant relationship between family status and entrepreneurial inclination. Table No. 5 - Relationship Between Income of The Family and The Students' Choice of Entrepreneurship Income of the Parents Entrepreneur Non-Entrepreneur Total Less than Rs Rs Above Rs The chi-square result shows that the p value (0.000) is less than 0.05, H 0 is rejected at the 5% level of significance. Hence we conclude that there is a significant relationship between income of the parents and entrepreneurial inclination. Table No. 6 - Relationship Between Educational Qualification of The Parents and The Students Choice of Entrepreneurship Parents Educational Qualification Entrepreneur Non-Entrepreneur Total UG PG Others Namex International Journal of Management Research 115 Vol. 2, Issue No. 1, Jan-June2 012

6 The chi-square results shows that the p value (0.082) is more than 0.05, H 0 is accepted at the 5% level of significance. Hence we conclude that there is no significant relationship between educational qualification of parents and entrepreneurial inclination. Table No. 7 - Relationship Between Occupation of The Parents and The Students Choice of Entrepreneurship Occupation of the Non- Entrepreneur Parents Entrepreneur Total Government Employee Private Employee Business The chi-square results shows that the p value (0.020) is less than 0.05, H 0 is rejected at the 5% level of significance. Hence we conclude that there is a significant relationship between occupation of the parents and entrepreneurial inclination. Table No. 8 - Relationship Between Areas of The Dwelling and The Choice of Entrepreneurship Area of the dwelling Entrepreneur Non-Entrepreneur Total Urban Rural The chi-square result shows that the p value (0.089) is more than 0.05, H 0 is accepted at the 5% level of significance. Hence we conclude that there is no significant relationship between nativity of the respondent and entrepreneurial inclination. Table No. 9 - Relationship Between Availability of Role Models and The Inclination of Entrepreneurship Availability of role models Percentage Seminars & guest lecturers 55.5 Entrepreneurial talk series 65.5 Friends are in the business 51.8 Instructor stimulates the interest 67.3 The results show that Instructor encourages and cultivate students towards inclination of entrepreneurship. They are given the responsibility to mould the personality and characters of students, apart from imparting knowledge in the class. Apart from these students are influenced by non parental factors such as entrepreneurial talk series. Namex International Journal of Management Research 116 Vol. 2, Issue No. 1, Jan-June2 012

7 Some felt that their peers have the impact of the individual s decisions to consider entrepreneurship as their career. Table No Relationship Between Internship Programme/In-Plant Training Programme and The Choice of Entrepreneurship Internship programme/ In- plant training programme Percentage Provides A Lot Of Business Ideas 44.5 Provide Real Business Experiences That Are Not Found In The 67.3 Classroom Feel Confident About Unfamiliar Work Based Problems 41.8 Helps To Develop My Communication Skills 29.1 Was Used As Cheap Labour 39.1 The objective of the internship programme is to expose students to the perspectives of industry practices and its nature of work practices.. The results exhibits that the training programme transforms theoretical knowledge to application as well as developing individuals working skills and communication skills. There is an interesting fact that some students felt they are treated as cheap labours. Conclusions and Recommendations for Further Development The purpose of the study was to investigate the entrepreneurial inclination among MBA women students in a rural area like Namakkal district. The present study reveals some interesting facts which is not common to the prevailing climate of women entrepreneurship. The finding are: 74.6% women students have chosen management course to get good jobs after completion of the course. The entrepreneurial awareness programme should be conducted more among women students. 52.7% feel that by starting their own business, women students can get respect from the society. Only 25.5% opined that they can prove themselves by starting their own business. Male domination still have the impact on the entrepreneurial inclination among women students. One remarkable fact is parents are not treated barrier towards the selection of entrepreneurship, since the percentage is just 37.3 when compared to other factors. There is no significant relationship between family status and entrepreneurial inclination among MBA women students. There is a significant relationship between income of the parents and entrepreneurial inclination There is no significant relationship between educational qualification of parents and entrepreneurial inclination. There is a significant relationship between occupation of the parents and entrepreneurial inclination. There is no significant relationship between nativity of the respondent and entrepreneurial inclination. Namex International Journal of Management Research 117 Vol. 2, Issue No. 1, Jan-June2 012

8 The results show that role of instructor is indispensable as they encourage and cultivate student's inclination towards entrepreneurship. The results exhibits that the training programme transforms theoretical knowledge to application as well as developing individuals working skills and communication skills. Suggestions: Develop strong partnerships among higher education institutions, businesses, and other Community organizations so that business leaders can serve as adjunct professors, mentor, coaches, and speakers, and involve students directly in enterprise projects. Provide intensive training to teachers in entrepreneurship programs, and increase funding to support teacher training, curriculum development, and professional development. Provide incentives for faculty members to conduct research in entrepreneurship education. Encourage students, graduates and researchers with commercially viable business ideas to develop them into enterprises, and provide an effective support infrastructure within the institution such as incubators, financing, mentorship, etc. Evaluate the effects of entrepreneurship education and prove its legitimacy on campus their financial needs. Journal of Small Business Management, 40 (3), Lee, S. M., D. Chang, et al. (2005). "Impact of entrepreneurship education: A comparative study of the U.S. and Korea." International Entrepreneurship and Management Journal, 1: Koh, H. C. (1996). "Testing hypotheses of entrepreneurial characteristics: A study of Hong Kong MBA students. Journal of Managerial Psychology 11 (3): Kourilsky, M. L. and W. B. Walstad (1998). "Entrepreneurship and female youth: Knowledge, attitudes, gender differences and educational practices." Journal of Business Venturing 13: Franke, N. and C. Luthje. (2004). "Entrepreneurship intentions of business students: A benchmarking study." Retrieved October 23, 2003, from www2.wuwien. ac.at/entrep/modules/updownload/ store_folder/publikationen/nikolau s_franke/entrepreneurialspirit.pdf. 6. Higher Education in the Twenty- First Century Vision and Action; UNESCO: Paris, France, 1998.Available online: 011/001166/116618m.pdf (accessed on 20 July 2011). 7. Awogbenle, A.C. & Iwuamadi, K.C. (2010), Youth unemployment: Entrepreneurship development programme as an intervention mechanism. African Journal of Business Management, 4(6), References : 1. Jones, K. & Tullous, R. (2002). Behaviors of pre venture entrepreneurs and perceptions of Namex International Journal of Management Research 118 Vol. 2, Issue No. 1, Jan-June2 012

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