DETERMINANTS OF ENTREPRENEURSHIP INITIATIVES FROM ENTREPRENEURSHIP ECOSYSTEM PERSPECTIVES IN SELECTED CITIES OF GURAGE ZONE

Abstract

The research investigated the systemic interaction of entrepreneurial ecosystem and its role on individual entrepreneurial initiative. To come up with the result mixed research design and global entrepreneurship index calculation method was used. A total of 392 respondents were drawn from the adult group of the study area population. The questionnaires were adopted from internationally standardized sources. Correlation and binary logistic analysis were utilized. Besides the GEI method was used to calculate the entrepreneurial ecosystem of the study area. The result showed that individual as well as environmental factors play significant role in shaping entrepreneurial initiatives of individuals. Individual variables including opportunity perception, knowing entrepreneurs, career choice, attaching high status, opportunity motivation and job created and job expected and institutional variables like property right, education right, infrastructure, corruption, good governance, staff training, regulation and availability of venture capital variables of entrepreneurship ecosystem are significantly associated with entrepreneurship initiatives. Furthermore, the interplay among different individual factors and between the environmental factors influences the performance of the whole system and individual entrepreneurial initiatives. Finally, it is important to investigate the topic at hand in expert team based approach and develop national level entrepreneurial ecosystem assessment framework.