Academy of Entrepreneurship Journal (Print ISSN: 1087-9595; Online ISSN: 1528-2686)

Research Article: 2019 Vol: 25 Issue: 1

Contribution of Entrepreneurship Learning On Self-employment Intention Among Students: A Case Study at State Higher Education of Islamic Religion in East Java

Salim Al Idrus, Universitas Islam Negeri Maulana Malik Ibrahim

Muhammad Djakfar, Universitas Islam Negeri Maulana Malik Ibrahim

Abdussakir Abdussakir, Universitas Islam Negeri Maulana Malik Ibrahim

Abstract

The   aim   of   this   research   is   to   obtain   description   about   the   contribution   of entrepreneurship learning dimensions on entrepreneurial intention andfind out the dimension of entrepreneurship  learning  with  dominant  contribution  on  entrepreneurial  intention  among students at State Higher Education of Islamic Religion (SHEIR) in East Java. This research uses quantitative  approach  with  Multiple  Linear  Regression  analysis.  Population  of  research  is students  who  attend  lecture  on  the  subject  of  Entrepreneurship  Learning  with  sample  of  117 students   derived   from   stratified   random   sampling.   The   results   of   this   research   are entrepreneurship  learning  dimensions are  simultaneously  and  partially  having  contribution  on students’  entrepreneurial  intention. Besidesthat,  learning  organization  is  the  dimension  of entrepreneurship  learning  with  dominant  contribution  on  entrepreneurial  intention  among students at SHEIR in East Java. Therefore, those entrepreneurship learning dimensions need to be considered to increase students' entrepreneurial interest.

Keywords

Contribution, Entrepreneurship Learning, Entrepreneurial Intention.

Introduction

Learning is an activity to make learner to learn about something (Phillipson et al., 2018). One activity possibly done by teacher to develop this learning is by designing learning strategy. Every teacher must have skill in selecting appropriate learning strategy for any learning activities (Kubat, 2017). Learning concentrates on how to make learner to learn something rather than on what supposes to be learned by learner (students). Therefore, learning emphasizes on mechanisms used by teacher to attain predetermined goals (Aji & Budiyono, 2018; Degeng & Miarso, 1990).

One subject lectured at State Higher Education of Islamic Religion (SHEIR) in East Java is Entrepreneurship Learning, and this subject is provided to fulfill students’ demand for professional skills at higher education level. There is an expectation that the subject of Entrepreneurship Learning will produce entrepreneurs. In other words, this subject will equip prospective graduates with social responsibility that may help them to be innovators, or entrepreneurs who can self-employment or open employment for others, create added-values, improve efficiency and productivity, and increase national competitive advantages (Herman & Szabo, 2014; Iyigun, 2015; Xavier et al., 2012).

Learning outcome is determined by learning strategy. Three dimensions constitute learning strategy, namely: (1) learning organization, (2) learning delivery, and (3) learning management (Cavus & Sharif, 2014; Degeng, 1989). Meanwhile, learning outcome is explained by two dimensions, precisely, actual outcome and desired outcome. Talking about actual outcome, it is defined as outcome that has been achieved through the use of certain strategy on certain condition (Hartini et al., 2017). Desired outcome is the goal that wants to be attained, which the presence affects decision of learning designer in selecting appropriate learning strategy (Lotulung & Tumurang, 2018). Therefore, students who attend the lecture of entrepreneurship learning should may be affected by how learning strategy is used by teachers to develop students’ entrepreneurial intention (Muelas & Navarro, 2015; Urh & Jereb, 2014).

Problem of research is centered upon how entrepreneurship learning is supposed to be managed. In other words, the question is how to make sure that learning organization, learning delivery, and learning management have been improving (Degeng & Miarso, 1990). Research originality is represented by the fact that learning strategy used on the subject of Entrepreneurship Learning at State Higher Education of Islamic Religion (SHEIR) in East Java is perceived to be already reliable. Research is aimed to understand and describe the contribution of entrepreneurship learning dimensions (learning organization, learning delivery, and learning management), either simultaneously or partially, on students’ entrepreneurial intention, and to find out dimension with dominant contribution on self-employment intention among students at State Higher Education of Islamic Religion (SHEIR) in East Java.

Literature Review

Learning and Its Dimensions

Learning outcome can be defined as anything expected, known, understood and/or implementable by educated participants after they learn something (Murtonen et al., 2017). Learning strategy determines learning outcome, and two outcomes exist, notably, actual outcome and desired outcome. In respect to this statement, actual outcome is defined as outcome that has been achieved through the use of certain strategy on certain condition (Hartini et al., 2017), while desired outcome is outcome that wants to be achieved, and the presence affects decision of learning designer in selecting appropriate learning strategy (Lotulung & Tumurang, 2018) .

Learning dimension is classified into: (1) learning organization, (2) learning delivery, and (3) learning management (Cavus & Sharif, 2014; Degeng, 1989). Learning organization is a strategy to organize subject contents to facilitate learning (Aji, 2013). Learning materials must be delivered properly because these materials will be repeatedly used by educated participants during learning process (Lin et al., 2017). Learning delivery is an element of learning strategy (besides learning organization and learning management) to implement learning process involving an interaction between educators and educated participants (Sun & Chen, 2016). Learning management is about how to manage interaction between educators and educated participants (Pianta, 2016). Learning management can also be said as how to arrange interaction between learner and learning strategy variables (Pennings et al., 2017).

Aligning with the suggestion of Degeng (1989), the current research uses all learning dimensions explained so far (learning organization, learning delivery, and learning management) as parameters to examine Entrepreneurship Learning at State Higher Education of Islamic Religion (SHEIR) in East Java.

Entrepreneurial Intention and Its Dimensions

Entrepreneurial intention is a process to initiate the establishment of an enterprise, which is mostly designed for long-term work (Mopangga, 2014). Entrepreneurial intention is also motivation that develops attraction and willingness among individuals to do certain work without being afraid with the risk (Fitriani et al., 2012). Therefore, it can be said that entrepreneurial intention is a strong desire, attraction, and willingness to do hard work, to give maximum work to fulfill necessities without fear on the risks following after it, and to learn from failure if it should happen (Yurtkoru & Seray, 2014). Someone is said to be having entrepreneurial intention if these parameters exist, such as: (1) willing to work hard and diligently to achieve the desired progress; (2) willing to be responsible for the risks of the work; (3) willing to utilize new channels and methods; (4) willing to live in economic way; and (5) willing to learn something (Din et al., 2016; Putra, 2012; Sánchez & Sahuquillo, 2012).

Entrepreneurial as self-employment phenomenon is indicated by someone’s desire and attraction to develop start -up and to involve into entrepreneurial activity (Sasu & Sasu, 2015). Self-employment activity always involves taking risks and utilizing opportunities to create employment through innovative and creative approaches to improve outputs. Therefore, entrepreneurial intention is a process to establish work or entrepreneurial activity with innovative and creative approaches based on motivation, desire, attraction and willingness to do hard work, to give maximum work to fulfill life necessities by utilizing the existing opportunities without fear on the risks following after it, and to learn something good from failure when it happens.

Factors Determining Entrepreneurial Intention

One important condition that must be attended by someone who wants to be involved into entrepreneurial activity is entrepreneurial soul or usually called as entrepreneurship. Entrepreneurial soul is said to be manifested when someone has intention to be entrepreneur. Entrepreneurial intention is determined by three factors, namely: (1) personality, (2) self-efficacy, and (3) demography (Muhar, 2013). Personality is a set of competencies possessed by entrepreneur, such as smart action, responsibility to assignment, and risk-taking. Personality factor is closely related with entrepreneur’s demand for achievement. This demand represents desire or motivation that keeps entrepreneur in persistent struggle in dealing with challenges to achieve the goals. Self-efficacy is the effect of behavioral pattern or system built by someone on the self. Someone is said to have self-efficacy when these parameters are met: (1) loving in dealing with difficulties, (2) expecting to achieve results through self-optimum capacity, (3) having self-confidence, and (4) having strong conviction (Natiawati, 2004). Self-rigidity in dealing with difficulties is also a characteristic of self -efficacy (Muhar, 2013).

Demography as a factor comprises few items. Item with great effect on entrepreneurial intention is experience with entrepreneurship. This experience can develop early through parenting pattern, especially when the parent is entrepreneur. Business experience, technical knowledge, managerial experience, training, and parent business, are predictors to the development of entrepreneurial intention (Staniewski, 2016). Moreover, experience with entrepreneurship can facilitate the use of business knowledge, the development of self-confidence in implementing financial management, and the application of learning by doing in entrepreneurial activity (Carcamo-Solís et al., 2017).

There are few other factors determining entrepreneurial intention but its determinant power is less dominant, such as role model (Nurain, 2012) and freedom to do job (Rahardja & Mahesa, 2012), opportunity (Putra, 2012), indefinite profit or earning (Hermina, 2011) and originality and innovation (Antonio et al., 2014). Purwinarti (2006) found that what stimulates respondents to become entrepreneurs is the capability to utilize good opportunity. Originality is critical to business and it requires entrepreneur to be more creative and not easily relying on others for opinions, ideas, and capabilities (Alma, 2013). Innovation is a willingness to survive and to be more competitive in the business improvement (Bagheri, 2017) and also a willingness to conduct and apply the newly different thing (Alma, 2013).

Although the determinant factors to entrepreneurial intention are varying, the current research only examines two factors with the most dominant effect on entrepreneurial intention, that are self-efficacy and personality. Both are greatly influential to entrepreneurial intention because both are needed to exist if someone is beginning to be entrepreneur.

Figure 1: Conceptual Framework

According to this conceptual framework, three hypotheses of this research are as follow. Entrepreneurship learning will increase entrepreneurial intention (Moreira et al., 2017). Entrepreneurship learning will be more meaningful and enhanced learning entrepreneurial values’ learning (Idris et al., 2018). Entrepreneurship values such as innovation and courage to take risks will increase the interest in entrepreneurship (Suffian et al., 2018). This learning effort will be maximized if factors such as learning delivery and instructional management are also considered by educators, such as previous research studies (Aswirna, 2017; Kuttim, 2014; Ndofirepi & Rambe, 2017). Thus, learning organizations, learning delivery, and learning management can increase the entrepreneurial intention of students.

H1: Entrepreneurship Learning Dimensions, respectively, Learning Organization (X1), Learning Delivery (X2), and Learning Management (X3), are Simultaneously Having Significant Contribution on Entrepreneurial Intention.

The learning environment that supports the learning process will have a positive impact on students’ absorption of students, including entrepreneurial materials (Munawaroh, 2017). Aspects of entrepreneurial values will increase if the learning environment is conducive (Chin & Yong, 2017). Entrepreneurial culture in organizational learning with learning experiences that are more meaningful will be able to increase self-confidence, innovation, and self-ability of students to engage in entrepreneurship (Aswirna, 2017; Staniewski, 2016). As a result, students' self-efficacy and personality related to entrepreneurship will increase (Song et al., 2018). In other words, learning organizations can increase students' entrepreneurial intention.

Submission of material by educators will affect student achievement (Olayinka, 2016). Submission of learning material, including entrepreneurship, will be more meaningful if educators are able to become role models for entrepreneurial values (Diegoli et al., 2018). Entrepreneurship values will be more exemplary for students if educators’ learning delivery is good (Ndofirepi & Rambe, 2017). With a good role model, the students’ entrepreneurship ability will increase and students will be more confident in entrepreneurship (Capote & Vedua-Dinagsao, 2015; Kuttim, 2014). In the end, students' entrepreneurial intention will increase.

Educators besides serving as material deliverers also play a role as management agents of learning (Ibrahim, 2016). Material arrangement and preparation of what will be delivered, including entrepreneurial values that will be inserted into learning, will have an impact on students (Onge & Eitel, 2017). Good learning management will be able to encourage improvement in the quality of students so that their self-efficacy increases, especially students who want to become entrepreneurs (Mousavi & Abedini, 2016; Ndofirepi & Rambe, 2017). Therefore, good learning management will be able to increase the entrepreneurial intention of students.

H2: Entrepreneurship Learning Dimensions, respectively, Learning Organization (X1), Learning Delivery (X2), and Learning Management (X3), are Partially Having Significant Contribution on Entrepreneurial Intention.

H3: Learning Organization is Dimension with Dominant Contribution on Entrepreneurial Intention.

Methodology

Although quantitative approach is used, it is also possible to call this research as associative study because it attempts to understand the relationship between two or more variables. Research was conducted at several SHEIR institutions in East Java, which include: State Islamic University of Malang; State Islamic Religion Institute of Madura; State Islamic Religion Institute of Kediri; State Islamic Religion Institute of Jember; and State Islamic Religion Institute of Tulungagung. Population of research includes students who attend the lecture of Entrepreneurship Learning. Sample consists of 117 individuals derived from sampling technique of stratified random sampling. This technique sorts individuals based on strata

Research uses analysis technique of Multiple Linear Regression to ascertain if there is strong relationship between dependent and independent variables. Research instrument is subjected to both validity test and reliability test, and Cronbach Alpha is also involved. Hypothesis test takes benefit from F-test.

This research also utilizes t-test to examine whether independent variable has partial effect on dependent variable. If tcount>ttable, then H0 is rejected, and independent variable can explain dependent variable in the model. Conversely, if tcount<ttable, then H0 is accepted, and independent variable cannot explain dependent variable, or in other words, there is no effect relationship between the variables examined. Variable with the most dominant effect is recognized by comparing standardized regression coefficient (Beta) values of the variables.

Results And Discussion

Result of Hypothesis Test

Hypothesis 1 testing related to the simultaneous influence based on ANOVA table on SPSS shown in Table 1.

Table 1
ANOVAa
Model Sum of squares df Mean Square F Sig.
Regression
Residual
Total
129.974
123.274
253.248
3
113
116
43.325
1.091
39.714 0.000b

The acquired Fcount is 39.714 (Significance F=0.000). Therefore, it gives a condition that Fcount>Ftable (39.714>2.685) or Sig-F<5% (0.000<0.05). It can be said that independent variable, represented by its dimensions, such as Learning Organization, Learning Delivery, and Learning Management, are simultaneously having significant contribution on dependent variable. It supports presupposition that when the dimensions of entrepreneurship learning are improving simultaneously, all of them should have great impact on the improvement of entrepreneurial intention. Conversely, if these dimensions decline due to some reasons, it simultaneously impacts on the decrease of entrepreneurial intention. Therefore, the hypothesis stating that entrepreneurship learning dimensions are simultaneously having significant contribution on entrepreneurial intention is then proved to be true. Thereby, Hypothesis 1 is accepted.

Hypothesis 2 testing related to the partial effect based on coefficients table on SPSS shown in Table 2.

Table 2
Coefficientsa
  Model Unstandardized Coefficients Standardized Coefficients t Sig. Collinearity Statistics
B Std. Error Beta
Tolerance VIF
Constant
X1
X2
X3
11.901
0.471
0.294
0.315
0.996
0.125
0.118
0.078
0.341
0.219
0.307
11.948
3.676
2.488
4.058
0.000
0.000
0.14
0.000
0.525
0.554
0.753
1.905
1.805
1.328

Coefficient value of the contribution of Learning Organization (X1) on Entrepreneurial Intention (Y) is 0.341 with p-value of 0.000. By reasoning that p-value is<0.05, it signifies that Learning Organization (X1) has significant contribution on Entrepreneurial Intention (Y). The coefficient has positive sign that indicates the presence of unidirectional contribution. The higher the value of Learning Organization (X1), the higher the value of Entrepreneurial Intention (Y). Likewise, the lower the value of Learning Organization (X1), the lower the value of Entrepreneurial Intention (Y).

The contribution of Learning Delivery (X2) on Entrepreneurial Intention (Y) has coefficient value of 0.219 with p-value of 0.014. Once again, p-value is<0.05, which signifies that Learning Delivery (X2) has significant contribution on Entrepreneurial Intention (Y). Coefficient has positive sign, which confirms the presence of unidirectional contribution. The higher the value of Learning Delivery (X2), the higher its contribution on Entrepreneurial Intention (Y). Also in the same way, the lower the value of Learning Delivery (X2), the lower the value of Entrepreneurial Intention (Y).

The contribution of Learning Delivery (X2) on Entrepreneurial Intention (Y) has coefficient value of 0.219 with p-value of 0.014. Once again, p-value is<0.05, which signifies that Learning Delivery (X2) has significant contribution on Entrepreneurial Intention (Y). Coefficient has positive sign, which confirms the presence of unidirectional contribution. The higher the value of Learning Delivery (X2), the higher its contribution on Entrepreneurial Intention (Y). Also in the same way, the lower the value of Learning Delivery (X2), the lower the value of Entrepreneurial Intention (Y).

The determination of which one of entrepreneurship learning dimensions with dominant contribution on entrepreneurial intention is involving the assistance of standardized regression coefficient (or beta). The highest value indicates the most dominant dimension. Pursuant to the result of multiple linear regression, Learning Organization (X1) is the dimension of entrepreneurship learning with dominant contribution on entrepreneurial intention because it has the biggest beta coefficient, precisely 0.341.

Discussion

Learning Organization (X1) contributes to Entrepreneurial Intention (Y). High level of Learning Organization impacts on high level of Entrepreneurial Intention. The effect level on entrepreneurial intention is considered as high in pursuance of scores obtained for self-efficacy and personality. This result is supported by previous study (Aswirna, 2017) that discovered positive effect of entrepreneurship learning materials on the improvement of entrepreneurial intention among the students. Changing graduates’ mindset toward entrepreneurship is the activity that must be taken by higher education institutions. Furthermore, Yaqub (2015) found that there is positive effect of entrepreneurship learning on students’ entrepreneurial intention. It is also said that entrepreneurship learning is always an important element that guides the development of entrepreneurship attitude and entrepreneurial intention.

Learning Delivery (X2) contributes to Entrepreneurial Intention (Y). High level of Learning Delivery impacts on high level of Entrepreneurial Intention, and this relationship is supported by scores derived for self-efficacy and personality. This result is consistent with one previous study, which found that participation into entrepreneurship education has positive impact on entrepreneurial intention (Kuttim, 2014). Another study by Afolabi (2017) suggested that entrepreneurship education should be introduced into education system to provide skills, competencies, and understandings that the graduates need, and also to prepare the graduates to be more self-reliant, which may affect on national development. One success key to entrepreneurship culture in Nigeria is that the actualization of education and training on entrepreneurship is determined by stakeholders, government, educators and educated participants. Entrepreneurship education affects students’ career path. Still in the same study, Afolabi (2017), it was said that entrepreneurship education can increase students’ entrepreneurial intention.

Current research has found that Learning Management (X3) has contribution on Entrepreneurial Intention (Y). High level of Learning Management impacts on high level of Entrepreneurial Intention (Y), and this situation is reflected by scores of self-efficacy and personality. This finding is consistent with previous study by Ndofirepi & Rambe (2017), which declared that entrepreneurship education efficacy has created entrepreneurial intention assumption when external effect on entrepreneurship education is allowed. Students with good entrepreneurship efficacy tends to have entrepreneurial intention (Ndofirepi & Rambe, 2017). Other study by Masese (2014) has showed that students who receive entrepreneurship education are more stimulated to establish startups, and thus, this stimulation has good impact on entrepreneurship of the graduates. Therefore, entrepreneurship education plays determinant role in developing students’ behavior toward entrepreneurial career.

Indeed, entrepreneurship learning has positive effect on the improvement of entrepreneurial intention (Bae et al., 2014; Moreira et al., 2017). Positive perception on business viability can be enforced through entrepreneurship learning (Bae et al., 2014). Entrepreneurship learning motivates students to develop entrepreneurial intention, and also encourages them to be creative and self -reliant in doing business (Moreira et al., 2017). If students have high level of entrepreneurial intention, they should be energetic in applying entrepreneurship values.

Conclusion And Recommendation

Taking into account both results and discussion, few conclusions are made: 1) Entrepreneurship Learning dimensions, which include Learning Organization, Learning Delivery, and Learning Management, are simultaneously having contribution on Entrepreneurial Intention of the students; 2) Entrepreneurship Learning dimensions are partially having contribution on students’ Entrepreneurial Intention; and 3) Learning Organization is the dimension of Entrepreneurship Learning with dominant contribution on Entrepreneurial Intention among students at State Higher Education of Islamic Religion (SHEIR) in East Java.

Giving regard to the conclusion, some proposed recommendations are: (1) State Higher Education of Islamic Religion (SHEIR) in East Java should look for other learning strategies as alternatives to those used in current research, which then can be trialed and applied to develop entrepreneurship learning and (2) Entrepreneurship learning at East Java SHEIRs is generally aimed to fulfill students’ demand for professional skills at higher education level, and therefore, this subject must involve practical approach resembling to the real world. To optimize the achievement of this goal, East Java SHEIRs should optimize their resident lecturers in order to foster entrepreneurship learning subject, especially those with economic background. Guest lecturers, or freelancers, are not recommended to foster this subject.

Limitation

This study does not see how the learning orientation took place at SHEIR. The source of student input as a population is ignored, because SHEIR input comes vary from graduates of Islamic boarding schools and from general education or another high school.

Contribution Into Theory And Practice

This research prove that entrepreneurship learning dimensions such learning organization, learning delivery, and learning management are having contribution on students’ entrepreneurial intention. In other words, those entrepreneurship learning dimensions need to be considered in order to increase students' entrepreneurial interest. Moreover, learning organization is the dimension of entrepreneurship learning with dominant contribution on entrepreneurial intention among students. Therefore, efforts to increase entrepreneurial intention need to be accompanied by increasing the quality of organizational learning.

Future Research

The findings such as aspects that can increase entrepreneurship intention imply a message of the urgency of entrepreneurial intention in each college. Higher education institutions need to provide both infrastructure and facilities for incubators of entrepreneurial interest as a catalyst in increasing entrepreneurial intention, in addition to networking efforts with universities and industry and the business world. Therefore, further research needs to pay attention to this as one of the research focuses.

References