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Financial Knowledge Matters Entrepreneurial Decisions: A Survey in the COVID-19 Pandemic

Author

Listed:
  • Quoc N. Tran

    (University of Management and Technology)

  • Trang M. T. Phung

    (Hoa Sen University)

  • Nhut H. Nguyen

    (Auckland University of Technology)

  • Tho H. Nguyen

    (University of Economics)

Abstract

Knowledge, general and specific, plays a role in entrepreneurship. Little is known about the role of general knowledge in entrepreneurial intentions. This study fills the gap by proposing financial knowledge as general knowledge and entrepreneurial education as specific knowledge, and investigates their effects on entrepreneurial intentions and the three motivational factors including attitudes, subjective norm, and perceived behavioral control. Using survey data of 480 undergraduates and the structural equation modeling approach, we find a significant impact of financial knowledge on entrepreneurial intentions and all three motivational factors. Entrepreneurial education does not have a significant direct impact but has an indirect effect on entrepreneurial intentions through attitude and perceived behavioral control. These results are important to educators and policymakers to design appropriate policies to improve financial knowledge due to its significant role in entrepreneurial decisions.

Suggested Citation

  • Quoc N. Tran & Trang M. T. Phung & Nhut H. Nguyen & Tho H. Nguyen, 2024. "Financial Knowledge Matters Entrepreneurial Decisions: A Survey in the COVID-19 Pandemic," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(1), pages 2274-2297, March.
    • Handle: RePEc:spr:jknowl:v:15:y:2024:i:1:d:10.1007_s13132-023-01137-8
    DOI: 10.1007/s13132-023-01137-8
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    More about this item

    Keywords

    Financial knowledge; Entrepreneurship; Theory of planned behavior; Vietnam;
    All these keywords.

    JEL classification:

    • G53 - Financial Economics - - Household Finance - - - Financial Literacy
    • D14 - Microeconomics - - Household Behavior - - - Household Saving; Personal Finance
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making

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