A Conceptual Model For Depicting The Relationship Between Entrepreneurship And The Environmental Factors In Singapore

The degree to which environmental factors foster/hinder entrepreneurship is unique to each individual entrepreneur. It is hence not possible to describe the “average” entrepeneur and the “typical” process of venture creation and management.As such, in this paper, a new model conceptualising the relationship between entrepreneurship and environmental factors is proposed. In this model, entrepreneurship (E) is conceptualised as being a function of the environmental factors(Ef)and personal attributes of the entrepreneur(Pa). Hence,E=f(Ef, Pa). The environmental factors affecting E are further categorised into a set of internal factors(Fin)and a set of external factors(Fex).Several studies have already been undertaken to examine the personal attributes of entrepreneurs in Singapore which explains for their success/failure. This study focuses onEfin Singapore to assess the favorability of Singapore’s environment in promoting entrepreneurship and entrepreneurship development. A set of questionnaire designed for this purpose was sent to over 100 entrepreneurs, from which we received 44 usable responses. Environmental factors surveyed include financing, government assistance schemes, availability of labour, opportunity cost, competition by multi-national and government-related companies, the education system, social and cultural factors, technological advances and market opportunities. A detailed case study was also conducted with a successful local entrepreneur to further refine and validate our findings.Our findings appear to indicate that in Singapore, external factors are more conducive in fostering entreneurship than the internal factors.