Financial self-efficacy of entrepreneurs and performance

Veselinovič, Draško (author), Auer Antončič, Jasna (author), Antončič, Boštjan (author), Grbec, Dalma Lorena (author)

In most developing countries, small and medium-sized enterprises (SMEs) are an essential segment of the economic composition and crucial players for fostering innovation, growth and prosperity. Despite wide agreement among researchers in entrepreneurship and SME management that entrepreneurial and general self-efficacy can positively impact business formation and growth, one aspect of entrepreneurial self-efficacy, i.e., financial self-efficacy, has not been linked to SME performance in terms of SME profitability and growth, or satisfaction of the entrepreneur with their company. This study fills this research gap by uncovering new knowledge about the relationship between the financial self-efficacy of the entrepreneur and elements of SME performance. Data were collected through a structured questionnaire in one European country. Hypotheses were conceptually developed and checked using regression analysis. The results of this research reveal new knowledge about the relationship between financial self-efficacy and performance. The entrepreneur's financial self-efficacy can matter for the profitability of SMEs, as well as for the growth and satisfaction of micro-SMEs and certain differently defined groups of entrepreneurs or companies.

• Language: English
• Keywords: entrepreneurship, SMEs, company performance, financing, business efficiency, financial self-efficacy, entrepreneur, SME Performance, growth, profitability, satisfaction
• Work type: Article
• Typology: 1.01 - Original Scientific Article
• Organization: EF - School of Economics and Business
• Publication status: Published
• Publication version: Author Accepted Manuscript
• Year: 2022
• Number of pages: 19 str.
• Numbering: Vol. 27, iss. 1
• PID: 20.500.12556/RUL-136460
• UDC: 658
• ISSN on article: 1084-9467
• DOI: 10.1142/S1084946722500029
• COBISS.SI-ID: 104426755
• Publication date in RUL: 05.05.2022

Record is a part of a journal

• Title: Journal of developmental entrepreneurship
• Shortened title: J. dev. entrep.
• Publisher: World Scientific
• ISSN: 1084-9467
• COBISS.SI-ID: 1483218

Secondary language

• Language: Slovenian
• Keywords: podjetništvo, majhna in srednja podjetja, poslovanje podjetja, financiranje, uspešnost poslovanja

Projects

• Funder: ARRS - Slovenian Research Agency
• Funding programme: Raziskovalni program
• Project number: P5-0117
• Name: Trajnostna konkurenčnost slovenskega gospodarstva v evropskem in globalnem okviru

• Funder: Other - Other funder or multiple funders
• Funding programme: American Slovenian Education Foundation
• Name: ASEF Scholarship Grant