Uncertainties in Entrepreneurship Climate: A Study on Start-ups in India

Abstract

Uncertainty in entrepreneurship climate is critical to entrepreneur as it is directly related to the context of decision making. Self-identity of an entrepreneur plays a vital role in decision making and hence, the related factors to be explored with their factor structure. Entrepreneurial behaviour is boosted by self-identity and exposed to the catalytic effect of social-identity. Though psychology and sociology literature explains the concept of social-identity and self-identity, still management and organizational behaviour literature is under developed in measuring those constructs related to entrepreneurship climate. A scale is thus developed and tested through the internal consistency. Extractions of factors were compared and confirmed using an alternative factor retention criteria ‘Parallel Analysis’. 600 entrepreneurs engaged in start-ups from all over India was contacted in the study. 373 responses were finally retained for analysis. This paper concludes with the factor structure of uncertainty in ‘Social-Self-Identity’ having dimensions of sustained key decision making with self-adaptability of personal values in dynamically changing climate. This paper adds to the entrepreneurship literature bringing the measure of the concept of uncertainties of entrepreneurship climate.

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