• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.15 no.1
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• pp.95-112
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• 2020

This paper is to investigate how cognitive bias of college students and entrepreneurs relates to perceived risks and entrepreneurial opportunities that represent uncertainty, and how various cognitive bias and entrepreneurial efficacy In the same way. The purpose of this study is to find improvement points of entrepreneurship education for college students and to suggest problems and improvement possibilities in the decision making process of current entrepreneurs. This empirical study is a necessary to improve the decision-making of individuals who want to start a business at the time when various attempts are made to activate the start-up business and increase the sustainability of the existing SME management. And understanding of the difference in opportunity evaluation, and suggests that it is necessary to provide good opportunities together with the upbringing of entrepreneurs. In order to achieve the purpose of the study, questionnaires were conducted for college students and entrepreneurs. A total of 363 questionnaire data were obtained and demonstrated through structural equation modeling. This study confirms that there is some relationship between perceived risk and cognitive bias. Overconfidence and control illusions among cognitive bias have a significant relationship between perceived risk and wealth. Especially, it is confirmed that control illusion of college students has a significant relationship with perceived risk. Second, cognitive bias demonstrated some significant relationship with opportunity evaluation. Although we did not find evidence that excess self-confidence is related to opportunity evaluation, we have verified that control illusions and current status bias are related to opportunity evaluation. Control illusions were significant in both college students and entrepreneurs. Third, perceived risk has a negative relationship with opportunity evaluation. All students, regardless of whether they are college students or entrepreneurs, judge opportunities positively if they perceive low risk. Fourth, it can be seen from the college students 'group that entrepreneurial efficacy has a moderating effect between perceived risk and opportunity evaluation, but no significant results were found in the entrepreneurs' group. Fifth, the college students and entrepreneurs have different cognitive bias, and they have proved that there is a different relationship between entrepreneurial opportunity evaluation and perceived risk. On the whole, there are various cognitive biases that are caused by time pressure or stress on college students and entrepreneurs who have to make judgments in uncertain opportunities, and in this respect, they can improve their judgment in the future. At the same time, university students can have a positive view of new opportunities based on high entrepreneurial efficacy, but if they fully understand the intrinsic risks of entrepreneurship through entrepreneurial education and fully understand the cognitive bias present in direct entrepreneurial experience, You will get a better opportunity assessment. This study has limitations in that it is based on the fact that university students and entrepreneurs are integrated, and that the survey respondents are selected by the limited random sampling method. It is necessary to conduct more systematic research based on more faithful data in the absence of the accumulation of entrepreneurial research data. Second, the translation tools used in the previous studies were translated and the meaning of the measurement tools might not be conveyed due to language differences. Therefore, it is necessary to construct a more precise scale for the accuracy of the study. Finally, complementary research should be done to identify what competitive opportunities are and what opportunities are appropriate for entrepreneurs.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.15 no.1
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• pp.59-70
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• 2020

This study was proceeded to empirically identify the start-up support policy as an element that affects the performance of the early start-ups and measure the effectiveness of the current start-up support policy, in order to suggest the direction future policies according to the study. To accomplish this the influence of the start-up support policy on the early start-ups was analyzed, and the differences according to the industry and growth stage of the start-ups, as the characteristics of the start-ups, were identified. The research subjects collected real data of 297 start-ups of the past three years that were selected for the Initial Start-Up Package project, and performed multiple regression analysis on the influence between variables, and hierarchical regression analysis on moderating effects. The summary of the study is as follows. First, as a result of identifying the influential relationship between the start-up support policy and the performance of the start-up, sales had made a significant impact on the start-up fund, start-up mentoring, and start-up infrastructure(space), while start-up education failed to show a significant effect on the increase in sales. In terms of employment, start-up mentoring was the only field that showed a significant influential relationship. Second, as a result of identifying the moderating effect of the start-up's industry and growth stage, the industry did not have a statistically significant influence, but the interactive effect was seen in start-up education. To be more specific in terms of the sales relationship of each industry, knowledge services turned out to be helpful in improving sales, while manufacturing turned out to be effective in improving sales regardless of being supported with start-up mentoring and start-up infrastructure (space). The sales relationship regarding the start-up growth stage was identified to be statistically significant. The preliminary stage was not statistically significant, while providing start-up mentoring and start-up funding were effective for start-up stage and growing stage, respectively. On the other hand, employment did not perform a significant influence on the start-up growth stage. This study analyzes the effectiveness the start-up support policy for early start-ups, identifies the need in differentiated support policies according to the characteristics of the start-ups, and suggests implications for the direction in which future policies should be made towards.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.15 no.1
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• pp.143-150
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• 2020

This research is intended to identify how office worker's recognition of strength affects the intention of starting a business when it is used as a medium for utilizing strength. The survey period was conducted for two months from January 17, 2019 to March 8, 2019. In order to achieve the object of this study, a significant number of employees have been collected nationwide, and 287 office workers were analyzed after collecting 300 questionaires, excluding 13 office workers who were not sincere. The significant data were analyzed by utilizing the structural equation and technical statistics and by verifying the conformity of structural model and measurement model and by investigating the relationship between variables. The results of this study are summarized as follows: First, employee's perception of strength has been found to have a significant effect on the utilizing of strength. Second, the use of workers' strengths has been found to have a significant effect on the intention of starting a business. Third, it has been confirmed that in the relationship between the employee's perception of strength and intention to start a business, the recognition of strength has a significant effect on the intention of starting a business only through the use of strength. Most office workers are nervous about the future and make various plans. The time to live after retirement is getting longer and jobs and working hours are shrinking at an alarming rate. According to the analysis on the status of small business owners in the mid-term of 2017 data, the average monthly operating profit of small business owners across the country is decreasing over the years, and most start-ups are subsistence-type start-ups, and they decide to start their own businesses because they have no other choice than start-ups. As the number of small business owners suffering from financial difficulties has increased since the financial crisis and insecurity of job is pushing those with financial difficulties after retirement to the battleground of the start-up market, the result of this research suggest that the workers need to recognize their own strength and enhance the importance of utilizing the strength.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.15 no.1
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• pp.167-184
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• 2020

This study analyzed the effects of information orientation and technology commercialization ability on technological performance of corporate workers. Information Orientation consisted of information technology capability, information management ability, information behavior and value, and technology commercialization capability consisted of productization capability, production capability, and marketing capability as sub-variables, and technology accumulation capacity was used as a coordinating variable. An empirical analysis was performed on 349 online and offline questionnaires collected from corporate employees. Analysis results using SPSS v22.0 and Process macro v3.4 First, information orientation and technical performance were found to have a significant effect.In addition, information orientation had a significant effect on technology commercialization capability. The magnitude of the influence on the productive capacity and the productive capacity in the variable of competency was in the order of information technology ability, information management ability, information behavior and value, but the influence on marketing capability was different from the previous results. Information management ability and information technology ability were in order. Second, the product commercialization capability, production capability, and marketing ability of technology commercialization ability had a significant effect on technology performance independently of information orientation. Third, the information technology ability and information management ability had a significant influence on the technical performance, but the indirect effect through the commercialization ability and marketing ability in information behavior and value was significant, the indirect effect of transit was not significant. Fourth, only the interaction terms of production capacity and technology accumulation capacity were significant among the sub-variables of technology commercialization capacity, and technology accumulation capacity, commercialization capacity, and marketing ability were not significant. Therefore, the relationship between productive capacity and technological performance can be interpreted as lower in firms with high technology accumulating ability than in lower firms, subsequent studies will require the introduction of other independent variables, models through the introduction of parameters and control variables.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.15 no.1
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• pp.209-224
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• 2020

This study started from the question of whether the preference of corporate recruitment can be achieved without any difference between the start-up experiencer and the general job seekers. Therefore, the purpose of the study is to identify the factors related to start-ups that affect the preference of job seekers for companies, and to analyze the differences in the factors related to start-ups between general job seekers and job seekers with start-up experience. Third, it is to see the difference in the preference for employment between job seekers with start-up experiences and general job seekers. The independent variables of the research model were entrepreneurship, motivation for start-up (job search), and characteristics of the job seekers (founder). The dependent variables were job preference, and the moderating variables were presented as job seekers' classification (job seekers with start-up experience vs. general job seekers). The subjects of the study were personnel managers of 100 companies with more than 5 years of establishment and 100 new companies with less than 5 years of establishment. The questionnaire was distributed in two types, and 189 respondents, including 101 job seekers with start-up experiences and 88 general job seekers, were finally used for analysis. The results of the study were as follows. First, as a result of multiple regression analysis on both experienced start-up experiencers and general job seekers, only entrepreneurship had an effect on preference for recruitment. Second, the moderating effect of job seekers' classification was found only in the relationship between motivation for start-up and preference for employment. Third, the result of multiple regression analysis based on the start-up experiencers showed that the relationship between the motivation for start-up, the preference for recruitment, the characteristics of founders and the preference for recruitment was statistically significant. On the other hand, the characteristics of the founder and the preference for employment were rejected. Fourth, the results of the study based on general job seekers showed that the motivation for job search decreased the preference for employment. The study did not provide the results of differences in recognition between different industries, traditional enterprises and venture businesses due to the limitation of small examples. There is no clear definition of start-up experiencers either. However, it is meaningful to suggest the implications of what preparations should be made when the start-up experiencers close their start-ups and turn their career into employment and to help them to accurately recognize the importance of entrepreneurship. It also provides the preference of the general job seekers for the company, the preparation for successful employment, and the implications for the direction of the future start-up revitalization.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.15 no.1
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• pp.71-94
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• 2020

Korea's innovation cluster policy has been implemented since 2005 with the goal of balanced regional development. The purpose of this study is to investigate the factors affecting the sustainability of innovative cluster tenants by using Pangyo Techno Valley as an example. Pangyo Techno Valley was established under the leadership of the local government (Gyeonggi-do) rather than the central government and it is called "Silicon Valley of Korea" and "Asia Silicon Valley" and is becoming more representative. The growing number of companies in Pangyo Techno Valley decreased in 2017 compared to 2016. This is because Pangyo Techno Valley's business ecosystem will change from 2019. In this paper, quantitative and qualitative studies were conducted to investigate the influencing factors. Quantitative research was conducted based on the survey and qualitative research was applied through interviews. The quantitative research examined the factors affecting the sustainability of Pangyo Techno Valley, and the qualitative research examined the specific reasons and additional factors for the quantitative research results. The quantitative results showed that factors affecting sustainability in terms of changes in corporate internal conditions, human and physical infrastructure, cooperation and synergy, and occupancy patterns. The specific reason for the impact appeared in the qualitative research process. The support category of local governments did not show any significant factors in quantitative research. In addition, qualitative research suggested 'Good image of Pangyo Techno Valley' as the category that has the greatest impact on sustainability. It is shown that companies are passive and expect the role of local governments in activating cooperation network in Pangyo Techno Valley. In this paper, based on the results of the study, Pangyo Techno Valley is presented with a realistic plan based on real estate issues and an ideal plan with a long-term perspective.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.15 no.2
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• pp.1-18
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• 2020

This study is to identify the influence of major variables that affect the participation intention of securities type crowdfunding investors and how participation intention and perceived behavioral control affect investors' herd behavior including indirect effect analysis based on the theory of planned behavior. The ultimate purpose of this study is to understand the investment behavior of securities type crowdfunding investors and to help the relevant parties to develop various policies and business plans to revitalize the system and protect investors. An online survey was conducted on people who are interested or have experience in securities type crowdfunding to receive a total of 276 responses. Excluding outliers, a total of 261 responses were taken into account for the final analysis. For the data analysis, structural equation model analysis using SPSS 22.0 and Amos 22.0 statistical package was conducted. As a result, two of the major variables of the theory of planned behavior-attitude and subjective norm-have been found to have a positive effect on the participation intention of securities type crowdfunding investors. And after analyzing the indirect effect, the participation intention was found to play a mediating role between attitude, subjective norm and herd behavior. However, the perceived behavioral control presented as a major variable of behavioral intention in the theory of planned behavior showed that the effect on participation intention was statistically insignificant. Instead, it was found to have a direct positive effect on herd behavior. This is significant because it empirically confirmed that even if investors perceive securities type crowdfunding as easy to participate, perceived behavioral control does not seem to have a significant impact on participation intention because securities type crowdfunding is an investment in an early-stage business with a high risk of loss. On the other hand, the study has great significance in that it empirically confirmed that domestic securities type crowdfunding investors perceive the funding progress information provided by the platform as a signal and imitate many other investors, showing herd behavior when they actually make an investment. It is expected that this study will provide meaningful insights for the policy making of crowdfunding supervisory offices and platform operators by empirically identifying major variables that influence the participation intentions and herd behavior of domestic securities type crowdfunding investors.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.15 no.2
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• pp.67-80
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• 2020

This study has been conducted at a time when Korean government continues to extend support for youth startups as part of its policy to create jobs and the focus moves from career and employment to youth startups with a growing interest in the field of youth startups. Against this background, this study aims to identify difficulty factors of youth startups in areas besides the Seoul Metropolitan Area, seek ways to overcome difficulty factors, and propose policy implications. To this end, this study set five criteria and 25 sub-criteria to evaluate the difficulties of youth startups by reviewing previous studies and conducting literature review, and performing brainstorming method. The empirical analysis of the evaluation criteria was performed, using the analytic hierarchy process (AHP) method, on youths aged 19 to 39 in Gunsan area. The analysis results showed that the largest difficulty factors facing local youths include business model establishment, business administration and management, and startup funding in the criteria. As for sub-criteria, the largest difficulty factors are market information acquisition, technology commercialization, project feasibility, technology development, and new market pioneering in descending order. Local youths have much difficulty about the process of turning a business item into a product and commercializing it. According to a comparative analysis by gender, men were a relatively high difficulty in commercializing business models than women. men were a relatively high difficulty in commercializing business models than women. On the other hand, women were higher than men in all factors (management management, entrepreneurship, improvement of entrepreneurship system, and improvement of entrepreneurship awareness) except for factors affecting business model. In addition, the factors of entrepreneurship were found to be relatively different among young people (college students, prospective entrepreneurs, entrepreneurs). In conclusion, it was suggested that in order to revitalize youth entrepreneurship in the region, it is necessary to actively resolve the difficulties of business model commercialization rather than entrepreneurship funds. In addition, it is necessary to strategically support customized entrepreneurship support and situational administrative services because gender and hierarchical difficulties are different than general solutions. This study presented practical priorities and derivation methods for the entrepreneurship difficulties faced by local youth, and suggested measures and improvements for vitalizing local youth entrepreneurship in the future.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.15 no.2
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• pp.81-96
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• 2020

The purpose of this study is to investigate the impact of entrepreneurial mentoring as an effective support method to increase the awareness and entrepreneurial intention of university students. Therefore, the mediating effect of social support and entrepreneurial self-efficacy was demonstrated in the relationship between entrepreneurial mentoring and entrepreneurial intention. As a result of the analysis, the positive role of entrepreneurial mentoring was confirmed as an influencing factor to increase the intention of young prospective entrepreneurs to set up and increase their expectations for social support. Specifically, entrepreneurial mentoring had a significant positive effect on entrepreneurial intention, social support, and entrepreneurial self-efficacy. Social support had a significant positive effect on entrepreneurial self-efficacy and entrepreneurial intention, respectively, and partially mediated the relationship between entrepreneurial mentoring and entrepreneurial intention. Entrepreneurial self-efficacy had a positive effect on entrepreneurial intention, and entrepreneurial self-efficacy fully mediated between entrepreneurial mentoring and entrepreneurial intention. Through this study, it was proved that entrepreneurial mentoring is an important factor that positively influences entrepreneurial intention, social support, and entrepreneurial self-efficacy. In addition, by identifying the effect of social support on entrepreneurial self-efficacy, it was confirmed that the individual's self-confidence and efficacy increased when they recognized the belief or utilization of social support. Finally, by confirming that entrepreneurial mentoring has a positive effect on social support and that social support mediates between entrepreneurial mentoring and entrepreneurial intention, the entrepreneurial mentoring program raises the entrepreneurial intention to start a business and helps founders to social support. It has been confirmed that it can be used as a way to raise the awareness and effect of startup supporting policy in practice as well.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.15 no.2
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• pp.193-208
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• 2020

In this study, we investigate the effects of technology innovation investments and employment on credit ratings of very small start-up businesses using the data period of 2009 till 2015 test two hypotheses: asymmetric information hypothesis or competence hypothesis. We use financial and non-financial data of 51,903 observations of 12,028 small businesses from a database of a commercial bank and fixed effects panel models and two-stage instrumental variable models. We find that in the short-run small size startups show lower credit ratings than non-startups, and that both technology innovation activities and employment capability improve their credit ratings. In the long-run, technology innovation investments do not improve their credit ratings of later years while employment capability improve their credit ratings of the subsequent year. In addition, the age of startups improves their credit ratings of the current year and until the subsequent two years while employee productivity, fixed ratio and ROA positively affect their credit ratings for up to three years. However, short-term and overall debt ratios, cost of borrowings and firm-size negatively affect their credit ratings for up to three years. The results of the study on credit ratings suggest that credit rating agencies seem to consider both technology innovation activities and employment capability in the credit ratings of small start-ups as 'competence factors' rather than 'asymmetric information factors' with inefficiency and cost burdens. The results also suggest that we must find ways to reflect properly the severe asymmetric information of the early-stage start-ups, and technology innovation activities and employment capability in the credit rating formula.