Vietnam's startup ecosystem has been expected to flourish not only in the Vietnamese marketbut globally in recent years [1]. Among all the cities in Viet Nam, Ho Chi Minh city is the best place to start a new business due to the fact that this area has been equipped with profoundly developed infrastructure and numerous experienced workforce who are able to support the startups. Fostering entrepreneurship among youth is critical to achieving the goal of the Vietnamese Government as having one million businesses operating effectively until 2021. This requires an understanding of entrepreneurial intentions in this population as well as related potential barriers and facilitators. However, evidence of entrepreneurial intentions in Vietnamese youth is limited. As a result, this paper aims to clarify the factors that affect entrepreneurial intentions among Millennials in Ho Chi Minh City, Viet Nam.

The purpose of the study Research Objectives

• To identify the driving factors that motivate the Millennials’ Entrepreneurial Intention in Ho Chi Minh city, Vietnam

• To provide the Millennials with deeper knowledge in Entrepreneurship field

Research Questions

• What are the most significantly driving factors that motivate Millennials to start their own business

• To what extent the thorough pre-startup knowledge affect the success of the new business

Scope of the Research

This research focuses on all the Millennials living, working in, and having the intention to start their own business in Ho Chi Minh city, Viet Nam.

Figure 1: Conceptual Framework of Factors Influencing Entrepreneurial Intention

Relevance of the research

The results of this research provide deeper knowledge about the significant factors that affect the young generation’s entrepreneurial intention. The results of the study would be a potential answer to the proposed questions related to the Entrepreneurial world and new business founders.

Related Concepts

This section attempts to provide the interpretation of some primary terms used in this context which are Entrepreneurial Intention and Millennial Generation.

Millennial Generation

Millennials, also known as Generation Y, is the phrase widely utilized to depict a generation of people who reached the adulthood in the early 21^st century and were born between the year 1980 and 2000 [2]. This statement was subsequently agreed by Cohn [3] and Caumont [4]. 

Entrepreneurial Intention

Shapero and Sokol [5] demonstrated the entrepreneurial intention based on the perception of desirability, the propensity to act and the perception of feasibility. For this paper, Entrepreneurial Intention is particularly defined as the Millennials ‘s interest in the Entrepreneurship which can be seen from two points of view: how strong the young generation attempts to dare to generate the entrepreneurial activity and how much effort they plan to engage in such activity. 

Theoretical Framework

• Theory 1: The Theory of Plan Behavior in psychology, the theory of planned behavior (abbreviated TPB) describes the connection between one's beliefs and behavior [6]. The TPB is more knowledgeable about how it is highly probably for one’s intention to be completely different with behavior is deliberately planned and carried out
• Theory 2: Krueger and Brazeal’s Entrepreneurial Potential Model according to Shapero’s Entrepreneurial Event Model, there are three dimensions that determine entrepreneurial intention, namely “Perceived desirability,” “Perceived feasibility,” and “Propensity to act”

Proposed Research Model

Within the scope of this research, the scale is based on the theories and related studies. There are five groups of factors affecting the Millennials’ Entrepreneurial Intention in Ho Chi Minh, Viet Nam which are Attitude, Social Norm, Perceived Desirability Perceived Feasibility and Entrepreneurial Knowledge.

Attitude Factor

Attitude is a person’s perspective or the mindset on a specific issue. According to attitude is construed as “the degree to which a person has a favorable or unfavorable evaluation or appraisal of the behavior in question”.

Social Norm Factor

 Nari, M. et al [7] outlined that social norms are the individual’s belief concerning the pressures from society and shut individuals in creating a particular call. 

Perceived Desirability Factor

Perceived Desirability is taken into consideration as a mediating factor in order to examine the possibilities that there is a correlation between the Attitude and Social Norm factor and Entrepreneurial Intention. In more detailed term, the perceived desirability in personal attitude is a measure of the individual’s perception of how great the desire to be an entrepreneur [8]. 

Perceived Feasibility Factor

The Perceived Behavioral Control or Perceived Self-Efficacy is the personal belief about the possibility to conduct the planned behavior, the faculty of thoughts, physical mental, passion, finance and resources to personally control and execute the action.

Entrepreneurship Knowledge Factor

In general words, entrepreneurial knowledge refers to an individual’s appreciation of the concepts, skills and mentality expected of an entrepreneur Massad and Tucker articulate that this knowledge can be acquired and developed through consistent exposure to entrepreneurship activities. 

For these literature support above, the research framework was proposed as the following model

Hypothesis of the Research

After reviewing theories concerning Entrepreneurial Intention, the following hypotheses are developed:

• Hypothesis 1: There is a positive relationship between Entrepreneurial Attitude and Entrepreneurial Intention among Millennials

• Hypothesis 2: There is a positive relationship between Social Norm and Entrepreneurial Intention among Millennials

• Hypothesis 3: Perceived Desirability has significant influence on the Millennials’

Entrepreneurial Intention

• Hypothesis 4: Perceived Feasibility has a positive impact on the Millennials’

Entrepreneurial Intention

• Hypothesis 5: Entrepreneurial Knowledge has a positive relationship with Millennials’

Entrepreneurial Intention

Research Design

In this study, the author employs the combination of qualitative and quantitative approach. 

Qualitative Methods

The qualitative approach applied in this study attempts to deeply understand the key factors influencing the Millennials’ intention to create a new venture in Ho Chi Minh city, Viet Nam. The information was collected by applying in the form of in-depth interview with appropriate outline through the sample size of 10 youngsters living in HCM city.

Quantitative Methods

The purpose of quantitative method in this study is to measure the scale and test the theoretical model of the factors influencing Millennials’ Entrepreneurial Intention. The study was carried out through the surveys both online and offline. Online survey will be sent to the young generation whose age is from 18-40 years old living in Ho Chi Minh city. 

Research Data

Data is established from several pieces of information. Research data bears upon information that was collected, observed and analyzed to validate research findings (Boston University Libraries, n.d.). 

Primary data

Primary data is data collected by researcher for a specific purpose in solving current phenomenon at hand. In this research, qualitative data was collected regards to the opinions related to the Entrepreneurial intention of the Millennials and quantitative data will be collected through surveys by distributing questionnaires to targeted respondents.

Secondary Data

The main sources of secondary data collected to conduct this research paper are academic articles, academic journals and academic papers related to Entrepreneurship and Business activities.

Research Instrument

To demonstrate the factors and to accurately reflect the extent to which the millennials' decision is made, the survey method is performed with a questionnaire both online and offline forms.

Questionnaire

This questionnaire relies on and is accustomed to previous reports and studies within the field of Millennials’ entrepreneurial intention to get acceptable survey results. The total questionnaires are split into three sections.

Descriptive Analysis

In order to gather such qualified data, the author issued a total of 420 questionnaires including online and offline survey. Nonetheless, among 420 questionnaires sent by the author, 350 samples were obtained, accounting for a response rate of 83%. In reality, 40 out of 350 collected samples were invalid since the respondents did not have the intention to become an entrepreneur. Eventually, there are 310 valid samples used as data for the study.

Cronbach’s Alpha Analysis

Perceived Desirability factor has pretty high Cronbach’s α coefficient (0.797); observed variables PD1, PD4, PD5 have a Corrected Item – Total Correlation that is over 0.5; except for PD3. After rerunning, this scale is very good and the three observed variables can be used for EFA analysis.

Entrepreneurial Attitude factor has slightly high Cronbach’s α coefficient (0.713). Consequently, the five variables can be implemented for the EFA analysis.

Perceived Feasibility factor has the most reliable Cronbach’s α coefficient 

• Entrepreneurial Knowledge: Factor has rather high Cronbach’s α coefficient (0.705). .After rerunning, four variables can be used for EFA analysis

• Subjective Norm: Factor has the Cronbach’s α coefficient at an acceptable level (0.524); After all, all four variables can be utilized for the EFA analysis

• Entrepreneurial Intention: Factor possess considerably high Cronbach’s α coefficient (0.875. This scale is acceptable and the observed variables can be used for EFA analysis

Regression Equation

Standardized regression equation in this research is depicted as follows

Intention = 0.429*Attitude + 0.189*Feasibility +0.188*Desire + 0.104*Knowledge +e

In general, the most influential factor on the Entrepreneurial Intention among Millennials in Ho Chi Minh is Entrepreneurial Attitude, followed by Perceived Feasibility and Perceived Desirability; and Entrepreneurial Knowledge has the least influence.

First Research Objective

To identify the driving factors that motivate the Millennials’ Entrepreneurial Intention in Ho Chi Minh city, Vietnam.

From the statistics analysis, four (4) out of five (5) driving factors pose the positive and direct relationship with the Entrepreneurial intention among Millennials in Ho Chi Minh city which are: entrepreneurial attitude, perceived desirability, perceive feasibility and entrepreneurial knowledge, giving the Standardized regression equation as follows

Intention=0.429*Attitude+0.189*FeasibilityP+0.188*Desire + 0.104*Knowledge +e

Second Research Objective

To propose the Millennials the deeper understanding in Entrepreneurship field especially in terms of the pre-startup activities.

As regards this objective, the author would answer by giving some further recommendations in terms of Entrepreneurial Attitude, Desirability, Feasibility and Entrepreneurial Knowledge for Millennials generation.

Practical Implications and Recommendations

• A Strong Attitude To Be An Entrepreneur At A Young Age Needs To Be Accompanied By Commitment And Persistent Efforts Since Adolescence: Success comes at the end and foster self-confidence for millennials. Moreover, Millennials realize that the earlier they start a business, the faster they will accomplish their shortcomings and potential

• Success Comes With Great Desirability: It has an important impact on whether a person is ambitious about opening a business and on what ways they can have everything under control. If a person is desirable enough to take on the challenge, they have successfully built up an awareness of what will come and where to begin. Moreover, a strong support from the family, friends and relatives has fostered the intrinsic value of the Millennials to become an entrepreneur

• The Feasibility of The Decision Is Also A Critical Factor: It requires a lot of observation and understanding of the business which an about-to-be entrepreneur has to conceive and follow up

• Last But Not Least Is The Knowledge Base That An Entrepreneur Needs To Avoid Being Lost In Their Venture. Careful research and experiments have to be conducted so that the vision is clear and from that point, an about-to-be entrepreneur will know what they have got in their package to prepare for the upcoming challenges. Moreover, the government and universities also play a crucial role in encouraging the young generation with their venture

Research Limitations

• Firstly: The Covid pandemic at the early stage of 2020 has quite been an obstacle during the process of direct surveys that were planned to reach 200 out of the 310 surveys both offline and online

• Secondly: The amount of time spent on the research process was limited and unstable

The intention of becoming an entrepreneur at a young age is fostering millennial generation. The expeditious development of technology facilitates entrepreneurs to get internet access for marketing, promotion, and starting a business. Millennials can understand the tendencies of young people well and get to know what is becoming a trend, so if they want to encompass a new business, age does not matter since they need not to wait. The faster the Millennials start, the higher the chances of success.

1. Viettonkin. Start-up Report. 2019. Retrieved from https://www.viettonkin.com.vn/wp-content/uploads/2019/04/Startup-report_compressed.pdf

2. Rainer, Thom S., and J. W. Thom. The Millennials: Connecting to America’s Largest Generation. B&H Publishing Group, 2011.

3. Cohn, D. and Andrea Caumont. 10 Demographic Trends Shaping the U.S. and the World in 2016. Pew Research Center, Washington, D.C., 2016.

4. Caumont, Andrea. What Would You Name Today’s Youngest Generation of Americans? Pew Research Center, Washington, D.C., USA, 2014.

5. Shapero, A. and L. Sokol. “The Social Dimension of Entrepreneurship.” Encyclopedia of Entrepreneurship, University of Illinois, Urbana, IL, 1982, pp. 72–90.

6. Ajzen, Icek. “Theory of Planned Behaviour.” Organizational Behavior and Human Decision Processes, vol. 12, 1991, pp. 179–221.

7. Nazri, M. et al. “Examination of Factors Affecting Youths’ Entrepreneurial Intention: A Cross-sectional Study.” Information Management and Business Review, vol. 8, no. 5, 2016, pp. 14–24.

8. Kusumawardhany, P. and I. Dwiarta. “Entrepreneurial Intention Among Millennial Generation: Personal.” Advances in Economics, Business and Management Research, vol. 115, 2020.