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Analysis of Factors Hindering Generation Z in Entrepreneurship
Abstract
The low interest in entrepreneurship among students is still a serious challenge for universities in Indonesia. Although various entrepreneurship programs and trainings have been widely organized, most graduates still prefer the path as a job seeker than a job creator. This study aims to identify the factors that hinder Generation Z, especially students, in choosing the path of entrepreneurship. The study uses a quantitative approach with Exploratory Factor Analysis (EFA) techniques to uncover the latent structure of barriers to entrepreneurship. The population of the study were students of Sebelas Maret University participants in the Independent Entrepreneurship program with 161 respondents from various study programs. The research instrument consisted of 14 valid statements measured by a 5-point Likert scale. The results of the analysis showed two main factors causing low interest in entrepreneurship, namely personal readiness as the dominant factor that includes limited knowledge, skills, motivation, and courage to take risks and the influence of the entrepreneurial ecosystem related to access to funding, mentoring, and contextual pressures. These two factors together account for 39% of the total variance. These findings provide theoretical contributions in expanding the understanding of multidimensional barriers faced by Generation Z as well as practical contributions as the basis for the formulation of more effective entrepreneurial learning strategies in higher education. Further research is recommended to use Confirmatory Factor Analysis (CFA) to test the suitability of the model and improve the reliability of research instruments.
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