The Effect of Entrepreneurship Education on The Students
Entrepreneurial Intention Vocational High School
Widya Hestiningtyas and Sigit Santosa
Sebelas Maret University, Surakarta, Indonesia
widhes@gmail.com
Keywords: Entrepreneurship Education, Entrepreneurial Intention, Vocational High School.
Abstract: Increasing population and limited employment are adequate to make unemployment a crucial problem for
Indonesia. Various efforts have been made by the government, among others with entrepreneurial
independent business community. There are various factors that affect one's intention to entrepreneurship,
including entrepreneurship education. The aims of this study are to identify the effect of entrepreneurship
education on the students' entrepreneurial intention vocational high school. This research is quantitative
descriptive correlational approach. The study population was students of class X of vocational high school
Negeri Surakarta in business and management program, amounting to 944 students. The samples used as
many as 311 students drawn using random probability sampling technique. Data collected through a closed
questionnaire, data analysis techniques using multiple linear regression analysis aided by SPSS 23. The
results concluded that entrepreneurship education with an indicator variable know-what (entrepreneurial
knowledge), know-why (and values motives), know-who (social interaction), know-how (entrepreneurial
skills and abilities) to give effect to the intention of entrepreneurship vocational students.
1 INTRODUCTION
Indonesia is a country of 253 609 643 inhabitants,
ranks fourth most populous country in the world
after the state of China, India and the United States
of America (Central Bureau of Statistics, 2016). The
population is so much because Indonesia requires
much labor to be able to sustain the country's
economy. The problem of unemployment is a
problem that is a major challenge for the Indonesian
government. It impacts on other sectors such as
poverty and social inequality. In the era of free trade
and global competition, demanding people in the
productive age to have quality individuals who are
active and creative in order to compete on a
competitive basis to reduce the amount of
unemployment there. Based on data from the Central
Bureau of Statistics (BPS), Indonesia in February
2016, the unemployment rate in Indonesia reached
7.02 million. This shows that there are still many
Indonesian people who need improved productivity.
Based on BPS data in 2016 note that
contributor’s unemployment rate in 2016 was
graduated from high school and vocational school.
Herman (2003: 16) states that the main problem is
the independence of graduate education. Education
only produce human resources who are eager to be
an employee or job seekers instead of opening
employment. Empirical facts show that the majority
of vocational school graduates not in accordance
with the needs or demands of the stakeholders. The
graduates tend as a job seeker and not many are able
to work independently to implement and develop the
skills (survivalskills). On the other hand, the low
work ethic vocational graduates in entrepreneurial
mindset (Subijanto, 2012: 163)
The progress of a country is determined by its
economic progress that is supported by the large
number of entrepreneurs in the country.
Entrepreneur is able to create jobs in order to absorb
the labor force, thereby reducing unemployment in
Indonesia. According to experts, sociologists,
McClelland, a country will prosper only if there are
entrepreneurs at least 2% of the population, while
according to data from the Ministry of Cooperatives
and Small and Medium Enterprises (SMEs) in 2016
Indonesia has about 1.56% of entrepreneurs that still
need to be improved passion for entrepreneurship.
This is in line with the findings Frinces (2010: 4)
that in order to reduce the unemployment rate one of
the ways to do was to develop an entrepreneurial
spirit as early as possible.
Indonesia's efforts to address the high
unemployment and increasing the number of
entrepreneurs one through the SMK (Vocational
High School). SMK is a formal school under the
auspices of the Ministry of Education and Culture
which has the purpose, among others, to produce
766
Hestiningtyas, W. and Santosa, S.
The Effect of Entrepreneurship Education on The Student’s Entrepreneurial Intention Vocational High School.
In Proceedings of the 2nd International Conference on Economic Education and Entrepreneurship (ICEEE 2017), pages 766-771
ISBN: 978-989-758-308-7
Copyright © 2017 by SCITEPRESS Science and Technology Publications, Lda. All rights reserved
graduates who are ready to enter the workforce
independently, competitive as productive
entrepreneurial adaptive, creative. Therefore, CMS
is very important in order to prepare graduates who
are ready to entrepreneurship.
Strategic Plan of the Ministry of Education and
Culture (Kemdikbud) 2015-2019 states that one of
the government's efforts to create jobs is through the
spirit of entrepreneurship. The spirit of
entrepreneurship is grown by developing
entrepreneurship education in schools.
Entrepreneurship education is expected to increase
the knowledge of entrepreneurship. A strong desire
to become entrepreneur’s needs to be owned by
vocational students because of the desire to
entrepreneurship will have an impact on the opening
of broader employment. Entrepreneurship education
is given to all students with the hope to foster
entrepreneurship intention of students.
Preliminary observations made through search
data trail graduates (tracer) is known that a graduate
student of SMK Negeri 1 Surakarta, SMK Negeri 3
Surakarta and SMK Negeri 6 Surakarta only a few
choose to become entrepreneurs. This indicates that
the intention entrepreneurship in vocational students
is still low. Entrepreneurship is a cognitive
representation intention to exploit the business
opportunities to apply their knowledge and skills
(Tung, 2011: 34). Entrepreneurship intentions can be
influenced by several factors, among others,
entrepreneurial education, entrepreneurial
personality, and environment (Koranti, 2013: 6).
Education is one of the factors that influence the
success of entrepreneurship (Basrowi, 2011: 20).
Entrepreneurship education can shape the mindset,
attitudes and behaviors in students to become a true
entrepreneur that led them to choose
entrepreneurship as a career (Lestari and Wijaya,
2012: 113).
Based on data from tracer study in SMK Negeri
1 Surakarta, SMK Negeri 3 Surakarta and SMK
Negeri 6 Surakarta is known that the intention of
entrepreneurship students is still low, so that the
necessary effort in identifying the things that drives
intention entrepreneurship, given the importance of
entrepreneurship for economic and social welfare in
today's society. Therefore, it needs further study
whether the presence of entrepreneurship education,
entrepreneurship can foster students' intentions.
2 METHODS
This research is quantitative descriptive correlational
approach. The study population was students of
class X of vocational high school Negeri Surakarta
in business and management program, amounting to
944 students. The samples used as many as 311
students drawn using random probability sampling
technique. Data collected through a closed
questionnaire, data analysis techniques using
multiple linear regression analysis aided by SPSS
23.
3 LITERATURE REVIEW
3.1 Intention Entrepreneurial
Intention entrepreneurial understood as a personal
commitment from prospective entrepreneurs to start
new businesses which then became the bridge
between attitudes, subjective norms and behavioral
control against actual behavior (Tung, 2011: 34).
Intention is a representation of the actions planned to
conduct entrepreneurial behavior because before
starting a business takes a strong commitment to
begin (Tubbs and Ekeberg, 1991: 80).
Entrepreneurship intentions become mainstream
desire of individuals to undertake entrepreneurial
action by creating new products through business
opportunities and risk taking (Ramayah and Aaron,
2005: 89). Furthermore, Rasli et al (2013: 138)
defines the intention of entrepreneurship is a mind
that encourages individuals to create a business, so
the intention is needed as a first step in a process of
establishment of a business that is generally long
term (Lee and Wong, 2004: 276).
Reflect the entrepreneurial intentions of one's
commitment to launch a new business and is a
central issue to consider in understanding the
process of new business establishment (Krueger,
1993: 331). Entrepreneurial intentions lately
received attention for the study because it is believed
that an intention that is concerned with the behavior
proved to be a true reflection of the behavior. An
understanding of one's intention to entrepreneurship
may reflect the tendency of people to set up
businesses in real terms (Jenkins and Johnson, 1997:
112). Ultimately the intention of entrepreneurship
bridge between attitudes towards entrepreneurial
behavior, so that the intention of entrepreneurship is
the appropriate variables to predict the behavior of
an entrepreneurial person, (Indarti & Rostiani, 2008:
The Effect of Entrepreneurship Education on The Student’s Entrepreneurial Intention Vocational High School
767
4). Based on some understanding of the intentions of
entrepreneurship, it can be synthesized that intention
entrepreneurship is a cognitive representation to
exploit business opportunities by applying
entrepreneurial learning (knowledge and skills), so
that the intention of entrepreneurship understood as
confidence and awareness of an individual that they
intend to establish a new business venture and plans
to do so in the future.
In addition, there are several factors that
influence the entrepreneurial intentions of a person.
Some research has been done related to the factors
affecting such intention, research Tung (2011: 154)
who found that entrepreneurship education with the
indicator (know what, know-who, know-how, know
why) a significant effect on the person's intentions
student entrepreneurship. Furthermore Wahyono
(2013: 56) in his research found the positive
influence of entrepreneurship education (know what,
know-who, know-how, know why) and
entrepreneurial intentions. This is in line with the
findings Johannisson (1991: 176) who argued that
entrepreneurship education (know what, know-who,
know-how, know-why and know when) an impact
on one's intention to entrepreneurship. A number of
studies that examine the influence of
entrepreneurship education on intentions
entrepreneurship (Izedonmi and Okafor, 2010; Lorz,
2011; Bakotic and Kruzic, 2010; Singh and Verma,
2010; Kruzic et al, 2010; Cruz, Escudero, Barahona
and Leitao,
3.2 Education Entrepreneurship
Education entrepreneurship is an effort to internalize
the spirit and mental entrepreneurship through
educational institutions as well as other institutions
such as training institutions, training (Wibowo,
2011: 23). Entrepreneurship education is a process
of transmitting knowledge and entrepreneurial skills
to students to help them to take advantage of
business opportunities, entrepreneurship education
aims to teach students in starting a new business to
be successful and profitable so it is expected to help
the economic growth of the country (Tung, 2011:
36). Entrepreneurship education is an education
program to work on aspects of entrepreneurship as
an important part of the debriefing of competence of
learners (Saroni, 2012: 45). It the seal with an
opinion Izedonmi and Okafor (2010: 98) states that
entrepreneurial education designed to inculcate
competencies, skills, and values necessary to
identify business opportunities, organize and start a
new business.
Education gives effect to the mental development
of a person (including an entrepreneurial spirit)
because education is run with full awareness, has a
target goal, specific objectives and given
systematically to develop the potentials that exist
(Muladi, 2011: 114). Somanto (2002: 78) states that
the only struggle or how to realize a man of morals,
attitudes and skills of entrepreneurship is education,
because through education, individual insight into a
broader and more confident, able to choose and
make the right decision , increase creativity and
innovation. This is consistent with research Tung
(2011: 154 who found that entrepreneurship
education with the indicator (know what, know-who,
know-how, know why) influence significantly on
one's intention entrepreneurship students.
Furthermore, Wahyono (2013: 56) in his research,
found their positive influence of entrepreneurship
education (know what, know-who, know-how, know
why) and the intention of entrepreneurship.
Johannisson (1991: 176) also argued that
entrepreneurship education (know what, know-who,
know-how, know-why and know when) provides the
impact on one's intention to entrepreneurship.
Izedonmi & Okafor, 2010; Lorz, 2011; Bakotic &
Kruzic, 2010; Singh & Verma, 2010; Kruzic et al,
2010; Cruz, Escudero, Barahona & Leitao, 2009;
Athayde 2009 also perform Related research on the
influence of entrepreneurship education in
entrepreneurship intentions entrepreneurship
education plays a role to develop the entrepreneurial
spirit and form entrepreneurial behavior of students.
Education entrepreneurship de ngan planting
entrepreneurial character within the competence
required to be owned by the generation of people to
meet the challenges of the future. Based on these
descriptions can be synthesized that
entrepreneurship education is a conscious effort
made educational institutions to impart knowledge,
values and attitudes of entrepreneurship to students.
It aims to create new entrepreneurs who are
competent and able to improve the welfare of the
community.
Five components of entrepreneurship education
according to Tung (2011: 63) is as follows:
3.2.1 Know What (Entrepreneurial
Knowledge)
Know what refers to the concept and knowledge
about entrepreneurship. This component is
considered as a fundamental part of the
entrepreneurship program, because all the skills or
other techniques must be built on a theoretical basis.
ICEEE 2017 - 2nd International Conference on Economic Education and Entrepreneurship
768
The basic objective of entrepreneurship education is
to raise awareness of entrepreneurial knowledge.
Kent (1990: 211) states that students must
understand entrepreneurship as an alternative career
option. It is important to teach students to acquire
the knowledge and resources needed to create new
business.
Zeithaml and Rice (1987: 172) argues that
entrepreneurship education should include business
management and knowledge to start a business.
Therefore, know what must include knowledge of
business and commerce, including functional areas
such as, financial resources, leadership, marketing
and salesmanship, a source of ideas and discover
opportunities, business planning, work in teams,
create new businesses, risk management, legal issues
and organizational management. Furthermore,
entrepreneurship requires greater knowledge to build
a business and an understanding of how to run the
entrepreneur (Gartner, 1989: 223).
3.2.2 Know Why (Values and Motives)
Know why refers to a series of questions: Why is
there an entrepreneurial? Why entrepreneurs start
their own businesses? Why should learn
entrepreneurship? What are the benefits of
entrepreneurship (e.g., money, social status, flowers,
happiness, interests, challenges, or contributions to
the community)? How entrepreneurial knowledge
and skills can make a profit, someone's career? It is a
spiritual component that reflects how the students
identify themselves in the pursuit of entrepreneurial
ventures. Such identification may be associated with
personal profiles and characteristics of
entrepreneurship (Fayolle and Gaily, 2008: 172).
Know why reflects the values and motives of
initiating events and attitudes towards
entrepreneurship. Therefore, to develop the right
attitude and motivation to start-up is very important
for entrepreneurship education. According
Johannisson (1991: 337) an individual must be
personally motivated and believe in its ability to
create new businesses. Know why generally an
innate competence which then influenced by the
environment and education.
3.2.3 Know Who (Social Interaction)
Know who refers to social interaction. Lundvall
(1998: 186) states know who involves the social
ability to collaborate and communicate with
different types of people and experts. An
entrepreneur needs to interact with the various
parties to for information, resources and other
support for creating and managing a business. Good
relationships are key to entrepreneurial success.
The researchers emphasize that the interaction with
the important people are the main requirements for
long-term entrepreneurial success. Effective
entrepreneurship education must provide
opportunities for students to interact and practice
with employers because it can provide emotional
and practical support to students.
3.2.4 Know-How (Entrepreneurial Skills
and Abilities)
Know-how relating to the application of knowledge
and entrepreneurial skills which refers
entrepreneurial practice on the question: How to take
entrepreneurial action? How to handle a certain
situation? For example, how to allocate resources,
how to identify the risks involved in the decision-
making, how to deal with the risks, how to recognize
opportunities, develop new products.
Rabbior (1990: 175) suggests one important
function of entrepreneurship education is to give
students practice opportunity to learn through
experience. Furthermore, Rabbior added that
entrepreneurship education should equip students to
think creatively, able to solve problems, work in
teams, challenge and build confidence.
4 RESULTS AND DISCUSSION
In this study, education consisting of know-what
(entrepreneurial knowledge), know-why (values and
motives), know-who (social interaction), know-how
(entrepreneurial skills and abilities) gives effect to
the development of the soul someone (including
entrepreneurial spirit) because education is run with
full awareness, has a target goal, specific objectives
and given systematically to develop the potentials
that exist (Tung 2011; Wahyono, 2013; Johannisson
1991). The results stated in entrepreneurship
education can improve students 'knowledge in
generating innovative ideas, business plans,
understanding of market research in
entrepreneurship, entrepreneurship education also
enhance students' understanding of the importance
of entrepreneurship, the motive of entrepreneurship,
identify business opportunities, build a network and
managing a business affects the intention of students
to entrepreneurship.
The Effect of Entrepreneurship Education on The Student’s Entrepreneurial Intention Vocational High School
769
Entrepreneurship education is one program at a
time of anticipation reduction of dependence protege
jobs, so the need to cultivate students' intentions in
trying to entrepreneurship through education
(Saroni, 2012: 168). In addition, this research was
supported by research Bharanti (2011: 48) says that
entrepreneurship education provided can improve
the efficacy of entrepreneurship through learning
activities. Supported also by Kourilsky theories and
Walstad (1998: 18) states that entrepreneurship
education will establish entrepreneurship by
improving knowledge of the business and establish
attribution.
The influence of entrepreneurship education on
entrepreneurship intention of students in this study
implies that the better the learning process of
entrepreneurship education in schools learn
important skills that are needed, the more students
will aspire to be an entrepreneur. Important skill is
the ability to identify new business opportunities,
evaluating opportunities, starting a new business as
well as market research study (Zhao et al: 2005: 78).
This is consistent with the findings of Ellen (2004)
which says the higher perceptions of skills, the
greater the intention to entrepreneurship.
Entrepreneurship education can shape the
mindset, attitudes and behaviors in students to
become true entrepreneurs, so that lead students to
choose entrepreneurship as a career option (Lestari
and Wijaya, 2012: 113). Entrepreneurship education
has been pursued expected to foster entrepreneurial
intentions. The experience and knowledge that have
been received during the learning process gives an
overview of how to conduct business, after finding a
picture in the learning process it will generate
interest for someone to finally have the intention of
entrepreneurship. This is consistent with research
conducted Izedonmi & Okafor, 2010; Lorz, 2011;
Bakotic & Kruzic, 2010; Singh and Verma, 2010.
Entrepreneurship education is based on the
theory of learning that will develop entrepreneurship
by increasing knowledge about the business
(Draycott and Rae, 2010). Entrepreneurship
education to follow the principle of lifelong
education that takes place anytime and any-where.
Entrepreneurship education provides learning
experiences, build skills and most importantly be
able to change the mindset of students. Therefore,
entrepreneurship education can be an agent of social
change as proposed Peter (2009) in Word Economic
Forum Switzerland that entrepreneurship can be
learned and can be taught to students in school. This
is in line with the thinking Ciputra (2008) which
states that entrepreneurship education is able to
produce a great national impact if we managed to
educate all students and is capable of producing four
million new entrepreneurs of graduate educational
institutions Indonesia next 25 years.
Entrepreneurship education in this study is
intended as a learning process to shape the attitudes
and mindsets of students to career options in
entrepreneurship, with the hope that students who
have studied entrepreneurship will have the values
and character of entrepreneurship that will increase
the goodwill of the entrepreneurial world (Kruzicet
al 2010; Cruz, Escudero, Barahona & Leitao, 2009;
Athayde, 2009). The high intention of
entrepreneurship will give birth to young
entrepreneurs who self-contained, have a clear
vision of the future, creativity and innovation are
high in creating new business opportunities, so that
the problem of educated unemployment can be
resolved because the output of the results of
entrepreneurial education is prospective young
entrepreneurs talented who no longer oriented to be
job seekers but have become creators of jobs.
5 CONCLUSIONS
Based on the results of hypothesis testing and data
analysis can be concluded that there is a variable
influence on the intention of entrepreneurship
education in entrepreneurship students of SMK
Negeri Surakarta, meaning that students make
entrepreneurship education received as a
consideration in entrepreneurship intentions.
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