Self‐efficacy, self‐esteem, and entrepreneurship among the unemployed

Abstract This study focuses on entrepreneurial self‐efficacy, general self‐efficacy, and global self‐esteem and on their role in the entrepreneurial process. Apart from providing evidence of the relationship between these self‐beliefs and entrepreneurial intention, it also demonstrates how they are related to actual business start‐up. Longitudinal data were obtained from 332 unemployed individuals. After 1 year, official confirmations of new firm registrations were collected. Higher levels of all 3 self‐referent beliefs were positively associated with entrepreneurial intention. Multivariate analyses showed that entrepreneurial and general self‐efficacy beliefs were important predictors of this intention. Self‐referent beliefs accounted for an additional 12% of the variance in entrepreneurial intention and for an additional 4% of the variance in actual business start‐up beyond the demographic variables.