Influence of Academic Entrepreneurial Intentions on the Creation of University Spin-Off Firms in Kenya

Abstract

The decision to become an entrepreneur and create a new business is a deliberate and conscious decision. Therefore entrepreneurial intentions can be seen as accurate predictors of planned behavior of creating spin-off firms by academics from the knowledge or research outputs originating from their respective universities. However, from universities perspective transferring of technology and findings to the market place by academics has been on a downward trend for several past years. This study examined the influence of academic entrepreneurial intentions on the creation of university spin-off firms in Kenya. In particular, the study sought to determine the influence of entrepreneurial self-efficacy of creation of spin-off firms, the influence of personal and professional networks on creation of spin-off firms and influence of co-operation with industry o creation of spin-off firms. The study employed: exploratory, descriptive, and causal research design. The study population was 15,064 students and academic staff drawn from the top 10 public and private universities in Kenya with a sample of 387 respondents randomly selected. Questionnaire was used to collect data. Data was analyzed using descriptive statistics and in addition multiple regression models were employed to test the hypotheses. The results indicated that although majority of academics in Kenya were at initial phase of conceptualizing and developing their business ideas for commercialization they had high entrepreneurial intentions to finally start and manage successful businesses. This is a common trend among most scholars in higher learning institutions that are found in developing countries across the world. Moreover, results showed that entrepreneurial self-efficacy, personal and professional network, co-operation with industry significantly influence creation of university spin-off firms. Opportunity identification and recognition and university contextual elements moderated academic entrepreneurial intentions and university creation of spin-off firms. However, personal and professional networks had the highest co-efficient of determination meaning that it had the best influence on creation of spin-off firms. Furthermore, university contextual elements had more significant moderating effect in the relationship between academic entrepreneurial intentions and university creation of spin-off firms. The study concluded that developing holistic entrepreneurial intentions among the university community is a gradual process that requires internally; active participation of university managers, academic staff and students’ and externally; concrete university-industry-government linkages. The recommendations were that universities should develop personal and professional networks that will provide information, advice and emotional support for their entrepreneurial dynamism balancing academics’ lack of managerial and commercial skills and hence contributing to bolstering academics’ entrepreneurial intentions. Therefore at the base of entrepreneurial

success, academics should work to improve their individual self-efficacy to guarantee positive outcomes and at the entrepreneurial apex, the universities should build meaningful collaborations with industry that will help identify and develop opportunities that will eventually grow into successful business ventures.