Philippine E-Journals

A Confirmatory Factor Analysis of an Entrepreneurial Potential Scale

Manuel Charles C. Manapat | Laurence P Usona

Discipline: business and management (non-specific)

 

Abstract:

There are not many instruments that measure entrepreneurial skills, such as entrepreneurial potential, that are readily available on the internet. Instruments that measure such constructs and that are suitable for business-venturing Filipinos like TVL students are challenging to find. Thus, this research primarily aimed to produce a validated questionnaire that may now quantify the entrepreneurial potential (EP) of locals. From the construction of the initial 71-item questionnaire, trimmed to the original 55-item questionnaire used for pilot testing, to the 39-item reduced questionnaire that may now measure EP of our locals, this research aimed to outline the validation procedures it had undergone. Confirmatory factor analysis (CFA) was employed as the primary statistical analysis to assess EP and its four domains, as theorized by Curral, Santos, and Caetano (2013). The original 55 items had to be removed because 16 items had low factor loadings (<.4000), as characterized by their standard estimates. Fit measures between the original and the item-reduced questionnaire were compared as well – a 21.10 percentage point increase in the CFI and a 15.50 percentage point increase in TLI were observed. While the newly developed questionnaire may still have several rooms for improvement, it may now be used to measure the entrepreneurial potential of Filipinos, especially Navotenos since most of the respondents were Navotenos.