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APJIE
11,1 Entrepreneurship intention in
agricultural sector of young
generation in Indonesia
76 Rizki Novanda Ridha
Economic and Management Faculty, Bogor Agricultural University,
Received 12 August 2016 Bogor, Indonesia, and
Revised 9 October 2016
Accepted 10 October 2016
Burhanuddin and Budi Priyatna Wahyu
Department of Agribusiness, Economic and Management Faculty,
Bogor Agricultural University, Bogor, Indonesia

Abstract
Purpose – This paper aims to discuss Indonesia as a country having a young generation resource crisis in
agricultural sectors, and this crisis contributes more than 32.9 per cent higher unemployment than other
sectors. Therefore, creative youths are needed to build the sector through entrepreneurship activities.
Design/methodology/approach – The low condition of youth entrepreneurship intention in
agricultural sectors leading the Agriculture Ministry of Indonesia launches an Agricultural Young
Entrepreneurship Growing Program 2016 (Program Penumbuhan Wirausaha Muda Pertanian, PWMP 2016).
Intention in growing phase is critical to avoid the program failure.
Findings – This research was aimed to analyze entrepreneurship characteristics and factors affecting the
intentions. The research was conducted in three cities, Bogor, Lampung and Bandung, with 189 respondents
who accepted business support from the PWMP in 2016. The accumulated data were then analyzed using
descriptive analysis and structural equation model. Respondents have highly average trends on behavior
belief, normative belief, motivation to comply, control belief, control belief power and intention. While, only
the evaluation of the consequence to give the medium trend is about 50.26 per cent.
Originality/value – Factor affects to the entrepreneurship intention in agricultural sectors is a subjective
norm or external factor, and both the attitude toward behavior and perceived behavioral control factors do not
affect entrepreneurship intention in the agricultural sector.
Keywords Entrepreneurship, Intention, Agriculture, SEM
Paper type Research paper

1. Introduction
Indonesia is a country that has a high unemployment of about 7.24 million of its population
and is increasing by 90 thousand compared to the previous year (BPS, 2014). This
phenomenon is dominated by youth unemployment which is increasing by years. The
unemployment is prominently dominated by labor force in rural areas with averaged
growth of about 9.8 per cent (Sakernas, 2012-2014). Moreover, rural areas of Indonesia are

© Rizki Novanda Ridha, Burhanuddin and Budi Priyatna Wahyu. Published in the Asia Pacific
Asia Pacific Journal of Innovation
Journal of Innovation and Entrepreneurship. Published by Emerald Publishing Limited. This article
and Entrepreneurship is published under the Creative Commons Attribution (CC BY 4.0) licence. Anyone may reproduce,
Vol. 11 No. 1, 2017
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2071-1395
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mostly dominated by agricultural sector that has an employment level of about 32.9 per cent Intention in
(BPS, 2016). The sector contributes higher idleness number in Indonesia than other sectors. agricultural
This higher contribution indicates that agricultural employments are not able to
accommodate those amount workforces or moving to other sectors. Youth interest in
sector
agricultural sector is decreasing year by year. Furthermore, 35 per cent of those who are
working on agricultural sector have a low productivity, and most of them are small-scale
farmers and elderly.
The low contribution young generation phenomenon in agricultural sector above is also 77
correlated positively on decreasing national income on the sector. Hence, creative youths are
required to develop the sector through entrepreneurship activities. Entrepreneurs are people
who are action oriented, having high motivation and daring to take risks and future
motivation (Pambudy et al., 2005).
As an agrarian country with tremendous natural resources, agricultural sector of
Indonesia is a very potential business area to be developed by youths. Developing
agricultural entrepreneurship is needed to drive human resource productivity of the sector.
According to Central Bureau of Statistics/BPS (2014), business actors in agricultural
commodity are only about 44.20 million people (0.17 per cent) of the Indonesian population.
The low number of entrepreneurs is indicated as a gap between human resources and
education problems in famer’s level. Colleges play an important role in creating young
agricultural entrepreneurs which is a crucial issue in this country. The colleges are
responsible on increasing growth of graduated scholar to be unemployment about 14.5 per
cent in period 2012-2015. There is low intention of those scholars for being entrepreneurs in
agriculture due to financial factors which needs huge financial capital (Boateng et al., 2014;
Pande, 2015). Even people from agricultural background are more interested to do business
in non-agricultural sector (Parcel, 2003).
The low intention of youth entrepreneurs on agricultural sector induced Agricultural
Ministry of Indonesia for launching an Agricultural Young Entrepreneurship Growing
Program 2016 [Program Penumbuhan Wirausaha Muda Pertanian (PWMP) 2016]. This
program is launched with an aim to answer the graduated campus unemployment and lack
of human resources in the sector. Most of these programs are targeted to agricultural
graduates by distributing capital assistance as long as 3 years to those graduates so they
able to overcame the lack of financial capital. The needed initial evaluation of the program is
intended to presume how successful the program is in the first year to increase
entrepreneurship intention. Intention is a high fellow feeling to carry out entrepreneurship
activities in agricultural sector. This intention is closely related to attitude toward the
behavior, subjective norm and perceived behavior control. The importance to know
intention on the first-year program is to avoid program failures.
This paper reveals Indonesian reseachers’ level of understanding on youth
entrepreneurial issues. First, this paper aims to analyze young entrepreneurs’
characteristics. Second, this paper proposes to analyze some factors affecting entrepreneurs’
intention on agricultural sector. Discussion is presented in the third section, while
recommendations are in the last section.

2. Review of literatures
Entrepreneur intention is identical with individual competency that refers to a willingness to
conduct a certain behavior. Intentions of youth entrepreneurship in Chinai agricultural
sector is influenced by the attitude factor. The intention basically is an acceptance on a
representative relationship, like has been explained in the theory of planned behavior (TBP),
between cognitive and conative behavior of readiness of individuals to perform certain act.
APJIE It plays as a determinant and disposition of behavior, until the individual has proper
11,1 opportunity and time to display the act in a real situation (Fisben and Ajzen in Yuliana,
2004).
In the TBP proposed by Ajzen (1991), intention is assumed as a portrait of motivation
factor which affects an act. This indicates how hard a person tries to formulate his/her
behavior. As of, intention highly correlated with behave (Figure 1). According to the theory
78 above, it is influenced by some factors such as attitude toward the behavior, subjective norm
and perceived behavioral control.

Attitude toward the behavior refers to how far an individual assess something
favorable and unfavorable.

Subjectif norm is a social pressure that is experienced to do an act or behave.

Perceived behavioral control is a perceiving easiness or trouble that is formed
from assuming based on past experience and anticipating obstacles and
barriers.
TBP can be used as the basis for the analysis of entrepreneurial intentions. A study by
Sommer (2011) prove that the TBP can be used to analyze the intention of entrepreneurship
and its impact on past behavior. Van Gelderen et al. (2008) suggested that to investigate in
detail about the intentions of entrepreneurs, TPB is required where the intention is regarded
as a result of the attitudes, perceived behavior control and subjectif norms. According to
Zampetakis et al. (2013) and Devi (2015), this variable attitude toward the behavior is an
influential variable in an young entrepreneur’s intention in agricultural sector. The same
way with Saheed and Kavoos (2016) suggested that youth entrepreneurship in Africa has a
positive attitude that is active and ready to take risks and standalone. Similarly, Ahmad
(2014) suggested that attitude is the strongest factor affecting the intention of
entrepreneurship among students from Nigeria at Utara Malaysia University. Intentions of
youth entrepreneurship in Chinai agricultural sector is influenced by the attitude factor
(Devi, 2015).
Second factor is proven by Shiri et al. (2012) who express that subjective norm has
significantly affected young student entrepreneurs that have an educational background in

Atude
Toward the
behaviour

Subjecve Behaviour
Intenon
Norm

Perceived
Behavioral
Control
Figure 1.
Theory of planned
behavior
Source: Ajzen (1991)
agriculture; perceived behavioral control factor is being a factor influencing young Intention in
entrepreneur’s intention. A similar study conducted in Indonesia by Arisandi (2016) agricultural
suggested that entrepreneurial intentions Bogor agricultural University (IPB) Graduate
students in the agricultural sector are influenced by subjective norm factors. However, other
sector
factors are attitude toward the behavior and behavior control perceive no effect on
entrepreneurial intentions IPB graduate students in the agricultural sector. Entrepreneurial
intention was positively correlated with extraversion, openness and support of people
nearby who are part of the subjective norm factor (Ismail et al., 2009). Contrary to Robledo et 79
al.’s (2015) research, perceived behavior control and attitudes affect entrepreneurial
intentions, while subjective norm does not affect entrepreneurial intentions. In addition, the
findings indicate that the moderating effect of gender has a positive effect for women to
development entrepreneurial intentions (Yeasmin and Latif, 2015).
The study of Wijerathna (2015) in agriculture faculty of Srilangka State University
proved that subjective norms and attitudes are the greatest factors that influence
entrepreneurial intentions agricultural students in Sri Lanka. Contrasted with Nabila and
Haryani (2015) research that entrepreneurial intentions of students in Malaysia is formed by
the control behavior and support relationships of an entrepreneur. These findings indicate
that not all factors affect youth entrepreneurial intention. However, the third factor in TPB
allowed to jointly affect youth entrepreneurial intentions. In Public Malaysia University, the
third factor (attitude, subjective norm, perceived behavioral control) affects entrepreneurial
intentions with the strongest factors of subjective norms and attitudes (Soon et al., 2016).
This is in line with Masoomi et al.’s (2016) research that proves that subjective norms,
perceived behavior control and attitude are highly correlated with entrepreneurial intentions
of students in agriculture at the University of Shiraz, Iran. Likewise, the students from
Nigeria, on Muhammad et al.’s (2015) study, found that attitude, subjectif norm and control
behavior power all together influence the entrepreneurial intention of Nigerian students.
A comparison study with different country (Indonesia, Japan, Norwegia) by Indrianti
(2008) shows that entrepreneur’s intention among students and the affecting factors are
different among those countries. Educational background to be a main factor influences
entrepreneurial intention of among those students. The correlation analysis indicated that
youth entrepreneurial intentions are positively correlated to their personality traits (risk
taking propensity, innovativeness and tolerance of ambiguity), and social learning
(knowledge and experience and family upbringing) (Tateh et al., 2014). Entrepreneurship
education program has affected student behavior control and anticipation of positive and
negative impacts (Zampetakis et al., 2014). This research shows that educational
background in agriculture is highly affecting entrepreneurship intention in agricultural
aspect. Movahedi et al. (2013) show a motive of a bachelor candidate to work in agricultural
sector. Hence, this entrepreneurial intention tends to be prominently dominated by
agriculture graduates. Respondents with agriculture background are more likely to become
agri-entrepreneurs compared to the ones with social science backgrounds. (Mohamed et al.,
2012). Results of the analysis found students’ perception regarding the prospects of
agribusiness enterprises in Ghana to have a statistical significant influence at both 1 and 5
per cent levels of significance on students’ intention to take up agribusiness as a future self-
employment avenue (Zakaria et al., 2014). However, it is contrasted with research conducted
by Aziz and Naem (2013) on youth interests on agricultural entrepreneurship in Malaysia,
which shows that knowledge and education background are not significantly affecting
those youths to be entrepreneurs.
Agricultural sector is less favorable for young people. Utsugi (2012) in his research in
organic agricultural area of Brattleboro states that there are not many young people in
APJIE Brattleboro wishing to choose organic agriculture as their carrier of work. Research result
11,1 expresses that those people consider to work in organic agriculture especially as financial
factors. They also need to determine that organic agriculture is able to make a decent living
or not. It is no more different with researches conducted by Boateng et al. (2014) and Pande
(2015) which state that youths perceive lack of capitals, skills, supports, market
opportunities and risks to be main obstacles for intending entrepreneurships. Financial
80 condition tends neither capital lack nor business return causing hampered entrepreneurship
of the youths (Ahmed et al., 2010; Azwar, 2013; Herawati and Sambharakreshna, 2015).
Agricultural sector assessed has high risk so that investment and return are being a
sensitive issue recently. Many young agricultural graduates tend to do business in other
sectors (Parcel, 2013). This condition attains to become a research reference where
agriculture is less interested because of financial problems. Financial support to some
PWMP participants should be a respond for youth entrepreneurial crisis in agricultural
sector which is later parallel with entrepreneur’s intention of agriculture.

3. Hypothesis and conceptual modes

Hypothesis in this research was based by previous research and the constructed TPB. The
based TPB hypothesis more refers to affecting factors young entrepreneur’s intention on
agricultural sector. The TPB in this context, intention is influenced by some factors such as
attitude toward the behavior, subjectif norm, and perceived behavioral control:
H1. The attitude toward the behavior factor influences positively entrepreneur’s
intention of PWMP participants.
The attitude toward the behavior refers to how far an individual assesses something that
favorable and unfavorable. This factor is a crucial for an entrepreneur. Zampetakis et al.
(2013) and Devi (2015) found that attitude factor on the behavior is a variable that highly
affects entrepreneur’s intention of youth in agricultural sector. In their measurements, there
are some indicators of the attitude. The attitude toward the behavior factor has some
indicators such as appreciation, creativeness, risk taking, tolerance, independence,
proactive-innovativeness, focus and self-confidence, time appreciation, hardworking,
integrity, toughness, autonomy, leadership, spiritualism, knowing, achieving targets, mental
toughness, future orientation, flexibility and diligence (Mohavedi et al., 2013; Arisandi, 2016;
Ulfa and Maftakhatusolikhah, 2015).
It is contracted to the research conducted by Azwar (2013) found that indicators of the
attitude toward the behavior are autonomy/authority, economic challenge, self-actualization,
filling trusted, safety, work load, avoiding responsibility and social carrier. In this study, an
element of the attitude toward the behavior variable is to seek a work with challenges and
high economic values (economic opportunity). While indicator of the attitude toward the
behavior is stated by Adetayo (2006) more towards to socio-economic factors such as
experience, education and motivation:
H2. Factor of subjective norm affects positively on entrepreneur’s intention of PWMP
participants.
This factor is social pressure that is sensed to do an act or not. In the research conducted by
Shiri et al. (2012), subjective norm has significant influence on entrepreneur’s intention of
students who has agricultural education background. In latent variables, construction
stating that belief toward normative referent of hope and motivating on normative hope are
keys for forming indicators. While research was carried out by Arisandi (2016) added that
indicator in belief toward normative referent of hope constitutes of believing on
organization, parents, family, teacher/lecturer and friends expectations. Latent variable of Intention in
motivation to be obeying on normative referent of hope has motivation on the above agricultural
expectations: sector
H3. Factor of perceived behavioral control predisposes positively on entrepreneur’s
intention of PWMP participants.
Perceived behavioral control is easiness or that can be perceived or formed difficulty of 81
behavior which is assumed referring on past experiences and anticipating obstacles. In
forming these latent variables, it was stated that belief on easiness level of behavior and
a control power on easiness level are main keys for framing indicators. Research
conducted by Arisandi (2016) states that indicators in belief on easiness level of behavior
consists of easy/difficult belief on accessing to financial institution, overcoming fatigue
and boring, resolve entrepreneurship complexities and fulfilling agreements. While,
control power latent variable on easiness level has indicators as same as previously
mentioned above.

4. Methods
4.1 Research design
This research was conducted on three cities, Bogor, Lampung and Bandung by delivering
online questionnaires and direct interview to PWMP participants. Determining research
locations was carried out by purposive sampling to consider distributing participants
about 59 per cent of all PWMP participants. Data were collected from August to
September 2016 with qualitative technique. Primary and secondary data were gathered
based on research needs. Primary data were taken directly both through questioners and
interviews about PWMP program, and secondary data were compiled from related
institutions such as Central Bureau of Statistics Republic of Indonesia (Badan Pusat
Statistik, BPS), local labor offices, PWMP data and Ministry of Agriculture. Total
respondents were 198 who are bachelors of agriculture and receiving financial support for
the PWMP program in 2016 at those locations. Those gathered data are then analyzed
using descriptive analysis and structural equation model (SEM) (Figure 2) (Table I and
Table II).

Figure 2.
SEM model
APJIE Manifested
11,1 Latent variables variable Questions

X1. Attitude X1.1 Z1 Consequence belief on appreciating time

toward the behavior Behavior Z2 Consequence belief on bearing to take risks
beliefs Z3 Consequence belief on integrity
Z4 Consequence belief on confidence
82 Z5 Consequence belief on creativeness
Z6 Consequence belief on innovativeness
Z7 Consequence belief on autonomy
Z8 Consequence belief on leadership
Z9 Consequence belief on diligence
Z10 Consequence belief on discipline
X1.2 Z11 Evaluating consequence of appreciating time
Evaluation Z12 Evaluating consequence of bearing to take risks
of that Z13 Evaluating consequence of integrity
consequences Z14 Evaluating consequence of confidence
Z15 Evaluating consequence of creativeness
Z16 Evaluating consequence of innovativeness
Z17 Evaluating consequence of autonomy
Z18 Evaluating consequence of leadership
Z19 Evaluating consequence of diligence
Z20 Evaluating consequence of discipline
X2. Subjective norm X2.1 Z21 Belief on organization’s expectation
Normative Z22 Belief on parents’ hope
beliefs Z23 Belief on family’s expectation
Z24 Belief on teacher/lecturer’s expectation
Z25 Belief on friend’s expectation
X2.2 Z26 Motivation to comply on organization’s expectation
Motivation to Z27 Motivation to comply on parents’ hope
comply Z28 Motivation to comply on family’s expectation
Z29 Motivation to comply on teacher/lecturer’s expectation
Z30 Motivation to comply on friend’s expectation
X3. Perceived X3.1 Control Z31 Easy/difficult belief on accessing financial institution
behavioral belief Z32 Easy/difficult belief in overcoming tired/boring
control Z33 Easy/difficult belief in surmounting entrepreneurship difficulty
Z34 Easy/difficult belief in satisfying agreements
X3.2 Control Z35 Control power on accessing financial institution
belief power Z36 Control power on overcoming tired and boring
Z37 Control power on surmounting entrepreneurship difficulty
Table I. Z38 Control power on satisfying agreements
Explanation for the Y. Intention Y39 High intention of entrepreneurship
SEM model Y40 High intention of entrepreneurship in agricultural sector

5. Results and discussion

5.1 General overview of respondents
5.1.1 Age, ethnic and gender. Youth is a group of people with productive age between 15
and 35 years. In this research, respondents are in aged ranged from 19 to 35 years. The
respondents aged 23 years have higher proportion among others.
Ethnic group of respondents are varied such as Melayu, Batak, Minang, Sundanese,
Javanesse, Betawi, Chiness and Bugis. Most respondents are Sundanese and Javanese
about 43.9 and 32.8 per cent, respectively. This condition indicates that Sundanese
respondents are dominant in research location mostly in West Java. Javanese also is
Variable Operational definition
Intention in
agricultural
Attitude toward the behavior How far individual assesses something can be profitable sector
Behavior beliefs One’s perceived beliefs on behavior, and it will push to be an attitude
Evaluation of that Individual’s positive of negative evaluation on certain behavior based on
consequences his/her beliefs
Subjectif norm Perceived close social pressure for doing an act or not
Normative beliefs Perceptive representation of important people on one’s and affects how his/ 83
her behavior should be
Motivation to comply One should show his/her certain behavior and motivation for obeying to
referenced hopes/expectations
Perceived behavioral control Formed easiness or difficulty of behavior that is assumed based on past
experiences and anticipating obstacles
Control belief Belief on opportunity and resources that are owned by an individual to
conduct a behavior
Control belief power Power or capability that is owned by one to control perceived factors for
facilitating or obstructing a behavior Table II.
Intention A sense on something or business activity in agricultural sector among Operational
fields such as upstream, on-farm, downstream, and supporting fields definition

considered dominantly after the Sunda. This is due to Javanese mostly live either in
Lampung or West Java.
Gender of respondents is constructed by the following proportion: 66.1 per cent for male
and 33.9 per cent for female (Table III). This condition exhibits that man has high interest to
follow PWMP program than woman.
5.1.2 Marital status. Married respondent has a low proportion about 14.3 per cent, and
the single respondent has a high proportion about 83.7 per cent (Table IV). This situation
indicates that the single respondent is more dominant than the married one. Other reason is
that the young people do not have orientation to marriage yet before owning established life.

5.2 Descriptive analysis

A descriptive analysis is a technique used for describing sample characteristics.
Characteristics of the research are able to be reflected by such variables X1.1, X1.2, X2.1,

Age (year)
19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35
Total (people) 1 0 10 34 49 24 21 14 12 6 5 2 0 0 4 2 3
(%) 0.5 0.0 5.3 18.0 25.9 12.7 11.1 7.4 3.2 2.6 2.6 1.1 0.0 0.0 2.1 1.1 1.6

Ethnic
Melayu Batak Minang Sundanese Javanese Betawi Chines Bugis
Total (people) 16 15 3 83 62 3 3 4
(%) 8.5 7.9 1.6 43.9 32.8 1.6 1.6 2.1
Gender Table III.
Woman Man Age, ethnic and
Total (people) 64 125 gender of
(%) 33.9 66.1 respondents
APJIE X2.2, X3.1, X3.2 dan Y[0].1, Y.2. The used techniques in descriptive statistics are percentage,
11,1 average and deviation standard (Table V).
Analysis of the result descriptively shows that most respondents have high significant
average on behavior beliefs, normative beliefs, motivation to comply, control belief, control
belief power and intension. These evidence that:

respondents surely believe that such entrepreneur’s behaviors, such as
84 appreciating time, taking risks, integrity, self-confidence, innovative, autonomy,
leadership, diligent and discipline, have to be owned by an agricultural
entrepreneur;

respondents are very confident that expectation coming from parent, family,
friends and supervisor are verily motivated to conduct business;

respondents express that entrepreneurship motivation based on the expectation
coming from parent, family, friend and supervisor;

respondents are sure that getting easy to, having access for financial
institutions, overcoming tired condition, subduing entrepreneurship difficulty
easily and fulfilling agreements increase intention in entrepreneur activities;

respondents have an ability to access financial institution, overcome tired,
subdue business’s difficulty and meet agreement (negotiation); and

respondents of PWMP have a high entrepreneur’s intention on agricultural sector.
Furthermore, there is only the evaluation of that consequences which gives medium tendency
about 50.26 per cent. This is pointed that respondents do not maximize yet to adjust
entrepreneur’s behavior such as appreciating time, taking risks, having integrity, self-
confidence, creative, innovative, autonomy, leadership, diligent and discipline.

5.3 Structural analysis of equation model

5.3.1 Overall model fit. Based on the table above, overall model result criteria which fulfill
the requirement for goodness of fit means that the resulted model is good fit. The root mean

Marital status Total (People) (%)

Table IV. Married 27 14.3
Marital status of Single 162 85.7
respondents Total 189 100.0

% inclination
Variable Mean SD High Medium Low

X1.1 43,80423 4,393998 90.48 8.99 0.53

X1.2 39,67196 5,032692 43.92 50.26 5.82
X2.1 21,95238 2,674318 86.77 12.70 0.53
X2.2 21,56085 2,735261 81.48 17.99 0.53
X3.1 18,14815 2,113598 92.59 6.88 0.53
Table V. X3.2 14,51852 2,838925 50 47 3
Descriptive data Y 9,296296 1,160996 94 5 1
square error of approximation (RMSEA) criteria results in ranged values of 0.055  0.08 Intention in
meaning that the resulted model is good fit (Table VI). The use of other goodness of fit agricultural
criteria such as goodness of fit (GFI), comparative fit index (CFI), normed fit index (NFI), sector
non-normed fit index (NNFI), incremental fit index (IFI) and relative fit index (RFI), results
value >0.90 means the resulted model is good fit. So does another criterion of root mean
square residual (RMR) resulting value about 0.1 which means the resulted model is good
fitted. Because of all criteria infer the model is good of fit, testing the hypothetic theory can 85
be done. This represents that resulted questionnaire data are able to answer the built theory.
5.3.2. Measurement model fit. Model fit theory of measurement was conducted based on
validating indicator variables on its latent variables. An indicator variable is able be told
valid when it has standardized loading factor more than its tolerated loading factors about
0.50 (Igbaria et al., 1997). Figure 3 shows that loading factors is higher than 0.5 pointing
that all variables have met valid requirement.
5.3.3 Analysis of factors affecting intention. According to the resulting analysis of SEM,
it is gained that path coefficients for X1, X2 and X3 are 0.39, 0.58 and 0.22, respectively.
While, the resulted t-value for each X1, X2 and X3 are 1.32, 2.28 and 0.62, respectively
(Figure 4) (Table VII).

Goodness of fit Cut-off-value Result Annotation

RMR  0.05 atau  0.1 0.046 Good fit

RMSEA  0.08 0.055 Good fit
GFI  0.90 0.94 Good fit
CFI  0.90 0.96 Good fit
NFI  0.90 0.98 Good fit
NNFI  0.90 0.99 Good fit Table VI.
IFI  0.90 0.99 Good fit Measurement model
RFI  0.90 0.97 Good fit fit indices

Figure 3.
Standardized loading
factor diagram
APJIE
11,1

86

Figure 4.
Structural model fit

Relationship among variables Path coefficients |t-value| Conclusion

Table VII. X1 ! Y 0.39 1.32 Insignificant
Structural resulted X2 ! Y 0.58 2.28 Significant
model X3 ! Y 0.22 0.62 Insignificant

The resulted SEM data processing on attitude toward to behavior factors shows the
result is insignificant meaning that H0 is accepted and H1 is refused. This infers that the
attitude toward the behavior factor has no effect on youth entrepreneur’s intention in
agricultural sector. Entrepreneurship attitude cannot determine how big intentions for
entrepreneurs in agricultural sector. Hence, the created entrepreneur’s behavior is not
based by attitude toward the behavior. In line with a research conducted by Arisandi
(2016) expressing that attitude toward the behavior does not give any positive influence
on entrepreneur’s intention in agribusiness sector.
The subjective form shows a significant result on young entrepreneur’s intention in
agricultural sector meaning that H0 is refused and H2 is accepted. This factor shows how
far social pressure from some sides can increase entrepreneur’s intention. Supports coming
from parent, family, friends, consultants and business team affect the high intention’s value.
This condition is called as external factors of respondents, and it collaborates positively
with entrepreneur’s intention. Confirming research conducted by Shiri et al. (2012), it is
expressed that someone who has agricultural education background is highly influenced by
the subjective norm.
 The perceived behavioral control is an easiness or difficulty are perceived sense that is Intention in
built from behavior assuming based on past experiences and anticipating obstacles. The agricultural
research result shows that the perceived behavioral control is not significant, where H3 is
rejected by 5 per cent of confidence. Moreover, the perceived behavioral control has no
sector
influence on entrepreneur’s intention in agricultural sector. Without any behavior
controls, respondents surely believe that entrepreneurship’s intention can be appeared
from their self. This refers to Arisandi (2016) which expresses that the perceived
behavioral control has no influence on entrepreneur’s intention in agribusiness sector.
87

6. Conclusion and recommendation

Most respondents have high averaged tends descriptively on behavior beliefs, normative
beliefs, motivation to comply, control belief, control belief power and intension. Only the
evaluation of that consequences gives a medium tend of about 50.26 per cent. Factor affecting
entrepreneur’s intention in agricultural sector is subjective norm or external factor.
Nevertheless, the attitude toward the behavior and perceived behavioral control have no effect
on entrepreneur’s intention of the sector.
Recommendation of this research is formulated based on likely causes of high
entrepreneur’s intention in agricultural sector. Main target of entrepreneur’s intention growth
is external factor of the young. Hence, the role of business team, family, parent, friend and
business consultant (supervisor) are crucial to determine the intention. Further, the
government runs the PWMP program which should pay attention on those excellent factors
that there is a strengthening on facilitating external factor for growing more youth
entrepreneur’s intention in agricultural sector. There are three development planning of
external factor for young entrepreneurs through PWMP program as describing below.

Shaping and directing young entrepreneurs of PWMP program in team work
system. Supporting from the team work can strengthen intention’s growth.
Furthermore, introducing some activities that nourish the togetherness either in the
team work or among teams are important to bridge communication of PWMP
participants closely.

Conducting socialization toward parent and community about the importance of
growing entrepreneurship in agricultural sector to recover the nation.

Escalating workshops for consultants and controlling on consultants to give
supports for the program participants. There is a need for an incentive
enhancement for business consultants due to their work hours getting higher in line
with the increasing of entrepreneurship’s intention in agricultural sector.

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Corresponding author
Burhanuddin can be contacted at: [email protected]

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