A CRITICAL STUDY ON ENTREPRENEURIAL BEHAVIOUR OF AGRIPRENEURS IN ANDHRA PRADESH
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Date
2016
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Acharya N.G. Ranga Agricultural University
Abstract
Entrepreneurship in agriculture will solve all the problem viz. reduce the burden
of agriculture, generate employment opportunities for rural youth, control migration
from rural to urban areas, increase national income, support industrial development in
rural areas and reduces the pressure on urban cities etc. Andhra Pradesh has more than
1.5 lakh agro based micro, small enterprises with average annual turnover of 727 Crores.
In this state vishakapatnam, krishna, and chittoor districts have 10,984 agrobased units
which is the highest in number among all the districts.
A critical study on entrepreneurial behaviour of agripreneurs was conducted in
three districts of Andhra Pradesh during 2013. From each selected district 80
agripreneurs were selected by proportionate random sampling in proportion to the
number of choosen enterprises. Thus making a total of 240 agripreneurs.
Considering attitude and entrepreneurial behaviour as dependent variables, scales
were developed by using summated rating technique. The attitude scale comprised of 22
statements. The entrepreneurial behavioural scale comprised of 49 statements under eight
components. The study was conducted by following an Ex-Post-Facto research design.
Data was collected by pre-tested schedule followed by personal interview method.
Appropriate statistical procedures were employed to analyse and interpret the data.
The analysis of the profile characteristics of agripreneurs indicated that majority
of them were middle aged (65.50%), males (80.00%) with secondary school education
(40.83%) and previous work experience related to present business (60.00%), not attended
any training for the last five years (57.91%), had micro enterprises (60.84%), processing
activity (49.58%) and solo proprietorship status (70.42%). majority of them belongs to
medium levels of socio economic status (56.25%),social participation(54.58%), financial
behaviour (49.17%), mass media exposure (48.33%), information sharing behaviour
(48.33%), marketing orientation(46.67%) and risk orientation (46.25%).
The detailed analysis of dependent variables indicated that majority of the
agripreneurs had moderate level of favourable attitude (62.50%) towards agri
entrepreneurship and medium level of entrepreneurial behaviour (57.91%).With regard to
various components of entrepreneurial behaviour they possess medium level of
entrepreneurial self-efficacy (57.08%), medium level of innovativeness (50.83%), high
level of leadership behaviour (47.50%), medium level of achievement motivation
(47.50%), high level of communication network (47.08%), medium level of business
skills (45.83%) and high level of need for independence (45.00%).Principle component
analysis revealed that two factors i.e. entrepreneurial potential, entrepreneurial skill factors
explained the maximum variation (85.281%) in entrepreneurial behaviour of
agripreneurs.
Push factor expressed by the agripreneurs were unemployment, availability of
raw material and marketing facilities for the product, insufficient family income,
dissatisfaction with salaried job, need for flexible work schedule, personal freedom, lack
of proper education to get the job, family hardship and to be stay closer to family. In case
of pull factors expressed by the majority of agripreneurs were to be able to use previous
work experience, family business tradition, desire to be independent, earning more
income, to full fill own ambition on interested field, to ensure job security, educational
background, influence of family, friends and business partners, to get social recognition,
to contribute to the welfare of the community and assistance from government and
financial institution.
The computed correlation coefficient ‘r’ values of education, previous
experience, socioeconomic status, financial behaviour, and marketing orientation were
found to have positive and significant relationship with attitude of agripreneurs towards
agri entrepreneurship at 0.01 level of probability. Training undergone, mass media
exposure, size of the enterprise and risk orientation was significant at 0.05 level of
probability. Whereas, variables such as age, information sharing behaviour and type of
enterprises were found to be positive and non-significant with the attitude of
agripreneurs. Gender, social participation was found to be negative and non-significant
with the attitude of agripreneurs towards agri entrepreneurship.
The multiple regression equation with fourteen selected profile characteristics put
together contributed 81.20 per cent to the total variance in the attitude; remaining 18.80
per cent was due to the extraneous effects of the variables. All the independent variables
contributed to the total variation; in particular education, marketing orientation and socio
economic status were significantly contributed towards the attitude at 0.01 and at 0.05
per cent level of probability.
The variables such as education, previous experience, socio economic status,
financial behaviour, and marketing orientation were found to have positive and
significant relationship with entrepreneurial behaviour of agripreneurs at 0.01 level of
probability. Training undergone, mass media exposure, size of the enterprise and risk
orientation was significant at 0.05 level of probability. Whereas, profile characteristics
such as age, gender, social participation, type of enterprise and information sharing
behaviour were found to be positive and non-significant with the entrepreneurial
behaviour of agripreneurs.
The multiple regression equation with fourteen selected profile characteristics put
together contributed 88.40 per cent to the total variance in the entrepreneurial behaviour;
remaining 12.60 per cent was due to the extraneous effect of the variables. Education,
previous experience, financial behaviour, size of the enterprise, marketing orientation,
and socioeconomic status were significantly contributed towards entrepreneurial
behaviour at 0.01 per cent level of probability and at 0.05 per cent level of probability.
With regard to SWOT analysis the strengths reported by the agripreneurs were
availability of raw material, socially acceptable business and support from the
government, create employment to others etc. Whereas, in case of weakness expressed
by the agripreneurs were high cost of investment, difficult to get financial assistance
and inadequate infrastructure facilities etc. Opportunities expressed by the agripreneurs
were: huge demand for the product in the market, large crop material base in the country
and support from government and financial institutions etc. Lastly, the threats expressed
by the agripreneurs were: stiff competition in the market, weather aberrations and
outdated technology and equipment etc. Based on the SWOT analysis, suitable strategy
was developed to promote agri entrepreneurship.
The detailed analysis of managerial activities of the agripreneurs indicated that
majority of the agripreneurs had medium level of managerial activities (47.08%). With
regard to various managerial activities, they possess medium level of opportunity
scanning (54.59%), medium business planning (50.42%), medium organizing abilities
(57.92%), medium directing ability (60.00%), medium controlling abilities (56.67%),
medium marketing abilities (62.08%) and medium evaluating category (59.58%).
Description
D5251
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