Proceedings of International Conference on Research ...

Proceedings of International Conference on Research Methods in Management and Social Sciences (ICRMMS-2014)


International Conference on Research Methods in Management and Social Sciences (ICRMMS-2014)

Kuala Lumpur Malaysia 27-28 September, 2014

ISSN: 2311-9195 (CD-ROM)

Organized by

International Foundation for Research and Development (IFRD)

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Preface Dear Distinguished Delegates and Guests, The Conference Committee warmly welcomes our distinguished delegates and guests to the 2014 International Conference on Research Methods in Management and Social Sciences (ICRMMS) , held on September 27–28, 2014 in Malaysia. ICRMMS -2014 is organized by International Foundation for Research and Development (IFRD). The conference aims at discussing with all of you the wide range of problems encountered in present and future education, technologies and business. The ICRMMS -2014 is organized in collaboration with Yildirim Beyazit University, Turkey, Shinawatra International University, Thailand, PERTRE ANDERI of IASI, Romania and National Academy of Management, Ukraine where researchers from around the world presented their work. The conference committee is itself quite diverse and truly international, with membership around the world. The proceeding records the fully refereed papers presented at the conference. The main conference themes and tracks are Education, Information Management, and Business. The conference aims to bring together researchers, scientists, engineers and practitioners to exchange and share their experiences, new ideas and research results about all aspects of the main conference themes and tracks and discuss the practical challenges encountered and the solutions adopted. The main goal of the event is to provide a scientific forum for exchange of new ideas in a number of fields that interact in depth through discussions with their peers from around the world. The conference has solicited and gathered technical research submission related to all aspects of major conference themes and tracks. All the submitted papers have been peer reviewed by the reviewers drawn from the scientific committee, external reviewers and editorial board depending on the subject matter of the paper. Reviewing and initial selection were undertaken electronically. After the rigorous peer-review process, the submitted papers were selected based on originality, significance, and clarity for the purpose of the conference. The conference program is extremely rich, featuring high-impact presentations. The high quality of the program guaranteed by the presence of an unparalleled number of internationally recognized top experts. The conference will therefore be a unique event, where attendees will be able to appreciate the latest results in their field of expertise, and to acquire additional knowledge in other fields. The program has been strutted to favor interactions among attendees coming from many diverse horizons, scientifically, geographically, from academia and from industry. We would like to thank the program chairs, organization staff, and members of the program committee for their work. We are grateful to all those who have contributed to the success of ICRMMS- 2014 especially our partners. We hope that all participants and other interested readers benefit scientifically from the proceedings and find it stimulating in the process. Finally, we would like to wish you success in your technical presentations and social networking. We hope you have a unique, rewarding and enjoyable time at ICRMMS -2014 in Malaysia. With our warmest regards, Conference Committee September 27–28, 2014 Kuala Lumpur, Malaysia

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Conference Chair Dileep Kumar, M., Ph. D, University Utara Malaysia, Malaysia Conference Convener Nek Kamal Yeop Yunus, Ph. D, Univerisiti Pendidikan Sultan Idris , Perak, Malaysia Members Izah Mohd Tahir, Ph. D, University Sultan Zainal Abidin, Terengganu, Malaysia Alexandru Trifu, Ph. D, University, Petre Andrei, Iasi, Romania John Walsh, Ph. D, Shinawatra International University, Bangkok, Thailand Rishidaw Balkaran, Ph. D, Durban University of Technology, South Africa Sisira R. N. Colombage, Ph. D, Monash University, Victoria, Australia Ahasanul Haque, Ph. D, International Islamic University Malaysia (IIUM), Malaysia Pratibha Samson Gaikwad, Ph. D, Shivaji University of Pune, India Ayhan Kapusuzoglu, Ph. D, Yildirim Beyazit University, Turkey M. Saman Dassanayake, Ph. D, University of Colombo, Colombo, Sri Lanka R K Uppal, Ph. D , DAV College, Punjab, India Katalin Jackel, Ph. D, Budapest Business School, Budapest, Hungary Wei-Bin Zhang, Ph. D, Ritsumeikan Asia Pacific University, Japan Susantha Herath, Ph. D, St. Cloud State University, USA Chandana Prasad Withana, Ph. D, Charles Sturt University, Sydney, Australia Chux Gervase Iwu, Ph. D, Cape Peninsula University of Technology, South Africa Somnath Sen, Ph. D, University of Birmingham, United Kingdom Johan de Jager, Ph. D, Tshwane University of Technology, South Africa Kevin Feeney, Ph. D, American University in Bulgaria Balaji Balasubramaniam, Ph.D, Sree Sastha Institute of Engineering and Technology, Chennai, India Boubker Sbihi, Ph. D, I-shcool ESI, Rabat, Morocco Hamdan Said, Ph. D, Universiti Teknologi Malaysia, Johor Bahru Johor, Malaysia

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Table of Contents Description

Pages

Preface

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Conference Committee

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Table of Contents

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Papers

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Assessing Market Model Components (Sharpe-Markowitz Model): Analyzing the Relationship between Some Market Factors and Reduced Risk from Diversification of Investment Portfolios in Tehran Stock Exchange, Ahadi Serkani, Seyed Yousef , Hanieh

1

Ardalani

Mathematical optimization methods: Application in project portfolio management, Houda TAHRI

A New Model of Green Purchase Intention and its Derivatives: Confirmatory Factor Analysis Validation of Constructs, Victoria Masi Haruna Karatu, Nik Kamariah Nik Mat Trend of BS8900:2006 Guidance for Managing Sustainable Development Application in Thai Logistics Service Providers, Pareeyawadee Ponanake Creating Hospitals’ Core Competencies with Lean Healthcare Strategies Entering the ASEAN Economic Community, Pareeyawadee Ponanake, Sunpasit Limnararat, Manat

10 17 26

35

Pithuncharurnlap, Woranat Sangmanee

Developing a Causal Model of Knowledge Sharing Behavior, Innovative Work Behavior, and Innovation Capability, Sorapol Buranakul, Sunpasit Limnararat, Manat

45

Pithuncharurnlap, Woranat Sangmanee

Socio-Economic Sistemology: Multidimensional Science For A Comprehensive Study Of The Socio-Economic And Legal System, Shokhazamiy Shokhmansur, Alisher Bagbekov, Dilshod Elmuradov Customer Perceptions towards Customer Loyalty of Environment-Friendly Electronics Products in Thailand, Lalinthorn Marakanon, Vinai Panjakajornsak

Supervisory support, organizational justice and perceived organizational support: A review and research agenda, Choong Yuen Onn, Tan Luen Peng, Choe Kum Lung The Determinants of Employee Attitude towards e-HRM – A Study of Engineering Company in Malaysia, Muhamad Khalil Omar, Siti Norizzati Khairul Fauzi, Azzarina Zakaria,

53 59 67

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Badrul Azmier Mohamed

Spatial Analyses In Price Models: Looking For Evidence From a Land Price Study, Haniza Khalid

Identifying Latent Groupings In Market Data: A Latent Class Approach, Haniza Khalid Internal Factors that Motivate College Student to Become ICT-Based Entrepreneur, Jurry Hatammimi and Dea Ayu Wulandari

Instrument Development of Entrepreneurial Orientation (EO), Muhammad Amsal S, Dileep Kumar M, Subramaniam Sri Ramalu

Instrument: Business Incubation Center (BIC): Integrating Mixed Mode Of Research In Instrument Construction, Muh. Amsal Sahban, Dileep Kumar M, Sahban Liba Search Log Analysis Method to Uncover User Search Behaviour on Web Searching Environment, Fadhilah Mat Yamin, T. Ramayah, Wan Hussain Wan Ishak, Siti Norezam

78 89 99 107 120 137

Othman

Information Technology and Organisational Resilience: An Electronic Integration Perspective, Soheil Mojtabaei Motlagh, Rosmah Ali

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Mobile AR For Cultural Heritage Site Towards Enjoyable Informal Learning: A Revised Conceptual Model, Ulka Chandini Pendit, Syamsul Bahrin Zaibon, Juliana A. Abu Bakar

160

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Innovation Capacity: Blocks of a Measurement Model, Hari AP Nair, Dileep Kumar & Subramaniam Sri Ramalu

A Simulation approach to determine the probability of demand during lead-time when demand distributed normal and lead-time distributed gamma, Karzan Mahdi

169 183

Ghafour, Razamin Ramli, Nerda Zura Zaibidi

The Mediating role of Market Orientation on Entrepreneurial Orientation, Absorptive Capacity and Technological Innovation Capabilities, Abdul Qadir Rahomee Ahmed

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Aljanabi, Nor Azila Mohd Noor

Moderating Role of Absorptive Capacity on its relation between Entrepreneurial Orientation and Technological Innovation Capabilities, Abdul Qadir Rahomee Ahmed

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Aljanabi, Nor Azila Mohd Noor, Dileep Kumar M

Anticipatory Competence Building: Towards a Measurement Model, Hari AP Nair, Dileep Kumar & Subramaniam Sri Ramalu

Models of Geometric Representation and Analysis of Just Value of Property in 2D and 3D Formats, Shokhmansur Shokhazamiy, Rustam Abduraupov Mirgani Akbarov Approach of Electronic Government to Closing the Gap between Public and Citizens, Krish Rugchatjaroen

Are postgraduate supervision up to scratch at South African universities of technology? Rozenda Hendrickse Data collection issues in a mixed method research, Loshinikarasi Logonnathan Ponmalar N Alagappar

Validation of Self-Efficacy Instrument for Franchise Entrepreneur, Fosa Sarassina, Nik Kamariah Nik Mat & Ruswiyati Suryasaputra

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219 231 235 252 253 254


PAPERS

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Internal Factors that Motivate College Student to Become ICT-Based Entrepreneur *Jurry Hatammimi and Dea Ayu Wulandari Faculty of Economics & Business, Telkom University, Jalan Telekomunikasi, Terusan Buah Batu, Bandung, West Java, Indonesia 40257 *[email protected] Abstract: Information and Communication Technology (ICT) advances give opportunities to start and grow the business. As a dominant group that follow ICT advances, youth, especially college students, have been taking the opportunity to start business by utilizing ICT. The entrepreneurship trend also push them to become entrepreneur. This study tries to analyze internal factors that motivate college students to become ICT-based entrepreneur. By using cluster sampling technique, this study took 100 college students in two business school in Bandung city, Indonesia. Factor analysis showed three internal factors that motivate college student to become ICT based entrepreneur. The factors formed encounter some changes from its compiler variables compared with the original variables. Those are self-efficacy, net desirability of selfemployment, and achievement. Confidence to succeed has become the most dominant variable in self-efficacy factor, dislike the company rules has become the most dominant variable in net desirability of selfemployment factor, and financial security has become the most dominant variable in achievement factor. Keywords: internal factor, motivation, college student, entrepreneur Introduction The growth of internet user in Indonesia is increasing significantly. Indonesia internet user has increase 3630% from 2,000,000 user in year 2000 (Miniwatts, 2012) to 74,600,000 user in 2013 (MarkPlus, 2013). Indonesia ranked as the fourth Asia’s highest and the eighth world’s highest internet user. Vserv.mobi released mobile internet consumer reports in South East Asia 2013 that arranged together with Mobile Marketing Association (MMA). This report revealed that Indonesia is the country with highest ratio of mobile internet usage, demographically, which 71% male and 29% female. Based on educational background, 30% users have undergraduate and/or graduate degree, 29% diploma degree, 31% high school graduate, and 9% without any educational background. The compositions of mobile internet user in Indonesia is 39% as full times employees, 16% businessman/woman, 9% entrepreneur, 12% with part time job, 16% students, 4% housewives, and 4% unemployed (Vserv.mobi and MMA, 2013). Based on the internet user statistics in Indonesia, we could assumed that internet could be a way to haste economic growth in Indonesia by producing as much as possible ICT based entrepreneurs. There are three ICT contributions in business activity, which are (1) generate entrepreneurship opportunity such as innovation in video streaming, e-commerce, and cloud services; (2) support access to the geographical limitation market; and (3) stimulants of transaction cost efficiency between companies (Santoso, 2012). The development of entrepreneurial spirits from early age is believed as the locomotive of economic growth in Indonesia. Badan Pusat Statistik (BPS) or Central Statistical Agency stated that entrepreneurs numbers growth is almost reaching ideal number of 2% which is 1.56% or 3,707,205 persons (Ministry of Cooperative and SME, 2012). At the same time, Malaysia has reached 4%, Thailand 4.1%, and Singapore in 7.2% (Akhir, 2013). Ministry of Cooperative and SME had targeted growth of Indonesia’s entrepreneur number in 2013. One of the government’s programs to push national economic growth is Gerakan Kewirausahaan Nasional (GKN) or National Entrepreneurs Program that held in March 2013 which attended by 50,000 youth to spread the entrepreneurial spirit to the next successor of the nation. Using GKN, Ministry of Cooperative and SME aims to motivate the nation successors to be creative and innovative entrepreneurs with global knowledge. Youth are enthusiastic in business plan competition between college students in Jakarta greater area that held by GKN. From 3000 business plans received, there were 1500 beginner entrepreneurs that would be selected with the best plans and each will be funded at 25 million rupiah (Ministry of Cooperative and SME, 2013). Youth nowadays are interested to choose entrepreneur as business profession that offer bright future guarantee. This is caused by the condition where competitions between job seekers are tight. Job vacancies

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Proceedings of International Conference on Research Methods in Management and Social Sciences (ICRMMS-2014) started to narrowed (Alma, 2009). The increasing of youth that interested to become entrepreneurs could also be seen from the number of youth competing in Wirausaha Muda Mandiri, a competition for Indonesia’s young entrepreneurs. Ginting (2013) wrote in 2012 there are 4725 college students competing in that competition. This number is highly increasing if compared with the early years when the competition started in 2007 which only 488 competitors. Education plays the key role in the development of entrepreneurial intention. Adequate knowledge and inspiration provided by university will increase entrepreneurial intention (Turker & Selcuk, 2009). There are several Indonesia’s creative digital entrepreneur who get achievement in developing digital creative industries and penetrating international market successfully. Ridho Irawan (eXo digital) had games.co.id which now contained 2000 games acquired by Dutch company at USD 10,000. Nafi Putrawan (hexacreative.web.id) who started web application design since junior high school and has many international clients. Agate Studio, a local games developer from Bandung that generate more than 100 games for personal computer and mobile devices which was founded by 16 creative youth that have passions in games development. Tyovan Widagdo who run city news and tourism portal since senior high school and currently run www.doktervirus.net (Purwanti, 2011). Gilad and Levine (Segal et al., 2005) stated two things that involved in motivations to become entrepreneurs, which “push” and “pull” theory. “Push” theory as external factor and “pull” theory as internal factor. Segal et al. (2005) observed 114 undergraduate business students from Florida Gulf Coast University. They measured the “push” factor and found that self-efficacy, tolerance for risk, and net desirability significantly predicted self-employment intentions. There is also Widhari & Suarta (2012) who proved that self-efficacy, tolerance for risk, and net desirability significantly influencing college student’s entrepreneurial intention simultaneously and partially. Drnovšek et al. (2010) found that entrepreneurial self-efficacy play a significant role for business start-up. Based on the background above, this research aimed to define internal factors and also the most dominant indicator in every factor that motivate students to become ICT based entrepreneurs. 2. Literature Review Motivation: Gilad and Levine (Segal et al, 2005) stated two things that involved with motivation to become an entrepreneur, which “push” and “pull” theories. “Push” theory is proven that individuals are pushed to become an entrepreneur because of negative external forces such as dissatisfaction in works, difficulty in finding a job, or works hour that is not flexible. “Pull” theory consist of individuals that interested in becoming entrepreneurs to get freedom, self-fulfillment, wealth, and better incomes. According to Steinhoff and Burgess (Suryana, 2008:55), there are seven reasons why individuals want to become entrepreneurs, which are: · The desire for higher income · The desire for a more satisfying career · The desire to be self-directed · The desire for the prestige that comes in being a business owner · The desire to run with a new idea or concept · The desire to build long-term wealth · The desire to make a contribution for humanity or for a specific cause McClelland (Kristanto, 2009:14) stated that entrepreneurs doing what they’re doing are motivated by: · Need for Achievement · People doing entrepreneurial activities are motivated by the wants to get achievements and recognitions from family and society. · Need for Affiliation · People doing entrepreneurial activities are motivated by the wants to interact with others socially. · Need for Power · People doing entrepreneurial activities are motivated by the wants to have power towards the available resources. Increase in wealth and market exploitation are often push entrepreneurs to run their business.

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Proceedings of International Conference on Research Methods in Management and Social Sciences (ICRMMS-2014) Self-Efficacy: Two measurement of self-efficacy are process and outputs. The first one is referred to someone’s believed to successfully finish the task, the second one is someone’s believed to reach the outputs. First measurement would be analogized as expectations; next would be analogized as outputs from expectations (Mone in Segal et al, 2005). According to Suryana (2008:25) entrepreneurs always committed in their work until they get what they expect. They are not vague in doing their job, that is why they always diligent, resilient, and never give up. Their actions is not based on speculation but based on a careful calculation. They are bold enough to take moderate risks. That is why the entrepreneurs always bold to take the risk because they always do a careful calculation. A success or a failure of entrepreneurs is affected by their traits and personalities. Steinhoff and Burgess (Suryana, 2008:27) stated that a success entrepreneur generally have these following traits and personalities: · Have confidents to work hard independently and bold to face risks to gain outputs. · Have organizational skills, can arranged goals, output oriented, and responsible towards the works. · Creative and able to see opportunities in entrepreneurial. · Enjoy challenges and find self-satisfaction in generating ideas. According to Hisrich et al. (2010:38), entrepreneurial self-efficacy refers to the conviction that one can successfully execute the behavior required; people who believe they have the capacity to perform (high selfefficacy) tend to perform well. Tolerance for Risk: Douglas and Shepherd (Segal et al., 2005), used risks that could be anticipated as a predictors, stated that the more we tolerate risks, the bigger our wants to be entrepreneurs. According to Suryana (2008:25), entrepreneurs always bold to take moderate risks, which means that the risks is not that high or too low. The boldness to face the risks that supported by strong commitment motivate entrepreneurs to always struggle find opportunities until they get what they wants. Capability to take risks is defined by followings: · Self-confidence. · Willingness in using abilities and find opportunities and probability to get profit. · Ability to assess risks situation realistically. · Meredith stated that entrepreneurs are the one who likes more challenging efforts to gain success or failure rather than less challenging efforts (Suryana and Bayu, 2010:147). Net Desirability of Self Employment: If someone believed that entrepreneurial is more appreciated than working for others, then they’re more interested in entrepreneurial. A literature study exposed five emphasized outputs as criteria in decision between entrepreneurial and working for others: income potencial, financial security, freedom, need for achievements, and get away from corporate bureaucracy (Segal et al., 2005). 3.Research Methodology This research used quantitative descriptive method through a survey. The operational variable of this research is shown on table 1. Table 1: Operational Variable Variable Variable Group Self-Efficacy Confidence to succeed Self-confidence Diligence Never give up Competence Tolerance

Willingness to take risk

Question I am sure my life needs will be met by becoming entrepreneur I have the confidence to be able to work hard independently. I am a diligent person at work I am not easily intimidated by difficult situations. I have a good competence in the field of ICT to compete in the world of entrepreneurship. I am ready to accept the risks to become ICT-

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Question Code Q1 Q2 Q3 Q4 Q5 Q6

Proceedings of International Conference on Research Methods in Management and Social Sciences (ICRMMS-2014) for Risk Risk understanding Like the challenge

Net Desirability of SelfEmployment

Decisiveness Patience Income potential Financial security Personal Freedom Need for achievement

Company regulation

based entrepreneurs. I was able to assess risks realistically. I love more challenging efforts as ICT-based entrepreneurs. I like new things. I am a quick decision maker. I am patient when facing problems. Entrepreneurship is the right way to earn a living. Entrepreneurship will make me better financial stability Personal freedom is very important to me I do not want to be controlled by others ICT-based entrepreneurs has a high prestige I will be appreciated and respected by others as entrepreneur I do not like the company rules. I am happy to take my own initiatives.

Q7 Q8 Q9 Q10 Q11 Q12 Q13 Q14 Q15 Q16 Q17 Q18 Q19

The sample of this research is college student in Faculty of Economic and Business - Telkom University and School of Business Management – Bandung Institute of Technology who had followed Entrepreneurship subject. The research deployed questionnaires to 100 students that selected using cluster sampling technique. Data analysis are done by using factor analysis. In this research, there are three variables i.e. selfefficacy, tolerance for risk, and net desirability of self-employment that would be described in 19 item questions using interval scale. 4. Analysis and Discussion Kaise-Meyer-Olkin (KMO) Bartlett’s Test, a test that the index is between 0 and 1 is questioning the factor analysis appropriateness. If the index is high (between 0.5 and 1.0) then factor analysis is appropriate to be done, if the KMO index is below 0.5, factor analysis is not appropriate to be done (Simamora, 2005:123). Another criteria can be seen by the probability (significant value). H0: Significant value > 0.05, H0 accepted and samples are not sufficient for deeper analysis H1: Significant value < 0.05, H0 rejected and samples are sufficient for deeper analysis After KMO Bartlett’s test are done, MSA (Measurement of Sampling Adequacy) has to be done. This test performed by paying attention to MSA value in Anti Image Matrices. Observe in lower anti-image correlation, especially in correlation value with (a) signs. MSA value are between 0 and 1 with these criteria (Santoso, 2012: 66): · MSA = 1, variable could be predicted without error from another variable. · MSA > 0.5, variable still could be predicted and could run through deeper analysis · MSA < 0.5, variable couldn’t be predicted and couldn’t run through deeper analysis, or removed from another variable. If there are more than one variable that have MSA value under 0.5, then the one that excluded is the one with the least value. Based on Table 2, from 19 variables that were tested, there are two variables that should be excluded from the analysis. There are only 17 variables remain that could go through deeper analysis. Table 2: KMO Bartlett’s Test & MSA Test KMO Bartlett’s Test Sig. Value 0.748 0.000 1

Variable with MSA value under 0.5 Q8 valued 0.441 and Q10 valued 0.491. Q8 has to be excluded because its value (0.441) < 0.491. Then

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2

0.766

0.000

3

0.790

0.000

reanalyzed. Q10 valued 0.490, so Q10 has to be excluded. Then reanalyzed. No variable with MSA value under 0.5. Go through deeper analysis.

Determine Number of Factors: According to Supranto (2010:128), number of factors is determined based on eigen value. In this approach, only factor with its eigen value equal or bigger than 1 that should be kept. If it is less than 1, the factor is excluded from the model. From 17 variables that included in factor analysis, only three factors that are built with the eigen value bigger than 1. The eigen value of first factor is 4.490 and the variance can be explained by the first factor is 26.415% from all variables that motivate college students to become ICT based entrepreneurs. The eigen value of second factor is 3.714 and the variance can be explained by the second factor is 21.849% from all variables that motivate college students to become ICT based entrepreneurs. The eigen value of third factor is 1.929 and the variance can be explained by the third factor is 11.349% from all variables that motivate college students to become ICT based entrepreneurs. Cumulatively, those three factors built could absorb 59.612% information from 17 variables that included in analysis as shown on table 3. Table 3: Total Variance Explained Initial Eigenvalues Compone nt Total % of Cumulative Variance % 1 4.490 26.415 26.415 2 3.714 21.849 48.264 3 1.929 11.349 59.612 4 .997 5.864 65.477 5 .859 5.056 70.532 6 .772 4.539 75.071 7 .647 3.808 78.879 8 .584 3.436 82.315 9 .523 3.078 85.394 10 .454 2.670 88.064 11 .436 2.565 90.629 12 .361 2.126 92.755 13 .307 1.804 94.559 14 .274 1.613 96.171 15 .236 1.389 97.560 16 .219 1.286 98.847 17 .196 1.153 100.000 Extraction Method:Principal Component Analysis.

Extraction Sums of Squared Loadings Total % of Cumulative Variance % 4.490 26.415 26.415 3.714 21.849 48.264 1.929 11.349 59.612

Matrix Rotation and Interpretation: Even though the early matrix or before rotated matrix shows relationship between factors and each variables, but it rarely create factors that could be interpreted because those factors correlated with many variables (more than one), so rotation are needed. Correlation strength is determined by loading value. Rotation in this research was done by using varimax method with loading value > 0.5 (Supranto, 2010:325-326). According to Supranto (2010:326), interpretation about factor could be easily identified by variable that have high loading value in the same factor. Simamora (2005:137) explained that factor name interpretation is based on the factor’s variable represents. Interpretation is done by judgment. Because it’s subjective, the results could be different if the interpretation is done by another person. Based on Table 4 we could see the affiliation of each factor. For the 17 variables that passed loading value of 0.5 are categorized as follow:

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Proceedings of International Conference on Research Methods in Management and Social Sciences (ICRMMS-2014) ·

·

·

Factor one consists of Q1, Q2, Q3, Q4, Q5, Q6, and Q7. This factor is called self-efficacy. If it is seen from the factor loading value, Q1 (confidence to succeed) is the most dominant variable in self-efficacy factor. Factor two consists of Q9, Q11, Q14, Q15, Q18, and Q19. This factor is called net desirability of selfemployment. If it is seen from the factor loading value, Q18 (dislike the company rules) is the most dominant variable in net desirability of self-employment. Factor three consists of Q12, Q13, Q16, and Q17. This factor is called achievements. If it is seen from the factor loading value, Q13 (financial security) is the most dominant variable in achievements.

Table 4: Rotated Component Matrix

Q1 Q2 Q3 Q4 Q5 Q6 Q7 Q9 Q11 Q12 Q13 Q14 Q15 Q16 Q17 Q18 Q19

Component 1

2

3

.815 .791 .760 .805 .780 .786 .751 -.130 .062 .113 -.051 .071 -.021 .091 .011 .080 -.007

.056 .046 .119 -.090 -.143 -.061 .088 .603 .710 .429 .029 .560 .710 -.137 .457 .776 .574

.150 -.090 -.125 .059 .165 .242 -.159 -.053 -.291 .672 .793 .393 .369 .739 .608 .046 .386

Extraction Method:Principal Component Analysis. Rotated Method: Varimax with Kaiser Normalization. a. Rotation converged in 5 iterations. 5. Discussion Segal et al. (2005) and Widhari & Suarta (2012) showed that self-efficacy (perceived feasibility), tolerance for risk, and net desirability significantly predicted self-employment intentions. Segal et al. (2005) also suggested self-efficacy as the first focus to enhance entrepreneurial activity. This suggestion and Drnovšek et al. (2010) finding about self-efficacy as a significant role in the process of starting-up a new business are relevant with this research’s findings. This research found that confidence to succeed is the most dominant variable in selfefficacy factor with the highest loading factor of 0.815. Because of that, self-efficacy factor has the most variables in motivating college students to become ICT based entrepreneur. The second focus of entrepreneurial intention from Segal et al. (2005) was net desirability of self-employment. This second factor

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Proceedings of International Conference on Research Methods in Management and Social Sciences (ICRMMS-2014) has different variables compare to the original variable group. It gives some variables to another factor called achievements. The variables of the third focus from Segal et al. (2005) - tolerance for risk – are divided into two factors built by this research because of its elimination. They included into self-efficacy and net desirability of self-employment. The result of this research has similarities with the Stefanovic et al. (2010) who found four motivational factors i.e. greater business achievement, independence, intrinsic factor and job security. They concluded that motivational factors of entrepreneurs are generic in developing countries. CONCLUSION Three factors are formed as internal factors that motivate college students to become ICT based entrepreneurs. The factors formed encounter some changes from its compiler variables compared with the original variables. The three following factors are: Self-Efficacy: Variables that represent this factor show respondents are confident to succeed as entrepreneurs, diligent, never give up, and competent in doing their jobs. Their actions are based on careful calculation so they are bold to take moderate risks. Net Desirability of Self Employment :Variables that represent this factor show respondents like to do new things and patient when facing problems. Respondent want to have personal freedom and unlike to be controlled by others. They do not like company rules but happy to make their own initiatives. Achievements : Variables that represent this factor show that respondents are motivated to become ICTbased entrepreneurs because of pull from need of achievement. The achievement can come from internal appreciation like financial reach and financial stability, and also external appreciation like status, recognition and respect by others. Confidence to succeed is the most dominant variable in self-efficacy factor to motivate college students becoming ICT based entrepreneur. Dislike the company rules is the most dominant variable in net desirability of self-employment factor. There is also financial security as the most dominant variable in achievements factor. Finally we suggest educators to give attention to the three internal factors that motivate college student to become entrepreneurs, especially ICT based entrepreneurs. Entrepreneurship education suggested to prioritize confidence to succeed, freedom from company regulation, and financial security gradually as the most dominant variables from those three internal factor that motivate college student to become ICT-based entrepreneurs. College students have to be pushed to increase their confidence that they have the ability to succeed. Soft skill need to be introduced and given to college students so their self-efficacy could be established. Further research is planned to survey many more college student not only they are who come from business school. References Akhir, D.J. (2013). Jumlah Wirausaha di Indonesia Kalah dari Malaysia. [Online]. Available: http://economy.okezone.com/read/2013/09/11/457/864411/jumlah-wirausaha-di-indonesia-kalahdari-malaysia. [14 September 2013]. Alma, B. (2009). Kewirausahaan. Bandung: Alfabeta. Drnovšek, M., Wincent, J., & Cardon, M.S. (2010). Entrepreneurial self-efficacy and business start-up: developing a multi-dimensional definition. International Journal of Entrepreneurial Behaviour & Research, 16 (4), 329 - 348. Ginting, J.W. (2013). Jumlah Peserta Program Wirausaha Muda Mandiri Meningkat. [Online]. Available: http://medan.tribunnews.com/2013/09/12/jumlah-peserta-program-wirausaha-muda-mandirimeningkat [25 September 2013]. Hisrich, R.D., Peters, M.P, & Shepherd, D.A. (2010). Entrepreneurship (8th ed). New York: McGraw-Hill. Markplus. (2013). MarkPlus Insight: Pengguna Internet Indonesia 74 Juta di Tahun 2013. [Online]. Available: http://www.the-marketeers.com/archives/Indonesia%20Internet%20Users.html#.U0Uq1_mSzVs [2 December 2013]. Ministry of Cooperative and SME. (2012). Jumlah Ideal Wirausaha Indonesia 6,1 Juta Orang. [Online]. Available: http://www.depkop.go.id/index.php?option=com_content&view=article&id=972:jumlahideal-wirausaha-indonesia-61-juta-orang&catid=50:bind-berita&Itemid=97 [24 October 2013].

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