Entrepreneurship Training Programs in GCC Educational Institutions

Introduction and Statement of Problem

A growing number of higher educational institutions around the world have developed and implemented various entrepreneurship training programs (ETPs) intended to provide aspiring entrepreneurs with the background, knowledge, skills, abilities, and opportunities they need to achieve professional success in the business world (Daniel and Kent, 2009). Nevertheless, the type and quality of these ETPs vary significantly, and there remains a paucity of timely and relevant research concerning optimal programming strategies and curricular offerings (Laud and Betts, 2015; Winkel & Vanevenhoven, 2013).

The overarching objectives of this study were as follows: (1) to examine the effectiveness of ETPs — specifically their content and curriculum, program duration, trainer and mentor roles, and candidates' involvement and contribution — in higher learning institutions across the Gulf Cooperation Council (GCC); (2) to investigate the effectiveness of local ETPs among young students who are potential future entrepreneurs in GCC higher learning institutions; and (3) to determine whether current ETPs conducted in the GCC achieve their intended purpose of producing successful young entrepreneurs.

Small businesses are the engine of economic growth, and the importance of their contributions to new job creation and job skills training cannot be overstated (Bauer, 2011). In this regard, Wu and Jung (2008) emphasize that "entrepreneurs are important to the economy of a country and the world. A significant portion of all new jobs [are] created by new organizations. Among numerous factors that lead to new organizational creation, an entrepreneurship education and training program is crucial" (p. 44). Just as importantly for the member-states of the GCC, ETPs can also facilitate the diversification and transition of national economies (Wu & Jung, 2008). Taken together, ETPs represent a valuable resource for nations' current and future economic development.

Literature Review: ETP Effectiveness in GCC Institutions

The GCC is an economic alliance of six Middle Eastern countries — Saudi Arabia, Kuwait, the United Arab Emirates, Qatar, Bahrain, and Oman — which was created in May 1981 in Riyadh, Saudi Arabia, for the "purpose of achieving unity among its members based on their common objectives and their similar political and cultural identities, which are rooted in Islamic beliefs" (Gulf Cooperation Council, 2018, p. 3). Today, one of the most important challenges confronting the GCC member-states is the need for private sector development. Entrepreneurship training, new business creation, and small business growth are widely regarded as essential for improved economic growth, reduced unemployment, and increased quality of life (Winkel & Vanevenhoven, 2013).

Despite sharing similar political and cultural identities founded in Islamic beliefs, the GCC member-states vary widely in terms of population, per capita GDP, size of their labor forces, and unemployment rates. The respective statistics across these dimensions make clear that the GCC member-states do not represent a homogeneous level of economic development; they are instead characterized by significant differences in income levels, labor force size, unemployment rates, and population — with Saudi Arabia's population exceeding that of all other GCC member-states combined.

The Effectiveness of ETP Content (Curriculum)

In this business environment, it is reasonable to suggest that there is no "one-size-fits-all" curricular content that is most effective for entrepreneurship training, and each member-state will most likely require a highly individualized approach. Notwithstanding these disparities, however, aspiring entrepreneurs in all GCC member-states share some commonalities, including the investment — and therefore the risk — of personal resources, as well as the motivation to create and lead rather than accept and follow (Bauer, 2011).

The Effectiveness of ETP Duration

By 2003, more than 2,220 ETPs had been implemented in higher educational institutions around the world, with numerous additions since that time (Winkel & Vanevenhoven, 2013). There remains a profound lack of original research, however, concerning optimal lengths of ETP coursework. In many cases, ETPs have been introduced as "add-ons" to existing business curricular offerings, while in others the coursework has been developed and delivered independently of other higher learning (Winkel & Vanevenhoven, 2013). Here again, there does not appear to be a universal approach that will be most effective for all GCC member-states, making it essential first to carefully evaluate the types of coursework needed and the readiness of the entrepreneurship student body to engage in it.

The Effectiveness of ETP Trainers and Mentors

Because many ETPs have been developed from scratch without benefiting from lessons learned in existing programs, there also remains a dearth of timely and relevant research concerning the relative effectiveness of mentors in helping aspiring entrepreneurs complete ETP coursework or the effects of such mentorship post-graduation (Taffy, 2015). Moreover, many instructors lack the specific background and training needed to provide high-quality coursework for entrepreneurs operating in an increasingly globalized marketplace (Rennemo, 2015). Despite this lack of scholarship, the research to date indicates that ETPs that include mentors are more effective at achieving their intended outcomes (Ekpe and Razak, 2016).

The Effectiveness of ETP Candidates' Input (Involvement and Contribution)

ETPs are frequently administered by higher educational institutions as stand-alone programs targeting the unique needs of student bodies in their local geographic areas. However, such independent ETPs generally fail to solicit input and/or feedback from prospective candidates or graduates to evaluate their effectiveness in achieving intended objectives (Carlile, 2017; DiMaria, 2014).

Methodology

Research Approach

This study used a mixed-methods research approach consisting of both qualitative and quantitative elements. The qualitative element consisted of structured interviews, and the quantitative element was a survey of potential entrepreneur candidates for ETPs in the GCC. The survey instrument was pre-tested to establish its validity and reliability, and the quantitative statistical data were analyzed using t-tests, factor analysis, and analysis of variance and correlations (ANOVA). Following coding and screening, the data from the structured interviews were analyzed using confirmatory factor analysis (CFA) and structural equation modeling (SEM).

Measures and Instrument

The measures used were the SEM analysis of moment structures (SEM-AMOS), applied to the research model to test the hypothesized relationships between factors at both lower and higher levels. SEM applies several statistical techniques to examine the relationship between continuous or discrete predictor factors and continuous or discrete outcome factors. The method combines regression and CFA to remove all error variance in the factors.

Data Collection

Data collection proceeded in a step-wise fashion, beginning with the structured interviews, the results of which were used in part to develop the instrument used to test the hypotheses using the research model described below.

Hypotheses and Research Model

This study was guided by the following null hypotheses:

H1o: There is no relationship between ETP Content (Curriculum) and the effectiveness of entrepreneurship training programs in GCC higher learning institutions.

H2o: There is no relationship between ETP Period (duration) and the effectiveness of entrepreneurship training programs in GCC higher learning institutions.

H3o: There is no relationship between ETP Trainers (Instructors — Individual mentor's role) and the effectiveness of entrepreneurship training programs in GCC higher learning institutions.

H4o: There is no relationship between ETP Candidates' Input (Involvement and Contribution) and the effectiveness of entrepreneurship training programs in GCC higher learning institutions.

The research model tested the direct effects of four independent factors (F1: ETP Content–Curriculum; F2: ETP Period; F3: ETP Trainers; F4: ETP Candidates' Input) on the dependent factor (F5: Effectiveness of ETP), with corresponding path coefficients H1 through H4.

Population and Sample

The population consisted of current and prospective ETP candidates (n = 663) at institutions of higher learning in several GCC member-states, drawn from the public sector (n = 235) and the private sector (n = 428).

Conclusion and Future Directions

Based on the secondary literature and the primary data that emerged from the structured interviews and survey, it is clear that the growing need for high-quality ETPs in the member-states of the GCC has outpaced the ability of institutions of higher learning to provide them. This shortfall is understandable given the rapid pace of change in the international marketplace and shifting geopolitical dynamics. Nevertheless, the research consistently shows that lessons learned from past and current ETPs can help fine-tune curricular offerings to the specific needs of each GCC member-state.

In sum, the outcomes of this study are: (1) an in-depth understanding of how ETPs are currently operationalized and measured in the GCC; and (2) the development of a research-based guideline to improve local ETPs in the GCC. The findings can be used to synchronize each program and formulate more effective training methods for GCC educational institutions. Given the economic imperative of economic diversification across the GCC — particularly in the context of finite fossil fuel reserves — equipping a new generation of entrepreneurs through high-quality ETPs is a strategic priority with both national and regional significance.

The benchmarks that emerged from this study provide a valuable basis for future research concerning optimal coursework design and faculty composition in GCC institutions of higher learning. In addition, further research is needed to identify more effective strategies for soliciting ongoing input and feedback from ETP candidates in order to evaluate the effectiveness of current coursework and identify improvements for the future.

References

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