The roles of perceived support, career attractiveness, and self-employment preference in enhancing entrepreneurial readiness

Abstract

Entrepreneurial readiness is increasingly important for preparing university students to translate entrepreneurial aspirations into potential action, yet existing research has focused predominantly on entrepreneurial intention and has paid comparatively limited attention to the institutional and psychological mechanisms that shape readiness. This gap is particularly evident in Saudi Arabia, where entrepreneurship and youth self-employment have become increasingly important within the country’s economic transformation agenda. Moreover, limited research has examined entrepreneurial career attractiveness and preference for self-employment simultaneously as potential pathways through which institutional support may influence entrepreneurial readiness. Addressing these gaps, this study examines how perceived entrepreneurial support influences entrepreneurial readiness among university students in Saudi Arabia, with particular attention to the roles of entrepreneurial career attractiveness and preference for self-employment. Drawing on institutional theory, the study uses survey data from 200 university students and applies Partial Least Squares Structural Equation Modeling to examine the proposed relationships and mediating mechanisms. The findings show that perceived entrepreneurial support strengthens entrepreneurial career attractiveness, preference for self-employment, and entrepreneurial readiness. However, the results reveal an important distinction between the two proposed psychological pathways: preference for self-employment significantly contributes to entrepreneurial readiness and mediates the relationship between perceived entrepreneurial support and readiness, whereas entrepreneurial career attractiveness does not significantly predict readiness and does not provide a significant mediating pathway. The study, therefore, extends institutional theory by demonstrating that institutional support is translated into entrepreneurial readiness not simply by making entrepreneurship appear attractive, but more importantly by strengthening students’ preference for self-employment. Practically, the findings suggest that policymakers and universities should move beyond promoting entrepreneurship as an appealing career and place greater emphasis on institutional mechanisms that develop students’ confidence, preparedness, and orientation toward self-employment. Such interventions can strengthen university-based entrepreneurial ecosystems and contribute to youth employment, economic diversification, and sustainable development in Saudi Arabia.