Entrepreneurship and small and medium-sized enterprises (SMEs), since their inception, have been considered key drivers for economic growth and development, the creation of new job opportunities, the mitigation of poverty, and the resolution of socioeconomic problems (Li et al., 2020; Yaser et al., 2020; Alshebami, 2021; Arkorful and Hilton, 2021; Cai et al., 2021; Chew et al., 2021; Elnadi and Gheith, 2021; Jiatong et al., 2021). Entrepreneurship is the process of identifying a business opportunity, pursuing the opportunity, and developing the necessary skills to maximize its benefits. Entrepreneurship is also the process of venture creation (Liñán and Chen, 2009). Entrepreneurship has received much attention recently by different scholars who have looked at it from different points of view.

The significance of entrepreneurship to economic growth and development has compelled governments in both developed and developing countries to design and implement the essential tools and support needed to stimulate entrepreneurial endeavors and encourage an entrepreneurial mindset in individuals. Various initiatives have been launched for this purpose and have largely been directed toward young individuals as they are the economic producers of the future (Bellò et al., 2018). Supporting entrepreneurship may include the provision of adequate entrepreneurship ecosystems capable of attracting entrepreneurs (Ali et al., 2019). In addition, the presence of stiff competition and various market challenges imposes ressures such that focusing on physical ecosystems alone may lead to the incomplete development of entrepreneurship and entrepreneurial intention. This is a particularly salient consideration given that entrepreneurial behavior is strongly predicated on entrepreneurial intention (Ajzen, 1991; Liñán and Chen, 2009), which is in turn influenced by personal traits or characteristics, including those of a psychological nature.

According to Koh (1996) and Gurol and Atsan (2006), internal locus of control, the need for achievement, innovativeness and the propensity to take risks are considered key to the development of entrepreneurial intention. To these, Bellò et al. (2018) added self-efficacy and the desire to innovate. In the extant literature, the need for achievement has been defined as the desire or determination to succeed in a competitive environment (Schaper et al., 2010). Meanwhile, innovativeness has been described as the ability to recognize and carry out entrepreneurial tasks in a creative manner (Nasip et al., 2017). Another key to entrepreneurial intention, the propensity to take risks, has been likened to capacity building because it promotes a positive attitude toward self-efficacy (Naushad, 2018). Finally, internal locus of control is regarded as feelings or conceptions about critical elements that affect or cause life events (Koh, 1996). These personal traits, despite their assumed importance, have received relatively little research attention with respect to their effect on entrepreneurial intention, particularly among young entrepreneurs in various parts of the world (Nasip et al., 2017; Bhatti et al., 2021).

In the case of Saudi Arabia, which is a developing country largely dependent on oil revenue, the steady decline in oil prices worldwide has led to a notable budget deficit and the consequent struggle to cover its expenses. Accordingly, the Saudi government developed a comprehensive plan, named “Saudi Vision 2030,” to introduce large-scale reforms to various economic sectors. Included in these reforms is heightened support for entrepreneurship and SMEs, some explicit aims of which are to increase the contribution of SMEs to the national GDP from 20 to 35%, reduce the unemployment rate from 12.9 to 7% by 2030, and encourage participation by young females in the labor market (Khan and Alsharif, 2019; Aljarodi, 2020; Aloulou, 2021; Alshebami and Seraj, 2021b). Another goal of the Saudi Vision 2030 plan is to create about 6 million job opportunities by 2030 (Elnadi and Gheith, 2021). Accordingly, the Saudi government and other official national entities have established various funding institutions, entrepreneurial initiatives, and incubators to promote the development of entrepreneurship and SMEs in the country (Khan and Alsharif, 2019; Alshebami et al., 2020).

According to Roomi et al. (2021), Saudi Arabia is currently positioned sixth in the Global Entrepreneurship Index (GEI) due in large part to the economic support provided by the government to improve the economy in general and to mitigate the economic effects of COVID-19 in particular, especially among SMEs. This support has been considered essential because the SME sector in Saudi Arabia includes approximately 99.6% of all private sector ventures.

Therefore, to further support the Saudi government’s efforts to erect institutional structures and cultivate entrepreneurship among citizens, young citizens in particular, to better facilitate the launching of small businesses, it is important to expand knowledge about the key personal traits that contribute to entrepreneurial intention, especially among younger adults (Nasip et al., 2017). In the Saudi context, for entrepreneurs to succeed, it is particularly essential to explore personal traits directly associated with business establishment (Bhatti et al., 2021). More specifically, it is vital to investigate levels of readiness among young Saudis in terms of their entrepreneurial intention to start small businesses. Likewise, it is crucial to identify which factors potentially motivate individuals to become entrepreneurs in the first place. Also of importance is to determine the pathways through which entrepreneurial intention among young graduates is stimulated (Shahzad et al., 2021).

In the extant literature on entrepreneurship in Saudi Arabia, it is noted that, despite the variety of existing studies, few examinations have been conducted on the personal traits responsible for the development of entrepreneurial intention. Instead, most research has focused on entrepreneurial education, psychological capital, formal institutions and related aspects (Aljaghthami and Noormala, 2016; Ibrahim and Amari, 2018; Alkahtani et al., 2020; Aloulou, 2021; Alshebami et al., 2020; Sharahiley, 2020; Yaser et al., 2020; Alshebami and Seraj, 2021a). Comparatively few studies have concentrated on psychological characteristics and their connections to other factors, such as training (Naushad, 2018; Bhatti et al., 2021).

Accordingly, and based on calls by previous studies to continue to explore the key personal traits responsible for the development of entrepreneurial intention among young adults, the present research investigated selected personal traits believed to influence entrepreneurial intention among students enrolled at an applied college affiliated with King Faisal University. It was considered important to address this population as they will be the drivers of the future economy of Saudi Arabia. Additionally, as students of applied colleges (which offer only diploma programs) are less likely than bachelor’s degree students from other colleges to find employment within the government sector, encouraging them to become entrepreneurs is a worthwhile pursuit. The following research question was formulated based on this underlying rationale:

This article is organized into the following sections. Following the introduction, the literature review and hypotheses are presented. Then, the methodology of the study and the analysis of the research results are described, after which these results and their implications are discussed. Lastly, some conclusions based on the study are provided.

To analyze and interpret the research data, two steps were required: evaluating the measurement model, and evaluating the structural model.

This study investigated the influence of selected personality traits—namely, innovativeness, internal locus of control, need for achievement and propensity to take risks. The study generated interesting results. Concerning innovativeness, a significant positive association was found with the entrepreneurial intention of the students (potential entrepreneurs). Indeed, this finding is unsurprising given that more innovative individuals tend to be more open-minded and to think and act innovatively with respect to commercial activities and strategies (Koh, 1996; Shahzad et al., 2021). These individuals are also more adept at solving complex challenges and creating new products and services (Wathanakom et al., 2020). This finding is in line with Law and Breznik (2017), Nasip et al. (2017), Wathanakom et al. (2020), and Shahzad et al. (2021).

The study further examined the influence of internal locus of control on entrepreneurial intention and reported a significant positive result. This is because individuals with high internal locus of control can more easily control and manage their lives and hence have a stronger entrepreneurial intention and become entrepreneurs faster (Vodă and Florea, 2019; Arkorful and Hilton, 2021). The results concerning internal locus of control and entrepreneurial intention are in line with Gurol and Atsan (2006), Lefcourt (2014), Vodă and Florea (2019), and Arkorful and Hilton (2021). With regard to the claim that there is a positive connection between propensity to take risks and entrepreneurial intention, the current study also reported a positive connection with entrepreneurial intention among students (potential entrepreneurs). This is because those individuals with a greater propensity to take risks have higher capacity-building potential, which in turn cultivates a more positive attitude and strengthens self-confidence, both ultimately valuable in venture creation. This finding is in line with Uddin and Bose (2012), Mat et al. (2020), Ndofirepi (2020), Mat et al. (2020), and Shahzad et al. (2021).

Conversely, the need for achievement had no association with entrepreneurial intention. This may be attributable to the young age of the participants—i.e., they may have yet to fully understand the importance of achievement and success in life. This finding is in line with Koh (1996) and Widjaya et al. (2021).

As previously recommended in the existing literature, there is a need to continue to investigate the importance of personal traits with regard to entrepreneurial intention among young adults. This study sought to ascertain the impact of specific personal characteristics on the entrepreneurial intentions of Saudi students (potential entrepreneurs). The study yielded intriguing findings that may be of benefit to a variety of stakeholders in Saudi Arabia. First and foremost, the study expands the existing literature by contributing empirical evidence on the relationship between personal traits and entrepreneurial intention.

This research also paved the way for other researchers to continue investigating the same issue by including other personal traits in the analysis as well as moderating and mediating variables in potential conceptual models. The study may also draw the attention of the Saudi government and other official entities to the need to continue to develop necessary training programs and initiatives designed to enhance personal traits among potential young entrepreneurs, particularly those related to developing innovativeness, internal locus of control and propensity to take risks. There is also a need to develop a suitable entrepreneurial ecosystem with appropriate institutional infrastructures that will support Saudi society and culture and encourage entrepreneurial activities.

The Saudi government should also implement public policy programs that encourage entrepreneurial activity by reducing the challenges and barriers faced by potential young entrepreneurs. Furthermore, educational institutions, such as universities and schools, should incorporate the development of personal traits into their curricula and seek to raise awareness about the importance of cultivating such traits for their future endeavors. These educational institutions could work to instill and sustain these personal characteristics in young people, directing them toward entrepreneurial activities and venture creation.

Personal traits have been identified as key factors influencing entrepreneurial intention in numerous studies. Because of their significance, the present study investigated the ways in which selected personal characteristics—innovativeness, internal locus of control, need for achievement and propensity to take risks—influenced entrepreneurial intention among Saudi students at an applied college. The findings of the study supported all but one of the proposed hypotheses: the hypothesized relationship between the need for achievement and entrepreneurial intention. This study had some limitations, including its small sample size and the restricted context, making it difficult to generalize the findings. Furthermore, no moderation or mediation constructs were considered in the study. It is thus recommended that future studies broaden the scope of research and increase the sample size. The moderating effect of self-confidence on the relationship between other personal characteristics and entrepreneurial intention could also be investigated.

The raw data supporting the conclusions of this article will be made available by the authors, without undue reservation.

Both authors listed have made a substantial, direct, and intellectual contribution to the work, and approved it for publication.

The authors declare that the research was conducted in the absence of any commercial or financial relationships that could be construed as a potential conflict of interest.

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