Review of Management and


Conceptual Review of Internal Factor and



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2.4. Conceptual Review of Internal Factor and 
Entrepreneurial Intention
According to Kerr et al. (2017) that entrepreneurs have internal 
dynamic psychopysical systems that determine the entrepreneur’s 
adaptation process uniquely to the social and business environment 
(Chung, 2017; Woo, 2018). Hayrapetyan (2016) added that 
entrepreneurs have an internal factor in the form of the ability to 
change environmental uncertainty into a benefit for the business. 
In this regard, Radzi et al. (2017) argue that the internal factor in 
question is the ability of strategic decision making to include new 
technological processes, enlarging access to new market segments 
that are unique compared to competitors to create competitive 
advantages (Windapo, 2018). The same opinion was also conveyed 
by Haarhuis (2015) that an entrepreneur must have internal factors 
such as capability and resources different from competitors so 
that it has a sustainable competitive advantage in the form of a 
business positional advantage. The business positional advantage 
possessed is a competitive dynamic obstacle because it can be a 
barrier to the entry of competitors. Nafie et al. (2015) stated that 
the development of competitive strategies is an internal factor 
of business by identifying entrepreneur resources to achieve 
the objectives formulated by connecting businesses with the 
social and economic environment (Mack and Pützschel, 2014). 
Entrepreneurial resources in the form of internal factors are able to 
motivate and create entrepreneurial intention for other individuals 
who want to work as entrepreneurs. Based on the statement above, 
the hypothesis in this study are:
H4. Internal factors influence entrepreneurial intention

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