Role of Emotional Intelligence in Development of Entrepreneurial Effectuation

Abstract

This Study aims to explore the link between emotional intelligence (EI) and entrepreneurial effectuation among university students. The methodology used was structural equation modeling with 204participants.A significant relationship was found between Emotional Intelligence and entrepreneurial effectuation of students in recognizing new venture creation. Model of effectuation theory and Emotional Intelligence provided the basis of our study. The study was based on single university(University of Balochistan) only which limits the generalizability of this research. This study has practical implications as it describes the relationship between emotional intelligence and effectuation. It becomes evident that having the quality of emotional intelligence, students will be able to discover
their entrepreneurial potential and engage in socio economic activities. This is especially important for a province like Baluchistan, which has a large number of unemployed youth. Findings of this study revealed that development of entrepreneurial skills will enhance the ability to take initiatives for new venture. Thus, for the development of this underprivileged area of Balochistan, the emotional ntelligence of youth is necessary for the development of entrepreneurial effectuation. Particularly in contexts where students’ involvement in entrepreneurship is the dominant driver for boosting the economy of Balochistan. The paper presents an understanding of how EI develops the entrepreneurial effectuation.