Identification and Prioritization of Economic Factors Affecting the Development of Entrepreneurial Businesses (Case Study: Insurance Industry)

Abstract

The development of entrepreneurial businesses is one of the primary foundations for creating growth focused on people within society. Considering that the business environment conditions of each country are one of the main factors influencing investors' decision-making, economists and policymakers have significantly increased their attention to improving the business and investment environment in recent years. Accordingly, this study aims to identify and prioritize the economic factors affecting the development of entrepreneurial businesses. This research is quantitative in nature and classified as applied research based on its objectives, and as survey research based on data collection methods. After extracting dimensions and components from theoretical foundations, the Delphi method was employed to achieve theoretical consensus by providing the factors to experts for refinement. Subsequently, structural equation modeling was used for validation. The study population consists of the insurance industry, and thus a panel of 15 experts from this industry, who met the expertise criteria, was purposefully sampled. For model testing, the statistical population included 1,220 middle managers in this industry. Cochran's formula was used to calculate the sample size, resulting in 292 individuals being randomly selected as the sample. Data were collected through field methods, with a questionnaire as the data collection tool. The validity of the research questionnaire was confirmed by the opinions of professors and experts, and its reliability was also confirmed through Cronbach's alpha (0.89). The results showed that the final research model has three dimensions and nine components: In the governance dimension: financing, intellectual property rights, and the development of technological entrepreneurial activities. In the contractual dimension: domestic and foreign investment, transfer of technical knowledge, new approaches to international business, and the establishment of innovation acceleration centers. In the participatory dimension: creation of financial NGOs supporting startups, free and public skill training, and adherence to ethical economics. The results also indicated that among the contractual components, the component "establishment of innovation acceleration centers" has the highest correlation with the dimension. Therefore, to develop entrepreneurial businesses, supporting the entry of the private sector into holding entrepreneurial events and establishing innovation accelerators should be prioritized by the relevant authorities.