Analyzing factors in Korean youth SME employment: A behavioral perspective

Abstract

This study analyzes the factors influencing small- and medium-sized enterprises (SME) employment among Korean young job seekers. While past studies have focused on factors such as the individual traits, competence, and environment surrounding job seekers, this study focuses on social and psychological factors based on the theory of planned behavior (TPB). Stratified random sampling was used to recruit 700 job seekers aged 19–29 years who were unemployed or seeking employment. They responded to an online survey with items on demographic information and their perceptions of SME employment. The results indicated that subjective norms (0.434) influenced SME employment intention more than attitude (0.233) and perceived behavioral control (0.078). Furthermore, the effects of subjective norms on SME employment intention varied by educational level and residency, as negative social perceptions of SME reduced SME employment intention among Korean young job seekers with higher education and who resided in metropolitan areas. While previous studies validated the direct relationship between SME employment intention with education and residency, this study empirically identifies that these two variables moderate the association between subjective norm and SME employment intention. This implies that measures to enhance SME employment intention among Korean young job seekers should focus on transforming subjective norms.

Keywords

• SMEs
• Job seeker
• Theory of planned behavior (TPB)
• Perceived risk
• Moderating effect