Abstract:
Entrepreneurship has a role to play in promoting inclusive and sustainable economic
growth of the country as it is experienced by many developed nations worldwide.
Micro, Small and medium enterprises (SMEs) are the backbone of any economy.
Therefore, it is a must to address SMEs needs and demands to harness the full
potential of the sector. More than 1.2Million establishments and 03 Million individual
engagements have expressed the weight of the sector in Sri Lanka. Having considered
the importance of the sector this study attempts to examine the causes of business
development intention and success of SMEs in Uva province Sri Lanka and their
intentional determination towards the act. This study examined the psychological
components on business development intention by applying the Theory of Planned
Behavior (TPB) (Ajezen, 2006.) integrating psychology and Management together.
Sample of 119 individuals was drawn from16 categorized listed SMEs operating in
Uva province Badulla District by adopting the stratified random sampling technique
and data was collected by using the questionnaire method, subjected to statistical
analysis. As a result, it is found that, successive businesses have higher business
development intention compared to the failures. Based on the assumption of the TPB
Developmental Attitudes and Business Development intention have a positive
relationship which proved yielding a strong positive correlation. Whereas social
support showed a moderate positive significant relationship on business development
intention. Further, Strong positive correlation was noted between the Business
Awareness and Business Development Intention. Further, the impact of independent
variables on dependent were found yielding the results of regression which showed a
noticeable effect. This suggests that a well-established business culture and Business
awareness along with well-formed Developmental Attitudes are key to Success of the
entrepreneurship.
