From intention to action: Understanding bank credit access through the lens of the theory of planned behavior

Abstract

Research background: Bank credit access plays a determining role in enterprises’ financial growth, competitiveness, and internationalization. However, most entrepreneurs are afraid of being rejected from their credit applications due to financial disadvantages that reduce their probability of receiving credits. To minimize credit access concerns, their entrepreneurial behaviors that are included in the Theory of Planned Behavior (TPB), such as personal attitude (PA), perceived behavioral control (PBC), and subjective norm (SN), might be a good solution. However, depending on cultural differences, their attitudes regarding these factors might change, which also causes changes in firms’ probability of receiving credit.

Purpose of the article: This research aims to examine whether the impact of PA, PBC, and SN on credit access of enterprises differ depending on the countries where they do their business.

Methods: The researchers investigate 1367 enterprises from different countries. These firms are selected using a purposive sampling method, and then an online questionnaire is sent to the survey respondents. Binary Logistic Regression analyses are performed for analysis purposes.

Findings & value added: The results indicate that while the impact of PA on bank credit access does not differ depending on the countries where firms are located, international differences exist in the impacts of PBC and SN on the credit access of enterprises. This paper finds international differences in the impact of RBV’s intangible assets (PA, PBC, SN) on a tangible asset of RBV (financial capability) and explains these results with the factors (economic, political, legal systems) included in Institution-based View, and brings all components of both theories RBV and Institution-based View in a unique research. Financial and educational support from governments and universities for fresh graduate individuals can stimulate entrepreneurial attitudes and financing abilities of prospective entrepreneurs to overcome credit access obstacles.

Keywords

financial management, bank credit, Theory of Planned Behavior, entrepreneurship, cross-country analysis

References

1. Aggarwal, R., & Goodell, J. W. (2014). Cross-national differences in access to finance: Influence of culture and institutional environments. Research in International Business and Finance, 31, 193–211. http://dx.doi.org/10.1016/j.ribaf.2013.09.004. DOI: https://doi.org/10.1016/j.ribaf.2013.09.004
   View in Google Scholar
2. Ajzen, I. (1991). The theory of planned behavior. Organizational Behavior and Human Decision Processes, 50(2), 179–211. DOI: https://doi.org/10.1016/0749-5978(91)90020-T
   View in Google Scholar
3. Andrieu, G., Staglianò, R., & Van Der Zwan, P. (2018). Bank debt and trade credit for SMEs in Europe: Firm-, industry-, and country-level determinants. Small Business Economics, 51, 245–264. DOI: https://doi.org/10.1007/s11187-017-9926-y
   View in Google Scholar
4. Ashraf, B. N., Zheng, C., & Arshad, S. (2016). Effects of national culture on bank risk-taking behavior. Research in International Business and Finance, 37, 309–326. DOI: https://doi.org/10.1016/j.ribaf.2016.01.015
   View in Google Scholar
5. Azman, A. B., & Abdul Majid, M. A. (2023). Role of family and survival strategies of micro-family food business during covid-19 pandemic. Journal of Tourism and Services, 14(26), 153–172. DOI: https://doi.org/10.29036/jots.v14i26.489
   View in Google Scholar
6. Berger, A. N., & Udell, G. F. (2006). A more complete conceptual framework for SME finance. Journal of Banking & Finance, 30(11), 2945–2966. DOI: https://doi.org/10.1016/j.jbankfin.2006.05.008
   View in Google Scholar
7. Bilan, Y., Simionescu, M., Mentel, G., & Rozsa, Z. (2019). The role of education, individual and economic factors in entrepreneurial initiatives: A microeconomic approach for the Czech Republic, Slovakia and Poland. E & M Ekonomie A Management. Business Administration and Management, 4(22), 85–102. DOI: https://doi.org/10.15240/tul/001/2019-4-006
   View in Google Scholar
8. Boubakri, N., & Saffar, W. (2016). Culture and externally financed firm growth. Journal of Corporate Finance, 41, 502–520. http://dx.doi.org/10.1016/j.jcorpfin.2016.04.003. DOI: https://doi.org/10.1016/j.jcorpfin.2016.04.003
   View in Google Scholar
9. Carroll, J., & McCann, F. (2017). Observables and residuals: Exploring cross-border differences in SME borrowing costs. Journal of Financial Services Research, 56, 167–184. DOI: https://doi.org/10.1007/s10693-017-0285-2
   View in Google Scholar
10. Calisto, M. L., Costa, T., Afonso, V., Nunes, C., & Umbelino, J. (2023). Local governance and entrepreneurship in tourism – a comparative analysis of two tourist destinations. Journal of Tourism and Services, 14(27), 22–38. DOI: https://doi.org/10.29036/jots.v14i27.404
    View in Google Scholar
11. Civelek, M., & Krajčík, V. (2022). How do SMEs from different countries perceive export impediments depending on their firm-level characteristics? System approach. Oeconomia Copernicana, 13(1), 55–78. DOI: https://doi.org/10.24136/oc.2022.002
    View in Google Scholar
12. Civelek, M., Durda, L.,Vincúrová, Z., Dudáš, T., & Brezina, I. (2022). The differences in the impact of entrepreneurial abilities of various European SMEs on their financial risk perceptions. Entrepreneurial Business and Economics Review, 10(4), 107–124. DOI: https://doi.org/10.15678/EBER.2022.100407
    View in Google Scholar
13. Civelek, M., Krajčík, V., & Ključnikov, A. (2023a). The impacts of dynamic capabilities on SMEs’ digital transformation process: The resource-based view perspective. Oeconomia Copernicana, 14(4), 1367–1392. DOI: https://doi.org/10.24136/oc.2023.019
    View in Google Scholar
14. Civelek, M., Krajčík, V., & Fialova, V. (2023b). The impacts of innovative and competitive abilities of SMEs on their different financial risk concerns: System approach. Oeconomia Copernicana, 14(1), 327–354. DOI: https://doi.org/10.24136/oc.2023.009
    View in Google Scholar
15. Çera, G., Cepel, M., Zakutna, S., & Rozsa, Z. (2018). Gender differences in perception of the university education quality as applied to entrepreneurial intention. Journal of International Studies, 11(3), 147–160. DOI: https://doi.org/10.14254/2071-8330.2018/11-3/13
    View in Google Scholar
16. Dority, B., Tenkorang, F., & Ujah, N. U. (2019). Availability of private credit–does culture matter? Studies in Economics and Finance, 36(2), 207–223. DOI: https://doi.org/10.1108/SEF-12-2017-0342
    View in Google Scholar
17. Duarte, F. D., Gama, A. P. M., & Esperança, J. P. (2017). Collateral-based in SME lending: The role of business collateral and personal collateral in less-developed countries. Research in International Business and Finance, 39, 406–422. http://dx.doi.org/10.1016/j.ribaf.2016.07.005. DOI: https://doi.org/10.1016/j.ribaf.2016.07.005
    View in Google Scholar
18. Field, A. (2009). Discovering statistics using SPSS. London: SAGE Publications.
    View in Google Scholar
19. García-Rodríguez, F. J., Gil-Soto, E., Ruiz-Rosa, I., & Sene, P. M. (2015). Entrepreneurial intentions in diverse development contexts: A cross-cultural comparison between Senegal and Spain. International Entrepreneurship and Management Journal, 11, 511–527. DOI: https://doi.org/10.1007/s11365-013-0291-2
    View in Google Scholar
20. Görg, H., & Kersting, E. (2017). Vertical integration and supplier finance. Canadian Journal of Economics/Revue canadienne d’économique, 50(1), 273–305. DOI: https://doi.org/10.1111/caje.12257
    View in Google Scholar
21. Hassan, L. M., Shiu, E., & Parry, S. (2016). Addressing the cross‐country applicability of the theory of planned behaviour (TPB): A structured review of multi‐country TPB studies. Journal of Consumer Behaviour, 15(1), 72–86. DOI: https://doi.org/10.1002/cb.1536
    View in Google Scholar
22. Ho, R. (2013). Univariate and multivariate data analysis with IBM SPSS. New York: CRC Press, Taylor and Francis Group. DOI: https://doi.org/10.1201/b15605
    View in Google Scholar
23. Hofstede’s Index (2024). Comparison of countries regarding individualism, power distance and uncertainty avoidance dimensions Retrieved from https://www.hofstede-insights.com/country-comparison-tool?countries=czech+ republic%2Chungary%2Cpoland%2Cslovakia (19.02.2024).
    View in Google Scholar
24. Howorth, C., & Moro, A. (2012). Trustworthiness and the interest rates: An empirical study of SMEs and small banks in Italy. Small Business Economics, 39(1), 161–177. DOI: https://doi.org/10.1007/s11187-010-9285-4
    View in Google Scholar
25. Ilomo, M., & Mwantimwa, K. (2023). Entrepreneurial intentions of undergraduate students: The moderating role of entrepreneurial knowledge. International Journal of Entrepreneurial Knowledge, 11(1), 14–34. DOI: https://doi.org/10.37335/ijek.v11i1.178
    View in Google Scholar
26. IMD World Competitiveness Center, Competitiveness Index (2024). Retrieved from https://www.imd.org/centers/wcc/world-competitiveness-center/rankings/world-competitiveness-ranking/ (01.03.2024).
    View in Google Scholar
27. Jain, S. S., & Jain, S. P. (2018). Power distance belief and preference for transparency. Journal of Business Research, 89, 135–142. DOI: https://doi.org/10.1016/j.jbusres.2018.04.016
    View in Google Scholar
28. Jebarajakirthy, C., & Thaichon, P. (2016). Marketing microcredit to bottom of the pyramid market: Investigating determinants and the role of self-identity: The case of youth in post-war context. International Journal of Bank Marketing, 34(2), 191–215. DOI: https://doi.org/10.1108/IJBM-12-2014-0176
    View in Google Scholar
29. Jenkins, H., & Hossain, M. (2017). An analysis of the macroeconomic conditions required for SME lending: Evidence from Turkey and other emerging market countries. Panoeconomicus, 64(1), 77–92. DOI: https://doi.org/10.2298/PAN140213008J
    View in Google Scholar
30. Jin, B., Gavin, M., & Kang, J. H. (2012). Similarities and differences in forming purchase intention toward a US apparel brand: A comparison of Chinese and Indian consumers. Journal of the Textile Institute, 103(10), 1042–1054. DOI: https://doi.org/10.1080/00405000.2012.660321
    View in Google Scholar
31. Kanagaretnam, K., Lim, C. Y., & Lobo, G. J. (2011). Effects of national culture on earnings quality of banks. Journal of International Business Studies, 42(6), 853–874. DOI: https://doi.org/10.1057/jibs.2011.26
    View in Google Scholar
32. Kijkasiwat, P. (2021). The influence of behavioral factors on SMES’owners intention to adopt private finance. Journal of Behavioral and Experimental Finance, 30, 100476. DOI: https://doi.org/10.1016/j.jbef.2021.100476
    View in Google Scholar
33. Ključnikov, A., Civelek, M., Klimeš, C., & Farana, R. (2022a). Export risk perceptions of SMEs in selected Visegrad countries. Equilibrium. Quarterly Journal of Economics and Economic Policy, 17(1), 173–190. DOI: https://doi.org/10.24136/eq.2022.007
    View in Google Scholar
34. Ključnikov, A., Civelek, M., Krajčík, V., Novák, P., & Červinka, M. (2022b). Financial performance and bankruptcy concerns of SMEs in their export decision. Oeconomia Copernicana, 13(3), 867–890. https://doi.org/ 10.24136/oc.2022.025. DOI: https://doi.org/10.24136/oc.2022.025
    View in Google Scholar
35. Koropp, C., Kellermanns, F. W., Grichnik, D., & Staney, L. (2014). Financial decision making in family firms: An adaptation of the theory of planned behavior. Family Business Review, 27(4), 307–327. DOI: https://doi.org/10.1177/0894486514522483
    View in Google Scholar
36. Krajcik, V., Novotny, O., Civelek, M., & Semradova Zvolankova, S. (2023). Digital literacy and digital transformation activities of service and manufacturing SMEs. Journal of Tourism and Services, 26(14), 242–262. DOI: https://doi.org/10.29036/jots.v14i26.551
    View in Google Scholar
37. Lacko, R., Hajduova, Z., Mura, L., & Dzogan, M. (2023). The attractiveness of foreign direct investments for business: the case of the selected European Union members. Transformations in Business & Economics, 22(2/59), 27–40.
    View in Google Scholar
38. Lin, M. S., Jung, I. N., & Sharma, A. (2024). The impact of culture on small tourism businesses’ access to finance: The moderating role of gender inequality. Journal of Sustainable Tourism, 32(3), 480–499. DOI: https://doi.org/10.1080/09669582.2022.2130337
    View in Google Scholar
39. Liñán, F., & Chen, Y. W. (2009). Development and cross–cultural application of a specific instrument to measure entrepreneurial intentions. Entrepreneurship Theory and Practice, 33(3), 593–617. DOI: https://doi.org/10.1111/j.1540-6520.2009.00318.x
    View in Google Scholar
40. Liñán, F., Nabi, G., & Krueger, N. (2013). British and Spanish entrepreneurial intentions: A comparative study. ReviSta de Economıa Mundial, 33, 73–103.
    View in Google Scholar
41. Luc, P. T. (2018). The relationship between perceived access to finance and social entrepreneurship intentions among university students in Vietnam. Journal of Asian Finance, Economics and Business, 5(1), 63–72. DOI: https://doi.org/10.13106/jafeb.2018.vol5.no1.63
    View in Google Scholar
42. Maddala, G. S., & Lahiri K. (2009). Introduction to econometrics. Chichester, West Sussex: John Wiley & Sons.
    View in Google Scholar
43. Mahmood, Y., Ahmad, M., Rizwan, F., & Rashid, A. (2020). Do banking sector concentration, banking sector development and equity market development influence firms’ financial flexibility? Evidence from Pakistan. South Asian Journal of Business Studies, 9(1),115–129. DOI: https://doi.org/10.1108/SAJBS-01-2019-0009
    View in Google Scholar
44. Maresch, D., Harms, R., Kailer, N., & Wimmer-Wurm, B. (2016). The impact of entrepreneurship education on the entrepreneurial intention of students in science and engineering versus business studies university programs. Technological Forecasting and Social Change, 104, 172–179. DOI: https://doi.org/10.1016/j.techfore.2015.11.006
    View in Google Scholar
45. Marfo-Yiadom, E., & Tweneboah, G. (2022). The role of national culture in financial innovation and bank stability transmission. Cogent Economics & Finance, 10(1), 2111792. DOI: https://doi.org/10.1080/23322039.2022.2111792
    View in Google Scholar
46. Moriano, J. A., Gorgievski, M., Laguna, M., Stephan, U., & Zarafshani, K. (2012). A cross-cultural approach to understanding entrepreneurial intention. Journal of Career Development, 39(2), 162–185. DOI: https://doi.org/10.1177/0894845310384481
    View in Google Scholar
47. Moro, A., Belghitar, Y., & Mateus, C. (2021). National culture and small firms' use of trade credit: Evidence from Europe. Global Finance Journal, 49, 100655. DOI: https://doi.org/10.1016/j.gfj.2021.100655
    View in Google Scholar
48. Morren, M., & Grinstein, A. (2021). The cross-cultural challenges of integrating personal norms into the theory of planned behavior: A meta-analytic structural equation modeling (MASEM) approach. Journal of Environmental Psychology, 75, 101593. DOI: https://doi.org/10.1016/j.jenvp.2021.101593
    View in Google Scholar
49. Morvai, J., Ormos, M., Antalík, I., Mura, L., Páldi, A., & Szabó, B. (2022). Financial planning in Slovakia: Results of empirical research. Entrepreneurship and Sustainability Issues, 10(2), 572–589. http://doi.org/10.9770/jesi.2022.10.2(36). DOI: https://doi.org/10.9770/jesi.2022.10.2(36)
    View in Google Scholar
50. Muzychenko, O., & Liesch, P. W. (2015). International opportunity identification in the internationalisation of the firm. Journal of World Business, 50(4), 704–717. DOI: https://doi.org/10.1016/j.jwb.2014.12.001
    View in Google Scholar
51. Nabi, G., & Liñán, F. (2013). Considering business start-up in recession time: The role of risk perception and economic context in shaping the entrepreneurial intent. International Journal of Entrepreneurial Behavior & Research, 19(6), 633–655. DOI: https://doi.org/10.1108/IJEBR-10-2012-0107
    View in Google Scholar
52. Nguyen, T. T. (2020). The impact of access to finance and environmental factors on entrepreneurial intention: The mediator role of entrepreneurial behavioural control. Entrepreneurial Business and Economics Review, 8(2), 127–140. DOI: https://doi.org/10.15678/EBER.2020.080207
    View in Google Scholar
53. Nowiński, W., & Haddoud, M. Y. (2019). The role of inspiring role models in enhancing entrepreneurial intention. Journal of Business Research, 96, 183–193. DOI: https://doi.org/10.1016/j.jbusres.2018.11.005
    View in Google Scholar
54. Osman, S. A., Emole, E. O., & Onu, E. V.(2023). Assessing the role of formal education in promoting entrepreneurship. International Journal of Entrepreneurial Knowledge, 11(2), 89–108. DOI: https://doi.org/10.37335/ijek.v11i2.197
    View in Google Scholar
55. Peng, M. (2009). Global business. South Western: Cengage Learning.
    View in Google Scholar
56. Pham, T. T. T., Nguyen, T. V. H., Nguyen, S. K., & Nguyen, H. T. H. (2023). Does planned innovation promote financial access? Evidence from Vietnamese SMEs. Eurasian Business Review, 13, 281–307. DOI: https://doi.org/10.1007/s40821-023-00238-3
    View in Google Scholar
57. Purwanto, P., Abdullah, I., Ghofur, A., Abdullah, S., & Elizabeth, M. Z. (2022). Adoption of Islamic microfinance in Indonesia an empirical investigation: An extension of the theory of planned behaviour. Cogent Business & Management, 9(1), 2087466. DOI: https://doi.org/10.1080/23311975.2022.2087466
    View in Google Scholar
58. Romaní, G., Soria-Barreto, K., Honores-Marín, G., Ruiz Escorcia, R., & Rueda, J. (2022). Not like my parents! the intention to become a successor of Latin American students with entrepreneur parents. Sustainability, 14(3), 1193. DOI: https://doi.org/10.3390/su14031193
    View in Google Scholar
59. Statista (2023). Index of the 25 most competitive countries. Retrieved from https://www.statista.com/statistics/273072/competitiveness-by-country/ (16.02.2024).
    View in Google Scholar
60. St-Jean, E., Nafa, A., Tremblay, M., Janssen, F., Baronet, J., & Lou, C. (2014). Entrepreneurial intentions of university students: An international comparison between African, European and Canadian Students. International Journal of Entrepreneurship and Innovation Management, 18(2/3), 95–114. DOI: https://doi.org/10.1504/IJEIM.2014.062878
    View in Google Scholar
61. Soltwisch, B. W., Dimitrov, D., & Hojnik, J. (2023). How decision-styles and cultural orientation influence entrepreneurial and social entrepreneurial intentions: A cross-cultural comparison. Frontiers in Psychology, 13, 988815. DOI: https://doi.org/10.3389/fpsyg.2022.988815
    View in Google Scholar
62. Tang, Y., & Moro, A. (2020). Trade credit in China: Exploring the link between short term debt and payables. Pacific-Basin Finance Journal, 59, 101240. DOI: https://doi.org/10.1016/j.pacfin.2019.101240
    View in Google Scholar
63. The World Bank (2022). GDP per capita by countries. Retrieved from https://data.worldbank.org/indicator/NY.GDP.PCAP.CD (15.03.2024).
    View in Google Scholar
64. The World Bank: 5-bank asset concentration ratio (2023). Retrieved from https://databank.worldbank.org/source/global-financial-development/preview/, (25/01/2024).
    View in Google Scholar
65. Tomal, M., & Szromnik, A. (2022). Determinants of entrepreneurial intentions of university students in selected post-communist countries in Europe: Investigating cross-cultural differences. Journal of Business Economics and Management, 23(1), 60–81. DOI: https://doi.org/10.3846/jbem.2021.15546
    View in Google Scholar
66. Trivedi, R. (2016). Does university play significant role in shaping entrepreneurial intention? A cross-country comparative analysis. Journal of Small Business and Enterprise Development, 23(3), 790–811. DOI: https://doi.org/10.1108/JSBED-10-2015-0149
    View in Google Scholar
67. Uctu, R., & Al-Silefanee, R.(2023). Uncovering the factors influencing entrepreneurial intentions of university students: An application of Shapero's model. International Journal of Entrepreneurial Knowledge, 11(1), 35–50. DOI: https://doi.org/10.37335/ijek.v11i1.182
    View in Google Scholar
68. Van Rijnsoever, F. J., & Eveleens, C. P. (2021). Money don't matter? How incubation experience affects start-up entrepreneurs' resource valuation. Technovation, 106, 102294. DOI: https://doi.org/10.1016/j.technovation.2021.102294
    View in Google Scholar
69. Wach, D., Kruse, P., Costa, S., & Antonio Moriano, J. (2023). Exploring social and commercial entrepreneurial intentions from theory of planned behaviour perspective: a cross-country study among Namibian and German students. Journal of Social Entrepreneurship, 14(2), 226–247. DOI: https://doi.org/10.1080/19420676.2020.1863250
    View in Google Scholar
70. Warner, H. W., Özkan, T., & Lajunen, T. (2009). Cross-cultural differences in drivers’ speed choice. Accident Analysis & Prevention, 41(4), 816–819. DOI: https://doi.org/10.1016/j.aap.2009.04.004
    View in Google Scholar
71. Xiong, C., Chang, V., Scuotto, V., Shi, Y., & Paoloni, N. (2021). The social-psychological approach in understanding knowledge hiding within international R&D teams: An inductive analysis. Journal of Business Research, 128, 799–811. DOI: https://doi.org/10.1016/j.jbusres.2019.04.009
    View in Google Scholar
72. Yang, R., Meyskens, M., Zheng, C., & Hu, L. (2015). Social entrepreneurial intentions: China versus the USA–Is there a difference? International Journal of Entrepreneurship and Innovation, 16(4), 253–267. DOI: https://doi.org/10.5367/ijei.2015.0199
    View in Google Scholar