Factors affecting entrepreneurial opportunity recognition and exploitation in the context of the Iranian agriculture sector

The agricultural entrepreneurial process in developing countries is one of the most understudied issues in entrepreneurship research. Opportunity recognition and opportunity exploitation as two considerable components of the entrepreneurial process are among the most important abilities of successful entrepreneurs. Factors influencing opportunity recognition and opportunity exploitation in the Iranian agriculture sector was the aim of this study. The survey research method was used to collect data from a sample of 246 awarded agricultural entrepreneurs (N= 721), selected by Iran’s Ministry of Cooperatives Labor and Social Welfare, through proportionate stratified random sampling. Data were collected using a questionnaire and were analyzed using R software. The face validity of the questionnaire was confirmed by a panel of experts from the School of Agriculture, Shiraz University and the reliability was examined using Cronbach’s alpha through a pilot test. Independent variables were considered according to a sector-specific perspective, including social media networks, the success and failure of prior businesses, and environmental uncertainty. The findings showed that social media networks have positive effects on opportunity recognition and exploitation alike. The prior successful business also influenced opportunity recognition and recognition positively. The influence of prior failed business on opportunity recognition was positive, while its effect on opportunity exploitation was not significant. The effect of environmental uncertainty on two dependent variables was vice versa, a positive effect on opportunity recognition and a negative effect on opportunity exploitation. The results of this study indicated that the factors may not have a similar effect on opportunity recognition and exploitation.