HOW POLICY EMPOWERMENT INFLUENCES ENTREPRENEURIAL INTENTION: THE MEDIATING ROLE OF PERCEIVED BEHAVIORAL CONTROL AMONG UNIVERSITY STUDENTS IN YUNNAN FREE TRADE ZONE

Abstract

This study investigates the psychological mechanism through which policy empowerment influences the entrepreneurial intentions of university students in China's Yunnan Free Trade Zone (FTZ). Grounded in the Theory of Planned Behavior (TPB), it posits Perceived Behavioral Control (PBC) as a critical mediator between policy empowerment and entrepreneurial intention. Data were collected from 324 university students via a structured questionnaire and analyzed using Structural Equation Modeling (SEM) with AMOS. The results demonstrate that policy empowerment has a significant positive direct effect on PBC (β = 0.412, p < 0.001), which in turn strongly predicts entrepreneurial intention (β = 0.584, p < 0.001). Furthermore, a significant mediation effect was found, confirming that PBC is a pivotal mechanism through which policy empowerment enhances entrepreneurial intention (Effect = 0.241, 95% CI [0.152, 0.345]). The findings underscore that beyond providing tangible resources, the primary value of policy empowerment lies in boosting students' confidence and control beliefs, thereby stimulating entrepreneurial motivation. This research provides theoretical insights for the TPB framework in policy contexts and practical implications for designing psychologically informed entrepreneurship support policies in FTZs.