Coaching and mentoring to foster self-efficacy for early-stage survival-driven entrepreneurs

Abstract

Purpose: In developing economies, the intention to engage in entrepreneurship has steadily increased. However, the failure rate of small and medium enterprises remains high. Entrepreneurial self-efficacy is a useful lens to study entrepreneurial support. This study aims to investigate the respective mechanisms and contributions of coaching and mentoring in developing entrepreneurial self-efficacy of early-stage, survival-driven entrepreneurs.

Design/methodology/approach: The study was exploratory and qualitative, and followed an inductive approach. Purposive sampling (N = 21) was used to collect data through semi-structured interviews with 12 survival-driven entrepreneurs, four coaches, four mentors and one entrepreneurial support provider. Data were analysed using inductive thematic content analysis.

Findings/results: Although there are similarities and overlaps between the outcomes of coaching and mentoring, the results indicate that coaching is used as an exploratory intervention to generate options for entrepreneurs and predominantly contributes to the development of self-regulatory processes. Mentoring is used in a more consulting and directive manner to guide the entrepreneurs towards business-related solutions and contributes to the development of entrepreneurial business management competencies.

Practical implications: This study provides guidelines to coaches and mentors of survivalist entrepreneurs on when to use which approach.

Originality/value: Currently the lines between coaching and mentoring to support and develop entrepreneurs are blurred. This study created a conceptual framework (based on Social Cognitive Theory and Entrepreneurial Self-Efficacy) that delineates the different mechanisms and contributions of coaching and mentoring to the development of the self-efficacy of survival-driven entrepreneurs.