Entrepreneurial Factors That Contribute to the Success of Entrepreneurs

Abstract
Entrepreneurship is one of the main drivers of market nation and development. Entrepreneurs play an important role in economic development with innovation, creativity and employment. They discover new ideas and business opportunities in order to provide goods and services. This research aims to study the factors contributing to the success of entrepreneurs and analyze the relationship between entrepreneurial factors and success of entrepreneurs in Gilgit. Concerning the methodology, the three entrepreneurial factors personality traits, access to finance and government support were taken in the Gilgit using quantitative approach. Using a convenience sampling technique, 151 entrepreneurs were selected as respondents. Data were gathered through adapted questionnaire using 5 point likert scales. Correlation and regression analysis were used to test the relationship between the entrepreneurial factors and entrepreneurial success. This study analyzed that entrepreneurial factors are significantly related to the success of entrepreneurs. This research will be practicable for the academicians and the researchers who are concerned in examining the entrepreneurial factors. The future research may study the results of this study throughout a large scale within or different geographical region.
Key words: Entrepreneurial factors, Personality traits, Access to finance, Government support, and Entrepreneurial success.


1.0 INTRODUCTION
1.1 Background:
The literature on entrepreneurship in Gilgit is limited. For the complete understanding of the success factors of entrepreneurs in Gilgit, studies of entrepreneurial factors and entrepreneurial success in other countries of the world is very important. This study relies on the studies of other entrepreneurs in other countries. Entrepreneurship is very significant so this study examines the factors that contribute to the success of entrepreneurs in Gilgit. This study is about the successful entrepreneurs and their success factors. This study helps in understanding the entrepreneurial factors that need for the success of entrepreneurs (Cynthia, Chu, & Kara, 2009).
Gilgit-Baltistan formerly known as Northern Areas is an important entity for entrepreneurs. It covers an area of 72,971 km² and is highly mountainous. Entrepreneurial activities on small and large scale are carried out in these valleys by exploiting the opportunities. It has an estimated population approaching 1,000,000. Its administrative center is the city of Gilgit (population 216,760). The main attraction of the entrepreneurs was the control of trade routes that intersect in Gilgit. Gilgit is the capital city of Gilgit-Baltistan. It is the trade center of Gilgit. Weather condition is suitable for entrepreneurs in Gilgit by its geographical location. According to population statistics 85% of the total population lives in rural areas. The Gilgit city is considered as the main commercial hub for entrepreneurs. The large number of shops contains textile, shoes, bags, kitchen utensils, spices, crockery, jewelry, stone and gems. There are also local handicraft shops.

The literacy rate in Gilgit is comparatively high. A Karakoram International University has been established for graduates and post graduates (Panoramio, 2011).
1.2 Significance of the Study:
This research will be practicable for academicians and the researchers who are concerned in examining entrepreneurial factors influence entrepreneurial success.
Entrepreneurship is considered as an important factor of a market development. In the developing countries entrepreneurial activities improve the social and economic development (Yusof, 2010).
This study is significant to the researchers in a sense that it will develop an extensive knowledge about the area of research. The research will help entrepreneurs to identify the opportunities. In doing so, the study highlights what can do to maximize the return. This study will prove to be significant for entrepreneurs, educators, investors etc.It can be an input to the existing and potential entrepreneurs.
This research can be helpful for the researchers for further study in this field.
1.3 Problem Statement:
As mentioned in the introduction above, there are a large number of entrepreneurs in Gilgit region. But the region does not yet exploit them very well to contribute a lot for economic development. This is supported by different pragmatic evidences. For example, Rose and Kumar (2006) stressed that entrepreneurs do have the necessary skills to be succeeded in entrepreneurship. Such as creativity, experience, taking risk, innovations and managerial skills. These factors are the major key to success.

Various studies have confirmed that entrepreneurial success depend on different entrepreneurial factors as suggested by Holt (1992) that, entrepreneurs have improved success by reversing the failure factors of entrepreneurs.
This study tends to investigate entrepreneurial success: entrepreneurial factors that contribute to the success of entrepreneurs in Gilgit.
1.4 Research Aim:
Entrepreneurs have become important players in the entrepreneurial landscape. It is apparent that all entrepreneurial factors have a significant relationship with entrepreneurial success according to Makhbul and Hasun (2011).
The aim of the study is to identify the factors influencing the success of entrepreneurs in Gilgit. The aim of this study is to examine the entrepreneurial success through entrepreneurial factors. The major aim of this study is to design a comprehensive research on the factors that contribute to the success of entrepreneurs. Based on the analysis of the relationship, the most significant entrepreneurial factors will be highlighted.
1.5 Research Objectives:
Following are the research objectives:
1. To identify the factors that contributes to the success of entrepreneurs.
2. To study the relationship between entrepreneurial factors and entrepreneurial success.

1.6 Research Questions:
Q1. What are the entrepreneurial factors that contribute to the success of entrepreneurs?
Q2. What is the relationship between entrepreneurial factors and entrepreneurial success?
1.7 Delimitations of the Study:
` The sample size could be considered as being relatively small which is due to the limited time frame we are given for this research. Limited time and cost resist us to select only specific variables to study and neglect other variables which are also important and relevant to the topic. The study was also limited to the entrepreneurs involved in the Gilgit.

2.0 LITERATURE REVIEW
2.1 Concepts & Definitions:
2.1.1 Entrepreneurship:
Entrepreneurship is a dynamic concept. Entrepreneurship is the act of being an entrepreneur, which is a French word meaning "one who undertakes an endeavor” (Saleem & Abideen, 2011). The concept of entrepreneurship in management studies is generally considered a dynamic system of an individual’s interrelated components (e.g., personality traits, cognition, motivation, abilities, skills, attitudes, behavior, and so on) on the basis of which individuals are able to turn opportunities into new values (Oganisjana & Koke, 2012).
Entrepreneurship is defined as the act and process by which societies, regions, organizations or individuals identify and pursue business opportunities to create wealth (Govindasamy, 2010).
2.1.2 Entrepreneurs:
The word entrepreneur is often synonymous with founder. Most commonly, the term entrepreneur applies to someone who creates value by offering a product or service, by carving out a niche in the market that may not exist currently. Entrepreneurs tend to identify a market opportunity and exploit it by organizing their resources effectively to accomplish an outcome that changes existing interactions within a given sector. Entrepreneurs assemble resources including innovations, finance and business acumen in an effort to transform innovations into economic goods (Saleem & Abideen, 2011).

Entrepreneurs are a unique group of people as they assume risk, manage the business’s operations, reap the rewards of their success and bear the consequences of their failure (Govindasamy, 2010).
2.1.3 Entrepreneurial Factors:
There is a relationship between entrepreneurial factors and entrepreneurial success. Entrepreneurial factors such as creativity, innovativeness, risk taking, access to capital and government support contributes to the success of entrepreneurs. All these factors are needed for their success in the competitive global market. Some factors contribute more and some provide minimal contribution to the success of entrepreneurs. In order to achieve success entrepreneurs need to combine all these factors. Entrepreneurs believe that they succeed if they use all these entrepreneurial factors in their venture (Makhbul & Hasun, 2011).
Entrepreneurial factors like entrepreneurial characteristics, availability of finance, embrace risk and government support programs are the factors that contribute to the success of entrepreneurs. Success factors like personality traits of entrepreneurs (creativeness, innovativeness, and risk-taking), access to finance and information are the success factors of entrepreneurs for new venture (Yusof, 2010).
The discovery of creative ideas, innovation and the risk taking ability are the critical success factors for entrepreneurs. These factors help entrepreneurs to provide goods and services for the success of entrepreneurs and economic development. For their success entrepreneurs concentrate on financial capital, availability of information and government support and each factor impacts on the success of products or services. No

one factor is neglected and entrepreneurs give equal importance to all these entrepreneurial factors (Ravikiran & Vittal, 2013).
Net-working, clustering and Innovation are the success factor. Among these entrepreneurial innovation is the most favorable key to success. Other factors are market needs, product/service superiority, communication, finance and support. These factors are critical for success (Omta, Kooten, & Pannekoek, 2006).
The factors that contribute to the success of entrepreneurs are innovation, risk-bearing, new opportunities, hard work, excellent management skills, charisma, access to capital and government policies. Entrepreneurs take decision based on these factors. Entrepreneurs consider these factors most important for their success (M, Orhan, & Cynthia, 2008).
The key entrepreneurial success factors includes; internal factors and external factors. Internal factors of entrepreneurial success are; leadership, tolerance of risk, creativity, innovation and motivation. External factors of entrepreneurial success are: access to capital, access to information and government support. Entrepreneurs become successful when they engage in entrepreneurial activity by using factors of success. These factors help entrepreneurs to identify opportunities for their venture (Petheo & Szabo, 2011).
Factors that contribute to the success of entrepreneurs are; source of capital, support and characteristics of entrepreneurs. Characteristics of entrepreneurs such as responsibility, innovation, honesty, creativity, hard-work and risk-taking influence their success. These are the success indicators associated with the success of entrepreneurs. In

order to achieve success in their activities these factors encourage the entrepreneurs (Salwa, Azahari, & Tamkin, 2013).
There are several variables that have significant effect on entrepreneurial success. Researchers have recognized the importance of factors that contributed to the success of entrepreneurs. These studies investigated the differences among entrepreneurial factors in entrepreneurs. Summarization of these studies lead to emergence to three factors. In this study three entrepreneurial factors are selected namely; Personality traits (creativity, innovation and risk taking), access to finance and government, instead of selecting all the factors (Chattopadhyay & Ghosh, 2008).
It is important to identify what factors lead to the success of entrepreneurs.
2.1.3.1 Personality Traits:
2.1.3.1.1 Creativity:
Creativity is the prerequisite for innovation. It is the ability to create something new. Entrepreneurs need creative ideas to pursue the success. For their success entrepreneur creates ideas, promote them and develop successfully (Holt, 1992).
Creativity is the capability to create new and useful ideas and convert them from thought into reality. This process involves creative thinking and then manufacturing. The result is that productivity is improved over time. Creativity helps entrepreneurs to create something new and also helps in becoming a successful entrepreneur. The creativity increases the efficiency of entrepreneurs in their success. The creative act is the interaction between entrepreneurs and the environments which bring the opportunities of

entrepreneurship. Successful entrepreneurs use creative approach to address the perceived opportunities (Vinci, 2011).
Successful entrepreneurs need creative ideas for their success. The entrepreneur’s creativity may involve an innovation. Ideas have no value until they are transformed into new products, services or processes. Creativity is the key spirit of entrepreneurship. The creativity provides opportunities to do new things and to do existing things in extraordinary ways. It is the responsibility of entrepreneurs to keep their organization for new things to delight the customers, which is the purpose of entrepreneurship (Okpara, 2007).
In the world of globalization, there is a need of creativity for the success of entrepreneurs. The globalization provides opportunities for entrepreneurs. A creative entrepreneurial response represents the best chance of capitalizing on these opportunities. There is a link between creativity and entrepreneurship and the related areas of entrepreneurship for success. An entrepreneurial contribution to creativity achieves both incremental and ground breaking success. Entrepreneurs explore the paths of creative discovery where a solution is complex through curiosity, self-confidence. Entrepreneurial creativity impacts throughout the lifetime of the entrepreneurs. Success is related to the creativity of entrepreneurs. Creativity is concerned with the creation of alternative solutions to the problems of entrepreneurship and identification of new opportunities for success. For the success of entrepreneurs, creativity contributes to deal the uncertainty and ambiguity in making decisions. Creativity is a potential source for entrepreneurs to acquire resources for entrepreneurship (Fillis, 2010).

Peoples, who consider themselves as creative, engage in entrepreneurship and become entrepreneurs because of creativity. For their success, entrepreneurs need to incorporate creativity. Creativity is considered a key factor on decision to engage in entrepreneurship (Moustakis, Leonidas, Gotsi, & Andriopoulos, 2011).
The entrepreneur is attracted to provide solution, product, service or process. The reason is that, it is an opportunity for entrepreneurs to create something new from the set of unique personal characteristics like inspiration, creativity and courage. The entrepreneurs think creatively and develop new thing into existence. The success of an entrepreneur is strongly based on the strength of their creativity (Roger & Osberg, 2007).
The role of creativity cannot be denied. Creative entrepreneurs are able to identify opportunities for new products, services and processes. They identify new ways for existing methods for their success. They create ideas for entrepreneurship as well as solutions for the problems and also fulfill gaps (Solmaz & Subramaniam, 2013).
Creativity is an arrangement for creating and assessing new ideas that provide value to existing system. Creativity ensures that entrepreneurs can achieve their goals. It encourages the entrepreneurs to apply their creative ideas in problem solving and creation of new and unique products. It facilitates the thinking of entrepreneurs that help in the success of entrepreneurs (Cropley & Cropley, 2009).
Creativity is the factor that directs the attention of entrepreneurs toward a specific object. It increases the entrepreneurial intentions among the entrepreneurs. Creativity focuses creative style of working. It is the indicator for success and influence entrepreneurs for innovation and development of products (Daniel, Wennberg, & Berglund, 2008).

Creativity leads to innovation that brings changes in the enterprise. Successful entrepreneurs critically analyze the establishment of new products, services, methods, techniques or practices. Entrepreneurs use creativity to do things before being asked, by obtaining finance or support. It is also used to discover resources that add value to the economy (C. & Groenewald, 2006). Creativity is the process of creating original and new ideas which have values. It helps entrepreneurs in searching of new ways of doing things new. It begins with the generation of new idea. Creativity is the combination of critical thinking, imaginative insight and fresh ideas. It encourages the entrepreneurs to innovate. It is the entrepreneurial skill to solve problems (Azzam, 2009).
Creativity explains the ideas that have value. It builds capacity among entrepreneurs to produce novel products. The entrepreneurs are able to find problems. Sometime creativity requires more than individual idea generation. Success of entrepreneurs depends on the training which promotes divergent thinking. Creativity enables entrepreneurs finding opportunities in existing fields or new opportunities. Sometimes creativity in entrepreneurship requires skills that influence through support and by investing of new ideas. Entrepreneurs exploit new opportunities with the help of creativity and manage work load. It is considered an input in the venture. Entrepreneurs get benefits from the creative thinking and techniques. Entrepreneurs apply creativity in the development of new venture (Matthews, 2007).
In the entrepreneurs creativity arises from the following components which are sources to success: knowledge, creative thinking, personal motivation, environment and decision. A successful entrepreneur knows how to get different ideas and committed in engaging entrepreneurial activity. Entrepreneurs are able to make corrections in their

venture and convert decisions into practical applications. Creativity helps entrepreneurs in removing of barriers and pursues creative paths (Adams, 2006).
2.1.3.1.2 Innovation:
Innovation is the process of creating things new. Therefore innovation is the conversion of innovative ideas into practical applications. Entrepreneurs use innovation to create wealth and increase potential resources. If the entrepreneurs manufacture products or services he should have to plan, organize and implement the innovative idea. Successful entrepreneurs recognized opportunities and transformed creative idea into useful value. Thus creativity is the prerequisite for innovation (Holt, 1992).
It is the innovation that distinguishes successful entrepreneurs from the others. It increases the efforts of entrepreneurs. And also key to success in entrepreneurship. For the purpose of new product or service in the market entrepreneurs generate idea and develop entrepreneurship. Innovation takes different forms: innovation in processes, innovation in products or services and innovation in management and work organization. Through innovation entrepreneurs are able to exploit market opportunities to meet the needs of customers. The entrepreneurial success depends on the activities undertaken by the entrepreneurs. Success in entrepreneurship demands innovation more and more. Successful entrepreneurs require creative idea that changes the existing products or services. It is the responsibility of entrepreneurs to do things new (Okpara, 2007).
Innovation is applicable to all ventures of entrepreneurship. The implementation of creative ideas is the part of innovation. Entrepreneurial innovation focused on creativity that stimulates entrepreneurs to generate new idea. Innovation influence entrepreneurial success. Entrepreneurs’ innovative behavior is very important for the

development of entrepreneurship. Innovation is the combination of two phases: initiation and implementation. Before the initiation of innovation, entrepreneurs create ideas by identifying the needs and wants of the customers. Thus innovation is directly related to the creativity of entrepreneurs that contribute to the success. Entrepreneurs convert this creative idea into useful applications. There is a connection between innovation and creativity of entrepreneurs (Jeroen & Hartog, 2007).
Entrepreneurs generate ideas and exploit opportunities to establish entrepreneurship in order to provide products and services according to needs and wants of customers. Innovative products are the cause for the success of entrepreneurs. Entrepreneurs modify the products according to the needs and ways of life of customers. Innovation provides directions for entrepreneurs and ways of doing things new. It involves knowledge and information of entrepreneurs about the necessities of customers. Through innovation entrepreneurs convert customer needs to customer demand (Ravikiran & Vittal, 2013).
The key to success for entrepreneurs is innovation. It is the way of creating wealth. Entrepreneurs need to be careful in creating innovative ideas on existing idea, product or service. Entrepreneurs use innovation to solve the problems as innovation is the potential way of creating incremental wealth. Innovation is very important for both entrepreneurs and the customers. Understanding of innovations creates new strategies for entrepreneurial success. Entrepreneurs need to determine the process of innovation from the generation of idea to commercialization. When creativity and innovation combine they create success for entrepreneurs (Altman, 2010).

Innovation is the crux of all the innovation in any company. The human, intellectual, physical, market and financial resources define the company’s potential of innovation. All these factors compel innovation. Entrepreneurs bring innovation following the culture, customs, beliefs and values of that area. Entrepreneurs utilize resources in order to bring innovation on existing products and services to satisfy needs and want of customers and features as well. Entrepreneurs become successful when they implement the idea of innovation (Savoia & Copeland, 2011).
The nature of work is changed with the passage of time. There is a need of creativity and innovation to survive. Entrepreneur’s innovation is the driver of change that provides the opportunity for entrepreneurs. According to innovation theorist innovation process consists of two stages: generation of idea and implementation of idea. Innovation follows the creativity of entrepreneurs. Innovative entrepreneurs are those who exploit the opportunities for new products, services or processes by using existing resources and for their development. Besides the creation of ideas entrepreneurs are able to solve the problems as well through innovation. Entrepreneurs bring innovation only when they follow creativity. The entrepreneur’s creative behavior encourages entrepreneurs for innovation that leads to entrepreneurial success (Moghimi & Subramaniam, 2013).
Innovation is not technology but innovation is doing things new to provide value to customers. Successful entrepreneurs require implementation of idea. Innovation involves revolutionary changes without technology. Within entrepreneurship innovation is concerned to modification of products and improvements of entrepreneurial ways that an entrepreneur is designed. Entrepreneurs explore the process of innovations to analyze

their abilities. Entrepreneurs use innovation concept to assess opportunities and demonstration of entrepreneurial ventures (Crawley, 2011).
Innovation is the process of bringing creative and effective or skilled products or services. Entrepreneurs are ready to change the existing technique to create efficiency in the production. The innovative ways are fruitful for the entrepreneurs. Entrepreneurs require innovative spirit for their survival in entrepreneurship. Innovation directly influence processes that how the products and services are delivered to customers. The success of entrepreneurs mostly depends on the modification of products, processes or services according to needs and wants of customers. Entrepreneurs put the innovative ideas into practical applications that contribute to their success (Crumpton, 2012).
Entrepreneurial innovativeness is related to the individual factor and the environment in which the entrepreneur acts. Successful entrepreneurs always engage in entrepreneurial activities. The product or service is not new to the market unless the entrepreneurs bring innovation in that product or service. Entrepreneurial creativity is need for innovation depends on the market needs. Entrepreneurs bring innovation accordingly and become successful entrepreneurs in the market. The market needs create innovative ideas among entrepreneurs. Through innovation entrepreneurs exploit entrepreneurial opportunities (Koellinger, 2008).
Innovation is important for the survival and success of entrepreneurs. Innovation only occurs when market demands and culture change. When the behavior of customer change with the change in climate the entrepreneurs pursue the change and bring innovation on existing products, services or processes (Moghimi & Subramaniam, 2013).

Innovation is adopted when an entrepreneur is more innovative and creative. Entrepreneurs bring innovation as they connected with the customer all the times. Entrepreneurs create new ideas and implement them to create new and better quality products, services or processes. There is a positive outcome of entrepreneurial innovativeness in the successful entrepreneurship (Akram, Ali, & Mughal, 2012).
Entrepreneurs follow change through innovation. They face challenges by taking long term innovation. Entrepreneurs bring different forms of innovation according to the differences in market tastes. Innovation includes changeability, risk taking and typical problem solutions. This innovation is the key to success of entrepreneurs. Successful entrepreneurs understand the innovative streams and able to shape the innovation and successful in achieving the goals (Hussain, 2010).
Entrepreneurs use innovation to achieve and maintain competitive advantage. The place/area where entrepreneurs work influenced entrepreneurs to innovate products or services. Innovation is the generation and implementation of useful ideas. For innovation entrepreneurs pursue the opportunities. Innovation is benefited to the entrepreneurs (Wallace, Butts, Johnson, Stevens, & Smith, 2013).
2.1.3.1.3 Risk Taking:
One of the important factors of entrepreneurial success is their risk taking. Entrepreneurs take risk to implement their ideas. Entrepreneurs consider certain and rational risk. When the risk is high in entrepreneurship the return is uncertain. Risk is associated with the entrepreneurs by taking new and creative ideas and identification of opportunities and mobilization of resources. Entrepreneurs take risk by introducing new products or services to customer. Entrepreneurs bear different risks: financial, job and

social and family risk. To take risk entrepreneurs need high energy, follow working situations and risk of failure or loss. If they take risk, they succeed in the entrepreneurship (Allah & Nakhaie, 2011).
Risk taking refers to the entrepreneur’s desire to take new venture without the consequences of entrepreneurship whether the entrepreneurs is successful or not. Risk that an entrepreneur bear consisting of business, financial and personal risks. The goal of entrepreneurs is reducing the risk incurred in entrepreneurship in order to achieve success. Actually successful entrepreneurs are not risk takers instead they minimize risk involved in entrepreneurship. Sometimes entrepreneurs take risk without certain knowledge of feasible end results (Dess & Lumpkin, 2005).
Risk taking is an important factor that is associated with innovation of entrepreneurs. Risk taking is not independent. It is related with the innovative behavior of entrepreneurs. Entrepreneurs have the necessary skills to take risk. Risk taking is higher in some entrepreneurs while some entrepreneurs are risk averse. When an entrepreneur take risk his/her performance increases for success (Naldi, Nordqvist, Sjöberg, & Wiklund, 2007).
Entrepreneurial risk taking is vital for the survival and success of entrepreneurs. The result is uncertain to entrepreneurs but they believe their skills in order to take risk. Entrepreneurs use talents to take risk. The innovative behavior encourages the entrepreneurs to take risk as profit is concerned to the risk and entrepreneurship expands in the market (Zahra, 2005).

Risk taking helps entrepreneurs to cope the irregular variations and uncertainty in the market. Successful entrepreneurs take risk of new venture opportunity whether the venture is successful or not. For their success they take quick and risky decisions. They take risk by assuming that the return of their risk is high. Entrepreneurs obtain huge funds; introduce new products or services and investing in the modern technologies to maximize the outputs. Entrepreneurs who launch new venture take risk irrespective of their consequences (Dess & Lumpkin, 2005).
Successful entrepreneurs take risk as compared to non-entrepreneurs. Entrepreneurs take financial, management and personal risk. Entrepreneurs perceive the risk and behave accordingly. Entrepreneurs take risk because they belief on their creativity and innovative behavior. Successful entrepreneurs have high degree of risk taking as compared to non-entrepreneurs. Entrepreneurs who have traits take the entrepreneurial risk for their success (Haan, 2010).
Risk taking behavior is different from entrepreneurship to entrepreneurship and from entrepreneurs to entrepreneurs. Risk is involved in all businesses. Successful entrepreneurs take greater risk to survival. Entrepreneurial risk is the potential gain or loss after a certain decision of entrepreneurs. When an entrepreneur is able to handle the risk it means the potential gain is achieved and they become successful. Entrepreneurs perceived risk as a factor of generating high profit (Landqvist & Stalhandske, 2010).
Entrepreneurs take risk of expecting high returns. So entrepreneurs considered themselves as risk takers because this is the way of earning profit and become successful (Puri & Robinson, 2005).

The risk taking behavior of entrepreneurs is related with their perception of risk. Entrepreneurs take risk by thinking that they exploit opportunities and run the business in an innovative ways. Entrepreneurs respond to change as success of business depends on the market changes and requirements. By taking risk entrepreneurs enjoy advantages from competitors. Successful entrepreneurs easily adjust themselves according to the market changes because they take risk with the emerging markets. Entrepreneurs take risk by bringing innovation in the existing and exploiting new resources in order to create advantage without acknowledging the consequences. Through this risk taking contributes to the success of entrepreneurs (Dodd & Wand, 2012).
Entrepreneurs are willing to take risk so they accept risk. They consider risk as opportunity and make decisions about new venture. Entrepreneurs take risk for their success because of entrepreneurial activity and financial knowledge they have. To engage in entrepreneurial environment and success, entrepreneurs take risk based on entrepreneurial skills and entrepreneurial experience (J & R, 2009).
2.1.3.2 Access to Finance:
As enterprise grows financial requirements change. So, financial resources are essential for the success of entrepreneurs. Obtaining financial resources can be difficult for entrepreneurial ventures because they are considered more risky than established enterprises. Entrepreneurs obtain cash for their through two different sources, equity or debt. At the time of need, entrepreneurs access to financial resources for ventures in the start-up and early development stage. The entrepreneur is granted finance on the strength of his/her reputation. Commercial banks provide unsecured and secure loans to the

entrepreneurs. Through this entrepreneurs develop their business successfully (Holt, 1992).
According to Munikrishan and Veerakumaran (2012) access to finance does have a positive relationship with business of the entrepreneur. Access to formal financial services and financial flexibility as an important factor for the business grows than the success however lack of finance to capital may hinder the business success. Access to finance refers to availability and flexibility in obtaining the funds for business growth.
Financing is one of the main factors that contribute to the success of entrepreneurs. Finance helps entrepreneurs in using latest technology in their operations. The ability to gain access to resources of financing giving enough attention to planning for their financial needs, as well as knowingly the alternative sources of available funding (Munikrishnan & Veerakumaran, 2012).
The lack of initial start off capital is great challenge to many entrepreneurs. Entrepreneurs apply for credit from a formal financial institution either during the start-up or operational phase of their businesses. Only a small share of entrepreneurs applied for credit from informal financial institutions, perhaps due to the high rates charge on informal loans (Nation, 2013).
The difficulty of financing Entrepreneurial growth is a universal problem. According to Munikrishnan and Veerakumaran (2012) access to finance ability is an important contributory factor to the success of entrepreneurs. The research found that financial flexibility was significantly correlated to business success. Besides the characteristics of an entrepreneur it is important to note that financial assistance is an essential factor for entrepreneurial success.

The limitation to access to finance is one of the main hindrances to the entrepreneurial success. Financial assistance has a positive relationship with business success of the entrepreneur (Munikrishnan & Veerakumaran, 2012). Lack of financial assistance and unable to access finance are most critical environmental failure factors.
Entrepreneurs need and require financial support in order to develop their business. Research has shown that creation of investment companies, provision of low-interest loans, and availability of credit guarantee schemes for small business financing have all contributed to the establishment of new businesses. In most developing countries and emerging market economies, only a few venture capital companies and commercial banks are available and alternative sources of financing are almost non-existent and as a consequence, a paradox emerges: entrepreneurs cannot start a business without financial assistance. It was possible to start-up a business with very little capital and most entrepreneurs could rely solely on their personal savings. A number of studies have also established that lack of finance is a barrier for businesses in transition economies. The liquidity of financial systems as it influences entrepreneurial thinking tends to vary along a continuum between equity-focused financial systems and bank-based financial systems, which is the process by which capital is made available and priced. Most apparently, bank finance is normally in the form of loans, whereas venture capital finance consists primarily of equity (Yusof, 2010).
2.1.3.3 Government Support:
Supportive government is significant for the development of entrepreneurship to thrive dynamic environment. Many national governments have invested numerous financial budgets and implemented a wide range of programs and procedures to facilitate

and enhance entrepreneurial activities. The government support is a key component for accelerating the growth of entrepreneurs. The government should regularly assess the needs of entrepreneurs and provide the necessary supports such as counseling or training programs for them (Sukasame & Lee, 2006).
A comprehensive government approach to entrepreneurship provides full coordination of activities of numerous governmental institutions (chambers of commerce, employment bureaus etc.) with entrepreneurship. The development of financial support institutions and networks is one of key condition for the success of entrepreneurs. There are no doubts that governments should create different types of support in institutions (Sunje, 2008):
1. To provide information on regulations, standards, taxation, customs duties, marketing issues.
2. To advise on business planning, marketing and accountancy, quality control and assurance.
3. To create incubator units providing the space and infrastructure for business beginners and innovative companies and helping them to solve technological problems and to search for know-how and promote innovation.
4. To help in looking for partners.
In order to stimulate entrepreneurs for success Sunje (2008) work on ten lines for action, i.e.
1. Education and training for entrepreneurship
2. Cheaper and faster start up
3. Better legislation and regulation

4. Availability of skills
5. Improving online access
6. Getting more out of the single market
7. Taxation and financial matters
8. Strengthening the technological capacity of small enterprises
9. Successful e-business models and top class business support
10. Developing stronger, more effective representation of SMEs interest at union and national level
Government policy can assist entrepreneurs to access international activities and to access venture capitalists. Government assistance programs have little influence on the entrepreneurs’ psychology and behavior (Soonotornthum, 2007). He stated that providing training and counseling services increased the likelihood of new venture startups. Government may have a role in providing financial assistance to create more favorable environment for entrepreneurs. Government assistance may be in the form of market information, finding and selecting channels of distribution and financial aid. Entrepreneurs also respond that government assistance should be differentiated according to the needs of different firms.
Government provide business friendly infrastructure by providing a framework of enforceable competition law that discourage monopolies and unfair competition as well as by intellectual property rights that protect a firm’s valuable but often intangible, knowledge assets. Government policies and other national business environment factors could be marshaled to influence the rates and types of entrepreneurship. Government should create an enabling environment that reduces the barriers to market entry. This can

be possible by integrating entrepreneurship into the country’s economic development efforts. They should also invest in diverse sources of risk capital to fund entrepreneurs but also to provide the fiscal incentive for investors to provide funding. A smooth running market economy is the best way to encourage entrepreneurship, rather than direct support (Adegun & AKomolafe, 2013).
Government influences and supports for entrepreneurship is very crucial to promote the entrepreneurial development in order to guarantee entrepreneurs future success. The need for such motivational factors is generally higher in countries where entrepreneurial awareness is low than in countries where such awareness is high. By their actions, governments substantially influence the economic and non-economic opportunities essential to the creation of the conditions that lead to the development of business ventures. Governments influence the market mechanisms and make them function efficiently by removing conditions that create market imperfections and administrative rigidities. They can also create an "enterprise culture" that enables firms to take reasonable risks and seek profits. Thus, governments in growing countries play a role in promoting and supporting companies by providing incentives and infrastructure. In the contrary, entrepreneurs may be discouraged to start a business if they have to follow many rules and procedural requirements, if they have to report to many institutions, and if they have to spend more time and money in fulfilling the procedural requirements. Government policy shapes the institutional environment in which entrepreneurial decisions are made and hence, can influence the allocation of entrepreneurial activities. In succession to create people be aware of the value of being entrepreneurs, the government

and also the business organizations can manage certain entrepreneurship programs and courses to the public’s that facilitate the success of entrepreneurs (Yusof, 2010).
2.1.4 Success of Entrepreneurs:
The success of an entrepreneur mostly depends on the entrepreneurial factors such as exploit opportunities, innovativeness and creative behavior, easy access to information and capital, risk-taking and government policies. With the help of these factors entrepreneurs continue trading and increase the potential of venture. Entrepreneurial success is also considered for a venture operating for three years without terminating (Makhbul & Hasun, 2011).
The success of entrepreneurs is related to the long term survival and sustainability. Entrepreneurs with high personal initiative improve their business and focus venture growth. When the venture grows entrepreneurs promote their products and services. Entrepreneurial success is influenced by quality of products they produce and strategic planning relating to competition. The long term stability of entrepreneurs in market makes them successful (Rose, Kumar & Yen, 2006).
Entrepreneurial success is one in which entrepreneurs are able to pay their employees in time and grow over three years. Entrepreneurs that take risk in order to pursue profit are successful. The success of entrepreneur is depending on the ability to exploit opportunity and convert creative and innovative idea into practical applications/reality. Entrepreneurs create new idea and develop new product with innovation according to the market demands are successful entrepreneurs (Morales, 2011).

The success of entrepreneurs depends upon the planning i.e. how they plan the venture. In order to achieve success they see the reasons behind the failure. Successful entrepreneurs reverse the factors of failure that improve the success of entrepreneurs. Successful entrepreneurs understand the purpose of being in business for their success (Holt, 1992).
2.2 Literature Gaps:
Chowdhury, Alam and Arif (2013) have conducted research on “Success Factors of Entrepreneurs of Small and Medium Sized Enterprises: Evidence from Bangladesh”. They suggest that future research should seek to investigate into the factors (e.g., entrepreneurs’ innovative behavior, personality traits) that affect the success and growth of entrepreneurship.
Bamikole and Ilesanmi (2012) have conducted research on “Locus of Control, Gender and Entrepreneurial Ability”. They recommended that many other personality variables like motivation, creativity, risk propensity and innovative behavior need to be examined on the success of enterprises.
Makhbul and Hasun (2011) have conducted research on “Entrepreneurial Success: An exploratory study among Entrepreneurs”. They further suggested that future research could confirm this finding by using a larger sample in order to generate the linkage to the population. A more detailed questionnaire with more specific questions could be more helpful to gain a better description of the stages of success of entrepreneurs.
The research is conducted in Gilgit by taking three variables to study the relationship between entrepreneurial factors and entrepreneurial success. And also study the factors that contribute to the success of entrepreneurs.

2.3 Theoretical Frameworks:
Entrepreneurship and entrepreneurial success has been a developing concept now-a-days. It has been characterized by many factors (Ummah & Gunapalan, 2012). This study is intended to examine the relationship between factors as independent variable and entrepreneurial success as dependent variable.
This construct was measured by three dimensions such as personality traits, access to finance and government support and entrepreneurial success was measured by sales growth, profit growth and perceived survival of the business. Hence, the variables are highly qualitative aspects, which have been taken into a scale to analyze quantitatively (Ummah & Gunapalan, 2012). The model developed for the present study includes the constructs related to entrepreneurial factors and entrepreneurial success.
Thus, the conceptual model for this research is as follows;
Fig # 2.1
Personality Traits:
Creativity
Innovation
Risk taking
Access to Finance
Government Support
Entrepreneurial Success

2.4 Hypothesis:
The following hypotheses were developed:
H1-There is a significant relationship between personality traits and entrepreneurial success
H2-There is a significant relationship between access to finance and entrepreneurial success
H3-There is a significant relationship between government support and entrepreneurial success

CHAPTER# 03
3.0 RESEARCH METHODOLOGY
3.1 Sample Selection:
To achieve the objectives of this study a sample of one hundred and fifty one (151) entrepreneurs was conveniently chosen from Gilgit due to the fact that the size of the population was difficult to determine. Data was collected from respondents by means of a convenience sample using a structured questionnaire consisting of 30 questions.
3.2 Population Frame:
The target population of undertaken study is the entrepreneurs in Gilgit which comprises seven hundred (700) entrepreneurs.
3.3 Unit of Analysis:
The unit of analysis was the individual entrepreneur in the Gilgit.
3.4 Type of Study:
This research is a causal study. The causal study emphasis on determining cause-and-effect relationship between the variables. A causal study is done to identify the effect of one variable on another.
3.5 Instrument Development/Selection:
The survey questionnaire included 30 questions related to dependent and independent variables. About 5 points Likert-scale item is developed to measure the factors that contribute to the success of entrepreneurs in Gilgit. The 5 points Likert-scale is labeled as such: 1 = strongly disagree and 5 = strongly agree.

The questionnaire consisted of three parts: the first, to extract the demographic information about the respondents; the second, to extract entrepreneurial factors of respondents; and the third, to extract success factors of the respondents.
Most of these questions were adapted from the Bezzina (2010) and Soonotornthum (2007). Self-administered questionnaire was issued for this purpose.
3.6 Proposed Data Collection Procedures:
The data collection process was approached to physically hand out questionnaires to the entrepreneurs and collected from respondents by researcher himself.
3.7 Proposed Data Analysis Techniques:
Data is obtained from questionnaires returned by respondents. The SPSS 16.0 version statistical software has been used to analyze the data. And the mean, correlation and regression analysis were done mainly to test the hypothesis. Correlation and regression was mainly used to see the association between entrepreneurial factors and entrepreneurial success. Reliability analysis test is carried out to measure the strength of the data collected.

4.0 DATA ANALYSIS & INTERPRETATION
4.1 Gender Distribution:
Given below is the data distribution according to gender of entrepreneurs.
Table # 4.1 GENDER: Frequency Percent Male 109 72.2 Female 42 27.8 Total 151 100.0
The table # 4.1 shows that males contributed 72.2 % while females contributed 27.8 % of the total percentage of the respondents. This shows that imbalance of gender entrepreneurs in the entrepreneurship. The male respondents participated more in the research.
4.2 Age:
The data given below shows the distribution of entrepreneurs with respect to age.
Table # 4.2 AGE: Frequency Percent 21-30 72 47.6 31-40 59 39.1 41 & Above 20 13.2 Total 151 100.0

The table # 4.2 shows that different age groups fall into different categories. In the age limit 21-30, there are 72 respondents having a percentage of 47.6 %, it is the most contributing age group in the study. In the limit 31-40, there are 59 respondents which are 39.1% of overall respondents. The age limit 41 & above, there are 20 respondents having the percentage of 13.2%. Majority of the respondents fall in the age limit of 21-30 and the research is conducted in this age limit.
4.3 Education:
Education of entrepreneurs is shown in the table given below.
Table # 4.3 EDUCATION: Frequency Percent Matriculation 44 29.1 Intermediate 37 24.5 Graduation 64 42.4 Masters 6 4.0 Total 151 100.0
The table # 4.3 shows the distribution of respondent with respect to education. They are all literate since all of them obtain formal education and shows that graduates have a high contribution and contributed 42.4%. This shows that the study has been conducted among the educated samples. The contributions of entrepreneurs having the education matriculate, intermediate and masters are 29.1%, 24.5% and 4% respectively.

4.4 Reliability Analysis:
The reliability of all the variables is shown below:
Table # 4.4 RELIABILITY STATISTICS: Variables Cronbach's Alpha N of Items Personality traits .829 15 Access to finance .876 5 Government support .843 5 Entrepreneurial success .841 5
The table # 4.4 shows the reliability statistics of the variables. To test the instrument,29 successful entrepreneurs were retained for the pilot study. The changes to the instrument were done to ensure the instrument’s validity and reliability as well as to realize the objective of the study. All these changes have been used as the foundation to claim that the instrument has good content validity. An instrument is said to have good reliability if its Cronbach’s alpha achieves a level of at least 0.70. All the variables achieved reliability more than 0.70. Data collected will generally be considered reliable and acceptable for further analysis if the alpha coefficients were more than 0.70 as stated by Hair et al (2006).
4.5 Correlation Analysis:
Correlation is elaborated as, “the degree of closeness of relationship between the variables”. Below the correlation between independent variables and dependent variables is displayed.

Table # 4.5 CORRELATIONS: Personality traits Access to finance Govt. support Entrepreneurial success Personality traits 1 Access to finance .480** 1 Govt. support .382** .528** 1 Entrepreneurial success .496** .558** .503** 1 **. Correlation is significant at the 0.01 level (2-tailed).
The table # 4.5 shows that all entrepreneurial factors have a positive relationship with entrepreneurial success although the results show a positive relationship between the independent variables (IVs). The most significance one is access to finance (r= .558), followed by government support (r = .503) and personality traits (r= .496). Access to finance is the strongest indicator for entrepreneurial success.
It means the higher the access to finance, government support and personality traits (creativity, innovation and risk-taking) the higher the entrepreneurial success in the venture.
4.6 Regression Analysis:
Regression function depicts the estimation of one variable (dependent) on the basis of another variable (independent). In regression the dependent variable has to be considering as constant.
This table shows the linear regression analysis:

Table # 4.6 MODEL SUMMARY: R R Square Adjusted R Square Std. Error of the Estimate .648 .420 .409 .50817
a. Predictors: (Constant), Govt. support, Personality traits, Access to finance
The result of table # 4.6 indicates the adjusted R Square (R2) = 0.409, indicating that the model developed can be generalized to the population. It also shows that 40.9 % of change in entrepreneurial success is due to its relationship with the entrepreneurial factors. Accordingly, 42.0 % (R2= 0.420) of entrepreneurial success is determined by personality trait, access to finance and government support.
Table # 4.7 ANOVA: Sum of Squares df Mean Square F Sig. Regression 27.537 3 9.179 35.545 .000 Residual 37.961 147 .258 Total 65.498 150
a. Predictors: (Constant), Govt. support, Personality traits, Access to finance
b. Dependent Variable: Entrepreneurial success
The table # 4.7 shows the ANOVA that the overall model explains the fit for the research. The ANOVA test shows that the significance level = 0.000 (p < 0.05). This significance shows that there is a relationship between entrepreneurial success and the independent variables.

Table # 4.8 COEFFICIENTS: Unstandardized Coefficients Standardized Coefficients t Sig. B Std. Error Beta Hypothesis (Constant) .178 .428 .417 .677 Personality traits .379 .108 .256 3.519 .001 H1 Accepted Access to finance .284 .073 .306 3.876 .000 H2 Accepted Govt. support .272 .084 .244 3.244 .001 H3 Accepted
a. Dependent Variable: Entrepreneurial success
The table # 4.8 shows the results of coefficient; indicate that the sig. values of personality traits, access to finance and government support factors are .001, .000 and .001. It means p< 0.05. So, the hypothesis H1, H2 and H3 are accepted. To test the hypotheses, p < .05 significance level was used to accept or reject the hypothesis.
The p value is for variable personality traits is 0.001. Likewise, the p value for access to finance and government support is .000 and .001. Therefore we conclude that there is an association with entrepreneurial success. Thus, personality traits, access to finance and government support are predictors of entrepreneurial success.
Hence, this means there is a positive relationship between personality traits, access to finance and government support and entrepreneurial success. Also the result in correlation table (correlation coefficient = .496, 558 and .503) support this hypothesis. Thus, personality traits, access to finance and government support are predictor of entrepreneurial success of entrepreneurs in Gilgit.

5.0 DISCUSSIONS & CONCLUSION
5.1 Discussions:
In this research the entrepreneurial factors on entrepreneurs were analyzed in Gilgit using quantitative approach. According to the literature that entrepreneurship is a dynamic concept and there is no single factor that can be attributed to the success (Yusof, 2010).
This paper studies the relationship between entrepreneurial factors and entrepreneurial success. The finding reveals that the combination of entrepreneurial factors has a significant relationship with the success of entrepreneurs. Entrepreneurs need to combine their creative and innovative abilities in order to assess to relevant and important information. The finding is consistent with the research of Makhbul and Hasun (2011) and Rose, Kumar and Yen (2006). Which propose that special characteristics of entrepreneurs, including creativity, innovation and risk-taking, are drivers of success of entrepreneurs staring new ventures? All these characteristics are needed, especially in the competitive global market, which contains many rivals.
In this study, it has been found that the government support policy is a key component for accelerating the growth of entrepreneurs. Access to finance refers to availability and flexibility in obtaining the funds for business growth. This study proved that access to finance and government support have positive relationship with the success of entrepreneurs (Petheo & Szabo, 2011).

Since the characteristics of entrepreneurs as revealed by the finding of this study play important role which contribute to their success. Access to finance their and government support programs are proposed especially to those entrepreneurs who newly joined entrepreneurship. This finding is also consistent with the previous research of Salwa, Azhari and Tamkin (2013).
In general, this study provides empirical evidence on the factors affecting entrepreneurial success, thus contributing knowledge to the subject. This is an interesting finding; it suggests that today’s entrepreneurs believe that they could succeed if they run their ventures creatively. The research also exposes that these entrepreneurs instill the innovative behaviors and their creative principles while running their businesses. Creativity helps entrepreneurs to develop skills which contribute to their success. This is consistent with the previous studies on the success of entrepreneurs as Yusof (2010) recommend that special characteristics are indicators of entrepreneurial success.
Consistent with previous research, government should create an enabling environment that reduces the barriers to market entry. Entrepreneurs need and require financial support in order to develop their business. The source of capital and government support encourages entrepreneurs to be more successful (M, Orhan, & Cynthia, 2008). Overall, the results of this research study support many of the previous aspects of entrepreneurial success.
The significance shows that there is a relationship between entrepreneurial success and the independent variables. The findings also show that there is an association between entrepreneurial factors and entrepreneurial success. Thus, personality traits, access to finance and government support are predictors of entrepreneurial success. The

findings regarding entrepreneurial factors support the previous research of Sebora, Lee, and Sukasame (2009).
Finally these findings could help in mentally preparing entrepreneurs-to-be to develop the characteristics of successful entrepreneurs.
5.2 Conclusion:
In conclusion, entrepreneurship is considered as an important factor of a market development. Therefore it is important to grow and expand entrepreneurial activities in Gilgit. To grow and expand entrepreneurship, entrepreneurs need to combine their entrepreneurial characteristics. The present study highlights the entrepreneurial characteristics, access to finance and government support and its association with the success of entrepreneurs. Personality traits, access to finance and government support are the most important entrepreneurial factors for business growth and have a positive correlation with the success of entrepreneurs in Gilgit. When the entrepreneurs have higher access to finance, government support and combine personality traits, they can succeed their businesses and survive in the market. And the variance in entrepreneurial success was significantly explained by personality traits, access to finance and government support in this study.
5.3 Limitations of the Study:
The outcome of the study was dependent on the information provided by the various entrepreneurs. Using closed-ended questions to gain information regarding perceptions may be biased as respondents were not able to express themselves. To begin with, the fact that the majority of the respondents’ educational background is low thus creates some negligence in filling the questionnaire. So whatever idea the researcher got

from their response, the researcher decoded that. Therefore, these conditions might affect the quality of the paper to some extents. This is fully self-funded study. So budget plays very crucial role in the results and reliability of study. This is an undergraduate level of study. So the researcher faces lack of experiences and other skills to precede the study according to the international standards.
5.4 Recommendations:
Based on the findings of this study, the researcher has made some recommendations:
1. In order to be successful in business, entrepreneurs should cultivate positive characteristics as explained by the success factors namely creativity, innovation, risk-taking, motivation etc.
2. In addition, government and stakeholders should also recognize the importance of these success factors and therefore, play an important role in developing these characteristics among entrepreneurs. There is a need to build confidence and change the expectation towards becoming more entrepreneurial. This would require collective action from both government and the people.
3. Entrepreneurs should need to combine their innovative and creative abilities in order to achieve success in their ventures.
4. It is very important for entrepreneurs to get proper guidance and support in order for their particular businesses to grow.
5. It is important for entrepreneurs to seek and maintain good relationships with credit providers like banks and other financial institutions. This will improve the issue of in-access to finances and capital constraint.

6. The entrepreneurs should try to seek professional advice and consultancy in matters that are not very familiar to them or in other words matters that they lack capabilities to accomplish themselves.
7. The government should develop organizations which oversee activities of entrepreneurs and address to their problems. These organizations will provide financial assistance, information/advice and also conduct training courses for entrepreneurs.
8. The government makes a major reform on entrepreneurship policy which will harness the breeding environment for entrepreneurs to grow. This can be by reducing taxes charged to entrepreneurs, reducing fees for registering ventures etc.
5.5 Future Directions:
1. In this research the focus is only on three entrepreneurial factors; personality traits (creativity, innovation and risk taking), access to finance and government support. Other factors associated with entrepreneurial success have been conducted in the selected population.
2. The findings also suggest that future research would be beneficial if the focus is paid to entrepreneurial factors (personality traits, access to finance and government support) in another geographical region.