The Development of an Entrepreneurship Index for Low-Income Households

The Entrepreneurship Index (EI) serves as a measurement tool that effectively determines if one possesses the prospect of becoming a successful entrepreneur by assessing several essential aspects, such as entrepreneurial orientation, personality, leadership, motivation and knowledge, pertaining to functional skills. Hence, the cross-sectional design was adopted in this study and quantitative data were gathered from some randomly selected 800 Asnafs (those eligible for zakat—donation for the poor) listed under the Kelantan Islamic Religious and Customs Council. The outcomes of this study that classify the aspects of EI are grouped into three categories: low, medium, and high EI. As a result, the variances between high class and both medium and low classes have been double and triple, respectively. Furthermore, participants from Bachok, on an average, obtained higher scores on EI, in comparison to those from other districts. These findings can be turned into an essential measurement tool to indicate both entrepreneurial potentials and readiness among those from rural low-income households, which can be employed by relevant bodies in their attempt to aid those with entrepreneurial prospects and higher possibilities of attaining success in the business arena.