Abstract
Purpose - Research on entrepreneurial mindset and self-efficacy has been
growing within entrepreneurship studies. The purpose of this study is to
examine the mediating effect of the higher education institutional environment
on the relationship between entrepreneurial mindset and teaching self-efficacy.
Design/methodology/approach - A cross-sectional quantitative data were
used, using purposive and snowball sampling methods. This paper has
used descriptive and correlational research design to study the phenomena.
A total of 211 responses were collected from faculty members teaching in
management colleges under the bachelor and master programs in Nepal. Data
were analyzed using SPSS version 30 and SMART PLS 4.0, and hypotheses
were tested through structural equation modeling.
Findings - The findings of the study indicated that the entrepreneurial
mindset has a positive but non-significant direct relationship with selfefficacy.
However, the institutional environment, particularly the humanistic
environment (r=.628, p<.01), significantly mediated this relationship, whereas
bureaucratic and entrepreneurial environments showed no mediating effect.
Originality/value – This study advances theoretical understanding by
bridging individual cognitive attributes with contextual institutional factors,
providing a more holistic explanation of entrepreneurial behavior among
faculty. The study’s value lies in its practical implications for policymakers
and academic leaders to design supportive institutional frameworks that
foster entrepreneurial capabilities and confidence among educators.
Keywords – Bureaucratic environment, Entrepreneurial environment,
Entrepreneurial mindset, Humanistic environment, Self-efficacy

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