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Educational Leadership & Management

Decoding destinations: unraveling the factors that shape career choices in commerce and management

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Article: 2356395 | Received 12 Jul 2023, Accepted 09 May 2024, Published online: 25 May 2024

Abstract

Students often find choosing a career to be one of the formidable choice since it affects not only their personalities but also their future life and income trajectory. Considering which, this study examines the various factors influencing students’ career choice. In this study, responses have been collected from 342 commerce and management students through proportionate stratified sampling method. Upon validating the questionnaire’s reliability and accuracy and collecting the necessary data, the objectives were achieved through the application of multiple regression analysis, t-tests, ANOVA and correlation assessments. Personal factors, future job opportunities and factors related to working conditions significantly contribute to students’ career choices but Peer/Parents/Family-related factors and Financial Factors were found to be insignificant in the prediction of career choices. The link between factors and chosen careers is also moderated by the extent of obstacles such as financial/economic issues, personal difficulties and excessive educational requirements to pursue the course, with higher barriers decreasing the influence of different factors on students’ career choices. This result encourages the need for tackling student challenges in choosing their career. This finding will aid organisations in developing HR strategies and will assist college counsellors to appropriately guide students in their future careers.

1. Introduction

India’s industry will emerge as the leader in strategy and innovation with the Bachelor of Commerce (B. Com) and Master of Business Administration (MBA) Graduates indulging themselves towards self-employment and entrepreneurship. In order to meet the needs of the Industry 4.0, the globalized labour market, and future skills, it is vital to equip our workforce with employable knowledge and skills. Rapid and sustainable economic growth can be attained by developing skills that result in higher productivity and employment outcomes. By the year 2030, India is poised to possess the largest workforce with over 60% of its population (India Skill Report, Citation2023). By 2025, India aspires to account for 25% of the global workforce and envisions itself as a global superpower. The primary obstacle in attaining this objective is the absence of formal skill training for a significant portion of the workforce. To meet the evolving needs of future workplaces, there is a pressing demand for employee competencies in critical reasoning, emotional intelligence, innovative thinking, as well as digital and data literacy. Sectors such as retail, manufacturing, construction, healthcare and insurance, renewable energy, IT, electronics, real estate, FMCG, connectivity and mobility, and agriculture are anticipated to thrive by the year 2030.

Compared to graduates from other fields, B.Com. and MBA grads are expected to be the most employable generation. Of those between the ages of 22 and 25, 55.67% are thought to be highly employable and marketable (India Skill Report, Citation2023). Selecting a career involves making a series of decisions about one’s professional trajectory (Igere, Citation2017). Career choice mediators typically use a formulaic process of self-exploration, occupational exploration, and self-occupation comparison to match individuals to work environments (Lent & Brown, Citation2020). There is a significant relationship between emotional intelligence, generalised self-efficacy, and career decision-making difficulties (Zou et al., Citation2022) and students who demonstrate greater career maturity or self-efficacy in their careers are more vulnerable to self-adaptation (Abdul et al., Citation2021). Graduates tend to prioritise careers that offer challenges, personal fulfilment, self-identity, social recognition, and financial rewards (Choo et al., Citation2012). The career goals and growth objectives of Generation Z are well-defined by them, and their aspirations are influenced by both intrinsic and extrinsic factors (Barhate & Dirani, Citation2022). The success in the workplace hinges significantly on the content of the curriculum and the skills acquired (Sarwar & Azmat, Citation2013). To foster the socioeconomic advancement of individuals and organizations, there is an urgent requirement for a continuous learning process. The significance of this necessity is highlighted by the increasing complexity of business and industry, as well as the advancements in technology and globalisation (Osmani et al., Citation2015). Human Resource Development (HRD) should now play the crucial role of helping individuals and organizations manage shocks, replace depleting resources, and develop sustainable career choices (Hite & McDonald, Citation2020). Countries and people alike seek education to tackle issues like poverty, ignorance, drought, excessive rainfall, mental deficiency, unemployment, weak governance, inadequate communication systems, etc. Everyone agrees that the solution to the world’s socioeconomic issues is education (Olamide & Olawaiye, Citation2013). The selection of a desired career is the top priority of every individual (Sharif et al., Citation2019), which has a long-term influence, acts as a predictor, and is a determinant in anticipated levels of income and kind of employment. It also has an impact on an individual’s attitude, demeanour, and viewpoint (Afaq Ahmed et al., Citation2017). Individual interest and family influence are interlinked with career decisions in accounting (Umar, Citation2014). When job choices do not line with expectations, it causes dissatisfaction, drains energy, and wastes resources (Afaq Ahmed et al., Citation2017). Wrong career selection may lead to lifelong consequences (Mashige & Oduntan, Citation2011). Underperforming individuals become a source of inefficiency to themselves, their organisations, and the overall economy (Issa & Nwalo, Citation2008). Exploring multiple options before committing to one, improves chances of success and satisfaction in the chosen career. Hence, factors influencing adolescent career exploration should be identified and acknowledged (Saleem et al., Citation2014). Father’s influence, as well as talents, competencies, and abilities, have a significant impact on Indian management students’ career choices (Agarwala, Citation2008).

There are numerous studies predominantly focused on analysing students’ career choices in IT and medical science fields, but there is a lack of research specifically focused on commerce and management students. Out of the more than 5,000 studies that have already been done on graduates’ career choices, 14 of them focused solely on the problem of career choice and found that five major themes-internal variables, external variables, social aspects, institutionalised elements, and socio-demographic factors - were significant in influencing employment decisions. It implies that there isn’t much research on the subject of job choice, especially for those studying commerce and management (Purohit et al., Citation2021). The present study intends to address this gap by exploring the relevance of appropriate and adequate career choices for commerce and management students, who significantly contribute to the country’s development. This study identifies and analyses the impact of five main elements viz., curriculum-related factors, personal characteristics, peer/parent/family-related factors, future employment prospects, financial factors, and working conditions on the career choice behaviour of commerce and management students and inspects whether barriers hinder the process of making effective career choices.

2. Literature review and hypotheses formulation

The influences on career choice have not been extensively studied. In earlier research, numerous diverse elements have been found to affect students’ career decisions. John Holland’s theory of career orientations propagates people should choose careers that complement their personalities. Decisions will be made based on the traits such as realistic, creative, artistic, social, entrepreneurial, and conventional and they tend to choose their domains (Sheldon, Citation2020). People with Realistic interests enjoy working with tools and machines to create tangible objects. Those with Investigative interests prefer solving complex problems using scientific methods. Artistic individuals thrive in unstructured environments that encourage creativity. Social people find fulfilment in helping and caring for others. Enterprising individuals enjoy persuading and leading others, while Conventional individuals are drawn to organized and systematic data handling (Holland, Citation1963). A work environment is classified as SIC if the demands are predominantly Social, followed by Investigative and Conventional interests. The three main RIASEC aspects that define this context are represented by this acronym. Certain research investigations define people or surroundings using only the highest or the two highest RIASEC dimensions. This method highlights the most salient features while simplifying the intricate interaction of personality traits (Holland, Citation1963). People or surroundings here include family, friends, educational setting and working condition or environment for an individual to choose his or her career. However, this theory has few limitations such as Holland’s approaches for evaluating individuals and environments do not take into account all relevant factors. For instance, they fail to consider the myriad facets of personality or the intricate dynamics present in environment as indicated by Arnold (Citation2004). As a result apart from people and surroundings, some of the other factors were found to be associated with students’ career choices which include personal interests, family wishes, college majors, educational attainments, faculty’s guidance, job security and prestige, compensation package and opportunities for promotion and professional development (Siddiky & Akter, Citation2021). Students’ career choices are influenced by intrinsic, extrinsic, interpersonal, institutional and socio-demographic factors (Purohit et al., Citation2021). Apart from that, this study has also utilised Social Cognitive Career Theory (SCCT). Albert Bandura’s broad social cognitive theory is the main source of inspiration for Social Cognitive Career Theory (SCCT) (Bandura, Citation1986) which indicates the significance of psychological (interests, talents, values), social (e.g., gender, race, socio-economic position), and economic (e.g., work possibilities, training opportunities, etc.) in career prospects (Long et al., Citation2002). Overall considering the theories and existing literature, present research has identified 5 major factors affecting career choice i.e., Personal and educational profile, Personal Interest, Curriculum-related/institutional-related factors, Peer/Parents/Family related factors, Future job opportunities, Working Conditions related factors and Socio-economic factors and financial factors. The relevance of each factor in the career choice is explained as below.

2.1. Personal profile and educational profile

Students’ demographic profile plays a pivotal role in influencing their career choices (Malik & Hussain, Citation2020). According to Sharma (Citation2013) career choice of the students significantly varies with their gender, where male students tend to have high influence on career choice. As far as technical institutional students career choice is concerned the gender gap in spatial visualisation abilities is greater in STEM disciplines such as engineering, architecture, management with data analytics, and computer science than in non-STEM fields like as art, design, and music. This shows that the special demands of STEM education and professions may worsen the gender gap in spatial visualisation skills (Lee et al., Citation2019). Studies have demonstrated a noteworthy correlation between gender and job preference, as female students are more likely to pursue courses connected to art and management, while male students are more likely to enrol in courses focused on engineering and technology (Obiunu & Emakpor, Citation2020). Furthermore, it has been discovered that gender has a major impact on the number of years spent at each career hierarchy level as well as the level attained in the supply chain management area (Angwaomaodoko, Citation2023). However, senior secondary school students’ profession choice is not much influenced by the location of their schools (Ruel & Jaegler, Citation2021). Nevertheless, it has been discovered that location and gender affect career choice.

The educational path chosen and the sort of institution attended can have an impact on employment choice. Parents have a significant influence on their children’s course of study, job, and institution of attendance (Pepple, Citation2014). Gender and ethnic groups can also have an influence on the relevance of professional objectives and career affecting variables (Jordaan, Citation2009). Furthermore, the sort of schooling picked has a major financial impact, with agents requesting a premium to choose jobs with higher idiosyncratic risk (Saks & Shore, Citation2005). Less research has been done on the connection between students’ career choices and the institutional features of colleges and universities and their educational streams (Danariah, Citation2004). Considering this scarce background present research also tends to assess the impact of personal and educational profile on student’s career choice.

H1: Influencing factors and career choice significantly varies with their Personal and Educational profile.

Due to the limited research on course and type of institution affecting students career choice, researchers intended to test its moderating role between various factors and career choice among the commerce and management students.

H4: Course and type of institution will moderate the relationship between Factors and Career Choice.

2.2. Personal interest

A student needs to be self-motivated to explore job options early in life rather than being a procrastinator that waits until they are forced to make a choice. Personal interest is a major consideration when choosing a career, according to earlier studies (Almohaimeed et al., Citation2022; Atitsogbe et al., Citation2018; Bojuwoye & Mbanjwa, Citation2006; Humayon et al., Citation2018; Lent & Sheu, Citation2010; Syakurah & Rosyila, Citation2020). As discussed earlier, John Holland’s theory of career suggests that Students are more likely to select occupations that play to their strengths and passions, which can result in more successful and fulfilling lives. A person’s occupational decision is greatly influenced by their interests and academic achievement (Kumazhege, Citation2017). Individual interest is a major factor in career decision and contributes to job happiness (Lamichhane et al., Citation2022). Purohit et al. (Citation2021) reveals that factors such as distinct skills, competencies and abilities, education and training, freedom of choice, and quality of life are critical for career choice. Growth opportunities factors such as in-house learning, training and internship facilities, and opportunities for sponsored higher-education and travel are key for career choice (Purohit et al., Citation2021).

According to Choi and Kim (Citation2013), personal interest enables students to succeed and be content in their chosen profession. Moreover, Hui and Lent (Citation2018) concluded that the majority of students select jobs based on their interests and their perceptions of their ability to balance employment and study. Decisions towards entrepreneurship are affected by positive attitude towards entrepreneurial education (Jena, Citation2020). Students pick careers with the hope that the chosen field will present them with strong work opportunities and complement their interests (Gwelo, Citation2019; Raveenther, Citation2017). Previous research has revealed that rather than external variables like third parties or extrinsic incentives, undergraduate accounting students’ job selections are more likely to be influenced by their own intrinsic motivation and professional exposure (Ng et al., Citation2017).

2.3. Curriculum-related/institutional-related factors

Institutional Aspects and Career Selection, serve as a bridge between higher education and work. High schools are crucial in supporting students in making career decisions (Baloch & Shah, Citation2014). When students are overwhelmed by career options or are unsure about the best option, school career counselling can help guide them on their career paths and assess whether they are capable of increasing their competitiveness in the labour market (Sun & Yuen, Citation2012). According to Kok and Low (Citation2017), career counsellors help students develop self-awareness regarding their potential, interests, knowledge, skills, and weaknesses. Counsellors also help them explore career opportunities and understand employment trends, competency and employment requirements. Institutional methods such as career classes, seminars, and counselling have proven to be relatively successful and efficient in influencing occupation decisions (Lent & Brown, Citation2020). This factor is also in line with the Social Cognitive Career Theory (SCCT). It states that the process of picking up new skills and behaviours through peer observation, modelling, and feedback is known as social learning. As previously said, self-efficacy refers to an individual’s confidence in their capacity to achieve success in a certain work or undertaking Lent et al. (Citation2002). The Social Cognitive Theory (SCCT) posits that students’ job goals and choices can be greatly influenced by the career-related information, opportunities, and role models they are exposed to through their educational institutions. Peer, counsellor, and teacher support and encouragement can increase students’ self-efficacy and motivate them to follow their professional aspirations. Studies have shown that students rely on their teachers while making career decisions and they have the most impact on students’ job decisions (Lee et al., Citation2019). In particular, for those students who are unaccustomed, unwilling or unable to take decisions, academic support systems provide a valuable service (Theresa, Citation2015). Purohit et al. (Citation2021) identified that graduating students’ career decisions are primarily affected by factors related to their graduating programmes, education and future organisations.

Aycan and Fikret-Pasa (Citation2003) established that a student’s account for elements like social standing, financial resources, affordability, and potential employment when deciding careers.

2.4. Peer/parents/family related factors

Despite the fact that relationships are a crucial aspect of how people operate, interest in the connection between personal relationships and jobs has only recently grown. Students influenced by interpersonal elements are highly appreciative of their family’s and partner’s opinions (Li et al., Citation2015). A healthy atmosphere and house are necessary to develop a person’s skill (Rahiem, Citation2021). Young people, who grow up in a healthy environment, where parents get along with other family members, are more likely to make informed career choices, because the family is involved in these decisions and provides the necessary moral support to succeed. The effects of individual relationships on the choice of careers have been investigated in a number of studies. Koçak et al. (Citation2021) revealed that family influenced students’ profession choices and that age, gender, and ethnicity did not majorly affect career choice. According to Fantinelli et al. (Citation2023) most youth turn to their mothers for help with making career plans and there is a consonance between youths and parents on their values and aspirations. College students who can live well and feel satisfaction, prestige, performance, and social status are more likely to pursue their parents’ dream jobs (Jiang et al., Citation2020). Family recommendations have also been found to be favourably associated with students’ career choices (Zhang et al., Citation2021). Father’s education, future orientation and flexibility directly impact students’ career aspirations (Khampirat, Citation2020). Multiple studies have shown that parents, friends/peers, and teachers have a substantial influence on a person’s career choice (Aggarwal & Shrivastava, Citation2021; Hatziminaoglou et al., Citation2021; Kayani et al., Citation2022; Sumo et al., Citation2023).

Peer groups are crucial at all stages of life, especially during the formative years of childhood and adolescence. Peer group impact is very important in deciding a student’s achievement. A typical student can be influenced by the personalities and learning philosophies of his peers and learn through discussions with them. Adolescents always emulate the behaviours of their peers, especially those that are interesting to them. A youngster learns more through engagement and socialization with peers. (Laursen & Veenstra, Citation2021). Societal factors besides family, teachers, friends and acquaintances are found to be influencing the graduates career choice (Purohit et al., Citation2021).

2.5. Future job opportunities

Career choice is significantly influenced by future job opportunities (Uzuagu et al., Citation2023). Perceived benefits that impact profession choice include things like job security, room for personal development, and the chance to put talents and abilities to use (Thomas, Citation2017). The chance of selecting a job in business education is further increased by knowing how to record business transactions, having successful sales habits, and possessing knowledge, abilities, and values related to business education (Adams, Citation2014). According to the study, those who are drawn to environmental careers may be inspired by the chance to improve society or the environment (In-Jo & Juil, Citation2015). Moreover, employees’ job attitudes and career behaviour are predicted by their career future time perspective (Kulkarni & Nithyanand, Citation2012). Social influence plays a significant role in the decision-making process while choosing a job because people believe that their elders and peers are more reliable and approachable than companies. Moreover, in order to make well-informed professional decisions, Diesch (Citation2004) emphasise the significance of investigating future job opportunities and use the information at hand. Hence, future job opportunities play a vital role in influencing the career choice among the students.

2.6. Working conditions related factors

Students’ first choices and, consequently, their decision about a career—are mostly influenced by factors connected to their careers, such as employment security, availability, and financial benefits (Akosah-Twumasi et al., Citation2018). Students are more inclined to select careers that would help them attain a better and more secure future. As mentioned earlier, this factor is determined based on John Holland’s Theory of Career Choice according to which, people select circumstances that provide them the chance to apply their knowledge and skills, as well as communicate their beliefs and values while taking on demanding activities that require problem-solving and completing obligations (Holland, Citation1963). Hence, working condition related factors where they get the opportunity to apply their skills and knowledge to solve their work place problems that encourages them to select the appropriate career choice i.e. the career having RIASEC. According to Wüst and Leko Šimić (Citation2017), the crucial factor in selecting a career route was financial gain. Income is the most significant factor to consider while choosing a job, especially for financially responsible and self-sufficient students. On the contrary, a previous study suggests that university students prioritise intrinsic value and employability/financial prospects over factors like prestige and desired working conditions (Abe & Chikoko, Citation2020; Georgescu & Herman, Citation2020; Tonder, Citation2023). Harmonious work environment, stimulating work, job security, independence, flexibility, competitive benefits and locations are factors which play a vital role in graduates’ job choice (Purohit et al., Citation2021).

2.7. Financial factors

The family’s financial position and parental ability to help students pursue their callings impact the choice considerations (Abe & Chikoko, Citation2020; Georgescu & Herman, Citation2020). The family’s socioeconomic status and student career decisions have a strong positive link (Le et al., Citation2019; Peng & Yue, Citation2022). Parents’ social class and socioeconomic status dictate students’ career choices (Georgescu & Herman, Citation2020; Xin et al., Citation2020). Parents, irrespective of educational background, occupation and age, support their wards’ career choices which will give them good reputations and recognition in society (Ahmad, Citation2017).

Hence, it can be hypothesised that:

H2: Personal Interest, Curriculum/institutional factors, Peer/Parents/Family factors, Working Conditions related factors, Future Job Opportunities and financial factors significantly influences student’s career choices.

2.8. Barriers in career choice

Apart from the understanding numerous factors affecting career choice of the students, it is vital to assess the hindrance in the career choice of the students due to numerous barriers. Environmental factors, challenges assimilating into a masculine culture, a demanding and competitive work environment, long and rigid work hours, a lack of informal networks for career opportunities, a lack of career counselling, a lack of personal ability, and social and political references are some of the barriers that prevent students from choosing a career (Min & Choi, Citation2023; Oo et al., Citation2019; Pulliam et al., Citation2017). The study by Ukil (Citation2016) addressed a number of obstacles that final-year BBA students have while deciding on a career, such as lack of personal competence, lack of parental involvement, lack of career counselling, and social and political references. As a result, present study examined the moderating role of Barriers faced by the students between the identified factors and career choice. Hence, it can be stated that;

H3: Barriers faced by the students moderate the relationship between factors and Career Choice.

After an extensive literature review, the above factors were identified as key elements in career choices decisions. The crux here is to firstly, determine whether the personal and educational profile affect influencing factors and career choices of commerce and management students (H1). Secondly to determine whether the elements under consideration have a direct and beneficial impact on their job choices (H2). Thirdly, to assess the impact of various barriers between influencing factors and career choices (H3), and finally, to contemplate whether the type of college and courses moderate the career choice considerations (H4). In order to address these questions, the conceptual model () has been formulated and will be tested.

Figure 1. Conceptual model depicting the factors influencing career choice.

-Formulated by the researcher

Figure 1. Conceptual model depicting the factors influencing career choice.-Formulated by the researcher

3. Research methodology

To address the study questions, a triangulation technique including data that is qualitative as well as quantitative was employed (Cooper & Hall, Citation2016). This strategy improves comprehension of the circumstance compared to dependency on one method (Tashakkori & Creswell, Citation2007).

3.1. Sample description

Students enrolled in different colleges and universities offering BBA/B.COM and MBA/M. Com programmes provided the date for this study. The instrument was randomly circulated among 400 students, out of which 342 students provided an appropriate response with a response rate of 85.5%. Out of the total respondents, 56.7% were females, 43.3% were males. Majority of respondents were from the B. Com stream (52.6%) with 19.9% from BBA, 15.8% from M. Com and 11.7% from the MBA stream. The sample had adequate representation from urban (35.7%), semi-urban (24.0%), and rural areas (40.4%). Most of the respondents (73.7%) were from autonomous/deemed to be universities or private universities with 22.2% from university-affiliated private colleges/state universities, and 4.1% from government colleges.

3.2. Research instrument

Finding out what influences undergraduate and graduate students in the coastal region of Karnataka in terms of their job choices is the main goal of this study. Descriptive and analytical research design has been followed and the objectives were address with the help of data, both primary and secondary. Primary data was compiled using a Questionnaire with three sections viz., A) Demographic Profile, B) Factors Influencing Career Choice and C) Reasons to Reject, Barriers and Supports for Choice Pursuit. The first section related to demographic aspects like gender, stream, domicile, and college type. The second section consisted of students’ agreement towards the various factors influencing career choice namely 1) Curriculum related Factors 2) Personal Factors 3) Peer/Parents/Family related factors 4) Future Job Opportunities 5) Financial Factors 6) Working Conditions related factors. The factors were finalised by referring Afaq Ahmed et al. (Citation2017); Kazi and Akhlaq (Citation2017) and modifications were done according to the objectives of the present study. Four statements were used to measure ‘curriculum-related factors’, seven statements to measure ‘personal factors’, five statements measured ‘peer/parents/family-related factors’, four statements each measured ‘future job opportunities’ and ‘financial factors’, and finally, five statements measured ‘working-conditions related factors’. The third section consisted of reasons to Reject Career Options, Barriers to Career Choice Pursuit and Supports for Choice Pursuit and was adopted from Lent et al. (Citation2002) after required modifications. Students’ opinions were measured on a five-point Likert scale, ranging from 1 denoting strongly disagree (SD), to 5 denoting strongly agree (SA).

3.3. Method

As we were primarily interested in understanding factors that promote and inhibit the pursuit of chosen career routes, we targeted participants who had already made at least tentative career plans. The undergraduates were selected from introductory commerce and management classes (B. Com and BBA), whereas the graduate students (M. Com and MBA) were recruited from master’s level classes. The study was carried out by taking University affiliated Private College/State University, Autonomous/Deemed to be University/Private University, Government Colleges. Viability and reliability of the questionnaire was assessed via a pilot study. Based on these results, data was collected from 10 undergraduate and 8 postgraduate students. Utilising enrolment data from college websites, a sampling frame was created. The sample was chosen applying the Taro Yamane formula at a 5% chance of error depending on the number of students in each college group. The proportionate stratified sample approach was used to disseminate the questionnaire. MS Excel was used for data exporting, coding and cleaning after which, the data was imported and analysed in SPSS 26 software.

3.4. Reliability and validity analysis

SPSS was first used to run a reliability test for each of the components of the various factors and career choices. Given that Cronbach’s alpha should be 0.7 or above (Hair et al., Citation2017; Hair, Matthews, et al., Citation2017), all 8 variables i.e., ‘career choices’(0.701, 4 items), ‘personal factors’(0.816, 7 items), ‘peer/parents/family-related factors’ (0.920, 5 items), ‘future job opportunities’(0.856, 4 items), ‘financial factors’ (0.805, 4 items), ‘working-conditions related factors’ (0.859, 5 items), ‘careers options’ (0.930, 6 items) and ‘barriers to career choice pursuit’ (0.940, 7 items) in the study satisfied the requirement. Further, the questions were validated with the help of subject experts and necessary modifications were undertaken to standardise the instrument.

The intercorrelation between the study components was examined using correlation analysis. Except for career options, all of the study’s variables showed intercorrelation. Future job opportunities (r=.500, p = 0.01**), financial factors (r=.442, p = 0.01**), working conditions (r=.530, p = 0.01**), peer/parent/family-related variables (r=.401, p = 0.01**), and personal factors (r=.479) all positively correlate with career decisions. The pursuit of a career choice (r=.432; p = 0.01) revealed a strong association with career choice, despite no positive correlation with career options.

However, some factors may act as barriers to career choice pursuit, as evidenced by a moderate positive correlation between barriers to career choice pursuit and financial factors, working conditions-related factors, and peer/parents/family-related factors. This suggests that financial and social support, as well as working conditions, can influence career choices. Finally, the correlation matrix indicates factors that can influence career decisions and the pursuit of those choices. It highlights the importance of personal factors mainly familial support, job prospects, economic stability, and working conditions when making career decisions, and suggests that these factors can either help or hinder the pursuit of those choices.

3.5. Normality assumption

The data was assumed to follow a normal distribution with a significance level of 5%. The Shapiro-Wilk and the Kolmogorov-Smirnov tests were used to test this hypothesis. No statistically significant divergence from normal distribution across all sub-constructs (p > 0.05) was found. Hence, researchers might use parametric statistical approaches to assess their hypothesis

4. Data analysis and interpretation

Descriptive statistics and one-sample t-tests were used to analyse students’ views on various factors influencing their career choices.

4.1. Curriculum-related factors

Among the curriculum-related factors, the results suggest that students choose their courses mainly based on their interest in the subject (M = 4.2749, t = 111.260, p < 0.01**) followed by its relevance in adding additional value to their future skill requirement (M = 4.1930, t = 92.960, p < 0.01**). Students choosing the course because of merit requirement had the lowest mean score. Overall, the results for all four reasons indicate that respondents accepted their view on career-related factors with an overall mean of 3.9708 and SD of .60170.

4.2. Personal factors

The results show that the mean values for all seven reasons differ significantly from zero (p < 0.01**). With mean scores of 4.117 and 4.082, participants’ choices were primarily influenced by their belief in their skills and abilities and the quality of life associated with the course. Chance or luck played lesser role as it received the lowest mean score of 3.193. Overall, with a mean of 3.7352 and SD= .68685, the responses, similar to the findings of Almario (Citation2021), indicate a strong relationship between personal factors and career decisions.

4.3. Peer/parents/family related factors

The survey results indicate low and insignificant levels of peer/parent/family influence with a mean value of 2.7053 and SD =1.17397. Out of the 5 items under this factor, success stories of friends, and family shows comparatively higher impact on career decisions (M = 2.9883). This conclusion is contrary to the existing findings (Li et al., Citation2015). It may be due to the reason that parents are unaware about the career options available.

4.4. Future job opportunities

All four reasons for choosing the course were statistically significant (p < 0.01**) and had mean values that were significantly greater. Participants were motivated to enrol in the course by the possibility of advancement (M = 3.9181, t = 84.675, p < 0.01**) future job opportunities (M = 4.1754, t = 112.213, p < 0.01**), job security (M = 3.8655, t = 84.541, p < 0.01**), and ease of settling down (M = 3.8480, t = 79.664, p < 0.01**). Overall, the results indicated the importance of future job opportunities to take appropriate career decisions with the mean value of 3.9518 and SD = .68889. Such findings are consistent with previous research published by Nemteanu et al. (Citation2021) and Edwards and Quinter (Citation2011), which found that students opt for a profession basis the benefits it offers like stable employment, convenience, job satisfaction, financial security etc.

4.5. Financial factors

One-sample t-test results showed that all four financial factors had a significant positive impact on students’ decisions to pursue specific courses of study. Students highly indicated that financial factors help them to achieve their dream (M = 4.0877 t = 94.251, p < 0.01**) and to be independent (M = 3.9532, t = 82.581, p < 0.01**). Further the mean score for “My financial/economic condition” was 3.36, indicating that students from low-income families were more likely to choose this course. The mean score for “Financial outcomes associated with the same” was 3.48, indicating that students expected this course to result in benefits such as higher salaries or job security. Overall, the results emphasise the importance of institutions addressing students’ financial needs with an overall mean of 3.7208 and SD =.79534. This result is in accordance with a previous study (Amani & Mkumbo, Citation2018) which concluded that a family’s financial stability is essential for students to finance their higher studies.

4.6. Working-conditions related factors

One-sample t-test results showed that all four working-conditions related factors had a significant positive impact on students’ decisions to pursue specific courses of study. Students indicated that working-conditions related factors are significant to them (M = 4.0000, t = 86.741, p < 0.01**) and the selected course helps them to get exposure to work-relevant activities (M = 3.9006, t = 90.925, p < 0.01**). The results emphasise the importance of addressing working conditions related factors with the overall mean of 3.7392 and SD=.72236. These findings support the notion that students are more likely to commit to their chosen field or course when they perceive the environment and activities to be relevant and enjoyable (Hui & Lent, Citation2018; Lent & Brown, Citation2020).

4.7. Reason to reject the career options

The results suggest that all six factors under the reasons to reject the career options play a significant role in career choice decision. Disinterest and ability considerations (M = 3.2222, t = 52.040, p < 0.01**), negative expectations regarding work conditions or rewards (M = 3.2515, t = 53.154, p < 0.01**), and excessive educational requirements (M = 3.2982, t = 53.240, p < 0.01**) had the highest means and are the most significant factors influencing career choices. Factors like negative social/family influences, financial constraints and lack of exposure/familiarity, while significant, had a slightly lesser impact on career choices. Assessment/exploration activities and gender barriers had the lowest mean difference, indicating a relatively lower impact on career choices.

4.8. Barriers to career choice pursuit

Results suggest that financial/economic issues (M = 3.5439, t = 57.640, p < 0.01**), personal difficulties (M = 3.4211, t = 57.884, p < 0.01**), excessive educational requirements to pursue the course (M = 3.4620, t = 57.348, p < 0.01**) and working environment (M = 3.4152, t = 58.094, p < 0.01**) had the highest means and are the most significant barriers hindering the pursuit of a course. Negative influence by social/family members, and concerns about role conflicts also impacted career choice, but to a slightly lesser extent. Past school/work experiences have a relatively lower impact course pursuit. Overall, the students indicated significant impact of various barriers to course pursuit on career choices with a mean value of 3.3960 and SD .97095.

4.9. Supports for choice pursuit

As far as the support for career choice pursuit is concerned, the highest mean score was witnessed for personal ability and skills (M = 3.4211, t = 57.884, p < 0.01**), followed by experience related to career-relevant activities (M = 3.4211, t = 57.884, p < 0.01**), job placement assistance (M = 4.0643, t = 84.691, p < 0.01**), and curriculum structure (M = 3.9825, t = 88.176, p < 0.01**). The statistical analysis revealed that all the factors significantly influenced career development among college students (p < 0.01**). Students showed highest preference for supportive measures in their career choices with mean value of 3.9671 and SD=.67807, which implies that all the support factors should be considered while designing career development programmes for college students.

4.10. Hypothesis testing

To test the objectives, hypotheses were developed, tested and analysed as below:

H1: Influencing factors and career choice significantly varies with their Personal and Educational profile.

4.10.1. Gender

To test whether there was a gender variation in terms of factors influencing career choice, independent sample t-test was carried out. As per the results, no significant differences between men and women in terms of career choices, personal factors, future job opportunities, financial factors, working conditions-related factors, barriers to career choice pursuit, and choice pursuit. However, significant differences in peer/parent/family-related factors (t = 2.582, p = 0.01**) and career options (t = 1.992, p = 0.01**) were discovered with men rating them significantly higher than women. This suggests that when making career decisions, women are probably not as influenced by peer/parent/family-related factors and career options as men. The study found that in general, personal profiles have no significant influence on career choices and is similar to Ng et al. (Citation2005, Citation2017) finding that both genders are quite similar when it comes to factors affecting their career choices.

4.10.2. Educational stream

One-way ANOVA tested the difference in the factors influencing students’ career choices among various educational streams. The results evidenced that personal factors (F = 2.950, p = 0.033*), working-conditions related factors (F = 5.703, p = 0.01**), career options (F = 3.532, p = 0.015*) and barriers to career (F = 3.035, p = 0.029*) showed significant variation among the educational streams. However, the influence of the educational stream on other factors was found to be insignificant. Future job opportunities and financial factors majorly influence career choices. Furthermore, MBA students (M = 3.6994) highly considered the various factors influencing their career choice compared to B. Com (M = 3.6013), BBA (M = 3.4460) and M. Com students (M = 3.3885).

4.10.3. Domicile of the students

Personal factors, such as interests and abilities, were revealed as important factors influencing career decisions for students from all backgrounds. However, students from rural areas appear to value personal factors slightly more (M = 3.8012) than students from urban (M = 3.6393) and semi-urban (M = 3.7666) areas. Further, the future job opportunities factor influences career choices for all students, with students from all backgrounds placing similar weight on this factor.

When it comes to choosing a career, students must take financial factors into account. Students from semi-urban areas place a higher value on financial factors (M = 3.8963) than students from urban (M = 3.6148) and rural (M = 3.7101) areas. Factors related to working conditions were found to be important to all students (means ranged from 3.6951 to 3.8146) with no significant differences between urban, semi-urban, and rural students. Peer/parent/family factors were discovered to be less important for students across all domiciles, having mean scores ranging from 2.5344 to 2.8870. With mean scores ranging from 3.1148 to 3.2053, career options appear to be less important for students from all domiciles. This could be caused by a lack of awareness or familiarity with various career options, particularly among rural students. Barriers to career choice, with mean scores ranging from 3.3727 to 3.4530, were found to be similar for students from all domiciles. This suggests that students face similar challenges regardless of where they live. Finally, urban students are more likely to pursue their career goals (M = 4.0820) than students from semi-urban (M = 3.8872) and rural (M = 3.9130) areas.

Majority of the factors influencing student career choice is not determined by their domiciles.

4.10.4. Type of institutions

Using one-way ANOVA, difference in the factors influencing students’ career choices among types of institution was tested. The results evidenced that other than personal factors (F = 3.055, p = 0.048*) and financial factors (F = 7.635, p = 0.001**), the influence of types of institutions on factors was found to be insignificant. Students also showed a difference in perception of factors influencing their career choices with University affiliated Private College/State University students rating Personal Factors (M = 3.9708), Autonomous/Deemed to be University/Private University students considering Choice Pursuit (M = 3.9563) and Government college students considering Future Job Opportunities (M = 4.2857) to be the main factors influencing their career choices.

Overall, Personal and Educational profile of the students does not impact the various factors influencing career choice, hence H1 is rejected.

H2: Personal Interest, Curriculum/institutional factors, Peer/Parents/Family factors, Working Conditions related factors, Future Job Opportunities and financial factors significantly influences student’s career choices.

H2 has been formulated to test the contribution of various factors on students’ career choices. The dependent variable career choice was predicted by the variable personal interest, peer/parents/family-related factors, future job opportunities, financial factors and working-conditions related factors. As per the regression results (), personal interest (β=.162, Sig.= .019), future job opportunities (β=.210, p = 0.000**) and working-conditions related factors (β=.249, p = 0.000**) significantly contributes to student’s career choices but peer/parents/family-related factors and financial factors were revealed as insignificant in determining career choices. Overall, all the factors explain students’ career choice by only 33.7%. However, as majority of the factors showed significant impact with p < 0.05*, we can conclude that Personal Interest, Curriculum/institutional factors, Working Conditions related factors and Future Job Opportunities significantly influences student’s career choices. Therefore, H2 is accepted.

H3: Barriers faced by the students moderate the relationship between factors and Career Choice.

Table 1. Impact of Factors influencing students on career choice.

H3 demonstrated the moderation of barriers/challenges between factors and career choices. As per , the effect of influencing factors on students’ actual career choices was found to be significant (F = 155.393, p = 0.000**). This clearly indicates the positive contribution of various factors on career choices (β=.560). Moreover, the moderation result indicates that barriers/challenges significantly interrupt the impact of various factors on student career choices. When students face low barriers/challenges the various factors show a high impact on their career choices (β = 0.605, p = 0.000**) compared to the students facing moderate (β = 0.534, p = 0.000**) and high (β = 0.476, p = 0.476) level of challenges. This clearly indicates that higher barriers limit various contributing factors to students’ career choices and as the level of barriers reduces, the factors highly contribute to career choice. Hence, the association between factors and career choice is moderated by barriers to career choice and H3 holds true.

H4: Stream and type of institution will moderate the relationship between Factors and Career Choice.

Table 2. Moderation of barriers between factors and career choice.

indicates that streams of education significantly alter the influence of various factors on students’ career choices. Students pursuing B. Com considered the factors to be a major contributor towards career choices (β = 0.639, p = 0.000**) compared to students belonging to BBA (β = 0.52, p = 0.000**), M. Com (β = 0.421, p = 0.013*) and MBA (β = 0.388, p = 0.002**) streams. This implies that undergraduate students highly consider all the factors before making career choices compared to postgraduate students. Hence, the relationship between factors and career choice is moderated by course/stream.

Table 3. Moderation of stream and type of institution between factors and career choice.

The results also highlight the moderation of different types of institutions between factors and career choices. The model was found to be significant in the case of students studying in University affiliated Private College/State University (F = 28.912, P=.000) and Autonomous/Deemed to be University/Private University (F = 123.188, P=.000) but not in the case of Government college students. Additionally, contribution of various factors to career choice differed between Autonomous/Deemed to be University/Private University (β = 0.575, p = 0.000**) students and University affiliated Private College/State University (β = 0.53, p = 0.000**) students. Overall, stream and type of institution moderate the relationship between factors and career choice, therefore H4 holds true.

5. Discussion

This study sought to analyse the variables influencing students’ career choices by focusing on five main aspects: curriculum-related factors, personal traits, peer/parent/family-related factors, future employment prospects, financial considerations, and working circumstances. According to the study’s findings, respondents largely agreed on the relevance of these career-related criteria. This conclusion is consistent with prior study by Abdullah and Saeid (Citation2016), which emphasised the importance of educator and institution reputation in influencing students’ decisions. Furthermore, the study findings supported the findings of Almario (Citation2021), indicating a substantial association between personal factors and career decisions. This finding is also consistent with John Holland’s theory of career choice by Holland (Citation1963) and Long et al. (Citation2002) which suggests that propagates people choose careers that complement their personal interest. On the contrary, the findings do not align with Li et al. (Citation2015) that suggested the impact of family relationships on career outcomes are relatively minor. The study also stressed the importance of future job opportunities in making informed career decisions. These results align with earlier studies by Nemteanu et al. (Citation2021) and Edwards and Quinter (Citation2011), which has determined that students consider the benefits offered by occupation, such as stable employment, convenience, work satisfaction, and economic security. Similarly, Social Cognitive Theory (SCT) also justifies that, the profession-related information, opportunities, and role models that students are exposed to through their educational institutions can have a significant impact on their career objectives and choices. Furthermore, the results underlined the need for institutions to address students’ economic needs which is congruous with an earlier study by Amani and Mkumbo (Citation2018), that concluded that a household financial stability is crucial for the students to finance their higher education.

Furthermore, the study emphasised the need of concentrating on aspects connected to working conditions. These findings reinforce the idea that students are more likely to devote themselves to their chosen area or course if they view the atmosphere and activities to be relevant and pleasurable (Lent & Brown, Citation2020; Lent & Sheu, Citation2010). While negative social/family effects, financial restraints, and a lack of exposure/familiarity all had an impact on career choices, they were slightly less impactful. The mean difference between assessment/exploration activities and gender barriers was the smallest, indicating a significantly weaker effect on career choices. The findings also indicated that the most important barriers to pursuing a degree were financial/economic concerns, personal hardship, high educational requirements, and job circumstances. In terms of support for career choice pursuit, personal ability and skills received the highest mean score, followed by experience in career-relevant activities, job placement assistance, and curriculum structure. Another revelation was that, when making career decisions, women may be less influenced than men by peer/parent/family-related factors and career options. In general, personal profiles have no significant influence on career choices, which is similar to the findings of Ng et al. (Citation2005, Citation2017) indicating that both genders are quite similar in terms of factors affecting their career choices. Future job opportunities and financial factors emerged as the major influencers of career choices, supporting the previous findings (Abdullah & Saeid, Citation2016; Afaq Ahmed et al., Citation2017). Moreover, research by Agarwala (Citation2008) also showed that MBA students consider various factors more significantly in their career choices compared to B. Com, BBA, and M. Com students. Furthermore, future job opportunities were influential for students from all backgrounds, indicating a consistent weight placed on this factor, which is in line with the previous findings (Kim et al., Citation2010; Nyamwange, Citation2016).

Based on the regression results, personal factors, future job opportunities, and working conditions-related factors were found to significantly contribute to students’ career choices. However, peer/parent/family-related factors and financial factors were deemed insignificant in predicting career choices, which has also been supported by the research of Ng et al. (Citation2005). This study was conducted by keeping in view the limited studies specifically focused on commerce and management students, as many studies on career choice were focused on analysing students’ career choices in IT and medical science fields. Present study has its own relevance at commerce and management context as the challenges, need and significance of various factors influencing their career choice may vary. As a result, the above discoveries argued the relevance of career focused curriculum in student career choice which needs an immediate attention by the Institutions offering MBA, B. Com, BBA, and M. Com courses. Moreover, specialization in these courses must be undertaken by the specialized and experienced faculties rather than with the only general commerce and management background. At the same time, present study emphasises the crucial role of institutions in providing an all-encompassing support to students. This includes providing aggressive assistance in job placements, designing curriculum that aligns with the prospective job opportunities, and facilitating better understanding of various career pathways. These initiatives have proved to be of utmost significance in augmenting students’ ability to decide upon most relevant career choices as proved in this study. Additionally, the study revealed that barriers/challenges such as financial/economic issues, personal difficulties and excessive educational requirements to pursue the course significantly interrupted the influence. Hence, to enhance the impact of curriculum-related factors, personal traits, future employment prospects, and future working circumstances on student’s career choice, measures should be taken to tackle these challenges, while steps should be initiated by the students to explore information and develop required confidence, skills, exposure, and knowledge to make well informed choices related to career. These findings enable several suggestions to be made to educational institutions and policymakers to support students in making well-informed career choices, ultimately enhancing their career prospects and satisfaction.

6. Conclusion

Concentrating on the multidimensional approach to enhance skill, reskill and upskill the youth is the need of the hour thereby preparing the youth to adapt to the present fast-changing job market. It is important for students to carefully explore their options, seek guidance from parents/peers/mentors and career counsellors, and consider their own interests, abilities, and aspirations when choosing a career path. This helps them make informed choices that have a positive, long-term effect on their personal and professional lives. Considering this intention, the present study explored the elements that impact students’ career choices by considering five aspects: curriculum-related factors, personal characteristics, peer/parent/family-related factors, future employment prospects, financial factors, and working conditions. The findings suggest that in general, personal profiles have no significant influence on career choices but significant variation in gender was found concerning peer/parent/family-related factors and career options. It was also evidenced that personal factors, working-conditions related factors, career options and barriers to career are significantly influenced by educational stream. While personal factors, future job opportunities and working-conditions related factors significantly contribute to students’ career choices, peer/parents/family-related factors and Financial Factors were found to be insignificant in predicting career choices. Moreover, barriers to career choice moderate the relationship between factors and career choice, with higher barriers limiting the contribution of various factors to students’ career choice. Furthermore, the course/stream and type of colleges of the students also play a moderating role between factors and career choice. In conclusion, this study suggests that various factors studied, play a significant role in shaping an individual’s decision to pursue a particular course.

7. Implications of the study

The study found that students face various challenges in choosing the appropriate career such as financial/economic issues, personal difficulties, excessive educational requirements to pursue the course, and working environment, which shall be tackled by the educational institutions. At the same time, students consider personal ability and skills, experience related to career-relevant activities, job placement assistance, and curriculum structure as supporting factor to make an effective career decision. These findings will assist educators and career counsellors in giving individualised guidance to students to aid them in their career decisions. The findings will also aid educational institutions to adjust their programmes as per the curriculum-related factors affecting career choice. Furthermore, businesses which employ graduates of commerce and management can benefit from the study’s findings. For one, company recruiters can attract the best talent by highlighting the appropriate factors within their organisation that affect career decisions. Further, the study’s findings regarding working-conditions related factors can be relied on to develop policies and regulations for training and career advancement that thereby fosters employee satisfaction, engagement and lowers turnover.

8. Limitations and future studies

Like other studies, this study is also not free from limitations. The factors influencing career choice has been tested empirically only for commerce and management students. Hence, further study can be implemented for other discipline students to provide a better picture of various factors vital for the career choice. Moreover, comparative study on factors influencing career choice between the different discipline is scarcely found, hence there is a scope to conduct a comparative study to meet the demand of varied discipline to make an appropriate career choice. This may provide an extension to the theory of career choice, by considering a comprehensive framework to measure the influence of various factors on career choice.

Acknowledgment

The authors would like to thank the research council at Yenepoya (Deemed to be University), Mangaluru for financial support for this publication.

Disclosure statement

No potential conflict of interest was reported by the author(s).

Additional information

Funding

This work was partially funded by the Yenepoya (Deemed to be University), Mangaluru, and the remaining was funded by authors.

Notes on contributors

Niyaz Panakaje

Niyaz Panakaje serves as an Associate Professor and Coordinator of YEN-REFINED, YIASCM at Yenepoya (Deemed to be University) in Mangaluru. His research spans various crucial domains, including financial inclusion, entrepreneurship, banking and innovation, higher education, rural development, fintech and socio-economic development. He has obtained his M. Com, MBA, and a Doctorate from Mangalore University, wherein he possesses a robust academic background. Revered for his expertise, Niyaz is a highly sought-after speaker on research methodology and data analytics. He imparts his insights at diverse academic forums, from colleges to universities, delivering illuminating talks on subjects like SPSS, AMOS, SmartPLS, and R-Programming.

Mahammad Thauseef Pandavarakallu

Mahammad Thauseef Pandavarakallu is an Assistant Professor with 7 years’ experience in academia. He holds a Master’s in Commerce from Mangalore University and pursuing his research in Commerce at Mangalore University. With publications in Scopus-indexed and peer reviewed journals focusing on education, finance, and sustainability, Mahammad specializes in financial and human resource management. He aims to excel in teaching by leveraging his expertise.

S. M. Riha Parvin

S. M. Riha Parvin is a full time Research Scholar at Srinivas University, Mangaluru, is skilled in studying education, research, and stock market participation. Recognized for her numerous publications in Scopus and WoS-indexed journals. Also known for presenting and winning Best Paper awards at conferences. Riha, an acknowledged resource person in research, actively promotes worldwide research collaborations.

Kunder Niveditha

Kunder Niveditha is an Assistant Professor with a Master of Commerce degree and is currently pursuing a Ph.D. at Mangalore University. With seven years of teaching experience, she specializes in finance and marketing. Niveditha has contributed to academia with research papers published in peer-reviewed journals, showcasing her expertise and dedication to advancing knowledge in her field.

Shareena P

Shareena P, received the M. Com. M.A and Ph.D. (Management) degrees from Mangalore University, Karnataka, India. In her current capacity, as a Vice Principal and Dean Faculty of Commerce and Management, Nodal Officer of Online Programmes at the Yenepoya (Deemed to be University). She is an active member of the Board of Studies of various educational Institutes. She is instrumental in delivering sessions related to research, and mentorship, Personality Development Programmes

Devika Ganesh Shenoy

Devika Ganesh Shenoy, an Assistant Professor at the Yenepoya Institute of Arts, Science, Commerce and Management, has over 5 years of teaching experience. She has a keen interest in human resource management and is currently pursuing her Ph.D

Renita Joyce Fernandes

Renita Joyce Fernandes is research enthusiast with a passion for advancing knowledge across diverse domains. With a penchant for scholarly exploration, she has presented her insightful papers at numerous prestigious conferences, showcasing her depth of understanding and innovative thinking. Renita actively engages in various research sessions, fostering collaboration and staying abreast of the latest developments in her field.

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