Capable but constrained: entrepreneurship education as an adaptive mechanism in the competence–intention relationship among youth

Purpose Despite the widespread implementation of entrepreneurship education (EE) initiatives across emerging economies, little is known about how EE relates to the link between entrepreneurial competence (EC) and entrepreneurial intention (EI) in institutionally constrained ecosystems within these economies. Using a dynamic capabilities lens, this study aims to examine whether EE moderates the EC–EI relationship among university students in Jammu and Kashmir, India, a region characterized by institutional uncertainty and persistent youth unemployment. Design/methodology/approach A sequential explanatory mixed-methods design was used. Cross-sectional survey data (n = 412) were analysed using confirmatory factor analysis, structural equation modelling and moderated regression, with a supplementary median-split multi-group SEM (measurement invariance supported) comparing the EC–EI path across high-EE and low-EE groups. Twenty purposively selected students took part in interviews and focus groups, analysed thematically to help explain the results. Findings EC is positively associated with EI, and EE positively moderates this relationship: the EC–EI path is stronger for high-EE (ß = 0.71) than low-EE students (ß = 0.44). The qualitative findings suggest that infrastructural gaps, institutional inertia, risk aversion and a preference for salaried employment limit how far competence is reflected in intention, even among highly competent students. Practical implications EE may be more effective when practice-oriented and linked to the local ecosystem. Institutions and policymakers could prioritize incubators, mentorship and infrastructure in peripheral regions, alongside culturally sensitive interventions addressing risk aversion and salaried-employment preferences. Originality/value This study advances the EE literature by conceptualizing entrepreneurial education (EE) as an adaptive mechanism that conditions the relationship between EC and EI, rather than treating EE solely as an antecedent of competence or intention. Drawing on a micro-foundational dynamic capabilities perspective and integrating quantitative and qualitative evidence, the study provides deeper insight into how and why EC translates into EI under resource-constrained conditions in an under-researched regional context.