The ‘Make in India’ Initiative: A Mediation Analysis of Training Quality, Youth Readiness, and self-reliant Enterprise Potential Rationale

This study examines how government led skill development programs, central to India’s Make in India initiative, foster entrepreneurial potential among youth. Moving beyond prior research that emphasized employability outcomes, this paper investigates the mediating role of Skills & Readiness—a construct encompassing technical competence and self efficacy—in linking training quality to self reliant enterprise potential. Using a quantitative, cross sectional survey of 188 program participants, training quality was conceptualized as a higher order formative construct comprising relevance, delivery quality, support infrastructure, and post training support.

The results, derived from Partial Least Squares Structural Equation Modeling (PLS SEM), confirm that training quality exerts both a direct effect on enterprise potential and an indirect effect through Skills & Readiness, establishing a partial mediation mechanism. Among the formative indicators, relevance of training content emerged as the strongest contributor, underscoring the importance of aligning curricula with industry needs. These findings provide empirical support for Social Cognitive Theory and the Theory of Planned Behavior by demonstrating that entrepreneurial outcomes are shaped not only by technical inputs but also by psychological readiness and perceived behavioral control.

The study contributes to entrepreneurship and policy literature by evidencing the dual pathway—direct and mediated—through which training influences enterprise potential in a policy driven context. Practically, the results suggest that national skill initiatives should prioritize curriculum industry alignment, trainer competence, infrastructure investment, and structured post training support. By adopting a holistic approach that integrates both capability building and mindset development, policymakers can better transform India’s youth from job seekers into job creators.