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Building Entrepreneurial Competence among Emerging Entrepreneurs in Tunisia: Implications for Direct Selling Readiness

By Dr. Christos Kelepouris and Chaima Kharrat

Implications

For Educators: Integrate applied modules on branding, storytelling, systems thinking, and ethical marketing into entrepreneurship curricula to prepare learners for direct selling and related entrepreneurial pathways.
For Industry Practitioners: Collaborate with educators to deliver targeted micro-training that builds trust-based, digitally competent, and consumer-centered sales networks.
For Policymakers: Recognize entrepreneurial education as a lever for workforce upskilling, inclusive economic participation, and small-enterprise scalability within evolving labor market structures.

Abstract

This study examines how targeted entrepreneurial education can develop competencies foundational to ethical and effective direct selling readiness among early-stage entrepreneurs in an emerging market context. A single intensive workshop was conducted in Tunisia focusing on entrepreneurial mindset, creativity, motivation and self-efficacy, branding and self-branding, and standardization and growth readiness. A pre/post survey (n = 27) revealed statistically significant gains across all five domains, with particularly large effects for branding (d = 1.24) and standardization/growth readiness (d = 1.21). Beyond direct selling scholarship, the findings speak to broader conversations on the future of work and workforce upskilling, where non-traditional, digitally enabled entrepreneurial pathways are increasingly salient. The results suggest that entrepreneurial education can intentionally cultivate transferable competencies that support ethical, consumer-centered engagement rather than transactional selling, contributing to sustainable participation in direct selling and direct-to-consumer ecosystems.

Introduction

Direct selling occupies a distinctive position in the global entrepreneurial landscape, offering a flexible and relationship-based pathway into commerce through personal networks and, increasingly, digital and social platforms. The model has proven particularly relevant in contexts where access to formal employment or startup capital is constrained, positioning direct selling as both an earning opportunity and an experiential learning environment for entrepreneurship (Peterson et al., 2019). Recent research highlights that microentrepreneurs now operate in hybrid environments where social commerce, e-commerce, and direct selling converge, amplifying the importance of trust, personal branding, and digital fluency (DSEF & Ipsos, 2025).

Beyond the direct selling literature, entrepreneurship education has become central to policy and scholarly discussions on the future of work and workforce upskilling. As labor markets grow more volatile and linear career pathways become less common, younger cohorts increasingly pursue flexible, self-directed, and portfolio-based forms of work. Practitioner commentary on Generation Z’s growing engagement with direct selling highlights its accessibility, digital orientation, and alignment with preferences for autonomy, purpose, and income diversification (Entrepreneur, 2025). At the policy level, discussions among U.S. lawmakers, researchers, and industry stakeholders have similarly framed direct selling as part of an evolving labor ecosystem that complements traditional employment by enabling entrepreneurial participation outside conventional organizational structures (Amway, 2024). Within this context, entrepreneurship education may serve as a critical upskilling mechanism, equipping individuals with transferable competencies, such as self-efficacy, adaptability, and consumer-centered communication, that are increasingly valuable across emerging forms of work.

While prior scholarship has examined training and performance within established direct selling organizations, limited research explores how aspiring entrepreneurs develop the psychological and practical competencies that precede formal entry into direct selling or direct-to-consumer activity. This paper addresses that gap through fieldwork conducted in Tunis, Tunisia, as part of a Fulbright Specialist assignment. Tunisia provides a compelling context for this inquiry. Like many emerging markets, it faces persistent youth unemployment and underemployment alongside growing digital connectivity, conditions that heighten the relevance of entrepreneurial and direct selling pathways. Research from other emerging economies demonstrates that direct selling can contribute to economic participation, self-efficacy, and empowerment, particularly among women, suggesting that skills cultivated prior to market entry may have broad personal and societal implications (DSEF, 2018). Situating Tunisia within this broader emerging market landscape allows the present study to generate insights relevant not only locally, but also for emerging markets more broadly and for mature economies such as the United States.

Grounded in theories of entrepreneurial self-efficacy (Bandura, 1997) and effectuation (Sarasvathy, 2001), this study investigates whether a structured entrepreneurial education intervention can enhance competencies associated with direct selling readiness. By focusing on the pre-entry stage of the microentrepreneurial lifecycle, the study extends direct selling research upstream to examine how education may shape not only readiness, but also the orientation with which entrepreneurs engage markets.

Theoretical Foundation and Literature Review

Direct selling has long functioned as a developmental system that teaches sales, leadership, and small business management through experiential learning (Coughlan & Grayson, 1998). Prior research documents that participation in direct selling itself generates a wide range of transferable skills. (Peterson et al., 2019) found that direct selling experience positively influenced fourteen business and professional skills, including communication, goal setting, self-motivation, and customer relationship management, as well as thirteen personal life skills such as confidence, resilience, and time management. More than three-fourths of respondents reported meaningful skill improvement, and self-perceived skill development was positively associated with both direct selling success and perceived performance in non-direct selling employment. Importantly, these findings suggest that the benefits of direct selling extend beyond commercial outcomes, contributing to broader personal development and societal well-being (Peterson et al., 2019).

Theories of entrepreneurial self-efficacy and effectuation help explain why such skill development is consequential. Self-efficacy theory emphasizes that individuals who believe in their capabilities are more resilient, adaptive, and persistent, traits strongly associated with entrepreneurial and selling success (Bandura, 1997). Effectuation theory similarly highlights how entrepreneurs act under uncertainty by leveraging available means, improvisation, and stakeholder relationships (Sarasvathy, 2001), processes that closely mirror direct selling practices. Recent extensions of these theories into digital learning environments demonstrate that structured educational interventions can intentionally strengthen self-efficacy, opportunity confidence, and adaptive decision-making (Rauch & Hulsink, 2021; Kelepouris, 2024).

In emerging market contexts, the developmental role of direct selling may be particularly salient. Research conducted in South Africa documents how direct selling participation supports women’s economic empowerment, social capital formation, and confidence building, especially when combined with digital tools and supportive networks (Direct Selling Education Foundation, 2018). These findings underscore that direct selling’s relevance extends beyond sales performance to broader questions of inclusion, empowerment, and sustainable economic participation, issues central to both emerging markets and evolving labor markets globally.

Methodology

The study was conducted in 2025 and involved training early-stage entrepreneurs, many selling directly to consumers in fashion, handmade goods, and digital services. The workshop covered five core themes aligned with competencies identified in the direct selling literature: entrepreneurial mindset, creativity, motivation/self-efficacy, branding/self-branding, and standardization/growth readiness.

Participants (n = 27; 60% female; ages 20–35) completed a 20-item Likert-scale assessment (1–10) before and after the workshop. The survey measured perceived competency across the five domains using items such as ‘I can clearly explain what makes my business unique’ and ‘I see problems as opportunities to create something new.’ The data was analyzed using paired-sample t-tests and Cohen’s d to assess statistical significance and effect size. Although modest in size, the sample is consistent with other field-based entrepreneurial education studies published in the Journal of Direct Selling Research, and the within-subject design provided sufficient sensitivity to detect meaningful changes across competencies.

Results

All five competency areas showed statistically significant improvement (p < .05). Mean differences ranged from +1.30 to +2.48, with the largest gains in branding/self-branding and standardization/growth readiness (Table 1). Branding & Self-Branding (d = 1.24) reflected participants’ increased ability to articulate value propositions, build trust, and use social media storytelling, key drivers of credibility in direct selling. Standardization & Growth Readiness (d = 1.21) indicated stronger understanding of systems and replication, mirroring principles of sustainable sales team development. Motivation & Self-Efficacy improved significantly (d = 0.63), aligning with Brown et al. (2025), who found that task-specific confidence predicts long-term engagement among microentrepreneurs. Moderate improvements were also observed in entrepreneurial mindset (d = 0.49) and creativity (d = 0.42).

Table 1
Pre/post-test comparison of entrepreneurial competencies showing significant improvement across all domains (p < .05)

Competency	Pre Mean	Post Mean	Mean Diff	t	p	Cohen’s d
Entrepreneurial Mindset	7.38	8.79	+1.41	2.52	.018	0.49
Creativity & Innovation	7.57	8.86	+1.30	2.18	.038	0.42
Motivation & Self-Efficacy	7.20	8.78	+1.58	3.28	.003	0.63
Branding & Self-Branding	6.45	8.82	+2.37	6.46	<.001	1.24
Standardization & Growth	6.33	8.81	+2.48	6.28	<.001	1.21

Discussion

Beyond measurable skill gains, the findings highlight the potential of entrepreneurial education to foster ethical, consumer-centered engagement rather than transactional selling. Improvements in branding, self-efficacy, and growth readiness suggest that participants were better equipped to articulate authentic value propositions, build trust, and engage customers through relationship-oriented practices. This orientation aligns with prior research emphasizing credibility, transparency, and trust as foundations of sustainable direct selling, particularly in digitally mediated environments where reputational signals are highly visible (Marinello, 2025).

Viewed through a future-of-work lens, the competencies strengthened in this study, self-efficacy, adaptability, personal branding, and systems thinking are increasingly transferable across non-traditional employment pathways. Policy and practitioner discourse now recognizes direct selling as one component of a broader labor ecosystem characterized by flexibility, autonomy, and multiple income streams (Entrepreneur, 2025; Amway, 2024). The Tunisian context illustrates how these dynamics play out in emerging markets, where formal employment constraints heighten the importance of entrepreneurial pathways. At the same time, the relevance of these competencies extends to mature economies such as the United States, where similar shifts toward portfolio careers and digitally enabled work are underway.

By situating Tunisia within a broader emerging market framework and linking the findings to established evidence on skill development through direct selling experience (Peterson et al., 2019), this study demonstrates how entrepreneurial education can function as an intentional form of upskilling. Rather than replacing traditional employment, such education may complement evolving labor market structures by preparing individuals to engage ethically and effectively in direct selling and related forms of work.

Conclusion

This study provides empirical evidence that entrepreneurial education can strengthen competencies foundational to direct selling readiness while also shaping how emerging entrepreneurs engage markets. Significant gains in branding, motivation, and growth readiness suggest preparedness not only for participation in direct selling. By examining the pre-entry stage of the microentrepreneurial lifecycle, the research extends direct selling scholarship upstream and contributes to broader conversations on upskilling, emerging markets, and the future of work. For educators, policymakers, and industry practitioners, the findings underscore the value of entrepreneurial education as a mechanism for inclusive and sustainable participation in evolving economic ecosystems.

Dr. Christos Kelepouris is Co-Founder and Executive Director of AEIOU, The Academy of Entrepreneurial Innovation Opportunity and Understanding.

Chaima Kharrat is a business administration student at the International School of Business (ISB) in Sfax, Tunisia.

References

Amway. (2024). Future of work is focus of Capitol Hill discussion featuring policymakers and researchers.Bandura, A. (1997). Self-efficacy: The Exercise of Control. W.H. Freeman.
Coughlan, A. T., & Grayson, K. (1998). Network Marketing Organizations: Compensation Plans, Retail Network Growth, and Profitability. International Journal of Research in Marketing, 15(5), 401–426.
DSEF & Ipsos. (2025). Consumer Attitudes Toward Direct Selling: Flexibility, Digital Connection, and Trust. Washington, DC.
DSEF. (2018). Empowering women through direct selling in emerging markets.
Entrepreneur. (2025). Why Gen Z is betting on direct selling and why that matters.
Kelepouris, C. (2024). Filling the Gap: Enhancing Business Education for Tomorrow’s Business Owners. Small Business Institute Journal, 20(2), 43–46.
Marinello, P. (2025). Strengthening trust and credibility in the direct selling channel. Journal of Direct Selling Research, 1(2), 22–27.
Peterson, R. A., Crittenden, V. L., & Albaum, G. (2019). On the economic and social benefits of direct selling. Business Horizons, 62(3), 373–382.
Rauch, A., & Hulsink, W. (2021). Entrepreneurial education and self-efficacy revisited. Entrepreneurship Education & Pedagogy, 4(2), 147–169.
Sarasvathy, S. D. (2001). Causation and effectuation. Academy of Management Review, 26(2), 243–263.

International

Arabia: The Next Frontier for Direct Sellers

By Adolfo Franco

Experiencing the United Arab Emirates (UAE) and the World Congress of Direct Selling Associations in October 2023 has given me insights into the great potential for expansion of direct selling not only in the vibrant United Arab Emirates but Saudi Arabia and the broader Arabian Gulf Region.

The direct selling community’s selection of Dubai to hold the World Congress was prescient as the region clearly represents the next frontier for direct selling and golden opportunities for those who envision its great potential. The United Arab Emirates has seen particularly phenomenal growth since the establishment of the UAE Direct Selling Association in 2013 by Poorya Montaseri whose leadership and stewardship has led the growth of our industry from virtually zero to a vibrant market with 19 direct selling member companies. Moreover, the UAE DSA has established the relationships with government officials thorough the region to embrace and encourage direct selling investments.

The entire Gulf region has a growing and young population of approximately 100 million representing diverse communities from and an annual gross domestic product growth rate of almost 4 percent. Accordingly, the regional population and its disposable income and diversity make it particularly conducive for direct sellers. Although the culture is Arabian, the welcoming and openness to immigrants makes the region among the most cosmopolitan in the world.

This mixture of cultures and communities is especially appealing to direct selling as our business model is anchored on opportunity for all and embraces diversity in every respect. Moreover, the Arabian cultural emphasis on family, personal relationships, and hospitality permeates society and makes our business model especially well suited in the region.

These attributes coupled with the personal entrepreneurial spirit of Middle Easterners serves to build personal connections and trust with customers, a quality that is highly valued in the culture. Moreover, unlike the West, traditionally the region has prized personal over conventional retail selling experiences. In that regard, direct selling naturally builds on well- established and respected traditional selling based on trust and personal connection.

In sum, the “personal touch” of direct selling is paramount in a society that places a premium on trust and customer service.

That the United Arab Emirates, Saudi Arabia, and the Gulf region have a rapidly growing consumer market with increasing purchasing power is widely recognized. Of special interest are beauty, wellness, and health products that are of exceptional quality.

Defining the unique selling proposition of direct selling and communicating the value of products and services that emphasize quality, exclusivity and benefits will unquestionably give direct sellers a distinct advantage over traditional retail in the Gulf region.

Moreover, in the advanced and sophisticated societies of the Arabian Gulf region, e-commerce platforms and social media have made it easier for direct selling companies to reach a broader audience and operate online. As in other developed markets, on-line platforms provide distributors with the tools for marketing, sales, and customer relationship management.

So, what are the next steps for our industry in the Arabian Gulf Region?

To effectively open the Arabian Gulf market to direct selling, it is crucial to employ effective strategies that align with the cultural, regulatory, and market conditions in the region described above. Among the key strategic considerations to successfully enter the Arabian Gulf market are the following:

1) Market Research and Localization:

Conduct thorough market research to understand consumer preferences, cultural sensitivities, and local market dynamics. There are differences among the countries of the region, but the basics are similar.
Tailor product offerings, marketing messages, and business operations to resonate with the Arabian Gulf audience.
Consider adapting some products to meet specific cultural or religious requirements.

2) Build Trust and Relationships:

Focus on building trust and personal relationships with potential customers and distributors.
Leverage the importance of word-of-mouth marketing and referrals in the region to establish credibility. This is especially important in Arab culture.
Invest in local networking, events, and community engagement initiatives to foster relationships with key stakeholders, including government in the entire region that is welcoming of foreign investment.

3) Understand Regulatory Framework:

Although friendly to direct selling and investment, there are specific regulations and laws governing the direct selling industry in each Gulf country.
Ensure compliance with legal requirements, obtain necessary licenses by working closely with UAE DSA to navigate the regulatory landscape. Direct selling licensure on terms favorable to our industry has been a primary focus of the UAE DSA’s work.
Establish transparent business practices and emphasize ethical conduct to gain trust and credibility. These are critically important to success in the Middle East.

4) Local Partnerships:

Collaborate with local distributors, influencers, and key market players who have knowledge and experience in the Arabian Gulf market.
Identify strategic partners, including the UAE DSA, who can help you navigate cultural nuances and facilitate local market penetration.
Leverage local partner networks and expertise to expand reach and enhance market access. In an entrepreneurial society, these are easier to accomplish than in most other regions of the world.

5) Embrace Digital Marketing:

Leverage the power of digital marketing and e-commerce platforms to reach a wider audience in the region.
Invest in localized digital marketing strategies incorporating social media, search engine optimization (SEO), and online advertising.
Create localized content, engage with customers through social media platforms, and utilize digital tools for customer relationship management.

6) Training and Support:

As in other markets, provide comprehensive training and ongoing support to distributors to ensure success and retention.
Offer localized training programs that address cultural nuances, sales techniques, and product knowledge.
Empower distributors to become brand ambassadors and provide exceptional customer service. Exceptional customer service cannot be overemphasized in the Gulf Region.

7) Differentiation and Value Proposition:

Clearly define the unique selling proposition and communicate the value of products or services in the Arabian Gulf market context.
Emphasize the quality, exclusivity, and benefits of offerings to stand out in a competitive market.
Provide personalized and tailored solutions that cater to the specific needs and preferences of Arabian Gulf consumers.

As with other emerging, and new markets the above require time, effort, and cultural sensitivity. However, unlike other markets, the level of sophistication and support of the UAE DSA and its broad governmental contacts and expertise, make these tasks much easier to accomplish.

Aligning with the Arabian Gulf market’s cultural values and preferences are key to successfully introducing direct selling in the next frontier for directing selling: the Middle East.