DETERMINANTS OF VENTURE SUCCESS AND FAILURE IN RURAL CHIMBORAZO PROVINCE, ECUADOR

The success of businesses in rural environments in Ecuador hinges on a variety of factors, such as access to financial resources, education, family support, personal attributes, and local market conditions. These elements are crucial in ensuring the viability and long-term sustainability of entrepreneurial projects. Comprehending the interplay between these factors is crucial for achieving meaningful advancements that can determine the fate of rural enterprises.In this context, we conducted a survey with 320 entrepreneurs in the rural area of the province of Chimborazo in Ecuador. The analysis utilised a structural equation model to examine and categorise the factors that contribute to the success or failure of rural enterprises. This approach aims to improve our understanding of the determinants that influence these businesses' outcomes. The proposed model utilizes statistical analysis programs like IBM SPSS Statistics and IBM SPSS Amos Graphics, which align with the structural equation model.Various factors, including where you live, your financial resources, the risks involved, and personal factors like family, education, and income, all play a crucial role in determining the success of ventures. Interestingly, gender does not seem to be a determining factor. Education is critical to rural enterprises' success. In a significant percentage of households, women take on the responsibility of being the head of the household in rural areas. This is often due to a high level of rural-urban migration or other factors. Local governments design and implement policies and strategies that positively impact all rural enterprises in the province of Chimborazo and Ecuador.