Innovation opportunity recognition (IOR) is a critical element of the entrepreneurial process, yet little examination has been made on what causes this among students in countries emerging into a market economy. This study looked at the factors influencing IOR among Vietnamese students from three aspects: personal innovation (PI) and teamwork skills; and external innovation support (EIS). A survey on 374 students from the leading universities around Vietnam was made between June and August 2025. Covariance-Based SEM (CB SEM) was employed to validate the scale and carry out tests of the study’s hypotheses. Results suggest that PI is the most important factor affecting IOR (β = 0.926). This highlights that the recognition of opportunity in innovation requires creativity, proactivity, persistence and other factors which can only come from within a person. EIS has a good much less significant but recognized effect on IOR (β = 0.174) This shows that although institutional policies, mentoring and resources can all support and amplify a student’s inherent innovative capacity (competency), they do not replace it. TWS on the other hand has a
negative effect of IOR (β = –0.260), suggesting that collaboration without structure may hinder creative thinking and lead instead to a herd mentality. The findings make a significant contribution to the literature by bringing forward more clearly how individual, social and institutional factors interact in the recognition of business opportunities. The study suggests that universities should
strengthen students’ personal innovation competencies, restructure teamwork practices and create more supportive ecological environments. Simultaneously it is recommended in this study that policy makers should draw up comprehensive frameworks for innovation-driven entrepreneurship.
