Abstract:This paper proposes a theoretical model and its hypotheses of the relationship between agglomeration effect and entrepreneurial intention. 452 entrepreneurs of industrial clusters are chosen as research samples, and the structural equation modeling is applied to verify the hypotheses and theoretical models. The empirical results show that agglomeration effect has significantly positive influence on perceived desirability, perceived subjective norms, perceived feasibility and entrepreneurial selfefficacy respectively. Entrepreneurial selfefficacy plays a partial mediating role between agglomeration effect and perceived feasibility. Both perceived desirability and perceived feasibility have significantly positive influence on entrepreneurial intention. Perceived desirability plays a partial mediating role between perceived feasibility and entrepreneurial intention. Agglomeration effect has an indirect influence on entrepreneurial intention mediated by entrepreneurial selfefficacy, perceived feasibility and perceived desirability.