The Relationship of Entrepreneurial Competencies and Business Success of Malaysian SMEs: The Mediating Role of Innovation and Brand Equity

Umar, Azmi; Ngah, Rohana

doi:10.24191/abrij.v2i2.10027

Cited by 5 publications

(10 citation statements)

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“…Strategies act as a bridge to join firms' resources and capability (Ahmad et al, 2010;Parnell, Lester & Menefee, 2000). Many studies have either conceptualised or found the positive influence of strategic competency for achieving superior performances (Nakhata, 2018;Suhaimi et al, 2018;Umar & Ngah, 2017;Yusuff et al, 2016). We thus hypothesise, H1a: There is a positive impact of strategic competency on business growth among Malay entrepreneurs.…”

Section: Development Of Hypotheses H1: Impact Of Strategic Competencymentioning

confidence: 99%

“…Alternatively, entrepreneurial learning is considered a core entrepreneurial competency. Many studies have found the positive influence of learning competency on performance (Nakhata, 2018;Umar & Ngah, 2017;Yusuff et al, 2016). Thus:…”

Section: H3: Impact Of Learning Competency On Business Growthmentioning

confidence: 99%

“…Many studies have found the positive influence of personal competency for achieving better performances (Nakhata, 2018;Quagrainie, 2018;Umar & Ngah, 2017;Yusuff et al, 2016). Therefore:…”

Section: H5: Impact Of Personal Competency On Business Growthmentioning

confidence: 99%

“…Her study revealed that the Malaysian entrepreneurs prioritise advice and support from their family members, sharing knowledge and resources and seek help from their loyal and trusted employees. Two recent studies have considered the influence of familism on performances (Umar & Ngah, 2017;Kuada, 2015). Thus;…”

Section: H6: Impact Of Familism On Business Growthmentioning

confidence: 99%

“…Chandler & Jansen (1992) propose conceptual competency as the mental capability to coordinate business activities and include risk-taking, decision skills, innovativeness and understanding (Yusoff et al, 2016;Man et al, 2002). Several studies have found a positive impact of conceptual competency in achieving superior firm's performances (Nakhata, 2018;Quagrainie, 2018;Suhaimi et al, 2018;Umar & Ngah, 2017;Yusuff et al, 2016). Thus:…”

Section: H7: Impact Of Conceptual Competency On Business Growthmentioning

confidence: 99%

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Cultures and entrepreneurial competencies; ethnic propensities and performance in Malaysia

Tehseen

Anderson

2020

JEEE

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Purpose The purpose of this study is to examine the extent and types of entrepreneurial competences among culturally different ethnic groups in Malaysia. Malaysia offers us a similar environment and ecosystem to make comparisons within a single context. Design/methodology/approach This paper surveyed 600 respondents – 200 Malaysian Chinese, 200 Malaysian Indians and 200 Malays – and collected data about the types of competencies and about self-reported growth as firm performance. The study used PLS-SEM for inferential testing and PLS-MGA to conduct multigroup analysis among the three ethnic groups and found considerable and interesting differences. Findings The results of the nuanced, fine-grained findings showed a distinctive distribution of competencies. This study investigates the analysis further to argue that there is an ethnic disposition to favour and value different competencies. Broadly, Malaysian Chinese have a commercial outlook which contrasts with the Malaysian emphasis on social values such as family. Malaysian Indians’ competencies are similar to Malaysian Chinese’s, but with more social value emphasised. This distribution impacts on firm performance with Malaysian Chinese firms faring economically better. However, this economic measure takes no account of social measures which may be an important determinant and motivation for some ethnic groups. Research limitations/implications Theoretically, it becomes evident that one size does not fit all. In practice, different competencies are prioritised. Hence competencies appear to be culturally shaped. Culture influences what might be seen as very practical dimensions of entrepreneuring. From a practical perspective, those encouraging entrepreneurship should take such differences into account. Originality/value The study is original in comparing cultural effects on competencies and performance.

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Section: Development Of Hypotheses H1: Impact Of Strategic Competencymentioning

confidence: 99%

Section: H3: Impact Of Learning Competency On Business Growthmentioning

confidence: 99%

“…Many studies have found the positive influence of personal competency for achieving better performances (Nakhata, 2018;Quagrainie, 2018;Umar & Ngah, 2017;Yusuff et al, 2016). Therefore:…”

Section: H5: Impact Of Personal Competency On Business Growthmentioning

confidence: 99%

Section: H6: Impact Of Familism On Business Growthmentioning

confidence: 99%

Section: H7: Impact Of Conceptual Competency On Business Growthmentioning

confidence: 99%

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Cultures and entrepreneurial competencies; ethnic propensities and performance in Malaysia

Tehseen

Anderson

2020

JEEE

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Linking entrepreneurial competencies, innovation and sustainable performance of manufacturing SMEs

Koliby

Abdullah

Suki

2022

APJBA

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PurposeThe purpose of this study is twofold: to examine the impact of entrepreneurial competencies and innovation on manufacturing small and medium-sized enterprises' (SMEs) sustainable performance and to explore the role of innovation as a mediator on the relationship between entrepreneurial competencies and manufacturing SMEs' sustainable performance.Design/methodology/approachData collected from manufacturing SMEs in Malaysia were analysed via the partial least squares-structural equation modelling (PLS-SEM) approach.FindingsThe results reveal that entrepreneurial competencies play a robust and noteworthy role in promoting innovation and the sustainable performance of manufacturing SMEs, respectively. Further, innovation has a partially mediated effect on the link between entrepreneurial competencies and manufacturing SMEs' sustainable performance. Manufacturing SMEs' aspirations to be the first to market with new products are reflected in these SMEs' implementation of positive entrepreneurial competencies or capabilities which enable them to scan the environment to identify high-quality business opportunities and respond through these SMEs' Research and Development (R&D) activities to create products that provide real benefit to customers' needs. Hence, these SME's seize the market opportunities.Practical implicationsManufacturing SMEs' sustainable performance should be strengthened by linking entrepreneurial competencies with innovation to nurture greater agility to respond quickly to change and market demands. These SMEs should conduct tactical meetings on a regular basis to discuss current projects and assess critical indicators, as well as to identify and test fresh ideas for innovation and new business ventures in order to achieve sustainable performance in challenging business environments.Originality/valueBy applying the resource-based view (RBV) theory and the triple bottom line (TBL) framework into a single framework, this study highlights the role of innovation as a meaningful mediator between entrepreneurial competencies and manufacturing SMEs' sustainable performance. As exploration of this relationship has been very limited, the study makes a novel contribution to the extant literature.

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Social innovation: relationships with social and human capitals, entrepreneurial competencies and growth of social enterprises in a developing country context

Pansuwong

Photchanachan

Thechatakerng

2022

SEJ

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Purpose This study aims to examine capital and competency variables – human capital, social capital and personal entrepreneurial competencies – in relation to social innovation development and growth of social enterprises in a developing country with an emerging social enterprise sector: Thailand. Design/methodology/approach A hypothetical-deductive approach was adopted and a quantitative survey by questionnaire was applied to collect data from owners/top management of 103 social enterprises in Thailand. The data were used to test hypotheses and further analysed using partial least squares technique. Findings The results revealed that there were positive direct and indirect (mediating) relationships between human capital, social capital, personal entrepreneurial competencies and social innovation development and growth of Thai social enterprises. Skills and training were key determinants of human capital, whereas social interaction, trust, social identification and shared knowledge were key determinants of social capital which affected social innovation development. Goal orientation, information seeking, opportunity seeking, persuasion and self-confidence were key determinants of entrepreneurial competencies that also affected social innovation development. This study ultimately revealed the mediating effects of social innovation development on the relationships between capital and competency variables and the growth of social enterprises. Originality/value This study fills the research gap, from the theoretical perspective, by identifying capital and competency variables as well as their additional determinants that are divergent from previous literature, which can potentially influence the social innovation development of social enterprises, and where only limited research is evidenced. From an empirical perspective, this study attempts to investigate the associations between these variables and growth indicators in the context of social enterprises in a developing nation, where its sector is in its infancy. This study further helps to clarify the existence of the direct and indirect (mediating) effects of social innovation development in the context of the economic and social accomplishments of social enterprises.

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The Relationship of Entrepreneurial Competencies and Business Success of Malaysian SMEs: The Mediating Role of Innovation and Brand Equity

Cited by 5 publications

References 0 publications

Cultures and entrepreneurial competencies; ethnic propensities and performance in Malaysia

Cultures and entrepreneurial competencies; ethnic propensities and performance in Malaysia

Linking entrepreneurial competencies, innovation and sustainable performance of manufacturing SMEs

Social innovation: relationships with social and human capitals, entrepreneurial competencies and growth of social enterprises in a developing country context

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