The Important Role of Self-Efficacy in Determining Entrepreneurial Orientations of Malay Small Scale Entrepreneurs in Malaysia

Authors

  • Rohani Mohd Faculty of Business Management Universiti Teknologi MARA, Malaysia
  • Badrul Hisham Kamaruddin Faculty of Business Management Universiti Teknologi MARA, Malaysia
  • Salwana Hassan Faculty of Business Management Universiti Teknologi MARA, Malaysia
  • Mazzini Muda Faculty of Business Management Universiti Teknologi MARA, Malaysia
  • Khulida Kirana Yahya School of Business Management Universiti Utara Malaysia, Malaysia

DOI:

https://doi.org/10.32890/ijms2014.21.1.4

Keywords:

Self-efficacy, entrepreneurial orientations, innovativeness and proactivity

Abstract

The purpose of the study is to understand the role of self-efficacy in influencing entrepreneurial orientations of small scale Malay entrepreneurs. Entrepreneurial orientations are consistently found to influence performance quite positively. Therefore, the understanding of how strong self-efficacy influences entrepreneurial orientations would also help in identifying ways to improve the performance of small scale businesses. There was a lack of research to see what drives business owners to choose among the entrepreneurial orientations, while there were so many researches conducted to see the impact of entrepreneurial orientations on performance. Thus, finding what influences entrepreneurial orientations would be a significant contribution to the field of entrepreneurship. The samples comprised of 162 small scale Malay SMEs in the manufacturing industry in all the states of Malaysia. The Rasch Measurement Model was used for the purpose of construct reliability and validity. In order to identify the influence of self-efficacy on entrepreneurial orientations and its two dimensions (proactivity and innovativeness), a simple linear regression and independent-t test were undertaken by using the SPSS as a tool. The findings indicated that self-efficacy was significantly related to entrepreneurial orientation and self-efficacy of the Malay entrepreneurs has affected innovativeness more strongly than the proactive dimension of entrepreneurial orientations. The independent-t test also was able to identify that Malay entrepreneurs withwith low self-efficacy. The findings give important implications to management consultants whose clients are SMEs to design training modules that specifically focus on developing self-efficacy among average performing SMEs because self-efficacy was found to improve the entrepreneurial orientations of entrepreneurs.
 
Keywords: Self-efficacy, entrepreneurial orientations, innovativeness and proactivity.

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Published

30-06-2014

Issue

Vol. 21 No. 1 (2014): International Journal of Management Studies (IJMS) Vol. 21, No. 1 June 2014

Section

Articles

Research impact

Harvested 2026-09-08
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Identifiers DOI 10.32890/ijms2014.21.1.4

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