The Mediating Role of Perception between Individual Orientation and Intention towards Sustainable Entrepreneurship
Wei-Loon Koe, Shafinar Ismail, Mohd Halim Mahphoth, Rizuwan Abu Karim
Universiti Teknologi MARA, Cawangan Melaka, Malaysia
Abstract
The negative effects of entrepreneurial activities on environment should not be disregarded. Sustainable entrepreneurship has been recognized as a strategy in rectifying environmental issues through entrepreneurial activities. However, developing sustainable entrepreneurs is still in its infancy stage in Malaysia. Most of the Malaysia small and medium enterprises (SMEs) still regard it as a new practice and not many of them have actually embarked on it. As such, this study investigated the formation process of intention towards sustainable entrepreneurship through individual orientation and perception. This study surveyed 404 SMEs owner-managers in Malaysia through self-administered questionnaires. The results indicated that the two components of individual orientation (i.e.: time orientation and sustainability orientation) were positively and significantly related to intention towards sustainable entrepreneurship. Meanwhile, the results also showed a significant partially mediating role of perception between individual orientation and intention towards sustainable entrepreneurship. This study contributed to the literature by confirming that the formation process of intention towards sustainable entrepreneurship was successfully influenced by two important determinants, namely individual orientation and perception. Practically, it highlighted some crucial factors in promoting sustainable entrepreneurship among SMEs in Malaysia.
Keywords: Entrepreneurship, Intention, Orientation, Small and medium enterprises (SMEs), Sustainability
Topic: Sustainable development