All Research

Fazal Akhbar · Rao Aamir Khan · Fazli Wadood · Abdul Talib Bin Bon ·Entrepreneurial Business and Economics Review ·2020 ·JEL: L20

The main objective of this study is to verify the impact of entrepreneurial orientation dimension on firm performance of furniture industry in Malaysia. In this study, we used a quantitative research method and collected data through a questionnaire from 391 furniture manufacturing company owners and managers, while following purposive sampling approach. The collected data was analysed using structural equation (Partial Least Square). To measure five entrepreneurial orientation dimensions, we adopted specific measuring instruments. The study shows that the three dimensions of entrepreneurial orientation – i.e. innovation, risk-taking, and competitive aggressiveness – make unique statistical contributions to the considered model. Findings indicate low levels of autonomy and proactiveness. However, the entrepreneurial orientation and FP models significantly influence the unique contribution of individual entrepreneurial activities in the Malaysian furniture industry.

Christopher Gan · Rafiatul Adlin Hj Mohd Ruslan · Baiding Hu · Nguyen Thi Thieu Quang ·International Journal of Business and Economics ·2020 ·JEL: L26; O53

This study investigates the relationship between access to microcredit and SMEs’ performance. Using survey data on SME’s owners/managers in Terengganu, Malaysia in 2016, the study investigates how access to microcredit affects SME sales and employment growth. Employing the Propensity Score Matching method (PSM), the study showed that SMEs with microcredit borrowing had their sales 25.6% to 25.7% higher than nonmicrocredit borrowers. After minimizing the selection bias from both observable and unobservable characteristics using Differences in Differences method (DID), the difference was much larger (28.7%). However, both PSM and DID analyses revealed no impact of microcredit access on SME employment growth. The Endogenous Switching Regression method (ESR) confirmed these findings.

Khanifah Khanifah · Pancawati Hardiningsih · Asri Darmaryantiko · Iryantika Iryantik · Udin Udin ·Journal of Asian Finance, Economics and Business ·2020 ·JEL: E44, M14, Q56

A series of corporate failures and financial crises have raised attention to organizational governance issues, especially for financial institutions. In the banking system, corporate governance further plays a unique role because of the uniqueness of the banking organizations. Therefore, this study aims to examine the effect of corporate governance disclosure on bank performance by building a corporate governance disclosure index (CGDI) for 10 Islamic banks operating in Iran, Saudi Arabia and Malaysia. The data used in this study are secondary data taken from annual reports and sourced from the official websites of each banks include Iran Exchange, Stock Market Quotes and Financial News, and Bursa Malaysia. This study uses content analysis of the annual bank report within five years (2014-2018). The results show that Islamic banks comply with 72.4% of the attributes discussed in the CGDI. The most frequently reported and disclosed elements are board structure and audit committee. The regression results provide evidence that Islamic banks with a higher level of corporate governance disclosure reported high operating performance measured by ROA. In contrast to the expectation, the financial performance of ROE and Tobins'q are not significantly related to the disclosure of sharia bank governance.

Pancawati Hardiningsih · Indira Januarti · Etna Nur Afri Yuyetta · Ceacilia Srimindarti · Udin Udin ·International Journal of Energy Economics and Policy ·2020 ·JEL: E44, M14, Q56

This study aims to analyze the effect of sustainability information disclosure on financial and market performance. Using purposive sampling, this study obtains 21 mining sector companies in Indonesia and 18 companies in Malaysia. Regression analysis with WarpPLS is used to test the proposed hypotheses. The results show that environmental and social disclosure has a significant effect on return on assets, return on equity, price-earnings ratio, and Tobin’Q in Indonesia and Malaysia. Overall, there is no significant difference in financial and market performance between Indonesia and Malaysia. Good sustainability information disclosure further improves financial performance and trust among stakeholders and regulators in decision making, which in turn, increases corporate value.

Filzah Md Isa · Nik Maheran Nik Muhammad · Azizah Ahmad · Shaista Noor ·Journal of Economics and Business ·2021

Women entrepreneur has gained utmost importance in the past few decades in Malaysia due to their significant contribution to the country's economic development. However, few business challenges create a constant obstruction for many women entrepreneurs such as lack of ICT knowledge, time constraint to learn ICT, lack of technological expertise, etc. The present study aims to identify the effect of ICT adoption on business performance and examine how ICT usage helped them handle operational business matters. The present study adopted the qualitative research strategy, and researchers interviewed ten (10) women entrepreneurs for this study. A semistructured interview technique was applied, and six Malay and four Chinese entrepreneurs made the study population. The result highlights that Malay and Chinese entrepreneurs use ICT in their business operation such as warehousing system, purchasing system, HRM software and accounting system, purchase order system, production system, internal communication, and AutoCAD. The present study may support the prospective entrepreneurs in considering the ICT usage to embark on technology and innovation and provide inputs to policymakers to design a proper support system for Malaysian women entrepreneurs, particularly those new entrepreneurs who are mostly young and inexperienced.

Sitraselvi Chandren · Ayoib Che Ahmad · Zaimah Abdullah ·International Journal of Supply Chain Management ·2018

The purpose of this conceptual paper is to address the link between corporate governance and operating performance during and after GST implementation. With the support of agency theory, this paper develops five propositions for the relationship between corporate governance and operating performance (sales growth and current ratio) during and after GST implementation. The nature of their relationship shall contribute to all stakeholders on the impact of corporate governance to operating performance. This displays on the governance effectiveness in discharging their roles to strengthen operating performance particularly during a new financial or tax policy implementation that requires necessary changes in business processes. It uncovers the transparency of Malaysian corporate governance commitment and acceptance to GST for firm and country sustainable development. In sum, for business friendly GST requires effective governance to support the firm operating system.

Jayalakshmy Ramachandran · Khoo Kok Chen · Ramaiyer Subramanian · Ken Kyid Yeoh · Kok Wei Khong ·Managerial Auditing Journal ·2018

Purpose This study aims to investigate the relationship between corporate governance (CG) and performance of Real Estate Investment Trust (REITs) in Singapore and Malaysia. Design/methodology/approach The CG attributes that contribute best toward R-Index scores are tested followed by analysis of whether R-Index scores contribute toward better performance of the REITs when controlled for growth, firm size and leverage. Regression analysis using structured equation modeling (SEM) is instituted. Findings All attributes in the R-Index except management ownership are significantly correlated to R-Index. Regression analysis using SEM reveals that all the three measures of performance are significant. When controlled for growth and firm size, CG mechanisms reduce the impact of losses. However, highly levered firms could be risky for investors despite strong CG mechanisms. Research limitations/implications All S-REITs and M-REIT sampled were grouped as one regardless of the country differences, which may have limited the results and findings. The R-Index used to score the CG practices for Asia is still very new. Practical implications Findings of the study will help REIT policymakers to update scorecards frequently. Loss-making REITs must emphasize on specific CG attributes to enhance their overall CG scores to gain market confidence and procure financial assistance through better disclosure. Originality/value Due to research scarcity on CG effectiveness associated with performance of Asian REITs after the global financial crisis, this study comes as a timely contribution in understanding the relationship between CG and performance of REITs.

Sitraselvi Chandren · Ayoib Che Ahmad · Santhirasegaran Nadarajan ·International Journal of Supply Chain Management ·2018

The implementation of Goods Service Tax (GST) in business processes requires firm to revise their business policies and practices particularly on price setting and cash flow operation that may possibly influence the operating performance. Thus, the purpose of this study is to investigate the impact of GST on operating performance. This study investigated 265 Malaysian listed firms operating performance (profitability: sales growth –SG, profit after tax-PAT, return on asset (ROA), liquidity: operating cash flows (OCF) and current ratio –CR) from year 2014 (before), 2015 (during) and 2016 (after) GST implementation period using the paired t-test. The SG have shown decreased during the GST implementation period, subsequently improved after the GST implementation period. The CR has exhibited a remarkable improvement during and after GST implementation period. The SG and CR results validate the firms are able to maintain the operating performance even with minimal reduction is witnessed for PAT, ROA and OCF during and after GST implementation. This study contributes to all stakeholders that GST do not necessarily influence the firms negatively, but allows the management of the firm in making effective decision for the operating business processes and supply chain for sustaining the firm value. In sum, this study finds that GST is a business friendly tax system for firms with effective operating performance to support the country economic development.

Rosnani Mohamad · Suhaiza Ismail · Julia Mohd Said ·Journal of Asia Business Studies ·2018

Purpose The objectives of this present study are twofold. First, it aims to investigate the performance objectives of PPP implementation in Malaysia. Second, it aims to examine the differences in the perceptions of two PPP key players – the public and private sectors – pertaining to the performance objectives. Design/methodology/approach A questionnaire survey was used to elicit the perceptions of the public and private sectors concerning the performance objectives of PPP projects in Malaysia; 237 usable responses were obtained and analysed using SPSS to rank the importance of the performance objectives and to examine the differences in the perceptions between the government and private sectors. Findings The results reveal that the five most important performance objectives for PPP implementation in Malaysia based on overall respondents’ perceptions are “High-quality public service”, “Provide convenient service for society”, “Within or under budget”, “On-time or earlier” and “Satisfy the need for more public facilities”. As for differences in the perceptions of the two key players, only one objective was perceived as statistically more important by the public sector respondents than by their private sector counterparts. Originality/value The contribution of this paper is that it not only provides empirical evidence for the performance objectives for PPP implementation in Malaysia, but also offers evidence concerning the differences in the perceptions of the public and private sectors pertaining to the performance objectives.