All Research

Mohd Amar Aziz · Badariah Haji Din · Kamaruddin Abdulsomad ·Institutions and Economies ·2019 ·JEL: I3; O3; P4; Z1

This paper examines transaction costs inthe institutional zakat system from the open innovation perspective and tries to understand its impact on performance. It attempts to harmonise the concept of transaction costs with the open innovation strategy, especially in the aspect of zakat distribution. A quantitative approach was applied in measuring the performance of zakat distribution, where the data were based on the perspectives of zakat payers in Malaysia. Transaction costs were treated as the mediator, while the property right of zakat was the independent factor towards the performance of zakat. The result showed two critical aspects of the transaction costs, namely the asset specificity and the service measurability, performed positively as mediators in determining the performance of zakat distribution. Institutional arrangements through open innovation strategy are suggested to reduce the transaction costs in delivering the benefits of zakat to the righteous recipients. It can be executed practically by focusing on the asset specificity and service measurability through the open innovation strategy. By reducing transaction costs, the public will be able to understand that the zakat institution developed not only to provide charity to the poor and needy, but its capacity stretches beyond the physical values by nurturing the giving spirituality with love and enhances the values of the transaction.

Siong Hook Law · Tamat Sarmidi · Lim Thye Goh ·Malaysian Journal of Economic Studies ·2020 ·JEL: O11, O31, O43

This study empirically investigates the effect of innovation on economic growth using the neoclassical economic growth model. Embarking from the traditional labour growth, physical capital and human capital framework, innovation is postulated to be the main driver for robust economic growth. Using time series techniques, we discover very attention-grabbing findings that highlight the impact of innovation on economic growth for Malaysia. First, the innovation measured by the quantity of a total number of a patent application is statistically insignificant. The result is robust for various innovation measurements, including total local patent application and total foreign patent application. Interestingly, switching to total patent grant instead of a total number of patent application (local or foreign), the empirical result shows a significant impact on economic growth. The finding indirectly reveals the crucial impact of quality innovation rather than the quantity concern. Neglecting both quality and the commercialisation process of these new technologies may not solve the rigidity of knowledge commercialisation paradox. Finally, we test for the prominent institutional quality in mediating economic growth under a knowledge-based economy. The interaction between institutional quality and the total patent grant has significantly accelerated the role of innovation channel to economic growth. The empirical findings imply that inadequacy of innovative technology flow over the long term has a detrimental effect on national innovative capacity. Thus, the innovation-economic growth nexus needs to be complemented with a good institutional quality framework, skilled human capital and broader networking to commercialise the innovative product to ensure that the innovation activities promote economic growth.

Haniruzila Hanifah · Hasliza Abdul Halim · Noor Hazlina Ahmad · Ali Vafaei-Zadeh ·Journal of Asia Business Studies ·2019

Purpose Innovation has become an approach to create value for the customer to remain competitive in the market. However, previous research on innovation performance particularly among Bumiputera small and medium-sized enterprises (SMEs) had received little intention. Hence, Bumiputera SMEs need to inculcate the innovation culture to generate innovation performance. As such, the purpose of this study is to examine the ambidextrous orientation and innovation strategy on innovation culture, and how innovation culture could mediate the relationship between ambidextrous orientation and innovation strategy and innovation performance. In addition, this study also examines the role of government support as the moderator between innovation culture and innovation performance. Design/methodology/approach Data were collected from 140 Bumiputera SMEs and analyzed using partial least square-structural equation modeling via Smart PLS. Findings Findings indicated that ambidextrous orientation (alignment and adaptability) and innovation strategy (proactive creativity strategy and growth risk orientation strategy) had a significant impact on innovation culture. Besides, innovation culture mediated the relationship between alignment, proactive creativity strategy, growth risk orientation strategy and innovation performance. Surprisingly, innovation culture does not significantly mediate the relationship between adaptability and innovation performance. However, government support plays an important role to support innovation culture and innovation performance in Bumiputera SMEs. Originality/value This study makes both theoretical and practical contributions, especially in identifying the significant role of Bumiputera SMEs in creating an innovation culture. Besides, it explained government support as an important role in strengthening the relationship between innovation culture and innovation performance. The findings of the study will provide great help to Bumiputera entrepreneurs in formulating innovation culture in Malaysian SMEs.

Mohd Azwan Zainol · Zakaria Abas · Ahmad Shabudin Ariffin ·International Journal of Supply Chain Management ·2019

This paper conceptualizes the innovative supply chain integration and business performance of aquaculture contract farming setting in Malaysia. Based on the SCM philosophy, it highlights three related variables of supply chain integration, namely: external integration with suppliers, external integration with customers and supply chain risks, and technological innovation, and the relation amongst the variables in focus that could produce promising business performance. Hence, ability to conceptualize, observe and give due recognition to the possible relation amongst these variables in question by the prospective aquaculture contract farming participants that could bring about an insightful engagement for the betterment of the aquaculture business performance.

Kyunga Na · Young-Hee Kang ·Journal of Open Innovation: Technology Market and Complexity ·2019

This study aims to investigate the effects of product and process innovations on manufacturing firm performance in Southeast Asian emerging markets. To this end, using a cross-national sample of 2324 manufacturing firms from the World Bank Enterprise Survey (WBES) dataset of 2015, we test the effects of product and process innovations on the sales growth of manufacturing firms in Vietnam, Malaysia, and Indonesia. This study finds that product innovation is positively related to sales growth while new operating technologies are negatively associated with sales growth. For high-tech firms, product innovation is positively related to sales growth. The findings imply that in Southeast Asian emerging markets, governments and manufacturing firms can enhance performance by investing in product innovation.

Zubair Hassan · Muneeb Khan Lashari · Abdul Basit ·Entrepreneurial Business and Economics Review ·2021 ·JEL: O15, P47, Q01, Z12

This study contributes to the existing literature on promoting entrepreneurial culture among students by establishing the key determinants of entrepreneurial culture through risk-taking behaviour, innovation, creativity, and empowerment. One of the unique aspects of this research is that these four factors are studied together and tested based on what academic institutions in Malaysia do to cultivate entrepreneurial culture among the students.

Fazli Wadood · Mohammed Emad Alshaikh · Fazal Akbar · Maqsood Mahmud ·Entrepreneurial Business and Economics Review ·2022

The main objective of this research is to integrate the resource-based view (RBV) to analyse how the relationship between firm performance and entrepreneurial orientation is mediated by outbound innovation among furniture firms in Malaysia.