Editors:Mohamed Bahlan Ibrahim

Chazali AhmadMohd Rafi Yaacob

Faculty of Entrepreneurship and Business,Universiti Malaysia Kelantan

EnTREPREnEURIAL EDUCATion AnDEnTREPREnEURSHIP In mALAYSIA

BOOK OF READinGS

VOlumE II

EditorMohamed Dahlan Ibrahim

Ghazali AhmadMohd Rafi Yaacob

Facul 'of En repreneur hip and Bu ineni er i i ala' ia Kelan an

UNIVERSITI MALAY IA K LA1

UNIVER ITI ilALA Ytakan Pertama: 13

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ecara elektronik, fotokopi, mekanik rakaman atau lain-lainsebelum terlebih dahulu mendapat izin bertuli daripada

UNIVERSITI MALAYSIA KELANTAl'l

Reka bentuk, atur hUTUf dan diuru cetak 01 h:

Rimbunan Ilmu dn. Bhd.No. 92-G, 92-1, 92-2 Blok 2

Wi rna alleh aidinJalan Dwi Ta ik, Dataran Dwi Ta ik

Bandar Sri Permai uri. 56000 Kuala Lumpur

CONTE T

Li t of Tabl

Li t of Figur

bbreviation

Li t of ontributor

Foreword

Preface

cknox ledgement

lX

Xl

XllXVlll

X1X

xxv

SECTION A: ENTREPRENEURSHIP

1. En repreneurial etwork Organisation in Theor 2and Practice.\[ohd Rosli J[ohamad

b tractIn roductionEntrepreneurial Reaction the EnvironmentEn repreneurial Proce of Organi a ional FormationEntrepreneurial Innovative daptability andOrgani ational onfigurationIodelling Entrepreneurial Network Organi ation

The Economic Per pectiveThe ocial la Per pectiveThe ocial apital Per pectiveInter-organi ational e work in PracticeIndu trial Di trictBu ine Grouptrategic Allianceub-contracting Arrangement

2. gropreneur ' Per onali Traits andEntrepreneurial ommitment in TerengganuPa ar Tani Farmer Market.\fuhammoo Abi {ian Abdul Halim, Zainuddin Zakaria. Aumi Che Hamid

34

b tractIntroductionF }\.1Aand griculture lndu try

III

Agropreneurs' P r onalit Trait at Pa ar TaniLiterature ReviewHypotheses and Theoretical Fram workMethodologyPopulation and ampleData AnalysisDemographic Profile of Re pondentRelationship of Agropreneur . Per onality Trait andEntrepreneurial Commitment

3. Entrepreneurial Motivation: The Cases oflndianRestaurant Owners inSelangor and Kelantan, Mala iaMohd Ra/i Yaacob & Jiuitho Ramasamy

AbstractBackground of StudyIndian Food inMalaysiaLiterature ReviewEntrepreneur and EntrepreneurshipEntrepreneur MotivationResearch FrameworkMethodologyData AnalysisDemographic of RespondentsEntrepreneurial otivation of India EntrepreneurDiscussion Concl usions

4. The Issues of Capacity Building of Mala ian 64Woods Furniture Entrepreneurs: TowardSustainable Competitive AdvantageTuan. Mohd Rosh Tuan. Hassan, Dalili Izni Shafie, Nih KamaruzamanAbdulatiff, Mohd Rafi Yaacob & Rustam haari

AbstractIntroductionThe Problem StatementObjectivesSignificance of the tudyOutcome of the studyScope of StudyReview of LiteratureA Proposed Research ModelConclusion

IV

5. The Impact of Personality Traits and Knowledge 8on Entrepreneurial PerformanceWan Farha IVan Zulki/li & Molid Hafizie uhaimi

Ab tractIntroductionSale ver u marketingR&D and the need for commercializationMarketing problems and market con traintFinding the connectionsChallenge facing R&DThe R&D world - in the eyes of government agencies,R&D personnelCurrent scenarios - issues and challengeshallenges in new product development

Why do new product fail?orne po ible bu ine s model

BrandingRem unera tionfRewardOrganisational true ure - get the right teamOut ourcingritical ucce factor

SECTION B: HUMAN RESOURCE MANAGEMENT

6. Adoption of Business Strategy and High 106Involvement Human Resource Practices: A Studyof Small and Medium Enterprises in Malaysia\Vee Yu Ghee, Kamarul Z<lman Ahmad & Yap Sheau Fen

Ab raeIntroductionLiterature Re iexRe earch IethodologieRe ultDi cu ion and Prac ical ImplicationLimita ion and Future Re earchRecommenda tion

7. Competency Ba ed Training: A p cial 0 u n 133Service Quality in SMEIlhaamie Abdul Ghani Azm" AII1:' habudin & Abdul Rahman Abdul Rahsm

AbstractIntroductionTraining and Organizational PerformanceTraining and ervice Qualit 'Training and ervice Quality in ivIECompetency-ba ed Training and ervice uality inSMEsConclusion

8. Relationship Between Political Beha ior in 1-15Performance Apprai al S stem and Di tributiJustice: An Empirical tud in the MainOffice of Postal Service Compan , Sar awak,MalaysiaAzman Ismail, Awangku Mohamed .\'aj,b & Zelina Ibroium

AbstractIn trod uctionObjective of the tudLiterature ReviewMethodologyFindingsDiscussion and ImplicationsConclusion

9. Does Innovation Types Moderate the Rela ion hip 163Between Organization Learning Capability andTechnological Innovation in ManufacturingProcess?: A Proposed FrameworkAdam Mat & Razli Che Rozak

AbstractIntroductionPropo ed Research Hypothe eConclusion

vi

SECTION : COMPETITIVE ADVANTAGE

10. The Impact of Locu of Control on Competitive 1 2Advantage and Profitability in Craft Indu try. fuhommod Abi {ian Abdul Halim, haladiri Muda & IVan Abdul Aziz Wan.l1ohdAmin

b tractIntroductionKraftangan alay ia and raft Indu tryMala ian raftpreneur and Locu of ControlLiterature ReviewSignificance of tudyMethodologyData Analy iDi cu ion and RecommendationConclu ion

11. Malaysian SMEs Competing in Global Business: 200A Comparative StudyMuhammad. aqib Mat Yunoh

b tractIn trod uctionLiterature Reviewlethodology

FindingConclu ionInternational entrepreneur hip

rategic leader hip and growthIndone ian experienceonclu ion

Vll

SECTION D: TOURI M D HO PIT LI

12. Networking Moti of mall om dati n irrn :..23Ghazali Ahmad

Ab tractBackgroundPreviou tudy on t\ tworking Among mallAccomodationObjective of the tudyMethodologyFindingThe Network trategyConcluding Remark and R commendation

13. The I ues of Hospitali r and Touri m Edu ation 2·Hin Malay iaMohd Fadil J10hd Yusof i Ghazal, Ahmad

Ab tractIntroductionPropo ed Re earchObjective of the Propo ed Re earchConclusion

14. "Thank You: Plea e orne Again".patronage Intention in Hotel InduJamal Abdul 'assir hoari, Nordiano Ahmad. 'ordmFong

Ab tractIntroductionLiterature ReviewMethodologyFindingDi cu ionImplication and onclu ion

5

lOlL

15. De tination Image and Intention to Revi itTioman I land PahangHazryatt Hashrm

264

IntroductionLiterature Re iewRe arch Methodology and Re ultonclu ion and Recommendation

16. The Bu iness of Touri m: An Overview of Brand 279De tination Branding and De tination BrandEqui in Touri m De tination Marketingommunication

Azilah Kasim & Ashraf Alteehi Alfondi

bractIn roduc ionDe tination Branding and It ImportanceBrand Equity and It Importancer rea uring Brand EquityBBE Dimen ion and The C Influence

De tination \ arenePercei ed BrandlDe tination ImageBrand Lo 'altyPereei ed Qualionclu ion

LX

LIST OF TABLE

Table1.1: General Characteri tic of th Thr arm 0

Organi ation2.1: The umber of Population and ampl2.2: Indicators in Depend nt, Ind p nd nt and. ,rod rating

Variables2.3: Reliability Anal i of ariable2.4: Model Summar ofInve igated ariabl2.5: ANOVA2.6: Multiple Linear Regre ion3.1: Demography of Re pond nt5.1: The Li t of mes/Entrepreneur in Kelantan, 205.2: Entrepreneurial haracteristic - Per anal and Manag rial

Which Can Lead To Failure5.3: Reliability alues on Pilot Te t for the Element of P r nality

Traits5.4: Reliability Values on Pilot Te t for Knowl dge5.5: Reliability Value on Pilot Test for En repren ur Performanc5.6: Per anal Background of Re pondent5.7: Type of Bu ine and Bu ine ector5.8: Correlation Analysi5.9: Multiple Regre ion Analy i for ariable Pr dieting

Entreprenem Performance6.1: High Involvement HR I trategy Item6.2: Reliability Coefficients for Major ariable6.3: Firm Performance8.1: Participant Characteri tic = 138.2: Item Validity8.3: Validity and Reliabili e for Iea ur ment cale8.4: Pearson Correlation Analy . and D cnptive tali ic8.5: Results for Stepwi e Regre ion Analy i10.1: The Measurement of ariable10.2: Population and ample10.3: The Re ults of Reliability10.4: The Model Summary of tepwi e Regre Ion10.5: The Coefficients of tepwi e Regre ion10.6: Model ummar of tepwi R gr ion10.7: Coefficients of tepwi e Regr ion13.1: Undergraduate Touri m and Ho pitality Educa ion in Public

Higher Education In itu ion in Mala - ia dapt d FromBagul and Marzuki 2007

14.1: ourc d For Que tionnaire14.2: Re pondent Profile14.3: Rotat d omponent Matrix on Employee Performance14.4: on-elation betw en Emplo ee Performance and ustomer Re-

Pa ronage14.5: Emplo ee Performance and Re-Patronage Intention Variance

ummar14.6: Emplo ee Performance and Re-Patronage Intention Coeffient

ummar15.1: Pear on on-elation Matrix for IV 0 D15.2: Pearson orrelation Matrix for MV to D15.3: Group tati tic for Independent ample Te t15.4: Independent amples Te t16.1: ix Major Per pective on Brand Equity Dimen ions in the

Literature (1991- 2009)

Xl

LIST OF FIGURE

Figures1.1(a): Entrepreneurial Dynarni1.1(b): Entrepreneurial Dynami m a1.1(c): Entrepreneurial Dynami math [a1.2: Three Forms of Economic rgani arion1.3: Entrepreneurial etwork Organi ation: lnt grati

Framework2.1: Theoretical Framework of gropreneurs' P r onality Trait

and Entrepreneurial Commitment3.1: Shows the Re earch Framework4.1: Links Between Firm Re ource apabilitie And or

Competencie4.2: A Proposed Re earch ilodel for a apacity Building and

Sustainable Competitive dvantage of Malay ian \ oodFurniture Entrepreneur

5.1: Framework for Research Linking the haract ri tic5.2: Theoretical Framework6.1: Research Framework8.1: Conceptual Framework9.1: Proposed Framework10.1: The Path- Iodel of Locu of ontrol, ompe itive dvantage.

and Profitability11.1: The Utilisation of the e work15.1: Result From Pear on Correlation Anal . for IV to D\ and

For MV to DV

xu

ABBREVIATIONS

ni er iti "t\ ala ia Kelantan (UMK)Re earch & De elopment (R&D)Facult of Entrepr neur hip and Bu ines (FEB)Prim Entrepreneurial Lecture erie (pEL )Entrepren urial i it EV)tud nt in Enterpri e Programme ( IEP)tud nt Enterpri e entre ( E )

In titute of Higher Learning (lHLFederal griculture Marketing uthori y (FAMA)Entrepreneurial etwork Organi ation (E 0)Japan External Trade Organi ation (JETRO)tati ical Package for ocial cience (P )

Human Re ource Management (HR 1)Know ledge, kill and bili ie (KSmall edium Enterpri e S E)

Re ource-Ba ed iew (RBV)Kno ledge Management (KM)Re ource -Ba ed iew Theory (RBV)mall and Medium Indu trie Development orporation ( MIDEC)Iala sian Technology De elopment Corporation (MTDC)

Majli Amanah Rak) at (MAR )E Bank mall edium Enterpri e Bank

Perbadanan U aha wan a ional Berhad (PUNB)Malay ian En repreneur hip Development entre (MEDEew Economic Policie (NEP)a ional Dev elopment Policy fiP)

Total Factor Productivit (TFPmall & Iedium Indu rie Development orpora ion ( MIDEC)Iinistr of International Trade ITI)

High Performance ork tern (HPW )To al Quali Ianagernent (TQM)

andard Deviation DCompetenc -Ba ed Training ( BT)Main Office of Na ional Po tal er tee om pan in arawak.'!ala ia 10NP 0 ~

Xlll

Exploratory Factor naly i EF)Kaiser-Mayer-Olkin Te t (KM )

Multinational Corporation (M r

Pernasaran Rahman Mahir dn BhdOrange Kuala Holding I) dn Bhd

=nformation and Communication T chnologyJood Manufacture Practice G IPJrange Kuala Holding KH B3LI (Electronic Library Information a igator=.tIalaysia Development uthority 1IDMalaysian Association of Hotel (MARMinistry of Culture, Art and Touri m Tational Productivity Corporation I:P

lU

LIST OF CONTRIBUTORS

bdul Rahman bdul Rahim PhD, nior Lecturer Faculty ofBu ine Managem nt, Univ r ityofTechnology MARA

or, Facul yofBu ines anagement, Univer ityofTechnology MARA

B linda Bong iaw Fong arketing . Departmentof ommerce. Poli eknik KotaKinabaJu. abah

dam Mat

Alwi habudin

PhD, lrbid ationaJ Univer it

wangku Mohamad ajib BSc (Hon ) in Human Re ourceDevelopment, Research A istant,Facultyof ognitive cience &Human Development niversitiMala ia arawak

Azemi he Hamid PhD, A ociate Profes or, Faculty ofBu ine s Management, TerengganuBranch Univer ity of TechnologyMARA

Azilah Ka im PhD. ociate Profes or, choolof Touri m, Ho pitality andEnvironmental Management,ni er iti tara Mala ia. isitingcholar at niver it of Briti h

ancouver. Canada

Azman I mail PhD, As ociate Profe sor. Faculty ofEconomic and Bu ine ,Univer iti

x

Dalili Izni hafie latrofHumanRof Bu inBranch,MAR

Ilhaamie Abdul Ghani Azmi PhD. nt

Ghazali Ahmad r,

Hazzyati Ha him MB ,Faculty of Entr pr nand Bu inKelantan

Jamal Abdul

Jivitha Rama am

Kamarul Zaman Ahmad

Mohd Fadil Mohd Yu ofurer.

Mohd Hafizi uhaimi

K Ian an

Mohd Rafi Yaacob PhD Profe or D an of Facultyof Entr pren urship andBu ine ,Universiti Mala iaKelantan

Mohd Ro li lohamad PhD, A ociate Prof orHead Department of Financeand Bu ine Faculty ofEntrepreneur hip and Bu ine ,Univer iti Malay ia Kelantan

Muhamad bi ofian Abdul Halim PhD, enior lecturer, Facultyof Bu ine s ManagementTerengganu Branch Univer itof Technology MARA

Muhammad aqid Mat Yunoh MSc.(International BusineFacul y of Entrepreneur hipand Busines UniversitiMalaysia Kelantan

ik Kamaruzarnan Abdul Latiff

ordiana Ahmad ordin

Razli he Razak

PhD Associate ProfessorFacult of Bu ine s

PhD, As ociate Profe or,Facul of Entrepreneur hipand Bu ine Univer itiMalaysia Kelantan

Ru tam haari ME (Finance. eniorLecturer, Facult of Bu ine

anagement, Kelantan Branch,ni er itv of Technology MARA

KVll

haladin Muda d

Zainuddin Zakaria

1 Y

Tuan Mohd Ro IiTuan Ha an

Wan Abdul Aziz

Wan Farha an Zulkifli

Wee Yu Ghee

Yap Sheau Fen PhD. nior Lee ur r, Aucklandni r ity of Technolo r ,

Zalina Ibrahim M c. t rnational Bu inFaculty of Bu inManag m n. arawak Branch.niv r i y of Technolo

i:vIARA

XVlU

FOREWORD

Thi b ok. Entrepreneurial Education and Entrepreneurship inMala.' io: Book of Readings, Volume II i a compilation of articlewri t, n b lee ur r of the Faculty of Entrepreneurship and Business,ni er iti ala ia Kelantan and lecturers of variou in titution of

high r learning hroughout the country a well as their counterpartfrom other countrie. ariou theme of entrepreneurship in thi bookare augur well wi h the University's philo ophy of entrepreneurialeducation a an engine of economic growth. Without a slighte t doubtthi book will be a u eful resource for academic communities, studentsand al 0 for entrepreneur and future entrepreneurs.

Since it inception Univer iti Malaysia Kelantan (UMK) ha beenentru ted to explore, develop and ill erninate entrepreneurialknowledge and informa ion in Malay ia. UMK aspires to materializethe taglines which are Entrepreneurial niversity, EntrepreneurshipEducation and Entrepreneurship is Our Thrust. UMK hopes to deliverentrepreneur hip education at it be t. Entrepreneurial educationat U1vlK i delivered through variou means such a teaching andlearning re earch & development (R&D), seminars, workshop andconven ions writing and publi hing which will fulfil the needs ofthe industr and the nation. Prominent entrepreneurs as well aswell-known academician are invited to the campus to hare theirexperience. novel approach to entrepreneurship learning thatcombine outcome ba ed learning and tudents centred learning areinculcated in eaching at the univer ity will accelerate the aspirationof our countr to be a developed country in the ear 2020.

Thank ou

Profe or Da uk Dr. Raduan Bin Hj. he Ro eice hancellorniver i i Iala ia Kelantan

Karung Berkunci 36, Pengkalan hepa16100 Kota Bharu. Kelantan ilalay ia

XlX

PREF

Apart from teaching, lecturer of h facul y al 0 con ribudomain of entrepreneur hip and bu ine hrough 0 h rThey dis eminate th ir knowledge and exp rti hrou h rseminar, work hop, conference a well a c n ul ali n. Thi

xx

i th 2nd. olume of a compilation of variou articl writt n b1 ctur r of Faculty of Entr pr n ur hip and Bu ine Univer i iMalay ia Kelantan and other lectur r in entrepreneur hip andbu in in various Institute of High r Learning (IHL in l1ala ia.The aim of this book i to help la the groundwork for n r pr n urialeducation and en repreneurship in IHL in particular and inalaysia in general. Unlike with he 1 t. Volume which i heavil

focu ed on entrepreneurial education thi volume focu e more onentrepreneur hip and other i sues in bu ine .

Altogether there are 16 chapter of thi book. It comprises 4 mainsection under different theme - entrepreneur hip humanre ource management, competitive advantage and touri m andho pitali . The first theme con ist 5 chapter, chapter 1 to 5. Thefir t chapter by Mohd Ro li Mohamad debates theory and practice ofentrepreneurial network organi ation. He argue that the burgeoningintere t of cholars in the area of entrepreneur hip has complicatedhe interpretation of the word entrepreneurship. Each and everycholar eem to engage in the Indian parable of a blind man with anelephant. As uch the in erpretation of entrepreneurship is narrowlyfocu ed on specific area and fails to look at entrepreneurship a awhole. a result the author argues that the literature incapablesto integrate entrepreneur hip with network and organisation into aingle and coherent framework. oining the Entrepreneurial NetworkOrgani ation concept, the author how how the entrepreneur a aprime d namic factor adapts to it need and the environment change ,which ultimatel hape certain form of organization. By examiningindu trial di tricts, bu ine group, trategic alliance and sub-contrac ing arrangement as the ca e he author conclude howand wh the are formed in the real world. A chapter b Muhammadbi ofian bdul Halim, Zainuddin Zakaria and Azemi Che Hamid

inve tigated gropreneur personality traits and entrepreneurialcommitment. The au hor used entrepreneur at Pasar Tani inTerengganu a their ca e. U ing the ampling frame of agropreneurregi tered under Federal griculture Marketing uthority FAMA)in the ta e 24 e of que tionnaire were di eminated. Theyconduct d a multiple regre ion analy is to determine he influencele el of per onality trai on entrepreneurial commitmen . Theirre ult bowed that hat more than thir percent of the ariance inentrepreneurial commi men could be predicted from the factor ofper onali trait. The finding of heir tud i importan for FAMATel' ngganu in de igning entr pr neurial developmen programme

XXI

for the agropreneur e pecially on th dand entrepreneurial commitm nt. ThiMohd Rafi Yaacob and Jiviha dlo Rama am' wh invmotivate Indian entrepreneur to operat Indian r t ur n inKelantan and Selangor? They u ed David Me I Hand motivation Itheory to an wer the re earch qu tion. ccording to th th rvthe four motivation of entrepreneur hip ar : n d 0 achi v m nr.authority and power affiliation and af ty and curity. I th rfour Indian re taurant owner in langor and Klan n \ rapproached and data were gathered u ing face to fac int rvi w .The results of the tud are in line with mo t motivational acto! 0

David McClelland .

xxu

p opl comp tency. All the will I ad to u tainabl comp titiad antage in th indu tr . In the la t part of th chapt r a modof apacity building toward u tainable comp titiv advantag

propo d b the author to explain th i ue in th context ofalay ian wood furniture of Bumiputra entrepr n ur .

econd them i human re ource management, pecially bu inetrategy and high human re ource practice, competenc ba ed-training and performance apprai al tern are di cus ed in Chapter6, 7 and 9 re pecti el . The fir t chapter under this theme is writtenb Wee Yu Ghee Kamarul Zaman Ahmad and Yap Sheau Fen whoin e tigated the linkage between bu ine trategy and invol ementhuman re ource management and their impact on firm performance.sing 42 SMEs in Malay ia, the finding how that there wereignifican relation hip among the e variable. Their findingrengthen the need to implement high involvement human re ourcetrategie. econd chapter under this theme is written b IIhaamiebdul Ghani Azmi Alwi Shabudin and Abdul Rahman Abdul Rahim.

In their concept paper the tres the importance of the introductionof Competenc -Ba ed Training to enhance quality of service providedby an organi ation. Enhancement of ervice quality in turn has apo itive impact on organi ation performance. The authors sugge tempirical tud on SME to upport their hypothesis. The chapterby zman I mail and Zalina Ibrahim examines the relationshipbetween poli ical behaviour in performance apprai al system andjob atisfaction of 137 emplo ees of a po tal service in Sarawak. Theyfound hat political behaviour in performance appraisal sy terndetermine the distributi e justice in the tudied organi ation. Asfar a heore ical contribution of the tud i concerned, the findingreveal hat he abili of appraiser to properly implement politicalbehaviour in performance apprai al terns can lead to increa eapprai e feeling of di tribu i e ju tice in the studied organization111 arawak.

The hird heme of thi book rel a e to organi ational competitivead antage. dam Iat and Razli he Razak concern for inno ationype a moderator be ween the relation hip between organi ationallearning capabilit and technological inno ation implementationin manufac uring pro . The author tre hat innovation i animportan tool for W' . al in toda compe iti e environment. ingr ourc -ba d vies th ory he de eloped heir propo ed framework.ccording to th ir propo ed framework wo type of innovation are

xxiii

The last theme of the book i

lQUV

hospitality curriculum particularlfurther chapter under thi them i written by Jamal bdulhaari ordiana Ahmad ordin and Belinda Bong iaw Fong. ingER Q AL dimen ion, the chapter aim to examine the r lation hip

between employe p rformance and cu tomer re-patronag in ntionin hotel indu tr in Kuching, Sarawak. Th re ul of the tudhowed that employee' a titude empath re pon ivenea urance are trongl a ociated with cu tomer re-patronageintention. But further analy i through the multiple regre ionhow onl attitude and empath that significantly affect cu tomerre-patronage intention. far a the implication and conclu ion iconcerned hotel management not only should focu on the efficiencyof the service but also on the effectivene e pecially to makecu tomer really happ . In thi respect frontline staffs that have highinteraction with cu tomer should be more caring and ensitive tocustomer need and want. chapter by Hazzyati Hashim providemore in ight into inten ion to revisit amongst tourists to white sandybeache and clear cr tal water of Tioman Island, Pahang. U ing 240self-administered que tionnaires he found that cognitive image hadignificant and direct influences on tourists intention to revisit theisland. Implication of her stud is both destination manager andmarketer to co-operate in understanding what i image i all aboutand develop pecial a tribute and activitie 0 reinforce touri tati faction in order to increase the intention amongst touri t torevi it the i land. The la t chapter under this theme by Azilah Kasimand hraf Alteehi Alfandi provides an overview of brand destinationbranding, and de ination brand equity in tourism destinationmarketing communication. The author conclude their chapter byempha izing all the e three con truct in order to attract tourist inhe curren cenario of touri m very globalization fierce competitionsand new de tination coming up in the market place.

Profe or Dr. Mohamed Dahlan IbrahimAssociate Profe or Dr. Ghazali AhmadDr. Mohd Rafi Yaacob

xxv

ACKNOWLED ElVIE T

We are grateful to Almighty Allah. or hi m rei uln .. and bl 10

First of all we would like to expre gratitud to all taff and c IIat Universiti Malay ia Kelantan. e pecially to PI" r tukRaduan Hj. Che Ro e the ice- hancellor of ni r i i _lal y iKelantan for encouragement, help and con tant upport to n UI

the completion of thi book. 1K Pub Ii h I' d our gratirudfor the publication of thi book. v e would al a lik to xprsincere gratefulness to all contributor of th book and 0

academic and non academic taff of the Facult ' of En r pr n ur hipand Bu iness. We would like to expre inc r thank- o J nna TanYing Min, Sekolah enengah Teknik Kuala Krai who proo -r ad ourmanuscript.

Last but surely not lea t to our wive and children. 0\ a gr at dealfor understanding, acrifices unwa ering upport and moti ation tenable us to complete this book.

SECfION AENTREPRENEURSHIP

h pt r 1

E TREPRE

. I. . Iohd 0 II

AB TRACT

The upsurge of intere t of the cholar on ntr pr n ur hip in Ih /few decades has een th unprec d nt d in r a in lh numb r 0 -

studies in this area. on qu ntly, ntr pr n ur hip in th« Iii raturbecomes elusive as different cholar II dif], r ntl; Th LL orpart is that the literature fail a J t to tnt rat Ih can pi 0-

entrepreneurship, network and organ; allOn into a in I from lark.Coining the Entrepreneurial etuiork rgom allOTl can pi, thi»paper shows how the entrepr n ur a prim d; nomic It lor d p'to his need and the enuironment chong • uhlch ultima! I_ h p ~certain forms of organization. Indu trial di trict , bu. in roup .strategic alliances and subcontracting in indu trial productio I hotcharacteristics of the organisational cone pi and u.arran peci Iattention in this paper.

Keywords: Entrepreneurship, network, organ; ation

2

INTR D TI

ntr pr n ur hip in th pa t wa link d to thfound r and own r of firm (Rieple and akarnam, 1994. uch

1 of analy i is a common view in th tudy ofch nd 1. 1990. In the later developm nt,

orne cholar doted th ir intere t to organi ational (corporate)ntr PI' n ur hip a a n \ 1 vel of anal is ( te en on and Jarillo,1990: hang. 199 ), owing to the ignificant pre ence of e peciallylarg corporation in contemporary bu ine activities characteri dby th eparation of 0\ ner hip and management or control. Thicorporat entr preneur hip. to a certain extent. i identified in twoform, nam 1 - intrapreneur hip and exopreneur hip ( hang, 199 ).Th fir t entrepr neur hip c nter around entrepreneurial actionof \ hich inno ation are gen rated in ern ally to revitali e largelybureaucrat" ed organi ation to become trategically entrepreneurialperformer. while the latter acquire innovation from externalource . par icularly from bu ine counterpart.

De pi e the po itive de elopmen in the theory of entrepreneur hipearly literature. probabl ub tantiall influenced b economicviewpoint, tend to treat n repreneur hip, a independent entity.In the r cent p riod. however a group of scholar have begun togain intere tin inter-organi ation network. They fail a yet to howhow entrepreneur hip. ne work and organi ation are interrelated toone another. Thu ,thi paper attempt to integra e the concept ofentrepr neur hip. network and organi ation in a ingle frameworkwhich i r ferred to a Entrepr neur hip etwork Organi ation andexplain ho thi organi ational configuration could occur in theoryand practice.

E TREPRE EURIAL REA TIO TO THE ENVIRONMENT

Entrepr neurial factor are no tatic but ad "TIamicactor. They wouldactiv 1 . react to any change in internal and external environmenturrounding them. The only problem i how to identify thi dynamicfactor when bu ine or economic organi ation exi . The olution tothi probl m could b achiev d by examining hi torical and analyticald v lopm nt of he cone pt of en repreneur hip and organi ationthem 1

3