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Open Access
Article
Publication date: 15 June 2023

Abdul Aziz Abdul Rahman, Poh Ling Chong, Tze San Ong, Boon Heng Teh and Tze Chin Ong

The aim of this paper is to characterise the association between business network and the balanced scorecard used by Malaysian small and medium enterprises (SMEs) as a method for…

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Abstract

Purpose

The aim of this paper is to characterise the association between business network and the balanced scorecard used by Malaysian small and medium enterprises (SMEs) as a method for assessing firm efficiency. The business network takes into account both the dimensions of stability and efficiency. The business network can help SMEs, with fewer resources to remain competitive. By having a secure business network, the performance of SMEs in Malaysia can be further improved. A business network can facilitate swift coordination amongst distant geographies to create new competitive advantages by accessing market segments, resources as well as building strategic business alliances.

Design/methodology/approach

A total of 404 sets of data collected by using stratified random sampling and structured questionnaire as an instrument. The list of SMEs collected from the Malaysia Foreign Trade Growth Corporate Directory (MATRADE) directories. Structural equation modelling (SEM) was utilised to analyse the data.

Findings

The findings show that the business network plays a role in the balanced scorecard (BSC) outcomes of Malaysian SMEs.

Originality/value

This article provides the owners and managers with an awareness to rapidly achieve the company's efficiency. Finally, the new article often has some consequences for decision-makers and regulators.

Details

Arab Gulf Journal of Scientific Research, vol. 42 no. 3
Type: Research Article
ISSN: 1985-9899

Keywords

Open Access
Article
Publication date: 28 June 2022

Ong Tze San, Badar Latif and Assunta Di Vaio

Congruent with the world-wide call to combat global warming concerns and advance intellectual capital (IC), organisations are being pressured to ensure that IC is managed…

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Abstract

Purpose

Congruent with the world-wide call to combat global warming concerns and advance intellectual capital (IC), organisations are being pressured to ensure that IC is managed effectively to encourage green initiatives. In this regard, green entrepreneurial orientation (GEO) is emerged as a relevant IC. GEO is recognised as a mitigating factor of environmental degradation in the literature. Although prior literature has observed the nexus between GEO and firm performance, the role of GEO in leveraging sustainable performance has been limitedly explored. This study explored the relationship between IC as a GEO and enterprises' sustainable performance through the moderating roles of environmental consciousness and green technology dynamism (GTD) in the context of two developing countries (Pakistan and Malaysia).

Design/methodology/approach

Data provided by 296 respondents from 264 manufacturing small and medium-sized enterprises (SMEs) in Pakistan and Malaysia were analysed through a three-wave research design. AMOS 23 software was used to perform covariance-based structural equation modelling (CB-SEM), while hierarchical regression analysis was applied using the SPSS 25 software to examine the causal relationships in the model.

Findings

IC as a GEO significantly influences sustainable performance, akin to environmental consciousness and GTD. Besides, GTD has a significant moderating effect between GEO and financial and environmental performance in Pakistan and Malaysia but not between GEO and social performance. Environmental consciousness has a significant moderating role in the impact of GEO on financial performance in Pakistan and Malaysia, but not on social and environmental performance.

Practical implications

The study's findings are useful for managers of Pakistani and Malaysian manufacturing SMEs to identify ways to encourage GEO to improve sustainable performance in their firms. The findings suggest that managers should effectively implement GTD and environmental consciousness to strengthen the GEO and sustainable performance relationship. Managers can use GEO concretely as a reference for the companies that intend to support the United Nation SDG-2030 agenda and to find new business opportunities for the implementation of sustainable development.

Originality/value

To the best of the authors' knowledge, this study is the first to examine the link between GEO and sustainable performance in developing countries such as Pakistan and Malaysia. Although the influence of various intangible assets or IC on sustainable performance has been widely examined in the literature, the role of GEO as IC has been limitedly explored. This study extends the literature by adding to the knowledge of GEO as a form of firms' IC that enhances boundary conditions in developing countries.

Access

Only Open Access

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