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Introspecting Entrepreneurship from Tawhidic Perspective
Farah Akmar, Anor Salim (Corresponding author)
Kulliyyah of Economics and Management Science, International Islamic
University, P.O. Box 10, 50728 Kuala Lumpur, Malaysia
E-mail: farraazfar@gmail.com
Suhaimi Mhd Sarif
1
, Ainul Jaria Maidin
3
Office of Corporate Strategy, International Islamic University, P.O. Box 10, 50728
Kuala Lumpur, Malaysia
E-mail:
suhaimims@iium.edu.my
1
, ainulj@iium.edu.my
3
Yusof Ismail
2
, Dolhadi Zainudin
4
Kulliyyah of Economics and Management Science, International Islamic
University, P.O. Box 10, 50728 Kuala Lumpur, Malaysia
E-mail:
yusof.edu@gmail.com
2
, dolhadi@iium.edu.my
4
Abstract (Summarize in this section objective, method and findings)
Objective: This study aims to look at the current implication on work values and ethical
concepts and ideas of Malaysian entrepreneurs from Islamic practices.
Method Analysis: This study focuses on quantitative (surveys) approach. Capitalizing
on comprehensive set of questionnaire containing information on respondent’s profile,
characteristics and educational background, one hundred twenty one entrepreneurs
were surveyed using convenience sampling.
Findings: Data from the surveys was analyzed, and it was found that the awareness
gained from well-being (falah) in life and excellence (itqan) in work from business
organisation can be derived from the pursuit of Tawhidic principled. The study
recommends that the current entrepreneurial curriculum adhere ethical concepts from
Islamic practices.
Keywords: entrepreneurship, Tawhidic paradigm, Islamic ethics
Abstract The concept of ethical attitude and standard in business dealings has long been
argued in the academic world. The current implication on skills and ethical concepts and
ideas of Malaysian entrepreneurs from Islamic practices is briefly outlined in the study.
Capitalizing on comprehensive set of questionnaire containing information on respondent’s
profile, characteristics and educational background, one hundred twenty one (121)
entrepreneurs were surveyed using convenience sampling. The practices of Islamic skills and
ethics among Malaysian entrepreneurs in numerous business sectors are discussed in the
study. The study postulates that the awareness gained from well-being (falah) in life and
excellence (itqan) in work from business organisation can be derived from the pursuit of
Tawhidic principled. The needs of Islamic practices model in organising businesses are
outlined. The study contributes significant information to the academic world as well as to
the corporations and governments in conducting business. Finally, the study concludes with
the discussion on the proposed business practices and recommended future implementation in
achieving entrepreneur’s career success.
I
NTRODUCTION
Following the decades of marginalization, religion and faith have regained the attention to
many academics and practitioners (Bash, 2015). The relation between values promoted by a
religion and work-related behaviour is significantly important in every business composition.
However, religion in general and Islam in particular are still minimal in the research area of
entrepreneurial studies (Tlaiss, 2014). Although the study of Islamic business ethics
(Hashim, 2012;Yunanda, 2011;Tlaiss, 2014; Gümüsay, 2014) increase in number of scholarly
publications, the empirical evidence of the research is still sparse and lacking. It is important
to study on the implication of the business ethics and values within the entrepreneurial
context.
The current study is particularly interested in examining the criteria of Islamic business skills
and ethics given that if and when academics examine entrepreneur ethical issues in a form of
normative in nature. That is, research is dominated by studies that focus on problems and the
implication in disobeying business rules and regulation (Bash, 2015;Yunanda, 2011; Harris,
Sapienza, & Bowie, 2009; Weber & Englehart, 2011). Consequently, the current body of
research portrays on the general practices of Islamic business ethics and the phenomena that
stimulate the inferences.
This study acknowledges on the content and impact of the issues in business ethics, by
providing the empirical data on issues that triggers entrepreneur’s behaviour in conducting
business. A set of close ended questions containing entrepreneur’s characteristics and
principles are distributed to entrepreneurs from various business sectors and work
experiences for the purpose. Providentially, the study managed to collect 121 completed
questionnaires from Malaysian’s entrepreneurs.
Given the increase in the numbers of Islam and ethics in entrepreneurial studies and its
contribution to the moral principles of business ethics and skills, this study focuses on
discovering the role of Islamic teaching by enhancing the integrated business curriculum.
Taking an alternative approach of Islamic business ethic, this study hopes to expand the
effectiveness of the body of knowledge on the subject. It is the entrepreneurial context that
this study contemplates the role of Islamic work values.
L
ITERATURE
R
EVIEW
Islam and Work Value
Islam views work value as compulsory state of action in achieving good quality (itqan)
results. In accomplishing the target, Muslims are encouraged to put more effort and hard
work in their work engagement. Hard work is highly regarded in Islam and considered as
ethical value. The spirit of hard work is emphasised in Islam to the extent that it is associated
with martyrdom (jihad). As suggested by the Prophet Muhammad (peace be upon him)
through his Hadith:
“On the judgement day, the truthful, honest Muslim merchant will stand
side by side with the martyrs.”
(Muslim 1976)
The above hadith explained that the Prophet Muhammad (peace be upon him) stressed all
Muslims to embrace work (‘amal) in all its forms and to seek honesty as it is seen as virtue
and Allah swt loves to see one’s job done at the level of itqan.
Despite itqan and hard work, Islam upholds honesty, integrity or truthfulness (sidiq) and
trustworthy (amanah) as another added instrument to support ethical values at work (Tlaiss,
2014; Bash, 2015). Muslims perceive sidiq and amanah in all their works dealing and
everyday life as they are trying to live their lives as instructed by the Prophet Muhammad
(peace be upon him). Instead of guiding Muslims to uphold ethical values through honesty
and integrity, Islam urges its believers to deal with a good business, that is,every business
dealing should be trustworthy and decent. The Prophet Muhammad (peace be upon him) is
reported to have said:
“When a sale is held, say, there’s no cheating”
(Al-Bukhari, 1974)
The hadith clearly explained that Muslims are expected to be honest in every business dealing
(Shahiihul-Bukhaari, 2000). In promoting equality and selflessness, Islam encourages its
believers to embrace fairness (haqq) and justice (adl) in every interaction with others
(Yunanda, 2011; Tlaiss, 2014). The act of fairness includes giving people their due right and
avoiding all forms of deceit and corruption. The importance of fairness is emphasized in the
holy Qur’an that condemns corruption and deception as stated in the following verse:
“And do not seek corruption on earth, for Allah does not love the
corruption”
(28:77)
Hence, Islam promotes upholding and adhering to the main ethical values of honesty (sidiq)
and trust (amanah), and fairness ang justice (adl and haqq) as recommended by many studies
(Tlaiss, 2014; Bash, 2015; Yunanda, 2011; Gümüsay, 2014; Hashim, 2012).
The Concepts of Islamic Entrepreneurship
Entrepreneurship ventures flourish in Malaysia owing to the government’s support with
favourable policies, related infrastructure support and financial assistance. Given the
symbols of business patience and achievement, the revolution of entrepreneurship is crucial
to the country’s economic growth. The innovation creation of opportunity in the field helps
to assist the nation by creating new ideas and thus create job opportunities for graduates.
Entrepreneurship in Islamic perspective as the Prophet Muhammad (peace be upon him)
proclaims that people get 9/10 of their daily bread by trade. However, Islam urges its
followers to practice mutual goodwill between businesses and customers through observing
truthfulness and honesty in business transaction. Despite considering entrepreneurship as the
integral part of the religion, Islamic entrepreneurship focuses on five other principles in
business dealings (Sarif, 2014):
1. Muslim entrepreneurs are vicegerent (khalifah) and have the responsibilities to
develop prosperity which sees business as part of ‘ibadah or act of worship. That is,
every Muslims must accomplish duties that support the commitment to Allah that
created a positive attitude in reflected the adherence to Tawhid.
2. Given the sense of following the sunnah of anbiya and the companions of the Prophet
Muhammad (peace be upon him), the motivational factors in Islamic entrepreneurship
trigger its followers to success both in the world and hereafter. This emphasis clearly
shows that the success in Islam is not measured by the end result but also the means
of achieving it. Thus, it is an obligation for the Muslims to have high integrity in
doing their tasks.
3. Islamic entrepreneurship is part of the framework of Islamic economic system under
which it involves Islamic banking, Islamic insurance (takaful) and Islamic capital
markets. All of the business dealings are based on Islamic authority.
4. Islam provides extensive guidelines for its entrepreneurial activities through al-Qur’an
and al-Hadith. That is, every business details including buying and selling, the
permissible types of business, the principle of zakat and business ethics are explained
and written in the holy al-Qur’an.
5. The exemplariness conducts of Muslim entrepreneurs show good value and high
morality in conducting business. Islam considers business as a secondary to the call
of jihad (cruside) (Zulkarnain Kedah, Isa Mohammed Adamu & Anwar, 2015).
Besides, Muslim’s entrepreneurs are encouraged not to use power or influence for
self-interest in conducting business. Rather, they need to practice moderate way in
life and to practice betterment of humanity (Tahir & Sohail, 2012).
Given the above principles that should be practiced in Islamic entrepreneurship, it be noted
that the reinforcement requires perfection or itqan by requesting individuals to continually
improve their performance in all endeavours (Tlaiss, 2014). As explained by Prophet
Muhammad (peace be upon him) in the Sahih Bukhari, ‘Do the best as if you see Allah, if
not, Allah sees you.’ This emphasises that people are encouraged to seek excellence in all
aspects of their lives, including work (al Sheik, 2000).
Islamic Business Ethics
Islam encourages its followers to adhere to ethical standard in all aspects of life including
business. As both business and ethics are interrelated, the concept of righteous trade which is
emphasized in Islam is further explained in business ethics. The majority of studies have
been interested in the interlocking of Islamic teachings and challenges in entrepreneurship
(Gümüsay, 2014). Studies on the Islamic business ethics have empirically explored on
entrepreneur’s role, particularly by differentiating the functions between managers and
entrepreneurs (Hartmann, 1959). Issues concerning the benefits on socio-political from
legislative perspective and decision making methods is mostly discussed under the topic
(Hashim, 2012; Adas, 2006). However, the connection or the impact of business ethics from
Tawhidic paradigm receive minimal research from the literature.
The notion of entrepreneur’s ethical concern differs in respect with the state of affairs. One
of the most influential dimensions is risk tolerance over which it requires entrepreneur’s
imagination, creativity, novelty and sensibility to make ethical decision making (Harris et al.,
2009). The determination to solve the problem requires high impact in ethical perception and
action. However, Dana (2009) claimed that entrepreneurs work attitude depends on their
religious background. Another study argued that entrepreneurial activities are promoted
through the values that Islam promotes (Tlaiss, 2014).
Islamic promotes true Muslim to keep his word and fulfil his promises. Any unprincipled
trade or things that are against morality are prohibited under the practice of its code of ethics.
This includes false testimony and abstention from making unlawful money as usury and graft
in business dealings. The Holy Qur’an stresses business activities through the principles of
commerce as follows:
1. Giving just measure and weight.
2. Not withholding from the people the things that are their due.
3. Not committing evil on the earth with the intent of doing mischief.
4. Being contented with the profit that is left with us by God after we have paid other
people their due.
Dealing in fraud unjustly, with regard to measure or weight, is counted as working mischief
in the land. This is an evidence for the idea that short changing is one of the aspects of social
evils. The issue has sparked the attention to majority of the great leaders of Islam. Allah has
explained such act in the Holy Qur’an in its verses:
“A tradesman is a wicked man and a wicked man will be in Hell except
for those who take their right in justice and give people’s right (in full)”
(Al-Kafi, Vol. 5, Chapter: ‘Trade’)
The above quote explained expected business behaviours in Islamic traditions, given the
notions that the believers should give others a bit more when measuring or weighing
something, and take from others a bit less than that which is due.
Islamic business ethics is guided by the practice of morality in every activities involved.
Muslims are advised to practice the highest levels of moral behaviour in alignment with the
Prophet Muhammad’s (peace be upon him) teachings. As such, Muslim’s entrepreneurs are
expected to adhere to good ethics, morality and virtues to meet the objective of life in Islam.
Tawhidic Paradigm
The term ‘Tawhid’ in Arabic is defined as unity of God, ‘Oneness of God, a concept of
monotheism in Islam (Al-Ashqar, 1992; Al-Takhis, 1992). The adjective is ‘tawhidic’ or ‘the
nature of oneness’ (Chouddhury, 2010, 2000, 1999; Hamid, 1999; Laming, 2002; Rahman,
1995). On the other hand, ‘paradigm’ can be defined as ‘a pattern of scientific thinking about
the truth through various observations and experiment’ (Choudry, 2010; Al-Faruqi, 1992; Al-
Ashqar, 1992; Quth, 1994). Paradigm is an important matter in Islamic faith because it
related to kalima shahada, a statement that requires one’s attuning his/her thinking,
understanding, feeling, action and decision towards it.
Sarif (2015) has further defined Tawhidic paradigm as a quality of serious thinking about life
and surroundings that guided by teachings of Islam through Quran and Sunnah. The ultimate
aim is to execute the tasks as servant and vicegerents of Allah. In order to perform the tasks,
one needs to possess knowledge, skill, ability and experience. These qualities require one to
possess the quality and personality of al-albab and to be joined with ulū both eventually
become Ulū al-Albāb. Ulū al-Albāb can combine thinking, feeling and action with ethical
consciousness for Allah, fellow human, and other creatures. In short, entrepreneurs that are
trained with Ulū al-Albāb have the following characteristics:
(a) great mind (ashāb al ‘uqūl al kabīrah);
(b) ability to observe and reflect (al-Kashshāf);
(c)
able to reach the level of pure and consummate intellects (
zakiyyah);
(d)
reach the status of unadulterated intellects (
According to Sarif (2014), the
thinking links the two
dimensions
Akhirah
) in the context of business dealing including policy making, activating business
processes, deciding actions and creating decisions. The responsibility of the implementation
will be based
on the duties of the individual as servant (
Allah. In conjunction with this, the mission of accomplishing the duties will support the
commitment to Allah, which will create a positive attitude that reflect
Tawhid.
The conception of Tawhidic Paradigm implies the
social and spiritual contexts
. It encourages the execution of promoting goodness (
and preventing evil (
al munkar
integration of knowledge (al ‘ilm), t
(Mawdudi, 1991; Laming, 2002; Ismail, 2004). The principles of Tawhidic paradigm
explained above is summarize by Sarif and Ismail (2011) in business management studies in
Figure 1 below.
Figure 1 Roles, duties and core values under Tawhidic Paradigm
Entrepreneurship and Tawhidic Paradigm
Tawhidic
paradigm combines rationalization, perceptions, and thinking under the guidance of
Islamic teachings (Sarif & Ismail, 2015).
able to reach the level of pure and consummate intellects (
al-
‘uqūl al
reach the status of unadulterated intellects (
al-‘uqūl al-khālisah).
According to Sarif (2014), the
Tawhidic
paradigm framework or the Islamic monotheism
dimensions
of life, i.e. the worldly (al Dunya
) and the Hereafter (
) in the context of business dealing including policy making, activating business
processes, deciding actions and creating decisions. The responsibility of the implementation
on the duties of the individual as servant (
‘abd) and viceg
erent (
Allah. In conjunction with this, the mission of accomplishing the duties will support the
commitment to Allah, which will create a positive attitude that reflect
s
the adherence to
The conception of Tawhidic Paradigm implies the
mission and morality of humankind in the
. It encourages the execution of promoting goodness (
al munkar
) (Hamid, 1999). This understanding is based on an
integration of knowledge (al ‘ilm), t
rue conviction (al iman), and integrity (al ihsan)
(Mawdudi, 1991; Laming, 2002; Ismail, 2004). The principles of Tawhidic paradigm
explained above is summarize by Sarif and Ismail (2011) in business management studies in
Figure 1 Roles, duties and core values under Tawhidic Paradigm
Entrepreneurship and Tawhidic Paradigm
paradigm combines rationalization, perceptions, and thinking under the guidance of
Islamic teachings (Sarif & Ismail, 2015).
It provides a perspective
to link worldly affairs
ūl al
-tāmmah al-
paradigm framework or the Islamic monotheism
) and the Hereafter (
al
) in the context of business dealing including policy making, activating business
processes, deciding actions and creating decisions. The responsibility of the implementation
erent (
khalifah) of
Allah. In conjunction with this, the mission of accomplishing the duties will support the
the adherence to
mission and morality of humankind in the
. It encourages the execution of promoting goodness (
al ma’ruf)
) (Hamid, 1999). This understanding is based on an
rue conviction (al iman), and integrity (al ihsan)
(Mawdudi, 1991; Laming, 2002; Ismail, 2004). The principles of Tawhidic paradigm
explained above is summarize by Sarif and Ismail (2011) in business management studies in
Figure 1 Roles, duties and core values under Tawhidic Paradigm
paradigm combines rationalization, perceptions, and thinking under the guidance of
to link worldly affairs
with the Hereafter. Therefore, the thinking, decisions, and actions in this worldly life must
have merit from the perspective of the Hereafter. More importantly, the Tawhidic approach
promotes good governance, integrity, goodness, and prevents harm, evil, and bad
consequences. However, the pre-requisites for Tawhidic paradigm require one to have
knowledge, be able to believe in the unseen (al-ghaib), and can integrate the worldly and the
Hereafter with integrity.
Tan Sri Professor Dr.Mohd Kamal Hassan (2010) defined Tawhidic paradigm as Islamic
monotheism thinking on how humans should live in this world by performing their duties as
true servants of Allah (‘ibād al-Rahmān), vicegerents (khulafā’ fī al-ard), true believers (al-
mu’minūn) for the sake of betterment of mankind (khayraummatinukhrijatlil-Nās) (Qur’
ā
n,
3:110) and ‘balanced community’ (ummatanwasatan li-takūnūshuhadā’ ‘alā al-nās) (Qur’
ā
n,
2:143). From this argument, anyone with Tawhidic paradigm is able to understand and
comprehend his or her purpose of life, regardless of role and occupation.
Firstly, one must have sincere intention on any action and decision, which is for Allah.
Secondly, one has to be committed to perform it religiously and consistently through serious
devotion with time, effort, wealth and so forth. Finally, the outcome of one’s action and
decision must benefit the entire nation.
Regardless of entrepreneurs’ nature, whether social entrepreneurs, technopreneurs, corporate
entrepreneurs and so forth, must comprehend the purpose of existence and the purpose of
becoming entrepreneurs. Once a person decided to be entrepreneur, he must do it with
commitment, devotion, and belief. Finally, the entrepreneur obtains satisfaction when the
outcome of entrepreneurship provides benefit to everyone, financially, economically,
socially, globally and ethically.
In relation with the entrepreneurial scope, Tawhidic paradigm reflects overall actions,
decisions and activities in managing the organisation with the intention to execute the trust as
servant and vicegerent of Allah in the best possible manner. As Tawhidic paradigm
emphasises on the quality of life that upholds the principles of faith (iman), deed (‘amal) and
ethics (akhlaq), the elements of knowledge, confidence, willingness, love and care as well as
responsibility is viewed as a prerequisite of accomplishing the task and responsibility given.
RESEARCH PROBLEM
There are plethoras of research conducted on entrepreneurship curriculum to uplift the
theoretical concepts and ideas a university setting. Hence, discussion on entrepreneur’s
education development are extensively discussed to develop entrepreneurs’ knowledge and
ability (Elmuti, Khoury, & Abdul-Rahim, 2011; Kirby, 2004; Ramayah, Ahmad, & Char Fei,
2012; Rauch, 2015).
Generally, the mainstream research mainly focus on strengthening entrepreneur’s attribute
that are principally motivated and influenced by the external factors rather than reliance on
their internal force (Athavale, Davis, & Myring, 2008; Austin et al., 2011; Bullough, 2015;
Cooney, 2012; Kirby, 2004). That is, the coverage on the internal strength and willpower as
practices by the Islamic perspective received minimal focus in the area. Considering the lack
of holistic approach in complementing entrepreneur’s endeavor, the guiding index in
measuring ethical compliance is necessary. This is very pertinent for the underlying aim of
creating dynamic entrepreneurs (Gümüsay, 2014). In conjunction with the issue, this study
aims to address factors that mediate entrepreneurs’ skills and ethics in achieving resilient
entrepreneurs.
R
ESEARCH
M
ETHODOLOGY
This study is interested in establishing a better understanding of the manner and extent to
which Islamic work-related ethical values and skills influence and shape the entrepreneurial
behaviour of Malaysian entrepreneurs. Given the need to explore the ethical values and skills
perceived, while effectively incorporating the reality of Malaysian entrepreneur in general,
this study adopted a quantitative approach for data collection and analysis. Data were
collected from sets of questionnaire distributed to local Malaysian entrepreneurs regardless of
their business sector and years of business involvement.
Self-administered questionnaire was used as a method in collecting data from the sample of
entrepreneurs in Malaysia from numerous industries. The survey instrument comprised
demographic information, rating scale items (5-point Likert scale) and open-ended questions.
The sample comprised 121 entrepreneurs from various business background and experiences.
The analysis process involves the following steps:
i.
Use of the Principle Component Method to factor-analyses the rating scale. Each
items are extracting into 3 factors;
ii.
Each items are nested into 3 factors respectively based from the composite mean
scores of individual responses;
iii.
Reliability test were undertaken to test the internal consistency from each items;
iv.
Structural Equation Modeling (SEM) was used to build up the path diagram
consisting observed variables and latent constructs. The rationale of implementing
the technique is to verify the model fit using Goodness-of-Fit statistics;
v.
Highly correlated variables and significant predictors were then used to construct the
mediation framework obtained from the path diagram; and
vi.
Inferences and conclusion were set from the empirical evidence derived from Step i to
Step v above.
Factor analysis extracted 4 factors and these can be labelled as i. Skills ii. Ethcis; iii.
Tawhidic Paradigm; and iv. Resilient Entrepreneurs. The reliabilities for these 4 factors are
high with the first factor, skills having a Cronbach alpha value of .798; second factor, ethics
with an alpha value of .946, third factors, Tawhidic paradigm, with an alpha value of .884
and fourth factors, resilient entrepreneur with an alpha value of .681.
FINDINGS
The findings from the study are divided into i. Descriptive statistics of demographic
information; ii. Predictors of Tawhidic Paradigm; and iii. Mediation factors in resilient
entrepreneurs.
i.
Descriptive statistics of demographic information
The instrument of distributed questionnaire contained 5 sections: (1) Part A: Comprehensive
demographic information; (2) Entrepreneur’s characteristics; (3) Entrepreneur’s education;
(4) Entrepreneur’s ethics; (5) Entrepreneur’s skills. All scenarios are using a five-point
Likert scale. A comparison of the demographic characteristics with those of the general
population of business indicated that the lists were representative.
The questionnaire was distributed with a group of entrepreneurs in Klang Valley with
different business sectors and background. A total of 200 questionnaires were sent to
entrepreneurs, of which 79 were returned as uncompleted, 121 completed, yielding a 60.5%
response rate.
The sample of this study were from both gender with slightly high percentage on man
compared with woman (53.7%; 65/121), with a majority of Malay ethic group followed by
Chinese and Indian respectively (43%; 22.3%; 6.6%). They were from middle age range
between 41-45 years (26.4%; 32/121), followed by 36-40 years (19.8%, 24/121) and 46-50
years (14%; 17/121). Table 1 and 2 below demonstrate the differences in demographic
factors ranges from gender and ethic group respectively.
Table 1 Gender
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
Male
65
53.7
53.7
53.7
Female
56
46.3
46.3
100.0
Total 121
100.0
100.0
Table 2 Ethic Group
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
Malay
52
43.0
43.0
43.0
Indian
8
6.6
6.6
49.6
Chinese
27
22.3
22.3
71.9
Baba&Nyonya
16
13.2
13.2
85.1
Singh
8
6.6
6.6
91.7
Iban
5
4.1
4.1
95.9
Kadazandusun
5
4.1
4.1
100.0
Total 121
100.0
100.0
The finding reflects recent Malaysian trends where more experienced entrepreneurs fall into
the 41-45 years age group category that reflects 26.4% (32/121) of the total respondents. The
second largest group of respondents in the study are from the age of 36-40 with 19.8%
(24/121) followed by 46-50 age range with 14% (17/121). On the other hand, most of the
respondents from the study are exposed with business experience prior with a total of 62%
(75/121) compared with fresh entrepreneurs that start-up their business without any prior
experience (38%; 46/121). The analysis details are explained in Table 3 and Table 4 below.
Table 3 Age Group
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
<25
1
.8
.8
.8
26
-
30
12
9.9
9.9
10.7
31
-
35
6
5.0
5.0
15.7
36
-
40
24
19.8
19.8
35.5
41
-
45
32
26.4
26.4
62.0
46
-
50
17
14.0
14.0
76.0
51
-
55
15
12.4
12.4
88.4
>55
14
11.6
11.6
100.0
Total 121
100.0
100.0
Table 4 Bus Experience
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
Yes
75
62.0
62.0
62.0
No
46
38.0
38.0
100.0
Total 121
100.0
100.0
In considering the educational level, it was found that almost 31.4 percent (38/121) of the
respondents have bachelor’s degree followed by postgraduate qualification with a total of
23.1% (28/121). The third highest educational level of the respondents generated from this
study is entrepreneur’s with a qualification at a secondary level and professional levels with a
total of 23 respondents (19%). Table 5 shows the frequency details of the respondent’s
educational level.
Table 5 Educational Level
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
Primary School
7
5.8
5.8
5.8
Secondary School
23
19.0
19.0
24.8
Undergrad
38
31.4
31.4
56.2
Postgrad
28
23.1
23.1
79.3
Professional
23
19.0
19.0
98.3
Others
2
1.7
1.7
100.0
Total 121
100.0
100.0
In relation with the interest in entrepreneurial field as shown in Table 6 below, it was
reported that the intention to engage into the business is slightly differ between personal
interest, profit generated and social responsibilities with a total of 27.3% (33/120), 24%
(29/120) and 20.7% (25/120) respectively. Conversely, personal experiences and previous
knowledge such as entrepreneurship activities, entrepreneurship clubs and internship program
remains at 14% (17/120), 10.7% (13/120) and 3.3% (4/120) respectively. According to
Weddle & Sellheim (2009), entrepreneurs that are motivated by interest from the personal
experiences and knowledge demonstrate optimist to involved in the sector due to efficient
teaching methods and circular structure that affects their learning approach, development and
transformation.
Table 6 Interest in entrepreneurship grew
Frequency
Percent
Valid Percent
Cumuylative Percent
Valid
Internship program
4
3.3
3.3
3.3
Entrepreneurship activities
17
14.0
14.0
17.4
Entrepreneurship clubs
13
10.7
10.7
28.1
Social responsibilities
25
20.7
20.7
48.8
Profit generated
29
24.0
24.0
72.7
Personal interest
33
27.3
27.3
100.0
Total 121
100.0
100.0
Since the study aim to examine local entrepreneurs’ opinion on the integrated entrepreneur’s
curriculum, entrepreneurs’ from various business sectors are investigated to achieve the
mission. Majority of them are in the trading business field experience (18.2%; 22/121),
followed by entrepreneurs from services sector (15.7%; 19/121) and food and beverages
sector (9.9%; 12/121). Minority (5.0%; 3/60). Table 7 illustrates the summary of the
respondent’s profile.
Table 7 Business Sector
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
Trading
22
18.2
18.2
18.2
Education
3
2.5
2.5
20.7
Services
19
15.7
15.7
36.4
Finance
7
5.8
5.8
42.1
Hospitality
3
2.5
2.5
44.6
Transportation
3
2.5
2.5
47.1
Food&Beverages
12
9.9
9.9
57.0
Fabrication
6
5.0
5.0
62.0
Marine
1
.8
.8
62.8
Health Care
11
9.1
9.1
71.9
Construction
4
3.3
3.3
75.2
Agriculture
5
4.1
4.1
79.3
Retailing
2
1.7
1.7
81.0
Mining
7
5.8
5.8
86.8
Wholesaler
2
1.7
1.7
88.4
Sports
8
6.6
6.6
95.0
17
5
4.1
4.1
99.2
18
1
.8
.8
100.0
Total 121
100.0
100.0
ii.
Predictors of Tawhidic Paradigm
For determining the predictors, Tawhidic paradigm is used as a dependent
variables while skills and ethics are used as the independent variables. Table 8
shows the results of stepwise regression analysis.
Table 8 Predictors of Resilient Entrepreneur
Model R R
Square Adjusted R Square Std. Error of the Estimate
1 .606
a
.368 .357 .46664
2 .654
a
.428 .413 .44571
Predictors: (Constant), Ethics and Skills
Predictors: (Constant), Ethics, Skills and Tawhidic Paradigm
Regression analysis shows that both skills and ethics significantly predict resilient
entrepreneur. As shown in Table 8, ethics and skills contributes 36.8% to the variance of
resilient entrepreneur. When Tawhidic paradigm is included in the regression model, the
change increases with the contribution marginally to 42.8%.
iii.
Mediation factors in resilient entrepreneurs
For this study, SEM is used to determine the role of mediating variables on
resilient entrepreneurs within an independent
study, Tawhidic paradigm is used as the mediating variables in a causal
relationship between skills, ethics and resilient entrepreneurs. The study will
examine the determination whether Tawhidic paradigm has a direct mediation
effect on res
ilient entrepreneurs when a direct path is created between skills,
ethics and resilient entrepreneurs. In a mediating framework, there is a interaction
between independent and mediator variables with the dependent variable. Figure
1 shows the conception
that in confirming the relevancy of mediation between independent and dependent
variables, 3 conditions must be met. These are i. X is significant related to M; ii.
M is significantly related to Y; and
when M is in the model.
Figure 1 Conceptual basis of mediation
Applying the conceptual basis of mediation as depict in Figure
Tawhidic paradigm as a mediator variable are represented via Figure
2
, the path between skills, ethics and resilient entrepreneurs is direct and another
path is constructed via the mediating variable Tawhidic paradigm.
Figure 2 Mediating variables in study
For this study, SEM is used to determine the role of mediating variables on
resilient entrepreneurs within an independent
-dependent relation
ship. In this
study, Tawhidic paradigm is used as the mediating variables in a causal
relationship between skills, ethics and resilient entrepreneurs. The study will
examine the determination whether Tawhidic paradigm has a direct mediation
ilient entrepreneurs when a direct path is created between skills,
ethics and resilient entrepreneurs. In a mediating framework, there is a interaction
between independent and mediator variables with the dependent variable. Figure
1 shows the conception
basis for mediation. Baron & Kenny (1986) suggested
that in confirming the relevancy of mediation between independent and dependent
variables, 3 conditions must be met. These are i. X is significant related to M; ii.
M is significantly related to Y; and
iii. The relationship of X and Y diminishes
when M is in the model.
Figure 1 Conceptual basis of mediation
Applying the conceptual basis of mediation as depict in Figure
1
Tawhidic paradigm as a mediator variable are represented via Figure
, the path between skills, ethics and resilient entrepreneurs is direct and another
path is constructed via the mediating variable Tawhidic paradigm.
Figure 2 Mediating variables in study
For this study, SEM is used to determine the role of mediating variables on
ship. In this
study, Tawhidic paradigm is used as the mediating variables in a causal
relationship between skills, ethics and resilient entrepreneurs. The study will
examine the determination whether Tawhidic paradigm has a direct mediation
ilient entrepreneurs when a direct path is created between skills,
ethics and resilient entrepreneurs. In a mediating framework, there is a interaction
between independent and mediator variables with the dependent variable. Figure
basis for mediation. Baron & Kenny (1986) suggested
that in confirming the relevancy of mediation between independent and dependent
variables, 3 conditions must be met. These are i. X is significant related to M; ii.
iii. The relationship of X and Y diminishes
1
, the role of
Tawhidic paradigm as a mediator variable are represented via Figure
2. In figure
, the path between skills, ethics and resilient entrepreneurs is direct and another
Figure 2 shows that the conception of Tawhidic paradigm mediates against
resilient entrepreneurs. According to Baron & Kenny (1986), partial mediation
occur when there is a direct effect of the mediator construct M
accounts for a significant amount of variance in Y but c remains significant. If c
remains significant but differs in sign from the 0
Y, then mediation with suppression is evident.
The standardised c
oefficient or beta regression weights in Figure 2 demonstrate
that when the practice of Tawhidic paradigm is present, the weight between skills
to Tawhidic paradigm is .
paradigm is .56. On the other hand, the
resilient entrepreneur is .
with
resilient entrepreneur is .1
paradigm is present, the regression weight is lessened
and ethics)
and resilient entrepreneurs. As a result, this analysis indicates that the
Tawhidic paradigm partially mediates between skills and resilient entrepreneur.
IMPLICATION
The findings have important implications
globalization. The study concluded that entrepreneurs’ success not only depends on their
Figure 2 shows that the conception of Tawhidic paradigm mediates against
resilient entrepreneurs. According to Baron & Kenny (1986), partial mediation
occur when there is a direct effect of the mediator construct M
(refer to Figure 1)
accounts for a significant amount of variance in Y but c remains significant. If c
remains significant but differs in sign from the 0
-
order correlation between X and
Y, then mediation with suppression is evident.
oefficient or beta regression weights in Figure 2 demonstrate
that when the practice of Tawhidic paradigm is present, the weight between skills
to Tawhidic paradigm is .
23
while the weight between ethics to Tawhidic
paradigm is .56. On the other hand, the
weight between
Tawhidic paradigm to
resilient entrepreneur is .
44. However
, the weight between both, skills and e
resilient entrepreneur is .1
1 respectively
. This entail that when Tawhidic
paradigm is present, the regression weight is lessened
between x variables (skills
and resilient entrepreneurs. As a result, this analysis indicates that the
Tawhidic paradigm partially mediates between skills and resilient entrepreneur.
The findings have important implications
, especially for academics, entrepreneurs and
globalization. The study concluded that entrepreneurs’ success not only depends on their
Figure 2 shows that the conception of Tawhidic paradigm mediates against
resilient entrepreneurs. According to Baron & Kenny (1986), partial mediation
(refer to Figure 1)
accounts for a significant amount of variance in Y but c remains significant. If c
order correlation between X and
oefficient or beta regression weights in Figure 2 demonstrate
that when the practice of Tawhidic paradigm is present, the weight between skills
while the weight between ethics to Tawhidic
Tawhidic paradigm to
, the weight between both, skills and e
thics
. This entail that when Tawhidic
between x variables (skills
and resilient entrepreneurs. As a result, this analysis indicates that the
Tawhidic paradigm partially mediates between skills and resilient entrepreneur.
, especially for academics, entrepreneurs and
globalization. The study concluded that entrepreneurs’ success not only depends on their
skills they posses or ethics they learned but rather on the practice of high core values and
aware on their own roles and duties. Notwithstanding the fact that the sole aim of every
entrepreneur is to gain profit, the positive attitude concerning the positive influence of Islam
from Tawhidic paradigm suggests the need for new mainstream research emphasizing the
social responsibility to the nation and country.
LIMITATION
The study acknowledges a number of limitations. The study looked at the impact of business
ethics only among Malaysian entrepreneurs in with a small sample size (121 cases). Another
limitation is the study did not mention on the years involved in business, where different
levels of experiences may have implications for entrepreneurship and the extent to which the
law and regulation affected their operations and practices. Also the study did not associate
the character of business ethics practices by the owner of the most successful company in the
region with the Tawhidic paradigm index. The result can thus set as a benchmark of the
study for further research.
FUTURE STUDIES
Future study should focus to different countries with larger samples and reflecting diverse
opinions and results. Moreover, future study can seek to explore on the years of
entrepreneur’s in dealing with business. This is especially important to examine the
differences of ideas between young entrepreneurs and most experienced entrepreneurs in
dealing with business ethics. They can also explore the complexities of handling the
companies by interviewing the entrepreneurs where this allows them to share their thought
and experiences. Finally, future studies can also conduct comparative analysis by exploring
the fundamental principle of the most successful business owners.
CONCLUSIONS
The hypothesised model of this study fits well with the data structure. This proves that the
implications of Tawhidic paradigm towards integrated curriculum for entrepreneur imbue
with skills and ethics is generally successful in creating resilient entrepreneur. It is thus
concluded that skills, ethics, Tawhidic paradigm and resilient entrepreneur had resulted in
effective and significant outcomes of the desired delivery system from learners perspective.
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