Abstract

The purpose of this study is to empirically test the integrated intellectual capital model (IICM) in small and medium enterprises (SMEs) operating in electrical and electronics manufacturing sector in Malaysia. A valid research instrument was utilised to conduct a survey of 237 individuals from 77 SMEs operating in electrical and electronics manufacturing sector in Malaysia. Cronbach's alpha, exploratory factor analysis and confirmatory factor analysis were used to examine the reliability and validity of research instrument. Finally multiple regression analysis was run to test the research hypotheses. Subsequently, two out of six research hypotheses were rejected. The findings of this study provide valuable insights on the generalisability of intellectual capital. Intellectual capital is a prime strategic asset for the success of organisations. The findings of this study will highlight the concept and applications of intellectual capital in SMEs operating in Malaysia. This research is among a few to investigate the influence of intellectual capital in Malaysia by using IICM and the first to study in electrical and electronics SMEs in manufacture sector.

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