Through the Theory of Planned Behaviour (TPB) for Extended Model of Entrepreneurs Intentions to Involve in Halal Industry

Abstract

SMEs from all industry sectors in Malaysia have shown the backbone of the economy. Therefore, a study would be useful to examine how entrepreneurs in SMEs entrepreneurs could develop and gain a deeper understanding of entrepreneur’s attitudes and behavioural intentions. This marks a first step towards recognizing the development of factors to improve the performance of SMEs in accordance with National Entrepreneurship Policy 2030. The literature review through the implementation of the Theory of Planned Behaviour (TPB) suggested that the entrepreneur’s intentions for the SME in the halal industry have six factors to influence: (i) halal awareness, (ii) halal business motivation, (iii) family support, (iv) peers influence, (v) feasibility and (vi) government support. This study employed quantitative methods in order to fulfil these research objectives, leading a self-administered survey of 250 SMEs in food manufacturing. Results from correlation and multiple regression showed that the halal awareness, family support, feasibility and government support were positive for entrepreneur’s intentions to be involved in Halal industry. Understanding of the factors for SMEs’ entrepreneur would increase the intentions of food manufacturing SMEs in Halal industry.