Employee Perception On Factors Of Innovation Capability That Influence SME Performance: A Study Of SME In Melaka

Ithnin, Nur Elia (2019) Employee Perception On Factors Of Innovation Capability That Influence SME Performance: A Study Of SME In Melaka. Project Report. UTeM, Melaka, Malaysia. (Submitted)

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Abstract

This research is a study on innovation capability that influences the SME performance. The scope of this research is at the SME located in Melaka. Fundamentally, the researcher defines on the existing of innovation on SME in Melaka. Researcher is investigating factors of innovation capability that influence SME performance which are leadership factor, culture factor and employee development factor. Researcher also identifies the relationship between the relationship between factors of innovation capabilities and performance improvement in SME. The performance that will be investigated is SME performance. Next, the method use in this research is quantitative method. Researcher make survey by distributes 100 questionnaire to employee of SME in Melaka. The respondent for this distribution is involving a number of respondent that being calculated using non sampling method. Several analyses that involved are descriptive analysis, reliability analysis, Pearson’s correlation analysis and multiple regression analysis. The result for objective 1, have been shown that there are 73% of SME Company is dedicated to innovation capability and most of them are in technological innovation. Second objective result is in multiple regression analysis of each question proves that leadership, culture and employee development factors are the factor of innovation capability. Pearson’s correlation is use to answer objective 3, the result shows that there were positive relationship between independent variables and dependent variables which is growth performance. The entire hypothesis is accepted. The recommendation that researcher can recommend to future researcher is future researcher need to provide extra information about innovation capability in SME. Next, researcher recommend to future researcher to broad the location and area of data collection. Last, researcher recommend to future researcher to make a research on all type of SME industry.

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