Abstract:
This study provides evidence on the combined impact on Entrepreneurial Orientation (EO) of the family influence (power, experience and culture) and the Government Aided Programs (GAP) in Malay family firms in Malaysia. It found that the family influence (power, experience and culture) is not enough to enhance Entrepreneurial Orientation (EO) unless it is supported by Government Aided Programs (GAP). The important implication of this research is that family influence (F-PEC) becomes significant when it was supported by government aided programs (GAP) and for Malay family firms to become entrepreneurial, government aided programs (GAP) are needed to enhance its family influence (F-PEC). Thus, current efforts and initiatives by the government in developing the Malay entrepreneurs must be allowed to continue. As entrepreneurship can promote innovation, government policy should encourage entrepreneurship as a long term national strategic agenda until the impact from innovation are provable. Overall, this study contributes to the family business literatures by focusing on indigenous family firm (Malay family) in a developing country like Malaysia. This has rarely been discussed by family business researchers.
