Social Entrepreneurship and Organizational Effectiveness: Evidence from Malaysia

Authors: Fakhrul Anwar Zainol, Wan Norhayate Wan Daud, Zulhamri Abdullah, Mohd Rafi Yaacob

Abstract:

Malaysia has made great strides in eradicating poverty. Based on the latest figures of the 9th Malaysian Plan Mid-term review, the overall hardcore poverty percentage is down to 0.7%, and only 3.6% of the Malaysian population is living below the overall poverty line. While in the past significant efforts had been taken by the government through various developmental project to alleviate poverty in rural area had proven successful. Today, urban poverty in Malaysia is an increasingly visible phenomenon due to rural-urban migration and the natural population growth in urban areas. Given the changing dimensions and emerging new forms of poverty as a result of unwanted effects of development there is a dire need to re-examine and re-visit urban poverty in Malaysia. Based on the leaders’ perceptions, this study affirmed that social entrepreneurship organizations in Malaysia have try to overcome the urban poverty through social entrepreneurship. The new framework has been developed from the results of this study. It shows that social entrepreneurship contributed to the organizational effectiveness. This result indicates that it is important to have social entrepreneurship in order to increase the socio economy and achieve the organization’s mission. Therefore, this study has proven that social entrepreneurship is beneficial to the Malaysian.

Keywords: Social Entrepreneurship, Organizational Effectiveness, Urban Poverty, Malaysia.