Risk Perception as Mediator in the Effect of Financial Literacy to Entrepreneurial Orientation among MSMEs
Abstract
This study aims to analyze the mediating role of risk perception on the effect of financial literacy to entrepreneurial orientation. From a total population of 32,026 MSMEs in Denpasar, 244 samples were taken through purposive sampling. Data were collected through the administration of Financial Literacy Instruments (rxx=0.639-0.891; r=0.974), Risk Perception Instruments (rxx=0.873-0.956; r=0.989), and Entrepreneurship Orientation Instruments (rxx=0.894-0.988; r=0.988). According to data analysis with Partial Least Square (PLS), it was found that financial literacy significantly affects entrepreneurial orientation; financial literacy significantly influences risk perception; risk perception significantly influences entrepreneurial orientation; and risk perception partially mediates the effect of financial literacy to entrepreneurial orientation in MSMEs in Denpasar. It was found that 49.8% of the variation in the entrepreneurial orientation variable is explained by financial literacy and risk perception variables, while the remaining 50.2% is contribution of other variables outside this research.
Keyword: risk perception, financial literacy, entrepreneurship orientation, MSME
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References
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Wijaya, T., Nurhadi & Kuncoro, A.M. (2015). Intensi berwirausaha mahasiswa: Perspektif pengambilan risiko. Jurnal Siasat Bisnis, 19(2), 109-123.
Wulandari, Retno. (2012). Dimensi-dimensi persepsi risiko keseluruhan konsumen. Jurnal Riset Manajemen Bisnis, Vol. 7 (2), 115-124.
Xu, L. and B. Zia. (2012). Financial literacy around the world: An overview of the evidence with practical suggestions for the way forward. World Bank Policy Research Working Paper Series.
Yuliati, U., Fitriasari, F., & Mergans, M. (2022). The role of business innovation on the influence of entrepreneurship orientation on the performance of COVID-19 affected MSMES. Social and Political Issues on Sustainable Development in the Post Covid-19 Crisis (pp. 276-284). Routledge.
Zainol, F. A. and S. Ayadurai. (2011). Entrepreneurial orientation and firm performance: The role of personality traits in malay family firms in Malaysia. International Journal of Business and Social Science: Vol. 2 (1), 59-71.
Avlijaš, G., R. Avlijaš and M. Heleta. (2014). Financial literacy as a factor in reducing entrepreneurial risk. Finiz, 112-114.
Azwar, S. (2013). Sikap Manusia. Yogyakarta: Pustaka Pelajar.
Bannier, C., & Neubert, M. (2016). Gender differences in financial risk taking: The role of financial literacy and risk tolerance. Economic Letters, 145, 130-135.
Bezzina, F. (2010). Characteristic of the Maltese Entrepreneur. International journal of Arts and Science, 3 (7), 292 – 312.
Carina, T & N M I. Mentari. (2021) The impact of self efficacy towards entrepreneurial orientation among MSME in Denpasar, Bali. International Journal of Economics, Commerce and Management, 9 (7). 175-184.
Cases, A. (2002). Perceived risk and risk reduction strategies in internet shopping. The International Review of Retail, Distribution and Consumer Research, Vol. 12 (4), 375-394.
Chen, H. and R. P. Volpe. (1998). An analysis of personal financial literacy among college students. Financial Services Review, Vol. 7, Issue 2. 107-128.
Covin, J. G., et al. (2020). Individual and team entrepreneurial orientation: Scale development and configurations for success. Journal of Business Research, 112, 1-12.
Elvara, N.A. and N. Margasari. (2019). Pengaruh literasi keuangan terhadap keputusan investasi mahasiswa. Skripsi.
Fitria, Mella, Yurniwati and Annisaa Rahman. (2018). The effect of financial literacy on growth and sustainability of SMEs (small and medium enterprises) in the handicraft sector in Padang City. International Journal of Progressive Sciences and Technology, Vol. 10, No. 2. 382-393.
Fitriyani, A.N., Mulyadi, H. & Kurjono. (2021). Pengaruh kecenderungan mengambil risiko terhadap intensi berwirausaha. Jurnal Education and Development, 9(3), 58-61
Garman, E. Thomas and Raymond E. Forgue. (2010). Personal Finance International Edition. Canada: South Western Cengage Learning.
Ghozali, Imam. (2011). Aplikasi Analisis Multivariate Dengan Program SPSS. Semarang: Badan Penerbit Universitas Diponegoro.
Hair, Jr., Joseph F., et. al. (2011). Multivariate Data Analysis. Fifth Edition. New Jersey: PrenticeHall, Inc.
Hariani, M. & Irfan, M. (2021). Keluarga, konsep diri, dan risiko: Determinan intensi berwirausaha bagi mahasiswa prodi akuntansi. Journal of Trends Economics and Accounting Research, 2(1), 11-16.
Hossaina, K. and I. B. Azmi. (2021). The effect of entrepreneurial orientation on the export performance of apparel industry. Uncertain Supply Chain Management, Vol. 9, 11-20.
Hudson, M., A. Smart and M. Bourne. (2001). Theory and practice in SME performance measurement systems. International Journal of Operations & Production Management, Vol. 21, Issue 8. 1096-1115.
Korkmaz, A. G., ZhichaoYin, PengpengYue, & HaigangZhou. (2021). Does financial literacy alleviate risk attitude and risk behavior inconsistency? International Review of Economics & Finance, 74, 293-310.
Kristianto, Feri. Ekonomi Bali Semester I-2020 'Terjun' Akibat Pandemi Covid-19. n.d.
Laiela, A.-M. F., Margo, P., & Erna, M. (2020). A scoping review of financial themes in entrepreneurial orientation. Russian Journal of Agricultural and Socio-Economic Sciences, 98 (2), 85-100.
Laily, Nujmatul. (2013). Pengaruh literasi keuangan terhadap perilaku mahasiswa dalam mengelola keuangan. Jurnal Pendidikan Akuntasi, Vol. 1, No. 4.
Lee, Sang M. and S. Peterson. (2000). Culture, entrepreneurial orientation, and global competitiveness. Journal of World Business, Vol. 35 (4), 401-416.
Lumpkin, G. and Gregory G. Dess. (1996). Clarifying the entrepreneurial orientation construct and linking it to performance. Academy of Management Review, Vol. 21, No. 1. 135-172.
Lumpkin, G. and Gregory G. Dess. (2001). Linking two dimensions of entrepreneurial orientation to firm performance: The moderating role of environtment and industry life cycle. Journal of Business Venturing, 429-451.
Mahmood, R. and N. Hanafi. (2013). Entrepreneurial orientation and business performance of women-owned small and medium enterprises in Malaysia: Competitive advantage as a mediator. International Journal of Business and Social Science, Vol. 4, 82-90.
Miller, D. (1983). The correlates of entrepreneurship in three types of firms. Management Science, Vol. 29 (7), 770-792.
Nosfinger, J. R. (2018). The Psychology of Investing. New York: Routledge.
Pavlou, Paul. 2001. Consumer Intentions to Adopt Electronic Commerce - Incorporating Trust and Risk in the Technology Acceptance Model. Los Angeles: Association for Information Systems.
Saptono, Ari. (2018). Entrepreneurship education and its influence on financial literacy and entrepreneurship skills in college. Journal of Entrepreneurship Education, Vol. 21, Issue 4.
Segura, A., & Zamar, G. (2019). Effects of financial education and financial literacy on creative entrepreneurship: A worlwide research. Education Sciences, 9 (3).
Solimun, Fernandes, A. A., & Nurjannah. (2017). Metode Statistika Multivariat Permodelan Persamaan Struktural (SEM). Malang: UB Press.
Sugiyono. (2008). Metode Penelitian Kuantitatif Kualitatif dan R & D. Bandung: Alfabeta.
Juliandi, A. and S. Manurung. (2014). Metodologi Penelitian Bisnis: Konsep dan Aplikasi. Medan: UMSU Press.
Tanjung, M. Azrul. (2017). Koperasi Dan UMKM : Sebagai Fondasi Perekonomian Indonesia. Jakarta: Erlangga.
Wang, Yong and Panikkos Poutziouris. (2010). Entrepreneurial risk taking: Empirical evidence from UK family firms. International Journal of Entrepreneurial Behaviour & Research, Vol. 16 (5), 370-388.
Warokka, Ari. (2020). Pengaruh literasi keuangan dan antesedennya terhadap toleransi risiko dengan moderasi faktor demografi pada pekerja muda di Indonesia. Jurnal Riset Manajemen Sains Indonesia, Vol. 11 (2), 338-363.
Wijaya, T., Nurhadi & Kuncoro, A.M. (2015). Intensi berwirausaha mahasiswa: Perspektif pengambilan risiko. Jurnal Siasat Bisnis, 19(2), 109-123.
Wulandari, Retno. (2012). Dimensi-dimensi persepsi risiko keseluruhan konsumen. Jurnal Riset Manajemen Bisnis, Vol. 7 (2), 115-124.
Xu, L. and B. Zia. (2012). Financial literacy around the world: An overview of the evidence with practical suggestions for the way forward. World Bank Policy Research Working Paper Series.
Yuliati, U., Fitriasari, F., & Mergans, M. (2022). The role of business innovation on the influence of entrepreneurship orientation on the performance of COVID-19 affected MSMES. Social and Political Issues on Sustainable Development in the Post Covid-19 Crisis (pp. 276-284). Routledge.
Zainol, F. A. and S. Ayadurai. (2011). Entrepreneurial orientation and firm performance: The role of personality traits in malay family firms in Malaysia. International Journal of Business and Social Science: Vol. 2 (1), 59-71.
Published
2023-03-17
How to Cite
CARINA, Tiara et al.
Risk Perception as Mediator in the Effect of Financial Literacy to Entrepreneurial Orientation among MSMEs.
Matrik : Jurnal Manajemen, Strategi Bisnis, dan Kewirausahaan, [S.l.], p. 34 - 47, mar. 2023.
ISSN 2302-8890.
Available at: <https://ojs.unud.ac.id/index.php/jmbk/article/view/91814>. Date accessed: 21 nov. 2024.
doi: https://doi.org/10.24843/MATRIK:JMBK.2023.v17.i01.p03.
Section
Articles
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