Personality Characteristics Hampering the New Economic Models


  • Ms. Sulastini
  • Mr. Hairul
  • Ismi Rajiani Faculty of Technology Management and Technopreneurship Universiti Teknikal Malaysia, Melaka
  • Edna Buyong


entrepreneurs, risk-taking propensity, tolerance for ambiguity, internal locus of control, innovativeness, independence


Malaysia is under economic reform shifting  from New Economic Policy to New Economic Model.  Unlike the previous model, The New Economic Model implicitly will lead the Malays to market based-economy. Conditioned this way, all ethnics forming 1 Malaysia will compete. Drawing on cultural approach, characteristics of South East Asian Malays (hereafter referred to as Bumiputera) are identified which may account for selected personality characteristics being significant predictors of entrepreneurial spirit. Although numerous personality characteristics have been associated with entrepreneurs, this study is limited to; risk-taking propensity, tolerance for ambiguity, internal locus of control, innovativeness, and independence. Generally, these characteristics are not prevalent in Malaysian Bumiputera’s culture. Lack of these characteristics may hamper the effectiveness of the rhetoric of entrepreneurship  as expressed in the language of New Economic Model.



Lim, Long (2001). “Work-Related Values of Malays and Chinese Malaysiansâ€, International Journal of Cross Cul-tural Management, vol. 1, pp. 209–226.

Salih, K., & Yusof, Z. A. (1989). “Overview of the New Economic Policy and Framework for the Post-1990 Eco-nomic Policyâ€, Malaysian Management Review, vol. 24, no.2, pp. 13–61.

Hofstede & Mc. Crae, R. (2004).†Personality and Culture Revisited: Linking Traits and Dimensions of Cultureâ€, Cross-Cultural Research, vol. 38, no. 1, pp. 52–88

Rajiani, I. (2012). “Applying Personality Traits to Predict Loyalty and Neglect among Employees of Bank Jatim Located in 10 Big Cities of East Java (Mc Crae’s and Hofstede’s Theories on effect of Culture to Personality Revis-ited)â€, Jurnal Aplikasi Manajemen, vol. 8, no.3, pp.617-622.

Reynolds, P., Bosma, N., Autio, E., Hunt, S., De Bono, N., Servais, I., & Chin, N. (2005). “Global entrepreneurship monitor: Data collection design and implementation 1998–2003â€. Small business economics, vol. 24, no.3, pp. 205-231.

Ang, Swee Hoon and Hong, Don G. P. (2000). “Entrepreneurial Spirit among East Asian Chineseâ€. Thunderbird International Business Review, vol. 42, no. 3, pp. 285–309.

Li, J., & Karakowsky, L. (2002). “Cultural Malleability in an East Asian Context. An Illustration of the Relationship between Government Policy, National Culture, and Firm Behaviorâ€. Administration & Society, vol. 34, no.2, pp. 176-201.

Zhao, H., Seibert, S. E., & Lumpkin, G. T. (2010). “The relationship of personality to entrepreneurial intentions and performance: A meta-analytic reviewâ€. Journal of Management, vol. 36, no.2, pp. 381-404.

Hofstede, G., Hofstede, G. J. & Minkov, M. “Cultures and Organizations: Software of the Mindâ€, McGraw-Hill, New York, 2010.

Mahathir, M. “The Malay Dilemmaâ€, Federal Publication, Singapore, 1970.

Endres, M. L., Chowdhury, S., & Milner, M. (2009). “Ambiguity tolerance and accurate assessment of self-efficacy in a complex decision task†. Journal of Management and Organization, vol. 15, no.1, 31–46.

Mueller, S. L., & Thomas, A. S. (2001). “Culture and entrepreneurial potential: A nine country study of locus of control and innovativenessâ€. Journal of Business Venturing, vol.16, no.1, pp.51-75.

Monsen, E. & Boss, R.W. (2009). “The impact of strategic entrepreneurship inside the organization: Examining job stress and employee retentionâ€. Entrepreneurship Theory and Practice, vol. 1, pp. 171–104.

Biais, B., & Perotti, E. (2008). “Entrepreneurs and new ideasâ€. The RAND Journal of Economics, vol. 39, no.4, pp. 1105-1125.

Sarri, K. K., Bakouros, I. L., & Petridou, E. (2010). “Entrepreneur training for creativity and innovationâ€. Journal of European Industrial Training, vol. 34, no. 3, pp. 270-288.

Zainol, F. A., & Daud, W. N. W. (2011). “Indigenous (" Bumiputera") Malay Entrepreneurs in Malaysia: Govern-ment Supports, Entrepreneurial Orientation and Firms Performancesâ€. International Business & Management, vol. 2, no. 1, pp. 87-99.

Gupta, V., & Fernandez, C. (2009). “Cross-Cultural Similarities and Differences in Characteristics Attributed to Entrepreneurs A Three-Nation Studyâ€. Journal of Leadership & Organizational Studies, vol. 15, no. 3, pp. 304-318.

Beugelsdijk, S., & Noorderhaven, N. (2005). “Personality characteristics of self-employed; an empirical studyâ€. Small Business Economics, vol. 24, no. 2, pp. 159-167.

Malach-Pines, A., Levy, H., Utasi, A., & Hill, T. L. (2005). “Entrepreneurs as cultural heroes: A cross-cultural, in-terdisciplinary perspectiveâ€. Journal of Managerial Psychology, vol. 20, no.6, pp. 541-555.

Hammann, E. M., Habisch, A., & Pechlaner, H. (2009). “Values that create value: socially responsible business practices in SMEs–empirical evidence from German companiesâ€. Business Ethics: A European Review, vol. 18, no.1, pp. 37-51.

Xavier, J. A., & Ahmad, Z. U. (2012). “Proposed scholarly research agenda for transforming Malaysia into a model developing nationâ€. International Journal of Public Sector Management, vol. 25, no. 3, pp. 231-243.

Case, W. (2004). “New uncertainties for an old pseudo-democracy: the case of Malaysiaâ€. Comparative Politics, pp. 83-104.

McCourt, W. & Foon, Lee Meng (2007). “Malaysia as Model, Policy transferability in an Asian countryâ€. Public Management Review, vol. 9, no. 2, pp. 211 – 229.

Weiss, M. (1999). “What Will Become of Reformasi? Ethnicity and Changing Political Norms in Malaysiaâ€. Contemporary Southeast Asia, vol. 21, no. 12, pp. 424 – 50.

Thompson, M. (2001). “Whatever Happened to Asian Values?â€. Journal of Democracy, vol. 12, no. 4, pp.154 –165.

Choi, J. (2003). “Ethnic and Regional Politics after the Asian Economic Crisis: A Comparison of Malaysia and South Koreaâ€. Democratization, vol. 10, no. 1, pp. 121 – 134.

Abbott, J. P. (2009). “Malaysia's transitional moment? Democratic transition theory and the problem of Malaysian exceptionalism†. South East Asia Research, vol. 17, no. 2, pp. 175-200.

Zamhury, Nurulaini, Hashim, Rugayah & Ahmad, Jasmine (2010). “The Level of Acceptance in Adopting the Philosophy of Market Orientation in the Malaysian Public Organizationsâ€. Journal of Administrative Science, vol.7, no. 2, pp. 69–82.

Khoo, K. B. T., & Loh, F. “Democracy in Malaysia: Discourses and practicesâ€. Routledge, New York. 2014.

Turner, M. (2002). “Choosing Items from the Menu: New Public Management in Southeast Asiaâ€. International Journal of Public Administration, vol. 25, no. 12, pp. 1493–1512.




How to Cite

Sulastini, M., Hairul, M., Rajiani, I., & Buyong, E. (2014). Personality Characteristics Hampering the New Economic Models. Asian Journal of Business and Management, 2(2). Retrieved from




Most read articles by the same author(s)