Business Incubators In The Entrepreneurship Ecosystem In Indonesia Mediated By Government Support And Intellectual Capital

Authors

  • Maria Imelda Novita Susiang Universitas Dian Nusantara

DOI:

https://doi.org/10.61978/commercium.v2i2.215

Keywords:

Business Incubators, Government Support, Intellectual Capital, Entrepreneurship Ecosystem, Structural Equation Modeling (SEM-PLS)

Abstract

This research looks at the dynamic interplay in Indonesia's entrepreneurial ecosystem between government funding, intellectual capital, and the success of business incubators. Using quantitative methods, we surveyed 150 business owners involved with several incubators, investigating the intricacies of government programmes, intellectual capital dynamics, and the perceived effectiveness of these incubators. Structural Equation Modelling with Partial Least Squares (SEM-PLS) was used to examine the survey data, uncovering complex correlations and explaining the mediating role of intellectual capital. Our findings have practical consequences for policy makers, incubator managers, and entrepreneurs aiming for sustainable firm growth. These findings also provide additional insights to the theoretical framework that directs entrepreneurship research in the implications of these results.

References

Agostini, L., & Nosella, A. (2023). Intellectual capital and resilience: evidence from two cases of SMEs. Knowledge Management Research & Practice, 21(5), 929–942. DOI: https://doi.org/10.1080/14778238.2022.2103047

Annas, M., & Meilinda, V. (2023a). A Review of Indonesian Business Start-Up Incubator Models. Startupreneur Business Digital (SABDA Journal), 2(1), 86–97.

Annas, M., & Meilinda, V. (2023b). A Review of Indonesian Business Start-Up Incubator Models. Startupreneur Business Digital (SABDA Journal), 2(1), 86–97. DOI: https://doi.org/10.33050/sabda.v2i1.260

Bachtiar, P. P., Vandenberg, P., & Sawiji, H. W. (2022). City-Level Tech Startup Ecosystems and Talent Development in Indonesia. Adb Briefs, 4(100), 1–12.

bin Shaari, J. A. N., bin Md Isa, A. H., & Khalique, M. (2018). Impact of intellectual capital on organizational performance of ICT SMEs in Penang, Malaysia. Market Forces, 13(2).

Camenzuli, A., & McKague, K. (2015). Team microfranchising as a response to the entrepreneurial capacity problem in low-income markets. Social Enterprise Journal. https://doi.org/10.1108/SEJ-02-2012-0008 DOI: https://doi.org/10.1108/SEJ-02-2012-0008

Chaudhary, S., Dhir, A., Farronato, N., Nicotra, M., & Pironti, M. (2023). Nexus between entrepreneurial orientation and intellectual capital. Journal of Intellectual Capital, 24(1), 70–114. DOI: https://doi.org/10.1108/JIC-09-2021-0256

Chen, B., Jin, F., Li, G., & Zhao, Y. (2023). Can the New Energy Demonstration City Policy Promote Green and Low-Carbon Development? Evidence from China. Sustainability (Switzerland), 15(11), 1–16. https://doi.org/10.3390/su15118727 DOI: https://doi.org/10.3390/su15118727

Chen, C.-H. V., & Chen, Y.-C. (2022). Influence of intellectual capital and integration on operational performance: big data analytical capability perspectives. Chinese Management Studies, 16(3), 551–570. DOI: https://doi.org/10.1108/CMS-02-2021-0037

Creswell, J. W. (2013). Research Desain: Pendekatan Kualitatif, Kualitatif, Dan Mixed (Edisi Keti). Yogyakarta.

Fkun, E., Yusuf, M., Rukmana, A. Y., Putri, Z. F., & Harahap, M. A. K. (2023). Entrepreneurial Ecosystem: Interaction between Government Policy, Funding and Networks (Study on Entrepreneurship in West Java). Jurnal Ekonomi Dan Kewirausahaan West Science, 1(02), 77–88. DOI: https://doi.org/10.58812/jekws.v1i02.248

Fuschi, D. L., & Galiyeva, N. (2022). A Process Based Model of Business Incubator in Systems Engineering Terms. Journal of Organisational Studies & Innovation, 9(1). DOI: https://doi.org/10.51659/josi.21-147

Garba, M., Salleh, F., & Hafiz, U. A. (2021). Intellectual capital as a panacea to sustainability in small and medium-scale enterprises. Revista Geintec-Gestao Inovacao E Tecnologias, 11(3), 49–62. DOI: https://doi.org/10.47059/revistageintec.v11i3.1915

Goedert, A. R., Novacki, E., Junior, P. R. I., & Botelho, M. M. (2023). A governança corporativa das startups como nova modalidade empresarial no ambiente digital. Revista Multidisciplinar Do UniSantaCruz, 1(3), 607–628. DOI: https://doi.org/10.55905/rmuscv1n3-006

Gugushvili, T., Roep, D., & Nino, D. (2021). Transformation of family-based entrepeneurial activities in rural areas: View angle from human capital. Dela. DOI: https://doi.org/10.4312/dela.55.87-106

Hair, J. F., Risher, J. J., Sarstedt, M., & Ringle, C. M. (2019). When to use and how to report the results of PLS-SEM. European Business Review, 31(1), 2–24. https://doi.org/https://doi.org/10.1108/EBR-11-2018-0203 DOI: https://doi.org/10.1108/EBR-11-2018-0203

Hakim, C., Agustina, T., Rukmana, A. Y., Hendra, J., & Ramadhani, H. (2023). The Influence of Entrepreneurship Intellectual Capital in The Contribution to Economic Growth in The City of Bandung. Jurnal Ekonomi Dan Kewirausahaan West Science, 1(02), 68–76. DOI: https://doi.org/10.58812/jekws.v1i02.237

Hannon, P. D., & Chaplin, P. (2003). Are incubators good for business? Understanding incubation practice - The challenges for policy. Environment and Planning C: Government and Policy, 21(6), 861–881. https://doi.org/10.1068/c0215 DOI: https://doi.org/10.1068/c0215

Hansen, M. T., Chesbrough, H. W., Nohria, N., & Sull, D. N. (2000). Networked incubators. Hothouses of the new economy. Harvard Business Review, 78(5).

Hidayat, N., Yohana, C., Wibowo, A., Santoso, B., & Mulyadi, H. (2016). The Impact of Intellectual Capital on SME Performance: Competitive Advantage Mediation (Case Study in Indonesia).

Kadaba, D. M. K. M., Aithal, P. S., & KRS, S. (2023). Government initiatives and digital innovation for Atma Nirbhar MSMEs/SMEs: To achieve sustainable and inclusive economic growth. International Journal of Management, Technology, and Social Sciences (IJMTS), 8(1), 68–82. DOI: https://doi.org/10.47992/IJMTS.2581.6012.0256

Khatik, S. K., & Shrivastava, G. (2023). Governmentâ€TM s Role in Creating a Start-Up Ecosystem: The Indian Youth Perception. Prabandhan: Indian Journal of Management, 61–71. DOI: https://doi.org/10.17010/pijom/2023/v16i4/172788

Laksmana, I. N. H., & Permana, I. P. H. (2023). Legal Challenges for Digital Startup Development in Indonesia. Journal of Digital Law and Policy, 2(2), 71–80. DOI: https://doi.org/10.58982/jdlp.v2i2.312

Maulidina, S. H., Harri, M., & Utomo, F. C. (2023). The Role of Dynamic Capabilities and Entrepreneurial Orientation Towards Innovation and Its Implications for Creative Economy Performance in Indonesia. DOI: https://doi.org/10.33642/ijbass.v9n3p6

Mubarak Al‐Mubaraki, H., & Busler, M. (2010). Business incubators models of the USA and UK: A SWOT analysis. World Journal of Entrepreneurship, Management and Sustainable Development, 6(4), 335–354. https://doi.org/10.1108/20425961201000025 DOI: https://doi.org/10.1108/20425961201000025

Mubarik, L. D., Iskamto, B. K., & Sakib, K. N. (2023). Entrepreneurial Competencies and Success of SMEs in Changwon, South Korea. Journal of Entrepreneurship & Project Management, 7(8 SE-Articles), 1–11. https://doi.org/10.53819/81018102t5206 DOI: https://doi.org/10.53819/81018102t5206

Mustofa, T. H. A., Ishak, J. F., & Gunawan, A. (2023). Significance of Intellectual Capital reporting to Financial Performance in Telecommunication Companies. Indonesian Accounting Literacy Journal, 3(2), 195–203. DOI: https://doi.org/10.35313/ialj.v3i2.3411

Napitu, U., Sinurat, A., Harianja, T., Arent, E., Nasution, A. M., & Napitu, H. (2022). Sosialisasi Peran Perguruan Tinggi Dan Akademisi Sebagai Inkubator Bisnis Dalam Penguatan Koperasi Sebagai Lembaga Ekonomi Kerakyatan Menuju Koperasi Modern Bagi Pelaku UKM Di Sumatera Utara. Jurnal Pengabdian Masyarakat Sapangambei Manoktok Hitei, 2(1), 43–59. DOI: https://doi.org/10.36985/914vq849

Nations, U. (2022). Business Incubators for Sustainable Development in the SPECA Region. In Business Incubators for Sustainable Development in the SPECA Region. https://doi.org/10.18356/9789210058339 DOI: https://doi.org/10.18356/9789210058339

Nigam, N., Mbarek, S., & Boughanmi, A. (2021). Impact of intellectual capital on the financing of startups with new business models. Journal of Knowledge Management, 25(1), 227–250. DOI: https://doi.org/10.1108/JKM-11-2019-0657

Noorali, M., & Gilaninia, S. (2017). The Role of Small and Medium - Sized Enterprises in Development. Nigerian Chapter of Arabian Journal of Business and Management Review, 4(4), 36–40. https://doi.org/10.12816/0040342 DOI: https://doi.org/10.12816/0040342

Paramba, J. N., Salamzadeh, A., Karuthedath, S., & Rahman, M. M. (2023a). Intellectual capital and sustainable startup performance: A bibliometric analysis. Heritage and Sustainable Development, 5(1), 19–32.

Paramba, J. N., Salamzadeh, A., Karuthedath, S., & Rahman, M. M. (2023b). Intellectual capital and sustainable startup performance: A bibliometric analysis. Heritage and Sustainable Development, 5(1), 19–32. DOI: https://doi.org/10.37868/hsd.v5i1.119

Paulus, A. L. (2018). Entrepreneurship orientation and innovation capability: the role of intellectual resources as mediation (a case study of SMEs furniture in Madiun East Java). Entrepreneurship Orientation and Innovation Capability: The Role of Intellectual Resources as Mediation (a Case Study of Smes Furniture in Madiun East Java), 4(2), 151–160. DOI: https://doi.org/10.17358/ijbe.4.2.151

Prasad, S., Anand, P., Kumar, J., Mukherjee, S., & Vidyarathi, H. (2023). Intellectual Capital and Banking Financial Performances: A Systematic Review. Conference on Contemporary Economic Issues in Asian Countries, 543–553. DOI: https://doi.org/10.1007/978-981-19-9669-6_33

Purmono, B. B. (2023). Entrepreneurial Education and Entrepreneurial Skills: Study of Higher Education Students in Indonesia. Ilomata International Journal of Management, 4(2), 169–182. DOI: https://doi.org/10.52728/ijjm.v4i2.715

Ramadhana, R. (2023). Business Ecosystem as Key for Indonesian Economic. IPTEK Journal of Proceedings Series, 1, 37–39. DOI: https://doi.org/10.12962/j23546026.y2023i1.16386

Rice, M. P. (2002). Co-production of business assistance in business incubators: An exploratory study. Journal of Business Venturing, 17(2), 163–187. https://doi.org/10.1016/S0883-9026(00)00055-0 DOI: https://doi.org/10.1016/S0883-9026(00)00055-0

Rifai, F., Al-Mimi, H., Rasmi, M., Aldahoud, A., & AlWadi, B. M. (2023a). The Role of Business Incubators in Promoting Entrepreneurship of Higher Education Institutions. Journal of Namibian Studies: History Politics Culture, 33, 906–924.

Rifai, F., Al-Mimi, H., Rasmi, M., Aldahoud, A., & AlWadi, B. M. (2023b). The Role of Business Incubators in Promoting Entrepreneurship of Higher Education Institutions. Journal of Namibian Studies: History Politics Culture, 33, 906–924. DOI: https://doi.org/10.59670/jns.v33i.470

Rodrigues, M. C. M., Barbosa, R. P., Barbieri da Rosa, L. A., Sousa, M. J., & Zavatti Campos, W. Y. Y. (2022). Intellectual capital of technology-based incubators. Administrative Sciences, 12(4), 191. DOI: https://doi.org/10.3390/admsci12040191

Rungani, E. C., & Ward, S. D. (2023). Impact of Government Policy on Entrepreneurial Activities in the Raymond Mhlaba Local Municipality, Eastern Cape. Re-Engineering Business Processes in the New Normal-The Business and Economic Development Post COVID-19 and the Restructuring of the Global Economy: Proceedings of 8th International Conference on Business and Management Dynamics, 23–41. DOI: https://doi.org/10.9734/bpi/mono/978-81-19315-19-2/CH2

Salami, C. G. E., Ekakitie, S. E., & Ebinim, L. O. (2023). Impact of government policy on entrepreneurship growth and development of small-scale business. Journal of Global Social Sciences, 4(14), 73–102. DOI: https://doi.org/10.58934/jgss.v4i14.154

Setyaningrum, R. P., Norisanti, N., Aljuaid, M., & Grabowska, S. (2023). Women and entrepreneurship for economic growth in Indonesia. Frontiers in Psychology, 13, 975709. DOI: https://doi.org/10.3389/fpsyg.2022.975709

Sharma, A., & Ritu, N. R. (2023). Role of Government Schemes in Supporting Startups in India: A Quantitative Investigation. European Economic Letters (EEL), 13(1), 276–280.

Shekapure, S., & Shekapure, N. (2022). Data Analysis for Technical Business Incubation Performance Improvement. In Data Science (pp. 195–212). Chapman and Hall/CRC. DOI: https://doi.org/10.1201/9781003283249-13

Siddiqui, D., & Ahmad, N. (2022). Study of support and services provided by business incubators in entrepreneurship. AMC Indian Journal of Entrepreneurship, 5(2), 19–29. DOI: https://doi.org/10.17010/amcije/2022/v5i2/171467

Somsuk, N., Laosirihongthong, T., & McLean, M. W. (2012). Strategic management of university business incubators (UBIs): Resource-based view (RBV) theory. 2012 IEEE 6th International Conference on Management of Innovation and Technology, ICMIT 2012, 611–618. https://doi.org/10.1109/ICMIT.2012.6225876 DOI: https://doi.org/10.1109/ICMIT.2012.6225876

Sultana, N., & Gupta, N. (2023). Supportive policy intervention in incubating innovative enterprises for the creation of a self-reliant economy. FIIB Business Review, 23197145231162250. DOI: https://doi.org/10.1177/23197145231162247

Tovstiga, G., & Tulugurova, E. (2009). Intellectual capital practices: a four‐region comparative study. Journal of Intellectual Capital, 10(1), 70–80. DOI: https://doi.org/10.1108/14691930910922905

Verma, J. (2022a). Assessing Government Initiatives Towards the Development of Entrepreneurship in India. In Institutions, Resilience, and Dynamic Capabilities of Entrepreneurial Ecosystems in Emerging Economies (pp. 44–53). IGI Global.

Verma, J. (2022b). Assessing Government Initiatives Towards the Development of Entrepreneurship in India. In Institutions, Resilience, and Dynamic Capabilities of Entrepreneurial Ecosystems in Emerging Economies (pp. 44–53). IGI Global. DOI: https://doi.org/10.4018/978-1-6684-4745-1.ch004

Zainuddin, A., & Aini, N. (2023). The Mediating Role of Good Corporate Governance on the Relation between Intellectual Capital and Financial Performance. DOI: https://doi.org/10.29138/ijebd.v6i1.2084

Downloads

Published

2024-04-17

How to Cite

Novita Susiang, M. I. (2024). Business Incubators In The Entrepreneurship Ecosystem In Indonesia Mediated By Government Support And Intellectual Capital . Commercium : Journal of Business and Management, 2(2), 106–120. https://doi.org/10.61978/commercium.v2i2.215

Issue

Section

Articles