Proceedings of the 2nd Applied International Business Conference (AIBC2013) 7 – 8 December 2013
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Proceedings of the 2nd Applied International Business Conference (AIBC2013) 7 – 8 December 2013
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© Universiti Malaysia Sabah, 2013 ISBN: 978-967-0521-26-8
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Proceedings of the 2nd Applied International Business Conference (AIBC2013) 7 – 8 December 2013
TABLE OF CONTENTS Drivers for Green Practices among Manufacturers in Malaysia: Analysis between SMEs and LEs Azmawani Abd Rahman, Khairul Anuar Rusli & Jo Ann Ho…………………………………………………....11 Structural Relationships of Perceived Users Trust and Perceived Flow on Mobile Social Networking Service (SNS) Users’ Loyalty Norazah Mohd Suki & Norbayah Mohd Suki…………………………………………………............................17 Alternative Model for Micro Enterprises’ Human Capital Development in Malaysia Mohamad Asmy Bin Mohd Thas Thaker, Mustafa Omar Mohammed, Jarita Duasa & Mohd Asri Abdullah……………………………………………………………………………………………...28 Risk Decomposition: Systematic and Total Risks Variations Meng Horng, Lee & Meng Horng, Lee………………………………………………………….……………….36 The Independent Directors of Malaysian Listed Firms and Their Busyness Shamsul Nahar Abdullah………………………………………………….……………………………………..55 Determinants Affecting Outward Foreign Direct Investment (OFDI) By Selected Malaysian MNCs Nurul Azrin Ariffin…………………………………………………………………………………………….…67 A Brief Review on the Social and Economic Contribution: Evidence from International Financial Centre Rosita Chong, Ho Chong Mun & Ricky Chia Chee Jiun………………………………………………………...80 Vertical Intra-Industry Trade between ASEAN-5 and China in SITC 8 Mui-Yin Chin, Chen-Chen Yong & Siew-Yong Yew……………………………………………………………..84 Financial Assessment of Government Incentives on Broiler Production in Penisular Malaysia Mohd Mansor Ismail, Amin Mahir Abdullah & Tapsir Serin…………………………………………………....94 The Moderating Role of Informational Social Influence towards Online Group Buying Behaviour Tracie Chin Sook Harn, Geoffrey Harvey Tanakinjal, Stephen Liason Sondoh Jr & Hamid Rizal…………………………………………………………………………………………………….101 Do Malaysian CEOs Take More Debts Than Equities? Qian Long Kweh, Wei Kiong Irene Ting & Noor Azlinna Binti Azizan……………………………………..…116 Determinants of Repayment Performance in Microfinance Programs in Malaysia Norhaziah Binti Nawai & Mohd Noor Bin Mohd Shariff………………………………………………………127 Persepsi Pelajar IPTA di Terengganu Mengenai Gejala Sosial Siti Sa’adiah Binti Shafik, Mohd. Safri Bin Ali, Azyyati Binti Mohd Nazim & Basri Bin Ibrahim…………….137 Regulatory and Prudential Supervision Framework of Islamic Banking System in Nigeria: Lessons from Malaysia Experience Muhibat Ayoni. Oladimeji, Muhammad Ridhwan Ab. Aziz & Khairil Faizal Khairi…………………………..147 The Impact of Islamic Dressing Styles On Sexual Harassment Prevention of Tertiary Institution Students in Nigeria Muhibat Ayoni Oladimeji……………………………………………………………………………………….157 A comparative analysis of segment reporting in Hong Kong listed companies for pre- and post- IFRS No.8 periods Yuanyuan Li , Jamal Roudaki & Christopher Gan……………………………………………………………..168
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Proceedings of the 2nd Applied International Business Conference (AIBC2013) 7 – 8 December 2013
The Determinants of Overeducation and Overskilling among Workers in the Manufacturing Sector in Malaysia Zainizam Zakariya……………………………………………………………………………………………...181 Financial Fragility of Malaysians in Urban Households Selamah Abdullah Yusof, Wan Jamaliah Wan Jusoh & Rohaiza Abd Rokis…………………………………..193 Reexamining Organizational Life Cycles Criteria: An Analysis of Service Sector in Growth and Maturity Stages Amizawati Mohd Amir & Sofiah Md. Auzair…………………………………………………………………...205 Investors’ Fortune and the Role of Lipper in Determining Unit Trusts Performance Differential Ahmad Ridhuwan Abdullah, Mohd Zulkifli Muhammad, Zakiah Hassan, Siti Salwani Abdullah & Razman Hafifi Redzuan………………………………………………………………217 Issues and Challenges in Medical Tourism: An Interdisciplinary Perspective Noor Hazilah Abd Manaf, Husnayati Hussin, Puteri Nemie Jahn Kassim, Rokiah Alavi & Zainurin Dahari………………………………………………………………………………………………...230 Maqasid, Social Responsibility and Islamic Investment Mohd Nizam Barom…………………………………………………………………………………………….243 Relationship between Facebook Functionality and Work Engagement: A Conceptual Framework Latifah Abd Latib & Jusang Bolong……………………………………………………………………………258 Potential Factors Influence E-Commerce Adoption among Small Medium Enterprises in Peninsular Malaysia: A Proposal Seng Chee Lim, Ahmad Suhaimi Baharudin & Numtip Trakulmaykee………………………………………...268 Examining the Critical Success Factors of Total Quality Management Implementation in Malaysian Higher Education Institution Norhayati Zakuan, Shalini Muniandy, Muhamad Zameri Mat Saman, Norzaidahwati Zaidin, Mohd Shoki Md Ariff & Zuraidah Sulaiman……………………………………………………………………280 The Sources of Country and Industry Variations in ASEAN Stock Returns Meng Horng, Lee, Chee Wooi, Hooy & Terrence Chong Tai Leung…………………………………………..286 Students Learning Experienced: The Teaching Philosophy Perspective in Relationship To Learning Effectiveness Among Generation-Y As Future Workforce Sabarudin Zakaria, Wan Fadzilah Wan Yusoff & Arnifah Asnawi…………………………………………….304 Investigating Determinants of International Tourists’ Intention to Use Mobile Tourism Guide in the Context of Thai National Parks Numtip Trakulmaykee, Seng Chee Lim & Chutima Wangbenmad……………………………………………..312 An Exploratory Study of Service Quality Effectiveness on Intention to Complain Among Mobile Phone Users in Kuching, Malaysia Zorah Abu Kassim & Tan Mei Fong…………………………………………………………………………...322 The Occurrences of Industrial Accident: An Insight from Malaysia Mohd Nasir Selamat & Lilis Surienty…………………………………………………………………………..334 Resolving Consumer Trade Disputes through Online Dispute Resolution: Issues to be Considered Sakina Shaik Ahmad Yusoff, Fahimeh Abedi, Rahmah Ismail, Azimon Abdul Aziz, Suzanna Mohamed Isa & Kartini Aboo Talib@Khalid ………………………………………………………..349 The Performance and Risk of Socially Responsible Investment Indexes: Dow Jones Sustainability Indices Wei Rong Ang & Hooi Hooi Lean……………………………………………………………………………...357
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Proceedings of the 2nd Applied International Business Conference (AIBC2013) 7 – 8 December 2013
Branding Through Eco-Friendly Package Design Muhammad Sabbir Rahman, Rubiayah Bt Ab Rahman, Nazrul Islam & Abdul Highe Khan………………….373 Malaysian SMEs Performance and the Government Business Support Service Mohammad Basir Saud, Jauriyah Binti Shamsudin, Mohd Noor Mohd sheriff & Azwardi Md Isa…………...390 Examining the Dimensions of Workgroup Norms Construct: A Validation Study in the Nigerian Education Context Kabiru Maitama Kura, Faridahwati Mohd. Shamsudin & Ajay Chauhan…………………………………….398 Low Interest Rate Regime and the Transmission of Monetary Policy though the Lending Cannel in Malaysia: Evidence from Bank-Level Data Hussam I. Asbeig & Salina Hj. Kassim………………………………………………………………………...403 Does monetary policy work effectively in 10 European countries? New evidence from Fisher effect Tai-Hu Ling & Venus Khim-Sen Liew………………………………………………………………………….412 Environmental Management Accounting (Ema) and Performance of Construction Companies In Malaysia: A Research Framework Haslina Hassan, Ruhanita Maelah & Amizawati Mohd Amir………………………………………………….422 Harnessing the Online Platform for Accountability Reporting: Preliminary Evidence from Top 100 Malaysian Co-operative Movements Maslinawati Mohamad, Intan Waheedah Othman & Hairul Suhaimi Nahar………………………………….430 Simply Showing Off? The Impact of Materialism Value on Conspicuous Consumption Wan Nurisma Ayu Wan Ismail, Norhayati Zakaria & Asmat-Nizam Abdul-Talib……………………………..440 Exploring The Relationship between Firm’s Level Cultural Intelligence and Supply Chain Issues Nik Ab Halim Nik Abdullah, Sabariah Yaakub & Mohd. Sobri Don…………………………………………...449 Corporate Brand and Consumer Trust: Context Dependent Azwardi Md Isa, Mohammad Basir Saud & Md Daud Ismail………………………………………………….457 Intention to Use High Speed Broadband (HSBB): A Unified Theory of Acceptance and Use of Technology (UTAUT) Choon Yih Goh, Guan Gan Goh, Jee Wei Ong & Hasmida Binti Jamaluddin………………………………...465 Corporate Acquisitions of Malaysian Family-Controlled Firms: Is an Act of Minority Shareholders Expropriation? Lynn, Ling Yew Hua Ling, Junaid Shaikh & John Evans………………………………………………………474 Impress through Portraiture Photographs: The Case of Malaysian Award Winning Annual Reports over Time Mohammad Azhar Ibrahim, Mohd Hadzrami Harun Rasit & Michael John Jones……………………………490 Dive with the Sharks: Immersed in Medical Tourism Supply Chain Lee Hwee Khei & Yudi Fernando………………………………………………………………………………499 Ownership as the Moderating In the Relationship between Business Performance and Corporate Social Responsibility Yuvaraj Ganesan, Hasnah Haron, Azlan Amran, Nava Subramaniam & Arifur Rahman Khan………………510 Bai as-Salam and E-Commerce: A Comparative Analysis from Shariah Perspectives Ainnur Hafizah Anuar Mokhtar, Tamrin Amboala, Mohd Zulkifli Muhammad & Mohd Sarwar E-Alam…………………………………………………………………………………………..522
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Proceedings of the 2nd Applied International Business Conference (AIBC2013) 7 – 8 December 2013
The-turn-of-month and Day of The Week Effects in Vietnamese Stock Market Between 2004 and 2012 Xuan Minh Pham……………………………………………………………………………………………….530 The Role of Ownership Concentration on the Value of International and Industrial Diversification: Insight from Indonesia Rayenda Brahmana, Doddy Setiawan & Chee-Wooi Hooy…………………………………………………….539 The Awareness to Increase Household Income through Entrepreneurial Capability: A case of the Indigeneous People in Sungai Pelek, Selangor Mohd Misuari Bin Abdullah & Marlin Marissa Malek Binti Abdul Malek…………………………………….566 What Resource-Based View Has Told Us? A Literature Review Ong Jeen Wei, Hishamuddin Bin Ismail & Yeap Peik Foong………………………………………………….576 The Acceptance of Mobile Filing (m-Filing) in Malaysia Aaron Pook Sow Yee, Ong Jeen Wei, Goh Choon Yih & Yuen Yee Yen………………………………………..585 Effect of Cultural Intelligence, Emotional Intelligence, Social Intelligence and Islamic Work Ethics on Individual Work Performance Hartini Husin, Sabariah Yaakub & Marlin Marissa Malek Abdul Malek……………………………………..593 Regulatory Incentives as a Moderator of Determinants for the Adoption of Malaysian Food Safety System Ng Hooi Huang & Yudi Fernando……………………………………………………………………………...605 Transformational Leadership Style and Knowledge Management among University Administrators in Malaysia: Examining the Moderating Effect of Organizational Structure Subramaniam Sri Ramalu & Amer Bin Hj. Darus……………………………………………………………...617 Monetary Policy in Islamic Framework for Malaysia Norhanim Mat Sari, Abbas Mirakhor & Syed Othman Alhabshi………………………………………………634 Measuring Business Cycle Fluctuations: An Alternative Precursor to Economic Crises Shirly Siew-Ling Wong, Chin-Hong Puah, Shazali Abu Mansor & Venus Khim-Sen Liew……………………645 The Relationship between Safety Climate and Safety Outcome in a Malaysian-Based Manufacturing Plant Siti Fatimah Bahari……………………………………………………………………………………………..655 Pursuing Undergraduates’ Interest on Academic Career Choice Jakaria Dasan…………………………………………………………………………………………………..665 Impact of Crude Oil Prices on the Malaysian Palm Oil Market Shri Dewi Applanaidu & Amna Awad Abdel Hameed………………………………………………………….680 Sustaining Port Competitive Advantage: An Application of Resource-Based View Approach Salwani Arbak & Nik Ab. Halim Nik Abdullah…………………………………………………………………690 Modeling the Discount Pricing Strategies of New Smart phones within Product Life Cycles Using System Dynamics Approach Nurul Afiqah Mat Zaib & Nor Erne Nazira Bazin……………………………………………………………...699 Investment in Malaysia: Agency Problem or Managerial Discretion? Ei Yet, Chu & Saw Imm, Song………………………………………………………………………………….709 Trading Volume and Price Effects of Going Private Announcements Pei-Ling Lee, Roy Wye Leong Khong, Suganthi Ramasamy & Chong Shu Wen………………………………719
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Proceedings of the 2nd Applied International Business Conference (AIBC2013) 7 – 8 December 2013
Financial Crisis, Islamic Bank Efficiency and Risk: A Theoretical Framework Norfaizah binti Othman, Mariani binti Abdul Majid, Aisyah binti Abdul Rahman & Mansor bin Jusoh……………………………………………………………………………………………….727 The Role of Globalization in the Economic Process of Nigeria Abdussalam, Onagun Isiaka, Fuadah Johari & Muhammad Hj Alias…………………………………………748 Food Insecurity in Developing Countries Nur Marina Abdul Manap & Normaz Wana Ismail……………………………………………………………759 Proposed Efficiency Framework for Microfinance Institutions in ASEAN Izah Mohd Tahir & Siti Nurzahira Che Tahrim………………………………………………………………….770 The Effects of Customer-Brand Relationship Investments on Customer Engagement: Insights for Companies Competitiveness and Survival Zuraidah Zainol………………………………………………………………………………………………...781 Rationality of Business Operational Forecasts: Evidence from Malaysian Distributive Trade Sector Chin-Hong Puah, Shirly Siew-Ling Wong & Muzafar Shah Habibullah ……………………………………...791 Exploring New Opportunity and Mechanism for Islamic Waqf Bank Model Mohd Asyraf Yusof, Muhammad Ridhwan Ab Aziz & Yusof Ramli…………………………………………….805 Liability of Healthcare Providers towards Independent Contractors: Profiteering Vis A Vis Patients’ Rights Puteri Nemie Jahn Kassim……………………………………………………………………………………...817 The Market Response to the Public Reprimand on the Shanghai Stock Exchange Tan Han Wee & Pei-Ling Lee…………………………………………………………………………………..822 Indirect Financial Distress Costs: Evidence from Trading and Services Sector Norhisam Bulot, Norhana Salamudin, Norzaidi Mohd Daud & Hasyiella Abd Mutallib……………………...829 Open Source: The Readiness of Malaysian Industry? What’s New & What’s the Bottleneck? Syaiful-Rizal Hamid, Boon-Cheong Chew, Puvanasvaran Perumal & Sarah Halim………………………….839 The Impact of Democracy on Migration O. C. S. Wilson, Ambikai S. Thuraisingam, A. H. Baharom & Muzafar Shah Habibullah…………………….848 Shari’ah audit in Takaful undertakings: A case study of UAE Noor Takaful operation Abdussalam Ismail Onagun & Suliman Naeem Al Raei………………………………………………………..857 Balanced Scorecard as a Performance Management System Noor Raudhiah Abu Bakar, Nor Aziah Abu Kasim, Mazlina Mustapha & Rozita Amiruddin…………………864 The Effect of Monetary Policy on the Economy Sima Siami Namini……………………………………………………………………………………………...876 Social Entrepreneurship in the Philippines: The Students in Free Enterprise Case Carmelo John E. Vidal, Azucena F. Elegado, Esther B. Vedana & Dolores B. Bustillo……………………..…885 The Impact of Market Condition on Malaysian IPOs Initial Performance: Shariah Compliant versus Non-Shariah IPOs Nor Azizan Che Embi, Ruzita Abdul Rahim & Izani Ibrahim…………………………………………………..894 Oil Price Shock, Inflation and Economic Activities Nexus – The Case of Malaysia Siti Mariam Ali, Nor Halawah Ahmad & Ros Anita Yahya…………………………………………………….900
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Proceedings of the 2nd Applied International Business Conference (AIBC2013) 7 – 8 December 2013
Understanding the Self-initiated Expatriate Academics in Institutions of Higher Education in Malaysia: An Exploratory Study Chye Kok Ho & Patricia Yin Yin Lau…………………………………………………………………………..912 Marketing Orientation in Relation to Entrepreneurial Orientation: A Case Study on Determinant Factor of Perceived Business Success among Small Accomodation in Pangkor Island Malaysia Rosmanizah bt Derahman………………………………………………………………………………………923 Establishing Human Well-being Framework based on Maqasid al-Shariah Principles Arifin Bin Md Salleh, Abd Halim Bin Mohd Noor, Hasan Bin Bahrom, Abd Rahim Ridzuan & Nur Fariza Binti Zainol………………………………………………………………………………………...938 Profiling Accounting Irregularities: Malaysian Cases Hafiza Aishah Hashim & Akmalia Mohamad Ariff…………………………………………………………….945 An Empirical Analysis of Benchmarking For Zakat Institutions R. Md. Yusof , A.H. Mohd Noor, S. M. Ali & M.S. Abdul Rasool……………………………………………...954 Factors that Influence the Acceptance of Airlines E-Ticketing Services among University Students in Selangor Darul Ehsan Azees Muthiu Abiodun & Mokthar Hj. Ismail………………………………………………………………….963 A Conceptual Analysis on Relationship Marketing: Malaysia as an Example Iftekhar Amin Chowdhury………………………………………………………………………………………973 How Satisfied are Users With Financial Information Websites? Azleen Ilias, Mohd Zulkeflee Abd Razak & Rahida Abdul Rahman……………………………………..……..999 Complex Systems in Financial Economics: A Historical Guide for the Uninitiated Yew Joe Ho, Mohd Rushdan Yasoa & Ai Yee Ooi…………………………………………………………….1013 Incorporating Kansei into Sonification Design as Intentional Sound of Products: A Review Paper Ag Asri Ag Ibrahim, Ryan MacDonell Andrias & Geoffrey Harvey Tanakinjal…………………………..…….1020 Factors Influencing Withdrawal Behavior of Malaysian Islamic Bank Customers: Empirical Evidence from Three Major Issues Muhamad Abduh……………………………………………………………………….…………………………..…….1026 An Analysis of the Commercial Aspects of Takaful Operation in Malaysia Kamaruzaman Noordin………….…………………………………………………….…………………………..…….1037 Factors Influeing the Performance of International Joint Venture (IJVs): Evidence From Malaysia Mohd Sobri Don, Mohd Najib Mansor & Osman Ahmad…………………………………………………........….1045 The Contract of Mudharabah and Musyarakah in Islamic Commercial Law: A Comparative Analysis Ahmad Aizuddin Hamzah, Farah Shazwani Ruzaiman & Iftekhar Amin Chowdhury…………………........….1054 The Implementation of Trade Related Environmental Measures: A Case of Malaysia Yanti Ahmad Shafie…………………………………………..………………………………………………….............1059 Household Characteristics On Life Insurance Acquisition: Preliminary Evidence in Sabah Zatul Karamah Ahmad Baharul Ulum, Lim Thien Sang, Zaiton Osman, Amer Azlan Abd Jamal, Rosle Mohidin……………………………….…………………….………………………………………….............….1066 Asia Pacifc Business Cycle: Ties with Islamic Stock Indices Shaista Arshad, Jaritabt. Duasa & Syed Aun Raza Rizvi………………………………………….………........….1072
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Proceedings of the 2nd Applied International Business Conference (AIBC2013) 7 – 8 December 2013
PREFACE
T
he Applied International Business Conference 2013 (AIBC 2013) is initiated with the aim of bringing together scholars and practitioners to discuss contemporary issues in all areas of international business. This conference came to existence under the noble effort of the Labuan School of International Business and Finance, Universiti Malaysia Sabah, Labuan International Campus. The theme “Emerging Mega-trends in Asian Market” reflects relevant issues in today’s global economy especially in Asian Market. AIBC 2013 intends to provide a platform for various groups comprising of academics, researchers, practitioners, and policy makers to establish network and exchange viewpoints and research findings on present-day business and market issues related to the local region and the global world. The editors would like to express their thanks to all the paper presenters from all over the world for their contribution. Our heartfelt gratitude goes to all individuals and institutions who have contributed in one way or another to the success of this conference. Last but not least, thank you and congratulations to the organising committee for their tireless efforts to make this conference a reality.
Editors Rizal Hamid Geoffrey H. Tanakinjal Lee Hock Ann Lindsy Lorraine Majawat Labuan School of International Business and Finance Universiti Malaysia Sabah Labuan International Campus 2013
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Proceedings of the 2nd Applied International Business Conference (AIBC2013) 7 – 8 December 2013
AIBC 2013 ORGANISING COMMITTEE Patron Professor Datuk Dr Harun Bin Abdullah Vice Chancellor Universiti Malaysia Sabah Advisers Associate Professor Dr Ismail Ali Director Universiti Malaysia Sabah, Labuan International Campus Associate Professor Dr Syed Nasirin Syed Zainol Abidin Dean Labuan School of International Business and Finance Conference Chairman Dr Geoffrey Harvey Tanakinjal Deputy Director Universiti Malaysia Sabah, Labuan International Campus Deputy Chairman Dr Lee Hock Ann Deputy Dean (Research and Innovation) Labuan School of International Business and Finance Secretary I Norhanizah Bte Adnan Secretary II Juliana Affendy Treasurers Rostinah Supinah Rushdan Yasoa Saini Mohilap
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Proceedings of the 2nd Applied International Business Conference (AIBC2013) 7 – 8 December 2013
Secretariat Norasekin Angli Nancy Ignatius Sharinah Puasa Proceedings Rizal Hamid Geoffrey H. Tanakinjal Ahmad Farah Husna Lindsy Lorraine Majawat Azlan Yakob Nataniel Ebin Website, Promotion and Publicity Ryan Mcdonell Andrias Geoffrey H. Tanakinjal Hatta Yunus Zafarizal Sponsorship Raymond Liew Anak Lubang
Protocol Shamsulbahri M Nasir UMSKAL Protocol Team Special Issues in Labuan Bulletin of International Business and Finance Lee Hock Ann Rizal Hamid Geoffrey H. Tanakinjal Logistic and Technical Abdul Kamal Char Keynote Speaker and Invitation Mary Monica Norhaniza Adnan Juliana Affendy Programme Book and Abstract Book Emily Yapp Hon Tshin Ryan Mcdonald Andrias Sharinah Puasa Siti Nur Aqilla
Supporting Committee Ricky Chia Chee Jiun Asmadi Abas Conference Goodies Suddin Lada Daria Gom
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Proceedings of the 2nd Applied International Business Conference (AIBC2013) 7 – 8 December 2013
EXAMINING THE DIMENSIONS OF WORKGROUP NORMS CONSTRUCT: A VALIDATION STUDY IN THE NIGERIAN EDUCATION CONTEXT Kabiru Maitama Kura Universiti Utara Malaysia
[email protected]
Faridahwati Mohd. Shamsudin Universiti Utara Malaysia
[email protected]
Ajay Chauhan Universiti Utara Malaysia
[email protected]
ABSTRACT This study examines the psychometric properties of the workgroup norms construct in the Nigerian context. Three hundred and fifty-four teaching staff from various universities located in north-west geopolitical zone of Nigeria participated in the survey. The data was analysed using Smart PLS 2.0 M3 software. Our results suggest that workgroup norms can be measured by the two theoretical dimensions: perceived descriptive norm and perceived injunctive norm. The findings also demonstrated acceptable internal consistency reliability, convergent validity and discriminant validity for each dimension of workgroup norms. On the basis of these findings, we concluded that workgroup norms scale construct can be a useful in measuring the workgroup norms construct in the Nigerian education context. Keywords: workgroup norms, descriptive norm, injunctive norm, psychometric properties
INTRODUCTION Workgroup norm is defined as established rules that determine acceptable and unacceptable behaviour in a group (Levi, 2011). This definition implies that, workgroup norms perform regulatory and survival functions; for these reasons alone they have strong influence on employee behaviour (Parks, 2004). Extant empirical studies have suggested that perceived group norm is a multidimensional construct that is comprised of two different dimensions: injunctive norms and descriptive norms (e.g., Ajzen, 1985, 1991; Borsari & Carey, 2003; Christensen, Rothgerber, Wood, & Matz, 2004; Cialdini, Reno, & Kallgren, 1990; Larimer, Turner, Mallett, & Geisner, 2004; Manning, 2009; Rivis & Sheeran, 2003).Injunctive norms refer to the kind of behaviours that most members of the group approve or disapprove (Cialdini, et al., 1990; Schultz, Nolan, Cialdini, Goldstein, & Griskevicius, 2007). On the other hand, Descriptive norms refer to the kind behaviours that most members of the group do in a given situation irrespective of its appropriateness (Borsari & Carey, 2003; Burger & Shelton, 2011; Forward, 2009; Rivis & Sheeran, 2003). In particular, Baumgartner, Valkenburg, and Peter (2011) tested whether the two dimensions of group norms (i.e., descriptive and injunctive norms) determine risky sexual online behavior 1,016 Dutch adolescents. They reported that both descriptive and injunctive norms were significant predictors risky sexual online behaviour. Similarly, Dabney (1995) found that perceived injunctive and descriptive norms were positively related to drug theft and/or use by employees. Elek, Miller-Day and Hecht (2006), examined the effects of both descriptive and injunctive norms on adolescent use of substance.
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Proceedings of the 2nd Applied International Business Conference (AIBC2013) 7 – 8 December 2013
The findings of the study revealed that group norms (i.e. descriptive and injunctive norms) have strongest significant effect on adolescent use of substance. In another study, Frone and Brown (2010) extended research on workplace deviance by conducting a study to investigate the influence of perceived group norms (i.e. descriptive norms and injunctive norms) on workplace substance use among 2,829 public service employees in United States. As predicted, the results of the study revealed that both perceived injunctive norms and perceived descriptive norms were significant predictors of substance use. It is against this background, the present study seeks to extend the existing workgroup norms literature by examining the psychometric properties of the workgroup norms construct in the Nigerian context. In so doing, this study seeks to address the following research question: What is the psychometric properties of workgroup norms and factor structure of this scale in the Nigerian context? The remainder of this paper is organized as follows. In section 2, we highlighted the method used in the present study, followed by presentation of the results in section 3. In the final section, conclusion was drawn based on the findings of the study.
METHODS Participants and Procedures Three hundred and fifty-four teaching staff from various universities located in north-west geopolitical zone of Nigeria participated in the survey. Males comprised the majority of the sample (69.2%). The ethnic composition of the sample was 43.6% Yorubas, 36.1% Hausa/Fulani 12.9% Igbos and 7.4% ethnic minority groups. The highest academic qualification of the sample was 32.4% Lecturer II, 23.5% Lecturer I, 13.5% Assistant Lecturers, 6.9% Graduate Assistants, 11.5% Senior Lecturers, 10% Readers and 2.3% Professors. Regarding the job tenure, majority of the sample, which accounted for 69.2%, had spent more than 11 years in service. Finally, Masters Degree holders comprised the majority of the sample (71.1%). Measures We measured perceived descriptive norms using the using the subscales of the Peer Norms Scale (Hansen & Graham, 1991), which is a 3-item, 4-point Likert scale ranging from 1 (none of them) to 4 (most of them). Examples of item include “How many of your colleagues do you think have utilized university’s or institution’s property for self-fish/private gain during the past 30 days?” On the other hand, we also measured perceived injunctive norms using items from Hansen and Graham’s (1991) Peer Norms Scale. Similarly, the measure is a 3-item 4-point Likert-type scale ranging from 1 (strongly disapprove) to 4 (strongly approve). Examples of perceived injunctive norms subscale items is “How would your colleagues’ response if you reported to class late without giving prior notice to students once in a while?”
ANALYSIS AND RESULTS To validate the constructs of workgroup norms in the Nigerian context, we conducted a confirmatory factor analysis (CFA) using Smart PLS 2.0 M3 software (Ringle, Wende, & Will, 2005). In particular, PLS Algorithm (Geladi & Kowalski, 1986) was calculated to ascertain the internal consistency reliability, convergent validity and discriminant validity (Henseler, Ringle, & Sinkovics, 2009). Table 1 presents the results of confirmatory factor analysis for workgroup norms.
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Proceedings of the 2nd Applied International Business Conference (AIBC2013) 7 – 8 December 2013
Table 1
Results of the confirmatory factor analysis for workgroup norms
Code
Indicators How would your colleagues’ response if you PDN01 reported to class late without giving prior notice to students once in a while? How would your colleague’s response if you PDN02 tried forcing students to purchase materials for your personal gain? How would your colleagues’ response if you PDN03 engaged in negative act like sexual harassment and treating students badly? How many of your colleagues do you think PIN01 have attended to personal matters instead of official work during the past 30 days How many of your colleagues do you think have utilized university’s or institution’s PIN02 property for self-fish/private gain during the past 30 days? How many of your colleagues do you think PIN03 have accepted material gifts or rewards in exchange for positive grades or assessments during the past 30 days? Average Variance Extracted (AVE) Composite Reliability (ρc)
Component/Loadings 1 2 0.821
0.913
0.730
0.721
0.876
0.774
0.680 0.864
0.629 0.835
First, as indicated in Table 1, the confirmatory factor analysis yielded two dimensions of workgroup norms, perceived descriptive norms and perceived injunctive norms. Having confirmed the two dimensions of workgroup norms, next, we assessed the internal consistency reliability using composite reliability coefficient. Hair, Ringle and Sarstedt (2011) recommended that composite reliability coefficient should be at least 0.70 or more. As shown in Table 1, composite reliability coefficients range between 0.835 and 0.864, thus exceeding the minimum acceptable level of 0.70 (Hair, et al., 2011), and as such demonstrating adequate internal consistency reliability. Next, we also ascertain the convergent validity by evaluating the Average Variance Extracted of each latent construct (Fornell & Larcker, 1981). To achieve adequate convergent validity, Chin (1998) suggested that the AVE of each latent construct should be 0.5 or more. As shown in Table 1, the AVE values demonstrates high loadings, greater than 0.5 as recommended by Chin (1998). Thus, the two dimensions of workgroup norms met the criterion of convergent validity. Finally, we assess the discriminate validity by comparing the correlations among the latent constructs with the square root of AVE. Fornell and Larcker (1981) suggested that to achieve sufficient discriminate validity, the square root of the AVE should exceed the correlations among latent constructs. Table 2 presents the results of the discriminate validity. Table 2
No. 1 2
Latent variable correlations and square roots of average variance extracted
Latent Variable Perceived descriptive norms Perceived injunctive norms
1
2
0.825 0.179
0.793
Note: Entries shown in bold face represent the square root of the average variance extracted
As shown in Table 2, the correlations among the latent constructs were compared with the square root of the average variances extracted (values in bold face). It can be seen that correlation between
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Proceedings of the 2nd Applied International Business Conference (AIBC2013) 7 – 8 December 2013
perceived descriptive norms and perceived injunctive norms was 0.179. This is much lower than the lowest square root of AVE (0.793 for perceived injunctive norms). Thus, all constructs met the criterion of discriminate validity, suggesting adequate psychometric properties for the two dimensions of workgroup norms (Fornell & Larcker, 1981).
DISCUSSION AND CONCLUSION This study attempted to validate the peer norms scale developed by Hansen and Graham (1991) in the in the Nigerian education context, specifically Nigerian universities setting. Our findings enable us to offer several observations. Additionally, the results of the confirmatory factor analysis suggest that perceived group norm is a multidimensional construct comprising of two dimensions: perceived descriptive norms and perceived injunctive norms. However, this finding is not surprising because it is in line with the prior research (e.g., Borsari & Carey, 2003; Christensen, et al., 2004; Cialdini, et al., 1990; Elek, et al., 2006; Frone & Brown, 2010; Rivis & Sheeran, 2003) that theoretically validated the two dimensions of workgroup norms: injunctive norms and descriptive norms. The results of the confirmatory factor analysis, reliability and validity tests suggest that the two dimensions of workgroup norms have proved to be very suitable for measuring perceived group norms in the Nigerian universities setting other than United States where the original scale was developed (Hansen & Graham, 1991).
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