Improving Islamic Entrepreurship to Increase The Performance of SMEs

Abstract

This study aims to analyze the correlation of Islamic entrepreneurship and organizational performance which include the indicators of economic, social, environmental and value-based drivers; and organizational commitment, culture and performance. Moreover, this study also aims to create a models for the development of the Islamic models of entrepreneurship so as to improve the organizational performance. The respondents included are 150 entrepreneurs trained leaders through a purposive sampling method. Then to analyze the data of this study, the researcher uses the Structural Equation Modeling (SEM) of the AMOS software package. The finding of this study recommends that to develop Islamic entrepreneurship in improving the performance of the organization, it can be implemented through a commitment initiated by the organizational culture. Commitments indicators are indicated by the terms that our human resources have a passion for advancing the organization, willingness to make sacrifices, emotional attachment and common interest to the organization. While the indicators of organizational culture are indicated by the terms that our organization gives freedom of expression, provides a fair reward, takes every decision based on consensus and gives autonomy to employees