THE IMPACT OF GOVERNMENT SUPPORT ON THE SUCCESS OF STARTUPS CREATION IN MALAYSIA

Abstract

This study delves into the influence of government support on the establishment and prosperity of startups in Malaysia, focusing on various forms of support including funding-related, policy-related, and incubator support. Employing a quantitative methodology, the research aimed to elucidate these relationships through questionnaire-based data collection. A sample of 334 respondents participated, with distribution facilitated via email and popular social media platforms such as WhatsApp, Telegram, and Facebook groups. The questionnaire, utilising a 5-point Likert scale, aimed to discern the perceived importance of different forms of government support among Malaysian entrepreneurs. Data analysis and hypothesis testing were conducted using Statistical Package for Social Sciences (SPSS) version 29. Results indicate a positive correlation between government support and startup success in Malaysia. Specifically, funding-related support demonstrated a significantly positive impact on startup success, while policy-related support exhibited a negative impact, and incubator support was found to be statistically insignificant. These findings contribute to the existing body of literature on entrepreneurship by offering insights into the efficacy of government support mechanisms in fostering startup success within Malaysia. This research could serve as a valuable resource for policymakers and businesses alike, aiding in the development of strategies to bolster the startup ecosystem in the country.