2019, Volume 7, Issue 4, Pages: 747-753  
J. Environ. Treat. Tech.  
ISSN: 2309-1185  
Journal web link: http://www.jett.dormaj.com  
Measuring the Practices of Community and Social-  
Based Enterprise in Setiu Wetland  
*
Nur Azura Sanusi , Noor Hayati Akma Shafiee, Noor Haslina Mohamad Akhir  
1
School of Social and Economic Development, Universiti Malaysia Terengganu, 21030 Kuala Nerus, Terengganu, Malaysia  
Received: 27/07/2019  
Accepted: 29/08/2019  
Published: 03/09/2019  
Abstract  
This study is in line with the strategies identified in the Eleventh Malaysia Plan which targeting to raise the income and wealth of the  
below 40 percent household income group (B40) by developing community and social-based enterprises. Consistent with the strategies,  
the Eleventh Malaysia Plan also emphasis on the innovation aspect in expanding Malaysian economy towards a high income nation. In  
order to investigate the contributions of innovations to the community and social-based enterprise, this study aims to modeling the social  
innovation framework in the community and social-based enterprises. The census involves 84 enterprises in Setiu Wetlands area. However,  
after the screening proses, only 45 enterprises fulfill the characteristics of community and social-based enterprise. Our finding shows the  
similarity of social innovation and social enterprise as a means of easing social issues are through the fulfilment of the social needs,  
engaging in a process of continuous innovation and creating the social values.  
Keywords: B40; Social innovation; Social enterprise  
1
form emerges as a counter-action against or an alternative  
1
Introduction  
approach of the lack successful paternalistic approach, which is  
often implemented to handle communal problems, such as  
environmental and poverty problems, in developing countries.  
Zografos stated that social enterprises are businesses with  
primarily social objectives wider than employment provision  
and contribution to public revenue through tax that reinvest their  
surplus of their operations in the business or in the community  
rather than seeking to maximise profit for shareholders and  
owners (27).  
Furthermore, this study will focus on the Community and  
Social-based Enterprise to empower the B40 in the case of East  
Coast Malaysia, the total of Community and Social-based  
Enterprise is less than 100 enterprises. Therefore, the aims of  
this paper is to identify the level and practice of Community and  
Social-based Enterprise in Setiu Wetlands due to the  
environmental friendly.  
The classification of the Malaysian income group is based  
totally on the household income. Therefore, the classification of  
the below 40% (B40) group is based on the income below RM  
3
900. The latest report by Khazanah Research Institute, the gap  
of income between the top 20% (T20) income group and B40  
become wider over time. In 1970, the real mean household  
income of B40 was RM 76 compared to the real mean household  
income of T20 was RM 735. In 2014 the gap become wider with  
the real mean household income of B40 at RM 2,537 and the  
real mean household income of T20 at RM 14,305. In 2016, the  
real mean household income of B40 was RM 2,848 and for T20  
was RM 16,088 (10).  
Therefore at the micro level, the national agenda focusing  
on the B40 especially in the 11th Malaysian Plan that have been  
translated in Budget 2018 and Budget 2019. During the 11th of  
Malaysian Plan, government’s focus was given to lifting the  
economic opportunities and participation of B40 households to  
ensure that Malaysia’s prosperity can be shared by all  
Malaysians, regardless of gender, ethnicity, socio-economic  
status, and geographic location. There are 2.7 million of bottom  
2 Current Status of Social Enterprise in Malaysia  
According to Cheah, Amran and Yahya stated that “the  
development of social entrepreneurship in Southeast Asian  
countries like Malaysia and Singapore is still in its infancy. Most  
of them face critical survival and performance challenges:  
specifically financial sustainability issues (5). For instance,  
more than half (55%) of Malaysian social enterprises are still  
unable to break even, even after years of operation. The top  
priorities of Singaporean social enterprises are to improve  
their financial sustainability (64%) and sourcing for funding  
(44%) (raiSE, 2017). On this note, the main contention of this  
article is to be the first empirical quantitative study, to  
investigate the internal resources that could enhance the  
efficiencies and sustainability of social enterprises in emerging  
contexts, such as Malaysia and Singapore”.  
4
0% household income group (B40 households) with a mean  
monthly income of RM2,537. To ensure that all Malaysians are  
able to participate in and benefit from this plan, the government  
has constructed the programme to raise the income and  
wellbeing of the B40 households (13).  
One of the government’s plan to uplifting B40 households  
towards to a middle-class society by fostering community and  
social-based enterprise in B40 community. According to  
Soviana , community-based enterprise has similar vibes with  
community cooperative, for example, concentrating on citizen  
participation and aiming to provide benefits not only for  
members but also for local people in a broader sense (21). This  
Corresponding author: Nur Azura Sanusi, School of Social and Economic Development, Universiti Malaysia Terengganu, 21030 Kuala  
Nerus, Terengganu, Malaysia; Email: nurazura@umt.edu.my.  
747  
Journal of Environmental Treatment Techniques  
2019, Volume 7, Issue 4, Pages: 747-753  
While Zainon et al. explained that the term social  
entrepreneurship in Malaysia was still new in the eighties,  
nineties and newly branded in the twenty-first century (25).  
This term has been widely used in Malaysia recently to  
explain the effort of government agencies to change the  
economic status of the poor community. The primary purpose of  
establishing social entrepreneurship programmes in Malaysia is  
to help the government to eradicate hard-core poverty as  
targeted in the New Economic Model (NEM). However, there is  
no source of information on the full statistics of the social  
enterprises in Malaysia. Many still do not understand the  
concept of social enterprise until they get themselves involved  
with some kind of projects or business to help the poor or the  
underprivileged. Malaysia is beginning to see the rise of social  
entrepreneurs. Social Enterprise Alliance is a good example of  
collaborative network connecting empowered entrepreneurs to  
support one another in Malaysia and now expanding their  
network to other countries in the Southeast Asian region (16).  
Furthermore, Nizam, Bidin and Murshamshul informed that  
it can be said concept of social entrepreneurship in Malaysia is  
still new and exists in many forms and governed by various legal  
frameworks (14). They agreed with Kelly (2009) suggested that  
social entrepreneurs need an appropriate business entity and  
legal framework to promote their development and  
sustainability. Overall, it can be concluded that the social  
enterprise in Malaysia is newly growing and need to be studied  
more in the future.  
generate £18 billion in annual turnover and employ 775,000  
people.  
Sakarya, Bodur, Yildirim-Öktem and Selekler-Göksen  
stated social enterprise in their study are not-for-profit  
organizations driven by social mission. They use their resources  
to pursue opportunities to catalyse social change and/or address  
social needs (19). They have been an expression of the civil  
sector's response to local and global challenges and have the  
potential of engaging businesses and governments to drive social  
change.  
According to sociology theory, people are driven by their  
natural instincts to engage with others, starting at the individual  
and family levels (9), then moving on to connect with various  
communities beyond the familial relationship. At the social  
level, people are parts of various communities, whether related  
to brands (e.g. BMW car club) or not (e.g. work, sports, music),  
because of their human need to belong. Members join a group if  
it reflects who they are, what they believe, or their likes and  
dislikes, as might be manifested in a brand and the related brand  
community (2,11,22). Then they combine these groups into  
networks of communities, or what we call their social  
environment.  
While, social environment refers to the social relationships  
in which individuals are embedded (3). It is important to study  
social relationships in organizational contexts because  
employees might exert pressure on co-workers behaviour, and  
employees might also be influenced by pressure from other  
employees. The concept of social environment fundamentally  
differs to that of organizational culture because the latter refers  
to formal patterns of behaviour that are dictated by the  
organization that guides employees’ attitudes, while the former  
refers to how employees perceive their relationships with other  
employees.  
Social environments or informal interpersonal networks  
play a critical role in the knowledge transfer process (17). In  
particular, the strength of interactions between organizational  
members is expected to influence knowledge-sharing behaviour.  
The strength of the social network can be measured by  
determining strong ties and weak ties. According to (12), strong  
ties have affective and friendly characteristics. They are also  
frequent and may include reciprocal favours. On the other hand,  
weak ties are less frequent and are not necessarily affective.  
3
Literature Review  
Nowadays, social enterprise has been more acknowledge  
and growing in order to strive economic growth. Based on Gray,  
Healy and Crofts stated that social enterprise refers to activities  
undertaken in the public interest using entrepreneurial strategies.  
It embraces the idea that business acumen can be applied to  
community causes to achieve a transfer of economic and social  
resources to disadvantaged groups and individuals 98).  
According to Zappala, ‘Social enterprise is a means for non-  
profit agencies to maximise their mission-related performance  
through the development of new ventures or by reorganising  
activities to improve operational efficiency’ (26). It refers to a  
broad range of activities, including community economic  
development, profit generating activities undertaken by non-  
profits to support service initiatives, cross-sectoral partnerships  
and private sector social responsibility programs.  
4 Methodology  
Furthermore, Cornelius, Todres, Janjuha-Jivraj, Woods and  
Wallace stated that a social enterprise is a business with  
primarily social objectives whose surpluses are principally  
reinvested for that purpose in the business or in the community,  
rather than being driven by the need to maximize profit for  
shareholders and owners (6). Therefore, social ends and profit  
motives do not contradict each other, but rather have  
complementary outcomes, and constitute a ‘double bottom line’.  
This implies that effective financial management for social  
purposes is a key feature of sustainability (i.e. the financial  
stability of an organisation to trade over the long term).  
Although a policy based definition, it is consistent with more  
academic definitions of social enterprise (see for example, (1,4).  
Underpinning this argument is the notion of the double bottom  
line (of economic and social accountability) and increasingly,  
the ‘triple bottom line’ (environmental accountability also).  
Thus, the latter term encapsulates how socially responsible  
companies aim not only to generate profits and social benefits,  
but also positive environmental outcomes. Their study has found  
that social enterprises prevail throughout Europe, and are most  
notable in the form of social cooperatives, particularly in Italy,  
Spain and Corporate Social Responsibility and Social Enterprise  
This study involves 6 residences which are Chalok I, Chalok  
II, Guntong, Merang, Pantai and Tasek in Setiu Wetlands area.  
There are 45 enterprises that were chosen out of 84 enterprises.  
A structured interview technique and face-to-face interviews  
using a questionnaire were conducted to identify the enterprise  
which is fulfil the characteristics of community and social-based  
enterprise. The data was analysed using the Statistical Package  
for the Social Sciences (SPSS). The type of questionnaire is  
structured and open-ended. The questionnaire are divided into 4  
sections. Section 1 to evaluate the status-quo of the types and the  
characteristics of social enterprise. Section 2 focus on the  
information of enterprise and respondent. While the questions  
have asked in section 3 are social entrepreneurship practice and  
the obstacles and incentives in practising social enterprise.  
Lastly, business model, promotion and marketing, financial  
capacity, company’s readiness and business opportunity are  
discussed in section 4.  
5
Results and Findings  
5
.1 Demographic Analysis  
Overall, there are 45 enterprises have been interviewed for  
this study. From this total, there are 25 respondents (55.6%) are  
male and 20 respondents (44.4%) are female (Table 1).  
3
57 increasingly France. Front line social enterprises in the U.K.  
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2019, Volume 7, Issue 4, Pages: 747-753  
provide skill courses to workers. However, most of respondents  
were did not provide other social enterprise services such as  
accommodation facilities, counselling services and subsidies  
from government.  
Meanwhile, for Community-based Social Enterprise  
(CBSE) concept, 88.9 percent of respondents did not offer social  
services to communities such as health examinations and  
environmental awareness. There are only 11.1 percent of  
respondents provide those services to their employees in Setiu  
Wetlands area. The Table 4 showed the types of enterprise were  
operated by the respondents such as housing developers  
Table 1: Gender of Respondents  
Frequency Percentage (%)  
25 55.6  
Gender  
Male  
Female  
Total  
20  
44.4  
45  
100  
Based on Table 2, most of the respondents have SPM/SPTM  
education level which are 37.8 percent, followed by degree level  
31.1%), PMR level (13.3%), diploma and certificate (6.7%).  
(
(
26.7%), foods (8.9%), handicraft (2.2%), services (28.9%),  
While for master level and primary school are 2.2 percent.  
retailing (28.9%) and tourism (4.4%). Soviana stated that social  
enterprise is regarded as something distinct from traditional  
business and non-profit activities, where it combines social  
purpose, market orientation, and business’ financial-  
performance standard. The emergence of social enterprise can  
be traced back from two trends (21). The first trend considers  
social enterprise as a rediscovery of non-profit organization-  
creating a different way of doing business and paving its way to  
the social enterprise’s conceptualization by excerpting  
innovative component of cooperative movement.  
Community economic development and related activities,  
such as microenterprise development, are well established  
strategies for achieving social and economic development in  
impoverished communities. Examples of initiatives of this type  
include microcredit schemes, local employment cooperatives,  
city farms, community cafes, restaurants and laundromats.  
Despite minimal profits, these initiatives offer increased access  
to material and social resources for individuals and communities  
(8).  
Table 2. Education Level of Respondents  
Education  
Master  
Frequency  
Percentage (%)  
1
2.2  
Degree  
14  
31.1  
Diploma  
3
6.7  
Certificate  
SPM/STPM  
PMR/SRP  
Primary School  
Total  
3
6.7  
17  
6
37.8  
13.3  
2.2  
1
45  
100  
Table 3 showed the types of social enterprises have been  
operated in Setiu Wetlands area. For Work Integration Social  
Enterprise (WISE) concept, 86.7 percent of the 45 respondents  
stated that they provide jobs to B40 community who did not get  
a job. Furthermore, 55.6 percent of respondents said that they  
Table 3: Types of Social Enterprise  
Yes Percentage (%) No  
Percentage  
%)  
Items  
Total  
(
Provide jobs to B40 community who did 39  
not get a job.  
86.7  
6
13.3  
45  
Work  
Integration  
Social  
Enterprise  
Provide accommodation to workers.  
Provide skill courses to workers.  
Provide counselling services to workers.  
Get a government subsidy.  
5
25  
9
5
5
11.1  
55.6  
20.0  
11.1  
11.1  
40  
20  
36  
40  
40  
88.9  
44.4  
80.0  
88.9  
88.9  
45  
45  
45  
45  
45  
Community-  
Offer social services to communities  
such as: health examinations and  
environmental awareness  
based  
Social  
Enterprise  
(CBSE)  
Table 4: Types of Social Enterprise  
Types of Enterprise  
Housing developers  
Foods  
Frequency  
12  
4
Percentage (%)  
26.7  
8.9  
1
2.2  
Handicraft  
Services  
13  
1
28.9  
28.9  
3
Retailing  
Tourism  
2
4.4  
Total  
45  
100  
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2019, Volume 7, Issue 4, Pages: 747-753  
Table 5: Social Entrepreneurship Practice  
Choice 1  
Item  
Choice 2  
Choice 3  
Frequency  
Percentage (%)  
Frequency  
Percentage (%)  
Frequency Percentage (%)  
Social value  
Economic value  
Environmental value  
Missing  
3
1
2
-
3
0
73.3  
-
-
-
-
22.2  
4.4  
26  
4
57.8  
8.9  
4
8.9  
-
-
-
15  
45  
33.3  
100.0  
41  
45  
91.1  
100.0  
Total  
45  
100.0  
Table 6: Increase of Product Selling Through the Usage of ‘Social Enterprise’ Label  
Usage of Social Enterprise’s Label  
Frequency  
Percentage (%)  
Yes, in the international level  
9
27  
20.0  
60.0  
8.9  
Yes, in the national level  
No  
4
Do not know  
Total  
5
45  
11.1  
100  
5
.2 Descriptive Analysis  
The descriptive analysis has been conducted to identify the  
In addition, resistance from competitors (8.9%), lack of skill and  
efficiency (8.9%), did not know (2.2%) and less funds (15.6%)  
and lack of support (6.7%) are other forms of barriers faced by  
them. While 11.1 percent stated that they have no obstacles in  
running their businesses.  
community and social-based enterprise in Setiu Wetlands area.  
Based on Table 5, the results of the study have found that 73.3  
percentage stated that social entrepreneurship practices need to  
emphasize social values in their companies. While 22.2  
percentage and 4.4 percentage stated that economic value and  
environmental value also need to be practise in the social  
entrepreneurship. According to Rymsza (18), community-  
based social enterprises (CBSEs) generate positive effects not  
only for the workers they employ (in the form of social  
inclusion), but also for numerous stakeholders outside the  
enterprise: A community-based social enterprise is an enterprise  
that in the economic sphere (1) capitalizes on local resources  
5.3 Crosstab Analysis  
The study has conducted the crosstab analysis to identify the  
level of community and social-based enterprises in Setiu  
Wetlands area. The results of the analysis are as follows.  
5.3.1 The relationship of social entrepreneurship practice and  
level of product selling  
Based on the Table 8, the results of crosstab analysis found  
that social entrepreneurship practice is significant with the usage  
of ‘social enterprise’ label can increase the products selling. The  
chi-square analysis (27.28) successfully rejected the null  
hypothesis at one percent significance level (p-value: 0.000).  
Based on Thompson and Doherty, social enterprises are defined  
simply as are organisations seeking business solutions to social  
problems (23). They need to be distinguished from other  
socially-oriented organisation and initiatives that bring benefits  
to communities but which are not wanting or seeking to be  
“businesses”. The characteristics for a social enterprise are have  
a social purpose, assets and wealth are used to create community  
benefit, they pursue this with (at least in part) trade in a market  
place, profits and surpluses are not distributed to shareholders,  
as is the case with a profit-seeking business, “Members” or  
employees have some role in decision making and/or  
governance, “members” or employees have some role in  
decision making and/or governance and the enterprise is seen as  
accountable to both its members and a wider community. Lastly,  
there is either a double- or triple-bottom line paradigm.  
(
human, natural, cultural, etc.) and (2) stimulates the local  
economic exchange, while in the social sphere (3) it is tied into  
the local social networks, (4) is involved in the matters relevant  
to the community, and (5) is considered by the community to be  
their own’. In other words, the success of a community-based  
social enterprise is beneficial to the community in which it  
operates, and the community recognizes and appreciates this  
fact. This, in turn, gives the enterprise a strong hold on the local  
market. However, there are 60 percent of respondents stated that  
the usage of ‘social enterprise’ label can increase the selling of  
their products in the national level and 20 percent expressed that  
it can help their selling’s products in the international level.  
Conversely, 11.1 percent of respondents did not know the usage  
of label can help their products’ selling and 8.9 percent were  
excluded due to the nature of their business did not related to the  
question measurement (e,g construction) (Table 6). Like other  
business enterprises, social enterprises also have their own  
barriers and challenges. From Table 7, a total of 46.7 percent  
stated that less awareness of social impact was a major obstacle  
factor in promoting innovative social enterprises in Terengganu.  
Table 7: Barriers in Developing Innovative Social Enterprise in Terengganu  
Type of Barriers  
Frequency  
Percentage (%)  
Less awareness of social impact  
Resistance from business competitors  
Less skill and efficiency  
Do not know  
21  
4
4
46.7  
8.9  
8.9  
1
2.2  
Insufficient fund  
Lack of supportive atmosphere  
No barrier  
7
3
5
15.6  
6.7  
11.1  
Total  
45  
100  
750  
Journal of Environmental Treatment Techniques  
2019, Volume 7, Issue 4, Pages: 747-753  
Table 8: The relationship of social entrepreneurship practice and level of product selling  
Do you think the usage of ‘social enterprise’ label can increase the  
Total  
products selling  
Yes, in the  
international level  
Yes, in the national  
No  
Do not know  
level  
23  
4
In your view, social  
entrepreneurship practice  
should be produced from  
decisions (Choice 1)  
Social value  
Economic value  
Environmental value  
9
0
0
0
3
1
1
3
1
33  
10  
2
0
Total  
9
27  
4
5
45  
Chi-Square Tests  
Value  
25.279  
26.352  
17.966  
45  
df  
6
6
Asymp. Sig. (2-sided)  
a
Pearson Chi-Square  
Likelihood Ratio  
Linear-by-Linear Association  
N of Valid Cases  
.000  
.000  
.000  
1
a. 9 cells (75.0%) have expected count less than 5. The minimum expected count is .18.  
Table 9: The relationship of social enterprise incentives and the risks to fulfil the needs of the B40 group  
Is a Social Enterprise Conducted By Your  
Total  
Organization is Risking For Failure To Meet  
the Needs of the B40 Group?  
Yes  
No  
Establishing a Clear Description of Social  
Enterprise Sector  
Building Capacity in National And  
Regional Administration To Promote  
Social Entrepreneurship  
Developing an Integrated Strategy and  
Action Plan to Support Social Enterprises,  
Mainly Through Funds  
5
25  
30  
3
0
2
3
6
What Types of  
Incentives Need To  
Improve Social  
8
Enterprise Sector?  
Establishing a Platform and Network for  
Social Investors and Entrepreneurs to  
Share Good Practices  
0
7
3
3
Total  
37  
44  
Chi-Square Tests  
Nilai  
1.642a  
2.527  
.034  
44  
Df  
3
3
Asymp. Sig. (2-Sided)  
Pearson Chi-Square  
Likelihood Ratio  
Linear-By-Linear Association  
N of Valid Cases  
.650  
.470  
.853  
1
A. 6 Cells (75.0%) Have Expected Count Less Than 5. The Minimum Expected Count Is .48.  
The assumption is that the most effective social enterprises  
demonstrate healthy financial and social returns  rather than  
high returns in one and lower returns in the other.  
analysis (9.65) successfully rejected the null hypothesis at 1  
percent significance level.  
Diversity in commons institutions seems to be related to the  
diversity in forms or ownership, organization and operation of  
social enterprises. Rather than following the prescriptions of  
conventional top-down management, local managers need to be  
encouraged to generate a diversity of experiments (15).  
Nurturing social and institutional memory requires the creation  
of flexible multi-level governance systems that can learn from  
experience (adaptive management), and generate knowledge to  
cope with change by combining different kinds of knowledge  
(7,20). By emphasizing uncertainty and constant change, and by  
looking at change as opportunity, resilience thinking challenges  
the widely held notions about stability and resistance to change.  
In conclusion, community-based focus and social enterprises are  
perhaps paradoxically, key to the survival of rural economies  
even in a world in which enterprises are increasingly driven by  
global forces. Rural communities are vulnerable to pressures and  
5
.3.2 The relationship of social enterprise incentives and the  
risks to fulfil the needs of the B40 group  
The crosstab analysis found that the encouragement of social  
enterprise has no relationship with the risks to meet the needs of  
the B40 group. The chi-square analysis (1.64) is failed to reject  
the null hypothesis (Table 9).  
5
.3.3 The relationship between challenges of new staff  
recruitment and ineffective management of social enterprise  
organizations  
According to Table 10, the results of crosstab analysis found  
that the challenges in hiring new staff has a relationship with the  
inefficiency of the management of organization. The chi-square  
751  
Journal of Environmental Treatment Techniques  
2019, Volume 7, Issue 4, Pages: 747-753  
incentives that originate at higher levels of political and  
economic organization. This vulnerability can be reduced by  
keeping a community focus, with attention to complex systems  
phenomena such as scale, self-organization, linkages and  
drivers. In cross-scale commons management, dealing with the  
two fundamental problems of commons, exclusion (control of  
access of potential users) and subtractability (exploitation by  
each user reducing resource availability for others), also requires  
an understanding of complex systems.  
philanthropic and government resources. Furthermore,  
Thompson and Doherty stated that entrepreneurship is a way of  
thinking and behaving that has opportunity as its heart.  
Entrepreneurs recognise, create, engage and exploit  
opportunities (23). Creativity and innovation are fundamental.  
Entrepreneurs know how and know where to secure the  
resources they will need, and they frequently accomplish this  
with effective networking. Risks have to be understood and/or  
managed  and inevitable setbacks have to be overcome. The  
outcome is new value for customers and clients  whether it be  
financial, social, aesthetic or environmental capital, or a  
combination of more than one. In this respect social “capital” is  
defined as something of perceived benefit to individuals and  
communities, which others might term “social value”. Given  
this, the value of social networks sometimes itself a definition  
of social capital  might be termed human capital.  
5
.3.4 The relationship between capital source and the  
percentages profit of social enterprise organizations  
The results of crosstab has identified that the source of capital  
financing to run a social enterprise is related to the percentage  
of profits earned by the social enterprise organization. The value  
of chi-square analysis (15.11) successfully rejected the null  
hypothesis at 1 percent significance level (Table 11). According  
to Young and Kim stated that market survival of a social  
enterprise is often a puzzle requiring that all the pieces of income  
support, monetary or in-kind, fit together so that as a whole the  
enterprise remains viable (24). The financial incentives  
surrounding a given venture or form of enterprise seem likely to  
be an important determinant of social enterprise stability. To a  
certain extent, this factor can be controlled through the choice of  
legal form and the design of public policies that influence the  
nature of external resources available for venture sustainability  
and growth, or which affect competition for scarce market,  
6
Conclusion  
Overall, the implementation and socialization of social  
enterprises in Setiu Wetlands is still new and has not been  
implemented extensively and comprehensively. Out of the total,  
only 11 percent provide social services to communities such as  
health checks and environmental awareness. In fact, most  
respondents stated that there were obstacles in their efforts to  
develop innovative social enterprises in Terengganu.  
Table 10: The relationship between challenges of new staff recruitment and ineffective management of social enterprise organizations  
Are there any inefficiencies in management within the  
organization while managing this social enterprise?  
Total  
Yes  
No  
Is your organization experiencing challenges in hiring  
new highly skilled staff in managing social enterprises?  
Yes  
No  
8
6
4
27  
31  
12  
33  
45  
Total  
14  
Chi-Square Tests  
Value  
df  
1
1
Asymp. Sig. (2-sided)  
Exact Sig. (2-sided) Exact Sig. (1-sided)  
Pearson Chi-Square  
Continuity Correction  
Likelihood Ratio  
9.652  
7.523  
9.229  
.002  
.006  
.002  
b
1
Fisher's Exact Test  
.004  
.004  
Linear-by-Linear Association  
N of Valid Cases  
9.438  
45  
1
.002  
a. 1 cells (25.0%) have expected count less than 5. The minimum expected count is 3.73.  
b. Computed only for a 2x2 table  
Table 11: The relationship between capital source and the percentages profit of social enterprise organizations  
What percentage of (%) organizational profits are spent on social services?  
Total  
35  
Less than 5%  
5% - 10%  
8
11% - 15%  
4
16% - 20% More than 20%  
Own capital  
Others  
What is the source of  
financing to run a  
social enterprise?  
22  
0
1
1
23  
5
13  
0
4
1
1
2
3
9
44  
Total  
Chi-Square Tests  
Asymp. Sig.  
Value  
df  
(
2-sided)  
Pearson Chi-Square  
Likelihood Ratio  
Linear-by-Linear Association  
N of Valid Cases  
15.113a  
15.215  
7.923  
44  
4
4
1
.004  
.004  
.005  
a. 8 cells (80.0%) have expected count less than 5. The minimum expected count is .20.  
752  
Journal of Environmental Treatment Techniques  
2019, Volume 7, Issue 4, Pages: 747-753  
Especially in terms of awareness of social impacts, as well  
as government funds / donations from government or Non-  
Government Organizations (NGOs). In addition, the findings of  
the study also found that social enterprise practices have had  
links to increased sales, improving organizational management  
efficiency and the percentage of profits earned by them.  
Accordingly, based on the findings of this study, it can be  
concluded that social enterprises should be empowered by the  
government, the private sector and NGOs to help improve B40's  
living standards especially in the rural areas. Next, it will  
minimize the income distribution gap and reduce the poverty  
burden of the B40s in Malaysia especially in Setiu Wetlands.  
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