REJUVENATE MALAYSIAN AGRICULTURE INDUSTRY VIA CROWDFUNDING: A STUDY FROM CONSUMER PERSPECTIVE

Abstract

The Malaysian agriculture sector continues to face persistent challenges, including limited access to funding, inadequate banking support, and high-interest credit. In addressing these constraints, crowdfunding has emerged as an innovative financial tool incorporating the Internet of Things (IoT). As a promising alternative, crowdfunding offers financing opportunities for farmers, start-ups, and small and medium enterprises. Although international agriculture crowdfunding platforms have reported numerous successes, such platforms remain underutilized in Malaysia. This study explores factors influencing the behavioural intention of Malaysian agricultural stakeholders to adopt crowdfunding platforms for financing agricultural and business activities. The investigation applies the Unified Theory of Acceptance and Use of Technology (UTAUT), incorporating additional variables: perceived innovativeness and perceived risks. A quantitative approach using Partial Least Squares Structural Equation Modeling (PLS-SEM) analysed responses from 218 participants, including farmers, breeders, agrifood entrepreneurs, and individuals aspiring to enter the sector. The findings highlight that performance expectancy, perceived innovativeness, and perceived risks significantly affect stakeholders' behavioural intention to use crowdfunding platforms, while effort expectancy and social influence show no measurable impact. These results emphasize the importance of crowdfunding platforms as a viable financing mechanism for Malaysian agriculture stakeholders. Given the minimal influence of social factors on decision-making, policymakers should implement extensive promotional and awareness initiatives to enhance the visibility and adoption of this modern financing tool. This study underscores the potential of crowdfunding to address financial barriers in Malaysia’s agricultural sector, paving the way for greater innovation and sustainable growth.