International Journal of Advanced Science and Technology

Vol. 29, No. 05, (2020), pp. 40-54

Religiosity as a Moderating Variable for Generation X and

Generation Baby Boomer

Patisina1), Prof. Dr. Heru Kurnianto Tjahjono2), Dr. Muhammad Anis3), Majang
Palupi4)
Student of Islamic Education Psychology Faculty, UniversitasMuhammadiyah
Yogyakarta1)
Lecturer of Management Department, Economic Faculty, Universitas
Muhammadiyah Yogyakarta2)
Lecturer of Islamic Education Psychology Faculty, Universitas Muhammadiyah
Yogyakarta3)
Lecturer of Management Department, Economic Faculty, Universitas Islam
Indonesia4)
Email: patisina@gmail.com

Abstract
The objectives of this research are (1) to analyze whether religiosity is a moderating
variable which affects the extrinsic motivation, intrinsic motivation, and perceived risk
toward the successes of generation X entrepreneurship, (2) to investigate whether
religiosity is a moderating variable which affects the extrinsic motivation, intrinsic
motivation, and perceived risk toward the successes of generation Baby Boomer
entrepreneurship. This study was conducted in Indonesia with respondents of anyone who
has a good business aged over 50 years or often called as baby boomer generation and
who are under 50 years or called generation X (Howe and Staruss, 2007). To generation
X, religiosity variable is a variable which moderates the effects of the extrinsic
motivation, intrinsic motivation, and perceived risk toward the successes of
entrepreneurship, while to Baby Boomer generation, it is not a variable which moderates
the effects of the extrinsic motivation, intrinsic motivation, and perceived risk toward the
successes of entrepreneurship because it is considered as an inherent part of themselves.
Those prior studies have tapped on the issues related to business after retirement,
challenges of retirement, successful and happy retirement, and retirement preparation yet
they have not yet specifically discussed about the true measurement of business after
retirement as well as its influential antecedents. In another word, this study is unique in
terms of its high relevance and urgency to be analyzed deeper as the reference for
workers in facing retirement

Keywords: Entrepreneurship, Retirement, Baby Boomer Generation

1. Introduction
Indonesia is experiencing a demographic bonus phenomenon indicated by the results
of the 2012 population census and its peak will occur in 2028-2030 (www.bps.go.id).
Positive trends regarding demographic bonus are likely to continue in 2020-2030.
Referring to the data of BPS, Indonesian aging population is estimated to be aged 60
years and above about 10% will occur in 2020.
Well-managed demographic bonus is able to accelerate the economic growth in the
society. On the contrary poor management of demographic bonus gives the government
more expenses as it leads to higher number of unemployment. This phenomena occurs
because the number of population in the productive age is rising while at the same time,
the number of retirement also increases. Improving the productivity of retired workers is
believed to give positive contribution to the development of a nation. Productive
retirement refers to retired workers who have adequate abilities to support their life and

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Vol. 29, No. 05, (2020), pp. 40-54
their family after being retired. This group is expected to give the nation contributions in
the forms of foreign exchange and ability to live their life independently.
Retirement problems often relate to the disability to stay productive. Retired workers
usually find it difficult to decide what activities to do. They also often fail in managing
their severance pay, leading to various problems such as poverty, sickness, and higher rate
of mortality (Agoes, 2014). Results of field studies show that retired workers face
financial problems, poverty and disability to fulfill the necessities of the family after
being retired. Some retired workers also experience stress, depression, failure to cope with
economic problems and finally they get sick and die. Poor management of family
economy and psychological pressure are the main causes of this phenomena. Whereas,
both young people and old people deserve successful life (Argyle, 2001).
The term success does not only relate to the feeling of happiness as it also means
physical, emotional, social, financial and psychological success (Froh et al., 2011).
Physical success refers to the healthy, sickness-free life and easiness to do God-worship
activities. Emotional success refers to emotional maturity reflected by adequate ability to
cope with negative emotions such as anxiety, stress and depression. Social success allows
retired workers to be engaged in healthy interaction with the society. Retired workers can
be said to be financially successful if they are able to fulfill the necessities of their own
and their family. They are also psychologically successful if they find happiness,
tranquility and serenity in their life.
Successful and dignified retired workers are those who are grateful upon their given
age by doing positive activities and use their time to do good deeds as much as possible.
Good deeds can be done by conducting activities that give others benefits such as by
dedicating their time and wealth to help others. Religious people who do good deeds are
fortunate because they live a secure, calm and happy life. Their life is joyful because they
enjoy their life with their family and heirs. Their life is secure as they are able to fulfill
their own necessities even more they are able to help others. They also live a calm and
happy life because they are able to do good deeds and worship the God (Aminullah,
2013).
Retired workers should be grateful for the favors and long lives given by the God.
They should express their gratitude to Allah SWT by doing more good deeds. This can be
done by doing more righteous deeds, being thankful for the given favors from Allah SWT
and help those in needs. According to Hawkins in a book entitled Power Vs Force, being
gratitude sparks positive energy that makes human body healthier. Being gratitude also
makes more friendship, cures illness, enhances the financial aspect, relieves fear, anxiety
and depression, brings happiness, improve the patience, friendliness, mercy, calmness in
heart and soul. Gratitude is a positive and healthy emotion (Maulana, 2014).
Being gratitude is also shown by doing activities that give benefits for others. Islam
views job as the actualization of spiritual values such as the belief that working certain job
is an application of worship to Allah SWT. The value of working is regarded worshipping
activities because by working, people are able to fulfill the needs of the family, raise the
dignity, give good examples for the children, work truthfully and solemnly, play the role
as leaders which will be regarded as ceaseless charity for the parents and the teachers
(Qardhawi, 1997).
Retired people who do certain activities are happier and healthier compared to those
who have no activity to do (Sirojammuniro, 2015). They feel happy as they make
interaction with the society, share with other people, and give positive contribution to the
beloved family. They are also healthier because they wake up early to do business
activities and use their mind to solve various problems. Retired people who do business
learn many new things and they are more active than those who do not have any business
activities. As the body keeps moving and the brain is actively used to solve various
problems, all of the five senses are stimulated altogether.

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The result of a survey done to retired people shows that positive activities that
supports the success of the retired people include doing business, administering social
activities, not blaming the condition or other people, performing religious and spiritual
activities. Those who do not perform any of those activities have higher tendency to face
psychological and mental problems because they tend to focus on thinking about worldly
issues without any real realization action.
Regarding to those facts, it is important that retired workers set an appropriate point
of view in facing the retirement. It is suggested that they prepare good financial
management, set up a business, prepare the psychological aspect, mental preparation,
spiritual aspect, physical aspect, and social aspect by obtaining adequate social supports
and comprehending the information given by the institution they work for related to the
retirement. A number of retired workers are known to still carry psychological expenses
from the workplace to the social life after the retirement, even though they are no longer
holding certain position (Santoso and Lestari, 2010). This issue triggers negative
psychological impacts such as frustration, inferiority, anxiety in facisang life, depression,
dependence on others, and other psychosomatic signs (Saili, 2008).
The productive elderly people become goals, and how to remain productive in the old
age. Researches on retired entrepreneurship wereconducted by some researchers such as
Forster (2013) in a research on retiredentrepreneurship or known as
“entrepreneur”whichis an entrepreneur who started his business because of already
retiredfroma company caused by the end of working period or decision taken by himself
because given the right to pension and considersa pension decision is a wise thing.
Dollinger et al. (1988) calls retired entrepreneurship as the older entrepreneur. Kautonen
et al. (2014) refer it as the grey entrepreneur. Zolin (2015) refer the older entrepreneur as
a retiredperson who starts a business at the age of 50 and above. It is also mentioned that
even though theage is old but entrepreneurial motivation must still grow, and should make
mentors with experience to overcome the barriers to knowledge that is not owned, and to
increase the already owned potential. Heimonen (2013) mentions a retired entrepreneur,
aged 50 years and above as entrepreneurship in Golden Years. Pilkova (2014) and Maritz
(2015) refer an old entrepreneur with senior entrepreneurship. Backman and Karlsson
(2013); Ainsworth (2015) refer them as Entrepreneurship in aging population and Ahmad
et al. (2014) refer a retired entrepreneur as silver entrepreneurs.
Those prior studies have tapped on the issues related to business after retirement,
challenges of retirement, successful and happy retirement, and retirement preparation yet
they have not yet specifically discussed about the true measurement of business after
retirement as well as its influential antecedents. In another word, this study is unique in
terms of its high relevance and urgency to be analyzed deeper as the reference for workers
in facing retirement.
Patisina et al. (2017) conducted a research on successful retired entrepreneur. The
research reveals that the success of entrepreneurship in the pension age includes 5
dimensions including: (1) Financial freedom, being retired is said to be successful if
someone has freedom in finance. (2) Family time freedom, being retired is said to be
successful if someone has spare time for his family. (3) Personal satisfaction,being retired
is said to be successful if someone has the pleasure and comfort in doing business. (4)
Degree of Spirituality, being retired is said to be successful if someone is able to get
closer to God Almighty. (5) Blessing others, being retired is said to be successful if
someone is able to make a meaningful life for the people around.
The objectives of this research are (1) to analyze whether religiosity is a moderating
variable which affects the extrinsic motivation, intrinsic motivation, and perceived risk
toward the successes of generation X entrepreneurship, (2) to investigate whether
religiosity is a moderating variable which affects the extrinsic motivation, intrinsic

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motivation, and perceived risk toward the successes of generation Baby Boomer
entrepreneurship.

2. Literature Review
2.1. Successful Retirees
Retirees who make mature preparations ahead of retirement will be more
successful and comfortable while enjoying their old days. In the study of Indrayani
(2013), it isconcluded that everyone wanted a happy life. That emotional maturity
greatly affects the elderly self-acceptance and so does the support of the family
(Sari and Suprapti, 2013). The ability to manage stress can also increase happiness
(Diponegoro, 2006). A person who has a positive relationship with others realize
that his life is meaningful and has a good level of religiosity (Arba’ah, 2015).
Studies on the correlation of success with religion, education, family, sport and
health service have been conducted by Hutapea (2012).Trisusanti and Satiningsih
(2012) in her research explains that financial, productive activities, social
activities and religious activities make happy retirees.

2.2. Religiosity and Successful Entrepreneurship

The religious people will use their confidence in carrying out their work
(Audretsch et al. 2007). The Muslim community is convinced by its
entrepreneurial behavior. Muslims have different views in serving Allah SWT
(Davis, 2013). Muslims devote themselves as the caliph of Allah SWT by hard
work, honest, persistence and professional and more sensitive to the environment
(Dilmaghani, 2011). It is because besides their roles as servant of God, humans act
as caliph who prosper the universe. As a caliph, Muslims must have extensive
knowledge to manage the universe, have a strong economy to do good deeds to
others, have health because it takes energy and energy to do good deeds to the
universe and build relationships with humans. Life will be beautiful if morality
becomes a view of life in religion and make it as a foundation in running
entrepreneurial activity (Emami and Nazari, 2012). People who have a religion
will have a commitment, motivation, knowledge of their religion and run it so as
to get consequence in society, and have affiliation with business (Muhamad and
Mizerski, 2010). It is because honesty,and trustworthinessin managing the
business are the capital in running the business.
Religiosity is defined as a specific level of confidence in religious values and
ideals organized and practiced by an individual. Ancok (1994) describes the five
dimensions of religiosity as follows: the dimensions of belief, the dimensions of
religious practice, the dimensions of experience, the dimensions of religious
knowledge and the dimensions of practice or consequence. These dimensions
refers to the identification of the consequences of the religious beliefs, practices,
experiences, and knowledge of a person from day to day. The study of the
influence of religiosity on the development of the business world is becoming
highly developed beyond the psychological and social dimension which
emphasizes on new business and innovation. Religion and entrepreneurship have a
complexand interdependent relationship (Carswell and Rolland, 2007). Studies on
the influence of religion and entrepreneurship have been conducted by some
researchers such as Galbraith and Galbraith (2007); Balog et al. (2014); and Davis
(2013).

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Religiosity becomes something that is very important and supports the
activities of entrepreneurship and business management (Zulkifli and Rosli, 2013).
Religiosity can improve the performance of entrepreneurs, because it has an
impact on attitudes and entrepreneurial behavior (Carswell and Rolland, 2007). In
addition, religiosity as the input of culture will play a role in entrepreneurship
development, as there is a very close relationship between culture and
entrepreneurship (Morrison, 2000). Based on the above explanation, the authors
argue that a person with a good level of religiosity will always strive to run a
business activity with more emphasis on ethics, morality, and more concerned
about the environment. Risk management will be more mature because it is more
tranquil (Iannaccone, 1998). Social culture in religiosity makes businessman to
havegood morality and spirituality that will be connected in the public interest and
in the innovation of goods and services, and buildinga team work. The preparation
in organizational structure will make spirituality and social as a foundation
(Naughton and Cornwall, 2009). Despite many differing definitions of culture in
the literature, there is a general agreement among researchers that culture relates to
patterns of values and beliefs that are manifested in practices, behaviors and
various artifacts shared (Fernandes et al, 2018)

2.3. The Intrinsic and Extrinsic Motivations in Entrepreneurship

Recently, Fernandes et al. (2018) distinguished “motivation to work” from
“motivation at work.” Whereas the former relates to internal factors associated
with individuals’ participation in an observable work arrangement, the latter
relates to internal factors associated with individuals’ job accomplishments (e.g.
performance). Work valence is considered a key indicator of motivation to work
as it refers to the overall valuation of work participation in the life of individuals
(Fernandes et al., 2018)
Motivation describes how to encourage individual work passion so that they
want to work hard by giving all the abilities and skills achieve organizational goal
(Fernandes. 2018) Intrinsic motivation is derived from the individual of the
entrepreneur. With entrepreneurship, entrepreneurs will be more meaningful, more
comfortable and enjoy life, and have more motivation for life (Fernandes and
Solimun, 2017). The sense of responsibility in running the business makes
entrepreneur more persistence about entrepreneurship. Anentrepreneur can
developand accomplished more with entrepreneurship (Patisina et al. 2017). In
their research, Stefanovica et al. (2011) investigate the factors that motivate
someone in doing entrepreneurship. Some of the factors are because they want to
be their own boss, use the experience and training they have ever got in the past
and applying it, prove themself that they can be entrepreneur, increase revenue,
capable in providing employment to family members, for personal satisfaction and
development, have job security because it is self-managed, build a business of its
own, want personal freedom, have fun with business, and close to family. Bird and
Schjoedt (2009) see a relationship between the intentionsfor entrepreneurship with
intrinsic motivation.This is because the entrepreneur has the intention in terms of
developing the company, ensuring the work will still run. This intention is carried
out in the form of entrepreneurial activity, thus there will be positive feelings.
While Khan et al. (2009) in their study see a strong influence between intrinsic
motivation and extrinsic motivation on the growth of entrepreneurship in
Bangladesh with the infrastructure as the moderating variable. Nasurdin et al.

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(2012) see successful entrepreneurship in the retirement age or so-called silver is
influenced by internal motivation which consists of entrepreneurial capital,
attitudes, networks and competencies while external motivation consists of
company’s support mechanisms, environmental and financial assistance.

2.4. Perceived Risk of Entrepreneurship

Risk management in doing business is an important thing because the
higher the risk of the investment, the higher its return will be (Rengku, 2012).
Risk management is an important factor in developing a strong entrepreneurial
personality, which is useful for business activities Thisis due to the uncertainty in
running a business (Hanafi, 2014). Lee and Cho (2005) argue that risk perception
is a person’s assessment of riskysituations, where the assessment is highly
dependent on psychological characteristics and circumstancesof the person. This is
because of the influence of information received by someone outside of himself.
According to Geoffrey Meredith, an entrepreneur has high challenges, confidence,
task and result-orientation, risk-taking behavior, leadership, originality, and
future-oriented. Despite the risks, Entrepreneur loves to develop new things in
business. Risk is a natural thing for entrepreneurs in business, as risk-taking and
proactive behavior can support company performance (Kropp et al. 2008).

2.5. Baby Boomer and Generation X

The theory of generation used is a study developed by Howe and Strauss
(2007). In line with the theory of generation developed by Howe and Strauss
(2007), it defines that a generation is divided into 4 (four) groups: (1)
Traditionalists,i.e. those who was born between 1925 and 1945. (2) Baby
boomers,i.e. those who was born between the years 1946 and 1964. (3) Generation
X,i.e. those who was born in 1965 to 1980. Finally,(4) Generation Y, they are the
last generation born between tahun1981 and 2000. The characteristics of
Generation X are supporting the values in family, social environment, and
organizational activities. In addition, Generation X has high aggressiveness
(Fatimah et al. 2015). According to Benson and Brown (2011), baby boomers are
described as a group of people who value teamwork and see work from a process-
oriented perspective.

3. Conceptual Framework and Hypotheses

The conceptual framework of this research derives from the modification of
the Theory of Planned Behavior and Herzberg Theory, trait theory, and social
cognitive theory.
Theory of Planned Behavior is a theory developed by Ajzen. The theory
emphasizes that targetted behavior does not only depend on one’s intentions, but
also on other factors which are not under individual control (Ajzen, 1991). From
here, Ajzen widened the theory to put emphasis on the role of that ability which
later on considered as perceived behavioral control. Based on Hutahayan et al
(2019b), perceived risk is concluded in perceived behavioral control, therefore one
of the variables which affect the success of entrepreneurship is perceived risk.
The developed theory is known as the “Two-Factor Model” of motivation,
which is a motivational factor and hygiene factor or “maintenance”. (Herzberg,
1966). According to this theory, motivational factors are things which support

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intrinsic achievements, from one’s inner self. Meanwhile, what is meant by
hygiene factor or maintenance is extrinsic factors coming from outside, which also
contribute to determining one’s behavior (Sudrajat, 2008:1-7).
According to the Trait Theory, a leader has traits or personality which are on
average different than most people. The traits are intelligence, persistence, and
ambition. Someone’s success is different from others, it is affected by the traits
and characters of each person. Zaccaro et al. (2004) in their study about leadership
is influenced by personal and situational factors.
Social cognitive theory admits the existence of social contribution toward
human’s way of thinking and acting as well as the cognitive process toward
motivation, emotion, and behavior (Hutahayan et al, 2019a). The theory, which
was developed by Albert Bandura, was based on the proposition of either social
or cognitive process is central to the understanding of motivation, emotion, and
human behavior (Tarsidi, 2010).
This research is aimed to analyze whether religiosity is a moderating variable
for generation X and generation baby boomer. The conceptual framework would
be explained in picture 1.

Modification Theory Trait Theory Social Cognitive

of Planned Behavior Theory
and Herzberg Theory

Religiousity
Extrinsic
Motivation of
Entrepreunership After Retirement
Succesful
Entrepreuner
( Generation X and
Baby Boomer
Intrinsic Generation)
Motivation of
Entrepreunersh
ip

Perceived Risk
of ntrepreneurship

Figure 1 The Model of After Retirement Successful Entrepreneur

There are previous researches, such as Yu and Miller’s (2005), which found a
significant difference between Baby Boomers and Xers in terms of the work
characteristics and preferred management style, specifically in the Taiwanese
manufacturing industries. Yousaf (2015) found that intrinsic motivation is related
to task performance (TP) and this relationship is mediated by the effective
occupational commitment. The extrinsic motivation is related to both TP and
contextual performance (CP) and these relationships are mediated by the affective
organizational commitment. Kuswariningsih (2014) had studied the effects of
motivation and interest in the success of entrepreneurship. Barbosa et al. (2014)
found that understanding of risks has an impact on the intention of individual
entrepreneurship. Fuazan (2014) stated in the context of entrepreneurship, religion

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would affect the attitude and behavior of the entrepreneurs through the
construction of value, implementing business practices by emphasizing more on
moral and business ethics. Among these previous studies, there has not been one
which studied the relationship like the one in this hypothesis:
H1: religiosity is a moderating variable which affects the extrinsic
motivation, intrinsic motivation, and perceived risk toward the successes of
generation X entrepreneurship
The previous studies, Young and Tinker (2017) stated that the 1960s baby
boomers are characterized by high levels of education, technological proficiency,
and a youthful self-image. Kuswariningsih (2014) had studied the effects of
motivation and interest in the success of entrepreneurship. Barbosa et al. (2014)
found that understanding of risks has an impact on the intention of individual
entrepreneurship. Fuazan (2014) stated in the context of entrepreneurship, religion
would affect the attitude and behavior of the entrepreneurs through the
construction of value, implementing business practices by emphasizing more on
moral and business ethics. Among these previous studies, there has not been one
which studied the relationship like the one in this hypothesis:
H2: religiosity is a moderating variable which affects the extrinsic
motivation, intrinsic motivation, and perceived risk toward the successes of
generation Baby Boomer entrepreneurship.

4. Design and Method

This study was conducted in Indonesia with respondents of anyone who has a
good business aged over 50 years or often called as baby boomer generation and
who are under 50 years or called generation X (Howe and Staruss, 2007).
There were 288 samples of this study including 135 retired workers who set
up certain business from X generation, and 153 respondents from baby boomer
generation. Questionnaires were distributed to compare the success in managing
business across generation.
Questionnaires were distributed to respondents who were entrepreneurs in
Indonesia. The respondents consisted of 135 respondents of generation X and 153
respondents of baby boomer, so the total respondents were 288. The
questionnaires were used to compare successful entrepreneurship among religions.
It means this research is able to fullfil the requirement of minimum survey
involving as many as 100 respondents (Hair et al. 2013). Meanwhile, religiosity is
developed based on the research conducted by Palupi, M and Tjahjono, HK
(2016). This data is taken as a comparison of whether there is a difference between
the generations on the role of religiosity to successful entrepreneurship.
In this research, the test of moderation used is a residual test because the test
on moderating variable using interaction and absolute difference test tend to
trigger high multicollinearity among independent variables. To overcome
multicollinearity, another method called residual test was developed (Ghozali,
2016).

4. Analysis Result & Discussion

4.1. The effects of extrinsic motivation, intrinsic motivation, and perceived
risk toward the success of generation X entrepreneurship (H1)

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Table 1
The result of linear regression toward generation X
Description Coefficient Sig.
Extrinsic Motivation of 0.191 0.053
Entrepreneurship 0.244 0.021
Intrinsic Motivation of 0.313 0.001
Entrepreneurship
Perceived Risk of ntrepreneurship
The analysis results depicted in Table 1 shows that the success of
entrepreneurship in generation X is only affected by intrinsic motivation and
perceived risk. It is caused by pvalue from the two variables which is less than
0.05. The influence of intrinsic motivation and perceived risk toward the success
of entrepreneurship in generation X is a positive effect because coefficient marked
as positive. The variable of extrinsic motivation has no effect toward the success
of entrepreneurship in generation X because the pvalue is more than 0.05.
The factor of extrinsic motivation gives effective contribution as much as
59.39% to the success of entrepreneurship in generation X. Even though the
number of 59.39% is not significant to the analysis results of double linear
regression in table 1.
Intrinsic factor is the motivation factor originally from the entrepreneur’s
inner self. Based on table 1, it can be seen that intrinsic motivation has a
significant positive effect on the success of entrepreneurship in generation X. This
factor of intrinsic motivation gives contribution as much as 65.845% to the
success of entrepreneurship in generation X
The factor of perceived risk in this research explains 62.389% of the success
of entrepreneurship in generation X. Generation X believes that risks are an
ordinary thing as well as a natural part of a business. Yet it needs to be
emphasized that risks are a natural thing but must be repressed to the minimum.

Table 2
The result of the residual moderating test on religiosity
of Generation X (H1)
Model Coefficient Sig.

Successful entrepreneurship of -0.325 0.000

Generation X

In the moderation test using residual test, a variable can be considered as

moderation variable if it is significant and having a negative constant. From the
data on table 2, it can be acknowledged that for generation X, religiosity is a
moderating variable due to the negative and significant coefficient (Ghozali,
2016).
X generations view religiousness as a factor that strengthens other variables;
extrinsic motivation, intrinsic motivation, and perceived risk in a business.
Pensioners from X generation have the tendency to run their business to obtain
worldly goals. Fortunately, when religiousness aspect is put into their

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consideration, the role of motivation and other variables are improved and are able
to support their entrepreneurial success.
It can be seen from the result of the data analysis that religiousness moderates
other independent and dependent variables. Religious pensioners form X
generation puts Allah SWT as the final goals and they give out all of their energy
and effort for the sake of Allah SWT. It is a good way that entrepreneurs engage
religious values into their business efforts.
Maslow’s theory of needs states that in order to step on to further step, basic
needs should be first fulfilled (Turabik and Baskan, 2015). Basic needs include
physiological needs, needs for self-development, religiousness and spirituality.
Entrepreneurship would be more enjoyable when entrepreneurs engage spirituality
and religiousness into their business (Jalil, 2013).
Various ways can be done in engaging religious values in building the
mentality of businessman such as being truthful in every transaction, providing the
best service for the consumers and being trusted in making business cooperation,
as well as showing their trusts to business partners.
Studies on the role of religiousness in the development of business is a
popular theme after the roles of psychological and social aspects in a management
of new business and innovation. Religiousness and entrepreneurship shares
mutually supportive roles (Carswell and Rolland, 2007). The influence of
religiousness on entrepreneurs has been studied by a number of researchers
including Galbraith and Galbraith (2007); Valliere (2008); Baharun and
Kamarudin (2001); Balog et al. (2014); Dana (2010); Dana (2009); Dodd et al,
(2007) Davis (2013).
Religious businessmen tend to be more charitable to share their wealth in the
way Allah expects (Yusanto, 2002). Helping others through charity works is
actually an act that helps others out from their problems. Religious businessmen
are always grateful for every business journey they experience and those who are
grateful are happy people.
Religious businessmen with good spirituality are always healthy and happy as
they have stronger immune system and they are less vulnerable to economic
changes, health problems and they have stronger mentality (Oman and Thoresen,
2005). Unconditional happiness can be obtained by only those who have strong
spirituality and religiousness in performing their jobs, either as employees or as
business owners. Through patience and heard work, success will be easier to
achieve (Syam, 2009).
David R Hawkins in his book entitled Power vs Force studied the correlation
between spirituality aspect and material aspects (wealth, prosperity and life
achievements). According to him, ones’ mind and emotion can be stratified based
on the level of energy. Some are included in the Force vibe, while some others
belong to the Power vibe (Hawkins, 2002). Force is a vibration of mind and
emotion at low frequency and it is rather negative such as shame, guilt, apathy,
deep sadness, desire, fear, and pride. While Power is a vibe of mind and emotion
with strong and positive energy including courage, expectation, gratitude, mindful,
affection, joy, peace and enlightenment.
Humans’ energy is different form the energy of o ther God’s creature.
Other creatures’ energies are rather neutral, while human’s energy is rather

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qualitative, meaning that it consists of goodness and badness (Poniman et al.,
2007). Achievement is the result of positive energy. If an effort is done through
positive energy, the result will be good, and the vice versa. Furthermore, Poniman
also mentions about the accumulation of positive and negative energy. A
businessman spends positive energy equal to 10 million rupiah (effort= +10
million IDR) but he only gets 5 million IDR in return, it means that the person
makes 5 million IDR of positive energy saving. Whereas, a person who conducts a
corruption equal to 100 million IDR (effort = 100 million IDR) unknown to others
(HUT = 0), then this person is actually saving 100 million IDR negative energy
(TE= -100 million IDR). These energies are eternal and someday they would
transform into unexpected occurrences.
In interviews with successful pensioners, they shared that they had
experienced some obstacles in life including losing all of their wealth which had
been collected for quite a long time and their pension money. In conditions where
they had spent all of their savings, faith in Allah SWT made things return back.
This phenomena is called negative saving withdrawal, in which when this negative
occurrence is accepted with sincerity, life returns normal and business goes well.

4.2. The effect of extrinsic motivation, intrinsic motivation, and perceived

risk toward the success of entrepreneurship in generation Baby Boomer
(H2)

Tabel 3
Hasil regresi linier pada generasi Baby Boomer
Description Coefficient Sig.
Extrinsic Motivation of 0.386 0.000
Entrepreneurship 0.244 0.012
Intrinsic Motivation of
0.209 0.007
Entrepreneurship
Perceived Risk of ntrepreneurship
The results of the analysis shown in Table 3 indicate extrinsic motivation,
intrinsic motivation, and perceived risk berpengaruh signifikan positif terhadap
kesuksesan wirausaha pada generasi baby boomer. Hal terbukti dengan pvalue
pada 3 variabel independen yang kurang dari 0.05 dan bertanda positif.
The higher the extrinsic motivation, intrinsic motivation, and perceived risk,
the higher the entrepreneurial success of baby boomers will be and the vice versa.
The results of the interview related to extrinsic motivation for entrepreneurial
success show that entrepreneurs have more time to spend with family when
running their own business. These people do the business for their family,
meaning that what they earn is for the wealth of the family and success also means
being close to the family when they retire.
People find it easier to build relationships and networking through
entrepreneurship. Network is a factor affecting success in running a business.
Intellectual and emotional intelligence is necessary in building business
relationships because relationships represent a social capital to develop business.

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 International Journal of Advanced Science and Technology
Vol. 29, No. 05, (2020), pp. 40-54
Extrinsic motivation factor contributes 70.667% to the entrepreneurial success of
baby boomers.
In addition to extrinsic motivation, intrinsic motivation also has a significant
influence on entrepreneurial success. The intrinsic motivation factor contributes
80.021% to the entrepreneurial success. The intrinsic motivation of retirement
provides a deeper meaning of life for baby boomers; they argue that being an
entrepreneur will help them to demonstrate their achievement as an example for
their children and grandchildren. The baby boomers hope to develop their own
career through entrepreneurship.
Perceived risk in this study explains 69.729% entrepreneurial success of baby
boomers. The baby boomers believe that risk is natural in business. An
entrepreneur always develops new things, innovates, seeks new opportunities, and
failure is part of the experience. Failure is something certain in business, but rising
from failure is a priority that must be carried out and enjoyed.
The results of interviews with retired entrepreneurs show that almost all of
them have experienced failure. It is not the failure that matters; it is the decision to
try again as the door to success. Failure is a valuable experience in running a
business. They suggest that a beginner learn from successful people and have
them as the mentors, as to minimize failure.

Table 4
The result of residual moderating test on religiosity
of Baby Boomer Genration (H2)
Model Coefficient Sig.

Successful entrepreneurship of Baby 0.604 0.000

Boomer Generation

According to the data on table 2, it can be seen that religiosity is not a

moderating variable for generation baby boomer. It can be acknowledged through
the positive and significant value of coefficient (Ghozali, 2016:231). Therefore,
hypothesis 2 cannot be denied so religiosity is not a variable which moderates the
effect of extrinsic motivation, intrinsic motivation, and perceived risk toward the
successes of generation Baby Boomer entrepreneurship.

5. Conclusions and Suggestions

The conclusions of this study are To generation X, religiosity variable is a
variable which moderates the effects of the extrinsic motivation, intrinsic
motivation, and perceived risk toward the successes of entrepreneurship, while to
Baby Boomer generation, it is not a variable which moderates the effects of the
extrinsic motivation, intrinsic motivation, and perceived risk toward the successes
of entrepreneurship because it is considered as an inherent part of themselves.
This study also give some suggestions related to entrepreneurial success
according to baby boomer generation and X generation as follows: (1) this study
gives positive motivation for pensioners from X generation who want to set up
certain business. (2) Social capital can be set as a moderating variable in further
research regarding to the fact that in this study, social capital is included in the
religiousness and extrinsic motivation. Future researchers are recommended to do

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 International Journal of Advanced Science and Technology
Vol. 29, No. 05, (2020), pp. 40-54
similar research for Y generation and Z generation. (3) It is important that
pensioners obtain success in religion, civic, social and spiritual aspects.

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