Facilitating Corporate Entrepreneurship in Public Sector Higher Education Institutions: A Conceptual Model Javed Nayyar Malik Rosli Bin Mahmood College of Business Universiti Utara Malaysia Issues in Social and Environmental Accounting ISSN 1978-0591 (Paper) Vol. 6, No. 1/2 June 2012 Pp. 26-49 www.isea.icseard.uns.ac.id http://iiste.org/Journals/index.php/ISEA/index Abstract This paper develops a conceptual model of public sector corporate entrepreneurship for the state government higher education institutions. The proposed model is intended to depict the main antecedents that relate to corporate entrepreneurship within the public sector higher education institution and the impact of corporate entrepreneurship on public sector HEI’s performance, as well as factors influencing its continuous performance. Keywords: Corporate Entrepreneurship, Public Sector Higher Education Institutions, Performance. Introduction A review of the literature on corporate entrepreneurship reveals that most important element that influences the presence of entrepreneurial activity within organization is the existence of a dynamic or even hostile market environment (Covin & Stevin, 1990; Miller & Friesen, 1984; Russell, 1999; Zahra, 1991; Zahra, 1993). The higher education sector is facing the same environment; here, we can say that higher education sector is perfect for an entrepreneurial frame (Kliewer, 1999). Both internal and external environments of higher education sector are seeking high demands, some new and some old: economic recession throughout the world has shrunk resources and increased costs, the matters of quality and relevance, multitude changes in technological and information management needs, the demands for responsiveness to internal and external stakeholders within and outside the institutions (Tierney,1999). The sub-sector of higher education is turmoil and changing, the higher education institutions are under huge pressure to adapt to new environment survive (Collis, 2001; Colliis, 2002; Millin, 2001). The higher education institutions with traditional Governance structure and with methodical pace of traditional decision making hardly cope with the changing pressures (Benjamin, Carrall, Jacobi, Krop, & Shires, 1993).