Abstract

The purpose of this study is to empirically analyze the effect of entrepreneurship of CEOs of small and medium-sized companies on business performance. SMEs are exposed to many risk factors from start-up to growth, and they can survive in the competitive market when they are well utilized by building know-how to systematically manage and overcome these risk factors. This study focused on the situation in which CEOs' future-oriented, creative ideas and entrepreneurship that takes risks will affect business performance. In particular, we would like to explore whether small and medium-sized CEOs play a mediating role in entrepreneurship and business performance by paying attention to the CEO's communication style. In this study, frequency analysis, correlation analysis, reliability analysis, and regression analysis were conducted on 109 CEOs of small and medium-sized companies The results of the study are as follows. First, it was confirmed that the innovativeness of entrepreneurship does not affect financial performance as to whether it will have a positive (+) effect on business performance, but has a positive (+) effect on non-financial performance. Second, it was confirmed that entrepreneurship's innovativeness and risk taking had a positive (+) effect on financial and non-financial performance. Third, it was confirmed that the communication style that mediates the relationship between entrepreneurship and business performance has a complete mediating effect. This study identified that CEO communication styles have a positive effect on the business performance of SMEs, and communication education should be important in future education for CEOs of SMEs along with entrepreneurship education.

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