A study on the effect of corporate entrepreneurship on organizational growth in an IT services company in India

Abstract

Background: Corporate entrepreneurship, or entrepreneurial practices at the level of a well-established organization, has long been recognized as a critical component of organizational growth. Corporate entrepreneurship is gaining strategic significance as a result of its effect on the organizational process, which contributes to the organization’s growth. Organizational development and growth are some of the most important explanatory variables in corporate entrepreneurship, according to a recent study. Purpose: The purpose of this study was to examine the relationship between the dimensions of corporate entrepreneurship developed in IT Services companies and organizational growth and the effects of corporate entrepreneurship on organizational growth. This paper tests a framework that examines the nature of the relationship between corporate entrepreneurship and organizational growth. Methodology: A qualitative case study method to analyze the dimensions of corporate entrepreneurship and their effect on the growth of the organization was used in this study. Semi-structured interview techniques and content analysis were used in this qualitative research. Findings: The study discovered that innovation, one of the corporate entrepreneurship dimensions, has positive effects on organizational growth. It is found that corporate entrepreneurship dimensions improved organizational growth by growing a company’s innovativeness. In addition, the “autonomy” dimension of corporate entrepreneurship has negative effects on organizational growth. Unique contribution to theory, practice, and policy: The study showed the strategic importance of corporate entrepreneurship by presenting evidence of the relationship between dimensions of corporate entrepreneurship and organizational growth in light of the Greiner Organizational Growth Model. The study also offered useful insights to practitioners on how to transition smoothly to the next phases of the growth by planning for all potential crises that can arise in each phase and the solutions that reflect moving to the next phase of the Greiner growth model. Besides, the outcome of the study contributes both to corporate entrepreneurship and organizational growth literature.