Abstract
This research aims to investigate the impact of entrepreneurial orientation dimensions on a firm’s innovation intensity along with the moderation of environmental turbulence. The dimensions of entrepreneurial orientation include autonomy, pro-activeness, risk attitude, innovation readiness and competitive aggressiveness, hence the study includes five direct hypotheses and five moderated hypotheses. The data was gathered through an online questionnaire. The sample size of the study was 386 small and medium enterprises (SME) operating in Pakistan. The questionnaire was filled out by executive managers or executive directors of organizations as company representatives. Smart PLS was used to analyze the data. The measurement model was run to ensure validity and reliability. Moreover, the outer loadings, model fit and important statistics were assured. The structural model estimated the proposed relationships of the study. The findings of the study suggested a positive impact of all the dimensions of entrepreneurial orientation on innovation while the moderation effect of environmental turbulence was found to be significant for all the relationships except innovation readiness. The study finally concluded that EO had a significant impact on innovation intensity. Based on the findings, it is recommended that SMEs should enhance entrepreneurial orientation in their respective organizations in order to intensify innovation. The practical objective of this research was to gain knowledge on entrepreneurial orientation and innovation intensity that is crucial for organizations in the contemporary business world. The study has certain implications for the development of organizations’ strategic orientation. SMEs in Pakistan have great potential and in terms of intensifying innovation in enterprises, it is important to focus on entrepreneurial orientation. Thus, SMEs have to be innovative, proactive, and ready to take risks which may ultimately help them improve their performance.
Highlights
For a long time, innovation has occurred through the path of entrepreneurial orientation (Dalton & Logan, 2020; Okonkwo, 2020)
The current study focuses on these five dimensions as a leading part of entrepreneurial orientations (EO) our discussion may vary as we argued these dimensions independently in a given circumstance
The research framework provided in the previous section was influenced by earlier works done in the field of Entrepreneurial Orientation (EO) and Innovation Intensity (II)
Summary
Innovation has occurred through the path of entrepreneurial orientation (Dalton & Logan, 2020; Okonkwo, 2020). The construct of EO was first introduced by Miller (1983) which encompasses three elements i.e., risk-taking, innovation, and pro-activeness (Miller, 2011). The researchers have further linked innovation to stimuli resolution contrivances and responses (Bouguerra et al, 2020; Pihlajamaa, 2017), this attempt aids to enhance the knowledge and build new models subsequently (Lawal, 2020; Kocak et al, 2017). Literature does not enlighten the concept if either innovation in entrepreneurial orientation is an output or input element (Baregheh et al, 2009). Prior studies underline the fact the innovation is not an isolated occurrence either it is considered as a process that involves both factors of input and output (Forsman, 2011; Vasconcellos & Marx, 2011; Sebora, & Theerapatvong, 2010)
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call
