The entrepreneurial organization: The effects of organizational culture on innovation output.

Abstract

As organizations face growing economic pressures, leaders need to create work environments that support and encourage entrepreneurial behavior in their workforce to drive organizational innovation and growth. In this vein, the current article examines the effect of an entrepreneurial culture on an employee's innovation output and explores three mechanisms by which this may be achieved. In a sample of 438 working adults, the relationship between entrepreneurial culture and innovation output was fully mediated by work engagement. Furthermore, entrepreneurial culture positively moderated the relationship between an individual's entrepreneurial personality and innovation output. These findings contribute new theoretical insights to the corporate entrepreneurship literature and have important practical implications for organizations aiming to become more entrepreneurial.