The Role of Management Capabilities on Entrepreneurial Orientation and Firm Growth Relationship

Abstract

The concept of firm orientation by Miller seminal works (1983) was expanded further by other scholars and gradually came to be known as entrepreneurial orientation. The objective of this study is to review the literature on entrepreneurial orientation, firm growth and management capabilities within the context of university spin-off firms. Thus, this paper seeks to review the impact of management capabilities as a main source and driver on firm’s growth. This paper proposes a conceptual model to further realize the influence of managerial capabilities on firm growth and entrepreneurial orientation relationship. Despite its coverage and emphasis, the concept of entrepreneurial orientation lacks theoretical basis and contextual study that could enhance its understanding. Previous research has defined entrepreneurial orientation in a variety of ways. This paper utilizes Resourcebased View in particular Penrosian Theory of Firm as underpinning theory.