Effect Of Entrepreneurial Orientation Research Articles

Does Entrepreneurial Orientation Lead to Successful Sustainable Innovation? The Evidence from Chinese Environmentally Friendly Companies

This research examines the linkage between entrepreneurial orientation and sustainable innovation. Research shows that the effects of entrepreneurial orientation on the exploitation and exploration of sustainable innovation are significantly positive, whereby absorptive capacity acts in a significant mediating role. The interaction between entrepreneurial orientation and absorptive capacity helps organizations overcome organizational inertia and strengthen the sustainability of innovation. By introducing the absorptive capacity theory and the view of organizational inertia, we have conducted empirical research on 392 Chinese environmentally friendly companies that have passed China’s national high-tech enterprise certification. We verified the relevant hypotheses in our framework in a structural model analysis using Mplus. To further look at the interaction terms of potential and realized absorptive capacity, we used PROCESS in SPSS to evaluate the conditional effects of absorptive capacity on coefficient paths between entrepreneurial orientation and the two types of innovation. The results show that entrepreneurial orientation improves the absorptive capacity of organizations, thereby promoting their sustainable innovation. Furthermore, based on the theory of sustainable innovation, we proved the positive impact of realized and potential absorptive capacity on the exploitation and exploration of sustainable innovation. Organizations could balance exploitation and exploration to implement sustainable innovation by adjusting their potential and realized absorptive capacities. Our results can help environmentally friendly organizations adjust the combination of entrepreneurial orientation and absorptive capacity to overcome organizational inertia, manage exploitation and exploration, and implement sustainable innovation.

Entrepreneurial and market orientation interactive effects on SME performance within transitional economies

Purpose The purpose of this study is to examine how the adaptive nature of market orientation (MO) and the risk-taking nature of entrepreneurial orientation (EO) might be integrated for a complementary and reinforcing synergetic effect on firm performance within transitional economies. Design/methodology/approach The paper suggests links between the EO and MO concepts and develops propositions informed by prior research and reasonable assumptions. The propositions aim to spur future research to uncover further evidence that validates the testable hypothesis. Findings In particular, the study calls for investigating the interaction effect of EO with MO on new product entry, market intelligence collection and processing competence. In addition, the study proposes research studies on whether EO’s interaction effect with MO will tend to mitigate risk in the development of breakthrough innovation and whether the interacting strategic orientations are creating a synergetic effect towards firm performance. Finally, the study recommends that research models should be tested and understood in consideration of conditions and circumstances from varying contexts, such as the small and medium enterprise sector within transitional economies and the media industry. Originality/value Whilst the performance implications of EO and MO, when modelled separately, have been extensively studied in developed and diversified market economies, studies are in the early stages of investigating the joint effect of EO and MO on firm performance, especially within transitional economies.

Effects of entrepreneurial orientation and external business environment on entrepreneurial intentions of STEM students in Nigeria

Effects of entrepreneurial orientation and external business environment on entrepreneurial intentions of STEM students in Nigeria

Entrepreneurial orientation, competitive advantage and strategic knowledge management capability in Malaysian family firms

PurposeThe purpose of this study is to test the thesis that the family firm’s success hinges on effective strategic knowledge management (SKM) capability coupled with an entrepreneurial orientation (EO). Contingency theory holds that entrepreneurial success is contingent on strategic capabilities and resource orchestration theory explains how well family firms nurture capabilities to structure, bundle and leverage resources that define competitive advantage (CA). This study combines these two theoretical viewpoints to propose the effects of EO and SKM capability on CA to achieve successful performance in family firms.Design/methodology/approachThis study uses a hybrid approach applying structural equation modelling (SEM) and deep-learning artificial intelligence (DL-AI) analysis to survey data on 268 Malaysian family firms.FindingsSEM results confirm that CA mediates the relationship between innovativeness, proactiveness and risk-taking dimensions of EO and firm performance. Autonomy and competitive aggressiveness have no bearing, however. The relationships among innovativeness, proactiveness and risk-taking with CA and performance are positively moderated by SKM capability, becoming more potent at higher levels. Moreover, four additional DL-AI models reveal the necessity of specific EO dimensions and the interacting effects of EO–SKM capability to influence CA and to attain performance success subsequently.Originality/valueThis study theorizes and presents two new boundary conditions to a knowledge-based theory of the family firm and its firm performance. First, CA mediates the relationship between EO and performance; and second, SKM capability moderates the relationships between EO and CA and between EO and family firm performance. Methodologically, this study uses DL-AI to embrace non-linearity and prioritize predictor variables based on normalized importance to produce greater accuracy over regression analysis. Hence, DL-AI adds methodological novelty to the knowledge management and family firm literature.

A Signaling Perspective on Entrepreneurial Orientation: Too Much of a Good Thing?

A high level of entrepreneurial orientation (EO) is ambivalent. While EO fosters firm performance, its consequences for firms’ risk are twofold: it may strengthen firms’ competitive position but likewise increase their risk of failure through explorative ventures. We take a novel signaling perspective on EO. In trading off risk and return, stock markets constantly evaluate signals. Signals enable firms to reduce the information asymmetry with markets while shaping markets’ perception of the firm. While EO might entail the chance for high returns, it comes along with higher risks. Consequently, we aim to advance the theory on signaling effects of EO in markets’ reactions to strategic announcements of newly public firms that are under increased scrutiny. We hypothesize that markets react most favorably at moderate levels of EO, constituting an inverse U-shaped relationship. We argue that firms’ industry position and business diversification moderate the relationship. Based on a sample of 1,393 firm-year observations of firms going public between 2001 and 2014, we find support for our hypotheses. By taking a signaling perspective on EO, we advance the literature on strategic orientations towards a new direction. From a practitioner’s perspective, firms and shareholders need to understand the signaling effects of EO.

The Combined Impact of EO and GO on Firm Profitability under Different Institutional Contexts

To benefit from green entrepreneurship, firms need to simultaneously possess an entrepreneurial orientation (EO) and a green orientation (GO) which in fact may conflict with each other as they aim to address potentially contradictory interests from different stakeholders. This study develops a contingent view of the effects of interaction between EO and GO on firm profitability by considering three institutional factors—provincial government opacity, provincial gross domestic product (GDP) per capita, and religious intensity—as boundary conditions. The results obtained by analyzing first- and second-hand data support a non-significant interaction effect of EO and GO; such an interaction effect was positive when firms are located in provinces with low GDP per capita or in places with low religious intensity, but was negative when provincial government opacity is low or when religious intensity is high.

Development of Entrepreneurial Orientation through Specific Critical Incident (SCI) Entrepreneurial Learning on Business Performance (Case Study of Culinary Small and Medium Enterprises (SMEs) in South Kalimantan Province)

This research aims to reveal the Development of Entrepreneurial Orientation through Specific Critical Incident (SCI) Entrepreneurial Learning on Business Performance. This study use qualitative research design. The result shows that effect of entrepreneurial orientation on specific critical incident (SCI) entrepreneurial learning has a p-value of 0.002 where the value is less than 0.1 (0.002 < 0.1), so it can be concluded that hypothesis 1 of this study is acceptable or there is an influence of entrepreneurial orientation on specific critical incident (SCI) entrepreneurial learning at a real level of 10% with a parameter coefficient value of 0.466. This means that better entrepreneurial orientation is able to increase specific critical incidents of entrepreneurial learning in entrepreneurship for culinary business actors in South Kalimantan.

Effects of entrepreneurial orientation, social media, and innovation capabilities on SME performance in emerging countries: a mediated–moderated model

ABSTRACT Improvement in social media (SM) platforms and their ability to enable small and medium-sized enterprises (SMEs) to reach a large audience has led to changes in how entrepreneurial firms carry out their regular activities. Studies on entrepreneurship and SM adoption are relatively new and fragmented; however, there is scant interest from managers, scholars, and governments for future research work in this area in emerging countries. This study aims to investigate the role of SM adoption and innovation capabilities (IC) in improving SME performance. We employ the resource-based view (RBV) as a basis for the conceptual model and infer relationships between entrepreneurial orientation (EO), SM adoption, IC, and SME performance. A closed-ended questionnaire was administered to collect data through a web-based survey and quantitative analysis was employed to generalise the results. The proposed relationships are tested on a sample of 431 randomly selected SMEs, applying the PLS algorithm, bootstrapping, and blindfolding techniques using SmartPLS 3.0. The findings reveal that SME performance could be improved by EO, SM adoption, and IC. Additionally, SM adoption significantly mediates the EO–SME-performance relationship, and IC moderates the SM-adoption–SME-performance association. This paper also makes several theoretical and practical contributions.

IMPACT OF KNOWLEDGE MANAGEMENT ON BUSINESS PERFORMANCE IMPROVEMENT: A STUDY ON BATIK BUSINESS

Entrepreneurial orientation is one of the antecedent variables that can improve small and medium enterprises' performance. This article provides a discussion on the scope of company performance, especially in small and medium enterprises. This article examines and analyzes the effect of entrepreneurial orientation on performance with management knowledge as a moderating variable in Indonesia's small and medium enterprises. The research sample, 45 small and medium batik enterprises in the city of Surakarta, Indonesia. Hypothesis analysis, using SPSS 22.00. The results showed that entrepreneurial orientation dimensions (innovation, proactive, risk-taking) significantly affected enterprise performance with β = .560 and sig ≤ 0.05. However, knowledge management does not influence moderation, where the effect is on performance with β = -.220 and sig &gt; .112.

The Role of Entrepreneurs’ Empathy in New Venture Performance: The Mediating Effects of Entrepreneurial Orientation

Abstract Previous research has found that entrepreneurs’ empathy promotes personal opportunity identification. However, the role that entrepreneurs’ empathy plays at the firm level in new ventures is still unclear. This study explores this question by investigating how perspective taking and empathic concern, which respectively represent the cognitive and affective component of entrepreneurs’ empathy, influence new venture performance with the mediating effects of entrepreneurial orientation (EO). Based on an empirical study with 341 new ventures, this research finds a positive relationship between perspective taking and new venture performance and a curvilinear relationship between empathic concern and new venture performance. In addition, both of these relationships are mediated by EO. This study sheds light on distinct impacts of the entrepreneur’s perspective taking and empathic concern at the firm level, enriches the antecedents of EO from the cognitive and affective factors of the entrepreneur, and extends the implications of the entrepreneur’s altruistic dispositions in commercial start-ups.

The Effect of Entrepreneurial Orientation on Innovation

Performance improvement can be achieved if the organization can exploit and use its resources. One of the resources needed to achieve competitive advantage is entrepreneurial orientation. The entrepreneurial orientation helps organizations continuously create value chains by converting knowledge to be innovative and more competitive. The purpose of this research is to create innovation through entrepreneurial orientation. This study uses a quantitative approach with survey methods in data collection. The research location is in Kampung-Laweyan as the largest batik craft center in Solo. Samples were taken as many as 50 SMEs and analyzed using regression analysis. The results of the analysis show that innovativeness, risk-taking, and competitive aggressiveness have a positive and significant effect on innovation. The Proactive dimension has a positive but insignificant effect on the innovation variable. The Autonomy dimension has a negative and insignificant effect on the innovation variable. Suggestions for further research are that it is necessary to analyze the use of technology, especially for SMEs in anticipating uncertain conditions due to the Covid-19 Pandemic

Effects of Entrepreneurial Orientation on Performance and Growth: Are Microenterprises and Small Firms Equal?

Entrepreneurial orientation is one of the constructs that is increasingly gaining the attention of researchers, academics and industry professionals, and is considered in the current literature as one of the business strategies that generates, both a higher level of financial performance and growth in companies. However, there are relatively few studies published in the entrepreneurship literature that analyze the relationship between entrepreneurial orientation, financial performance and the level of growth of small companies, especially in emerging economy countries, as is the case from Mexico. For this reason, through a sample of 300 micro and small companies, the essential objective of this study is the analysis of the effects of company size on the relationship between entrepreneurial orientation, financial performance and growth of companies. The results obtained show that the entrepreneurial orientation has significant positive effects both on financial performance and on the level of growth of micro and small companies. JEL classification numbers: M21 Keywords: Open innovation practices, Product development, Firm performance, Manufacturing firms.

Effects of Entrepreneurial Orientation on Performance and Growth: Are Microenterprises and Small Firms Equal?

Entrepreneurial orientation is one of the constructs that is increasingly gaining the attention of researchers, academics and industry professionals, and is considered in the current literature as one of the business strategies that generates, both a higher level of financial performance and growth in companies. However, there are relatively few studies published in the entrepreneurship literature that analyze the relationship between entrepreneurial orientation, financial performance and the level of growth of small companies, especially in emerging economy countries, as is the case from Mexico. For this reason, through a sample of 300 micro and small companies, the essential objective of this study is the analysis of the effects of company size on the relationship between entrepreneurial orientation, financial performance and growth of companies. The results obtained show that the entrepreneurial orientation has significant positive effects both on financial performance and on the level of growth of micro and small companies. JEL classification numbers: M21 Keywords: Open innovation practices, Product development, Firm performance, Manufacturing firms.

Women entrepreneurship orientation, networks and firm performance in the tourism industry in resource-scarce contexts

Drawing on network theory, this study examines how the entrepreneurship orientation (EO)-performance nexus is intermediated by networks firms establish with government agencies, suppliers, and resource acquisition. Structural equation modelling is used to test the model on a sample of 556 women tourism entrepreneurs in Ghana and Nigeria. Findings indicate that EO positively influences firms’ social ties, resource acquisition, and performance. The results also indicate that establishing strong ties with government agencies leads to more resource acquisition among women owned tourism businesses than strong business ties with suppliers. Furthermore, business ties are more beneficial when they mediate the effect of EO on performance and become weak and negative when the effect is sequentially mediated by business ties and network resource acquisition. Political ties negatively influenced performance. This study provides novel insights into the EO, networks and performance nexus in resource-scarce contexts. The managerial implications for supporting women entrepreneurs are critically examined.

Effect of Entrepreneurial Orientation on Profitability of Selected Quoted Consumer Goods Manufacturing Companies in Nigeria

Effect of Entrepreneurial Orientation on Profitability of Selected Quoted Consumer Goods Manufacturing Companies in Nigeria

The Role of Akhlak Intelligence: Mediation Between Self-Efficacy and Entrepreneurial Orientation

This study attempts to fill the gap in the literature between self-efficacy and entrepreneurial orientation (EO). The purpose of this study was to determine the effect of self-efficacy and EO mediated by moral intelligence. Data collection was carried out from a population of 17,603 Muslim entrepreneurs in the city of Semarang who are engaged in the Micro, Small, and Medium Enterprises (MSMEs) sector. The data collected from the online survey was applied to structural equation modeling (SEM). From this study, it was found that self-efficacy has a significant effect on EO and moral intelligence, while moral intelligence affects EO. This study contributes to the literature on the role of self-efficacy and moral intelligence in increasing EO. The originality of this study is to offer the concept of moral intelligence which plays a central role in the relationship between self-efficacy and EO. Thus, no studies have investigated this causality.

Effects of entrepreneurial orientation on social media adoption and SME performance: The moderating role of innovation capabilities.

The increase of social media (SM) has led to continuous deviations in how day-to-day entrepreneurial activities can be carried out. Additionally, studies devoted to SM entrepreneurship and SM are relatively limited and fragmented in their focus. However there is growing interest from scholars, practitioners and academia for upcoming studies and exploration within small and medium-sized enterprises (SMEs) context. This research explores the impact of entrepreneurial orientation (EO) on SM adoption and SME performance in developing countries. We employed the resource-based view (RBV) as the foundation for developing the conceptual framework The present study employed a closed-ended questionnaire to collect data from SMEs located in Pakistan. Partial-least-squares-structural equation-modeling (PLS-SEM) was utilized for the analysis of 423 responses. The results proved a direct positive link between EO-SMEs performance, EO-SM adoption, SM adoption-SMEs performance, innovation capabilities (IC), and SME performance. Partial mediation was found between EO and SME performance, and the significant moderation effect of IC was found between SM adoption and SME performance. This paper has implications for practitioners and researchers regarding SM adoption in the SMEs. It builds an empirical, multi-dimensional hypothesized model, including mediating and moderating roles affecting the relationships.

Determinants of Innovativeness in Manufacturing Small and Medium Enterprises in Kenya

In spite of firm innovativeness being identified as essential for growth, there exists a dearth of studies that relate entrepreneurial orientation and innovativeness in manufacturing small and medium enterprises in the developing world. In this article, we unpack the dimensions of entrepreneurial orientation and examine their influence on innovativeness of manufacturing small and medium manufacturing enterprises. This was a cross sectional survey with a stratified sample size of 363 firms. Regression models were used to validate the derived hypothesis. We discuss the implications of the results which show that the dimensions were individually not found to have a significant effect on innovation but yet entrepreneurial orientation had an influence on firm innovativeness. We identify the need for additional studies to broaden the scope of future studies across several geographies. We conclude by challenging the ever-dynamic local institutional policies that have not had a significant impact on the effect of entrepreneurial orientation on innovativeness of SMEs across many developing countries.

Effects of Entrepreneurial Orientation and Passion for Work on Performance Variables in Sports Clubs

Entrepreneurial orientation and passion for work have been widely studied due to their effects on the behaviour and attitude of management teams in the short- and long-term. However, despite the influences of these variables on the sustainability and survival of an entity, there is a gap when considering the effects of these two performance variables in sports organisations. Therefore, the main objectives of this study were to understand the influences of entrepreneurial orientation and passion for work on service quality and sporting performance. To this end, 199 Spanish non-profit sports clubs were analysed using instruments with good psychometric properties. Data analysis was carried out using two complementary methodologies: hierarchical regression models and fuzzy-set qualitative comparative analysis. The findings show that innovation and risk-taking influence performance variables and that the inclusion of passion for work significantly increases the explanatory capacity of the model. On the other hand, it was also observed that entrepreneurial orientation dimensions and passion for work are part of the combination that allows the expected result to be explored to a greater extent. Theoretical and practical implications were drawn from these findings, which can be used to improve the economic and social sustainability of sport organisations. The study also provides useful information for managers and directors of sport organisations.

PENINGKATAN KINERJA UKM BATIK MELALUI KUALITAS ASET STRATEJIK

The purpose of this study was to examine the effect of entrepreneurial orientation and organizational learning on the quality of strategic assets, and also the effect of strategic asset quality on business performance. This research was conducted at UKM Batik Semarang, the respondents used were 102 respondents. The data is processed using Structural Equation Modeling (SEM) with the help of the Analysis of Moment Structure (AMOS) version 18.0 program.&#x0D; Based on the results of the analysis, it is concluded that the effect of entrepreneurial orientation on the quality of strategic assets shows a CR value of -0.338 and with a probability of 0.735, testing the effect of entrepreneurial orientation on business performance shows a CR value of 2.499 and with a probability of 0.012, testing organizational learning on strategic asset quality shows a value CR is 4.881 and with a probability of 0.001., Testing the effect of organizational learning on business performance shows a CR value of 1.351 and with a probability of 0.177, the effect of strategic asset quality on business performance shows a CR value of 2.067 and with a probability of 0.039.&#x0D; &#x0D; Keywords: Entrepreneurship Orientation, Organizational Learning, Strategic Asset Quality, Business Performance