scholarly journals Entrepreneurial orientation and new venture performance in emerging markets: the mediating role of opportunity recognition

2021 ◽  
Author(s):  
Muhammad Anwar ◽  
Thomas Clauss ◽  
Wunnam Basit Issah
Keyword(s):  
Entrepreneurial Orientation ◽  
New Ventures ◽  
Opportunity Recognition ◽  
New Venture ◽  
Superior Performance ◽  
Mediating Role ◽  
Venture Performance ◽  
The Relationship ◽  
New Venture Performance

AbstractHow entrepreneurial orientation facilitates the identification of new opportunities in newly established ventures in emerging economies remains largely unexplored. Approaching entrepreneurial orientation as a second order latent construct, we examined the mediating role of opportunity recognition on new venture performance. Using a survey data from 316 SMEs, the results of the analysis in SmartPLS highlights that entrepreneurial orientation indirectly contributes to the performance of new ventures, where the relationship is partially mediated by opportunity recognition. The findings show that firms with high entrepreneurial orientation can identify and exploit new opportunities as well as enjoy superior performance.

Impact of entrepreneurial orientation on the performance of new ventures in China: the roles of entrepreneurial bricolage and opportunity recognition

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Tiannv Ma ◽  
Siying Yang
Keyword(s):  
Entrepreneurial Orientation ◽  
New Ventures ◽  
Dynamic Environment ◽  
Opportunity Recognition ◽  
New Venture ◽  
Content Type ◽  
Venture Performance ◽  
Entrepreneurial Bricolage ◽  
The Relationship ◽  
New Venture Performance

Purpose This study aims to examine how entrepreneurial orientation affects new venture performance in a dynamic environment. The authors examine whether entrepreneurial bricolage and opportunity recognition mediate the effect of entrepreneurial orientation on new venture performance and whether environmental dynamics moderate the above effects. Design/methodology/approach This study uses questionnaires to collect data. The sample includes responses of managers from 274 new Chinese ventures. Regression analysis and bootstrapping are used to test the hypotheses. Findings Entrepreneurial bricolage and opportunity recognition play mediating roles between entrepreneurial orientation and new venture performance. Environmental dynamism positively moderates the relationship between opportunity recognition and new venture performance. Practical implications In a dynamic environment, new ventures should strengthen their entrepreneurial orientation, which would gradually improve their performance by improving their entrepreneurial bricolage and opportunity recognition ability. Originality/value This study innovatively explains the relationship between entrepreneurial orientation and new venture performance from the perspectives of “flexible solutions to current problems” and “discovering and grasping potential new opportunities.” It does so by using the concepts of entrepreneurial bricolage and entrepreneurial opportunity identification in the context of a dynamic environment.

Incubator networks and new venture performance: the roles of entrepreneurial orientation and environmental dynamism

2020 ◽  
Vol 27 (5) ◽  
pp. 727-747
Author(s):  
Wenqing Wu ◽  
Hongxin Wang ◽  
Fu-Sheng Tsai
Keyword(s):  
Entrepreneurial Orientation ◽  
New Ventures ◽  
Mediating Effect ◽  
New Venture ◽  
Environmental Dynamism ◽  
Content Type ◽  
Venture Performance ◽  
The Relationship ◽  
Moderating Role ◽  
New Venture Performance

PurposeThis study analyses the relationship between the networks of business incubators (BIs) and new venture performance. It proposes an integrated model for identifying the influence of BIs' internal and external networks on new venture performance through the entrepreneurial orientation (EO) and environmental dynamism.Design/methodology/approachThe study uses multiple regression analysis on a sample of 205 new ventures in Chinese BIs.FindingsBoth the internal and external networks of BIs positively affect new venture performance and EO has a mediating effect in this relationship. Environmental dynamism plays a positive moderating role in the relationship between BIs' internal and external networks and EO.Practical implicationsBased on the results of this study, incubator managers should focus on creating internal and external networks and leveraging network embeddedness to influence new venture performance. Further, new ventures should focus on strengthening their EO and fully consider the impact of environmental dynamism on EO implementation.Originality/valueTo address the research gaps in understanding how BI networks can support new venture growth, this study integrates BIs' internal and external networks and explores their impacts on new venture performance using co-production theory and the resource-based view. It thus opens the black box on how BI's networks affect performance from the EO perspective. Moreover, this study fully clarifies chain relationships by identifying and analysing the moderating role of environmental dynamism.

How can entrepreneurs achieve success in chaos?

Kybernetes ◽  
2019 ◽  
Vol 49 (5) ◽  
pp. 1407-1428 ◽  
Author(s):  
Lihui Xia ◽  
Biao Luo ◽  
Ying Sun
Keyword(s):  
New Ventures ◽  
Emerging Economy ◽  
New Venture ◽  
Hierarchical Regression ◽  
Content Type ◽  
Mediating Role ◽  
Venture Performance ◽  
Key Variables ◽  
New Venture Performance

Purpose This paper aims to explore the mediating role of organizational entrepreneurial capability in the link between entrepreneurs’ effectuation and new venture performance, and whether entrepreneurs’ passion positively moderates this relationship in the Chinese emerging economy. Design/methodology/approach This study collected survey data from 140 Chinese new ventures. Following an empirical design, hierarchical regression analysis and bootstrapping analysis were applied to examine six hypotheses. Findings Results reveal that organizational entrepreneurial capability plays a positively mediating role in the association between entrepreneurs’ effectuation and new venture performance. Moreover, the whole mediation model is positively moderated by entrepreneurs’ passion, not only the association but also between entrepreneurs’ effectuation and organizational entrepreneurial capability. Research limitations/implications The study is limited to the static relationships between key variables using the data obtained at one point in an emerging economy, which cannot investigate the dynamic evolution between variables. More longitudinal designs or cases to track the dynamic association should be considered. Practical implications The findings provide useful suggestions for entrepreneurs to enhance their effectual logic and entrepreneurs’ passion to better perceive and exploit opportunities and further improve new venture performance. The results also provide guidance for other groups, such as angel investors and policymakers, regarding how to use effectuation logic as an evaluation criterion to judge whether a new venture or program has investment potential. Originality/value These findings enrich the effectuation theory by providing the empirical evidence of the effect of entrepreneurs’ effectuation on new venture performance in an emerging economy. They also provide deeper insights into opportunity research by uncovering the mediating role of organizational entrepreneurial capability in the relationship between entrepreneurs’ effectuation and new venture performance.

Entrepreneurial Traits, Entrepreneurial Environment Perception, and New Venture Performance: Empirical Evidence from Chinese Firms

2020 ◽  
Vol 0 (0) ◽  
Author(s):  
Cong Cheng ◽  
Wei Zhang ◽  
Wenyao Zhang ◽  
Yuan Jiang
Keyword(s):  
Entrepreneurial Orientation ◽  
New Venture ◽  
Mediating Role ◽  
Venture Performance ◽  
Environment Perception ◽  
Time Lagged ◽  
Entrepreneurial Activities ◽  
The Relationship ◽  
Moderating Role

AbstractEntrepreneurs, as initiators of entrepreneurial activities, have long been one of important research objects in the field of entrepreneurship research and, however, there has been no study reported on how entrepreneurial traits influence venture performance from a perspective of entrepreneurial orientation. This study explored the relationship between entrepreneurial traits and venture performance by focusing on the mediating role of entrepreneurial orientation and the moderating role of entrepreneurial environment perception. Using time-lagged data from 321 private enterprises in China, the results reveal that entrepreneurial traits are positively related to venture performance, and this link is mediated by entrepreneurial orientation. Additionally, moderated path analysis indicates that entrepreneurial environment perception strengthens the direct effect of the entrepreneurial traits on entrepreneurial orientation and its indirect effect on venture performance. This study extends the scope of entrepreneurial traits research, and provides evidence for arguments that entrepreneurship in the context of China.

Networking and new venture’s performance: mediating role of competitive advantage

2018 ◽  
Vol 13 (5) ◽  
pp. 998-1025 ◽  
Author(s):  
Muhammad Anwar ◽  
Atiq Ur Rehman ◽  
Syed Zulfiqar Ali Shah
Keyword(s):  
Competitive Advantage ◽  
New Ventures ◽  
New Venture ◽  
Equation Modeling ◽  
Content Type ◽  
Mediating Role ◽  
Venture Performance ◽  
Business Networking ◽  
New Venture Performance

Purpose The purpose of this paper is to investigate the effect of different types of networking, namely, business networking, financial networking and political networking, on the performance of new ventures and the extent to which competitive advantage influences the process. Design/methodology/approach Data were collected through a structured questionnaire using sample size of 319 newly established ventures in Pakistan – an emerging economy. The hypotheses were tested with structural equation modeling by using AMOS 21. Findings Results of the study indicate that business networking, financial networking and political networking significantly and positively contribute to new ventures performance and competitive advantage. Results also show that competitive advantage is a strong mediator between financial networking and new venture performance, as well as between business networking and new venture performance, respectively. However, in case of relationship between political networking and new venture performance, competitive advantage plays only a partial mediating role. Practical implications The study suggests that the owners and managers of new ventures should devote considerable efforts to developing all the three types of networks; in particular these networks are important for newly established ventures operating in emerging markets to access resources and to enhance performance. Originality/value Extensive review of available literature indicates that this is the first paper to assess the impact of networking on new ventures’ performance with a mediating role of competitive advantage. This study contributes to the existing literature through empirical evidence.

Personal Networks as Fosterers of Entrepreneurial Orientation in New Ventures

2005 ◽  
Vol 6 (4) ◽  
pp. 239-248 ◽  
Author(s):  
Maria Ripollés ◽  
Andreu Blesa
Keyword(s):  
Entrepreneurial Orientation ◽  
Direct Relationship ◽  
New Ventures ◽  
New Venture ◽  
Personal Networks ◽  
Network Development ◽  
Personal Network ◽  
Venture Performance ◽  
Indirect Relationship ◽  
New Venture Performance

Two central propositions are evaluated in this paper: the existence of a direct relationship between the entrepreneur's personal networks and entrepreneurial orientation (EO) development, and the existence of an indirect relationship between the two through the information acquired from personal networks. The effect of EO and personal network development on new venture performance is also studied. The authors test these relationships on a sample of Spanish new ventures. They then discuss the results and comment on possible implications in the academic and managerial sectors.

The Role of Entrepreneurs in the Entrepreneurial Ecosystem

2020 ◽  
pp. 252-275
Author(s):  
Xiu Yang ◽  
Ting Yang ◽  
Yi Wang ◽  
Qing Wang
Keyword(s):  
Self Efficacy ◽  
Positive Impact ◽  
New Ventures ◽  
New Venture ◽  
Entrepreneurial Learning ◽  
Entrepreneurial Performance ◽  
Mediating Role ◽  
Venture Performance ◽  
Internal Mechanism ◽  
New Venture Performance

This chapter introduces entrepreneurial self-efficacy, a psychological cognitive factor, into the context of entrepreneurship, trying to sort out the internal mechanism of entrepreneurial self-efficacy, dual entrepreneurial learning, and entrepreneurial performance and construct a theoretical model. The hypothesis is that entrepreneurial self-efficacy has a positive effect on both dual entrepreneurial learning and new venture performance. Dual entrepreneurial learning has a positive impact on the performance of new ventures and acts as a mediator between entrepreneurial self-efficacy and entrepreneurial performance. The empirical results show that entrepreneurial self-efficacy can promote exploratory entrepreneurial learning and the improvement of new venture performance. Exploratory entrepreneurial learning plays a mediating role in the effect of entrepreneurial self-efficacy on the performance of start-ups, while entrepreneurial learning can't play a mediating role in the process of exploitative entrepreneurial learning.

The effect of effectuation set of means on new venture performance: flexibility principle as a mediating factor

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Frida Thomas Pacho ◽  
Hellena Mushi
Keyword(s):  
Structural Equation ◽  
New Ventures ◽  
New Venture ◽  
Equation Modeling ◽  
Hierarchical Regression ◽  
Content Type ◽  
Mediating Role ◽  
Venture Performance ◽  
Business Environments ◽  
New Venture Performance

Purpose This study aims to examine the effect of the effectuation set of means on new venture performance in the context of Tanzania’s emerging economy. To determine how new ventures, benefit from the effectuation set of means experienced entrepreneurs possess, this study examines the role of the flexibility principle of effectuation as a key mediator. Design/methodology/approach The research is quantitative in nature, and a survey questionnaire was used to get data from five cities of Tanzania. In total, 350 samples obtained for analysis. The hierarchical regression and structural equation modeling were used for testing the hypotheses. Findings The effectuation set of means is affirmed to have a positive effect on new venture performance. The flexibility principle plays a partial mediating role in the relationship between the effectuation set of means and new venture performance. Originality/value This empirical evidence contributes to the progress of the theory of effectuation and also provides managerial guidelines for entrepreneurs who operate their new ventures and face uncertain business environments.

THE RELATIONSHIP BETWEEN INTELLECTUAL CAPITAL AND NEW VENTURE PERFORMANCE: AN EMPIRICAL INVESTIGATION OF THE MODERATING ROLE OF THE ENVIRONMENT

2006 ◽  
Vol 03 (04) ◽  
pp. 379-405 ◽  
Author(s):  
NORMA JUMA ◽  
JEFFREY McGEE
Keyword(s):  
Intellectual Capital ◽  
Empirical Investigation ◽  
New Ventures ◽  
New Venture ◽  
High Tech ◽  
Venture Performance ◽  
Crucial Component ◽  
The Relationship ◽  
Moderating Role

Many organizations today view intellectual capital (IC) as their most valuable asset. New ventures, in particular, can leverage their IC to attain and sustain a competitive advantage. This study investigates whether IC has a direct impact on venture performance. We also seek to determine if this relationship is moderated by environmental dimensions. Our findings suggest that human capital is the most critical component of IC when predicting operating performance of high-tech ventures, while intellectual property is the crucial component when predicting market-based performance. Our findings also suggest that the relationship between IC and venture performance is influenced by the environment.

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

2021 ◽  
Vol 0 (0) ◽  
Author(s):  
Wenhong Zhao ◽  
Siyao Lyu ◽  
Tomoki Sekiguchi
Keyword(s):  
Perspective Taking ◽  
Entrepreneurial Orientation ◽  
New Ventures ◽  
Empathic Concern ◽  
New Venture ◽  
Curvilinear Relationship ◽  
Mediating Effects ◽  
Firm Level ◽  
Venture Performance ◽  
New Venture Performance

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.

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