Entrepreneurial orientation and firm performance: The role of knowledge creation process

Purpose This study aims to examine the mediating role of internationalization in the relationship between the dimensions of entrepreneurial orientation (EO) and performance, empirical study of small and medium scale enterprises (SMEs) in a developing nation. Design/methodology/approach The study uses a sample of 158 exporting SMEs based in the sub-Saharan developing economy, Ghana. The use of hierarchical regression (ordinary least square analysis) was used by the researcher to assess the suggested model of the study. Findings Largely supporting the conjectural predictions, the study indicates that EO positively and significantly influences performance; internationalization fully mediates the relationship between innovativeness and performance of export firms; internationalization fully mediates the relationship between risk-taking and performance of export firms; and finally, internationalization partially mediates the relationship between competitive aggressiveness and performance of export firms. Managers are, therefore, encouraged to strategically develop both their EO and internationalization, as the study has confirmed that EO has both a direct and indirect relationship with performance. Originality/value This study integrated a resource-based view of the firm and international entrepreneurship theory as a theoretical foundation. Theoretically, internationalization’s mediating role reveals the relevance of this construct in the linkage between entrepreneurial orientation and firm performance. Furthermore, the study extends the entrepreneurial orientation concept to the international business literature by estimating and testing models of the mediating link between entrepreneurial orientation and performance. Moreover, the study seeks to broaden the knowledge of entrepreneurial orientation and its relationship with performance in small and medium businesses. The study further extends the limited studies on performance, driven by entrepreneurial orientation and internationalization in a developing nation (Ghanaian) context. This paper besides seeks to highlight the impact of entrepreneurial orientation on performance when channeled through internationalization. The study also reveals the dimensions of entrepreneurial orientation to be important antecedents of internationalization, in attempts at unearthing the critical predictors of firm performance, especially those of international characteristics.

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Linking entrepreneurial orientation and small service firm performance through marketing resources and marketing capability

Journal of Service Theory and Practice ◽

10.1108/jstp-01-2016-0001 ◽

2017 ◽

Vol 27 (1) ◽

pp. 231-249 ◽

Cited By ~ 11

Author(s):

Phyra Sok ◽

Lan Snell ◽

Wai Jin (Thomas) Lee ◽

Keo Mony Sok

Keyword(s):

Firm Performance ◽

Entrepreneurial Orientation ◽

Marketing Capability ◽

Content Type ◽

Service Firm ◽

Moderation Effects ◽

Marketing Resources ◽

And Performance ◽

Mediation And Moderation

Purpose The literature establishes complex relationships between entrepreneurial orientation (EO) and performance, with mixed findings suggesting the variability of the magnitude of the relationship between the two. Some studies report a positive relationship, some negative, while some report an insignificant relationship between EO and performance. These conflicting findings suggest that the EO-performance relationship is more complex than a simple main-effects-only relationship. The literature offers two distinct approaches – integrating moderating or mediation variables in advancing the EO-performance relationship. The purpose of this paper is to extend current knowledge by examining underlying processes through which EO contributes to performance and the specific conditions under which this process is facilitated. Design/methodology/approach To test the hypotheses the authors chose small service firms in Australia. Industry representation included: accommodation and food services; health care services; rental, hiring and real estate services; transport, postal and warehousing; arts and recreation services; retail trade; construction and training services; and professional, scientific and technical services. The services sector offers a unique opportunity to analyze variances in entrepreneurial engagement and organizational outcomes given the competitive intensity within the service sector which requires firms to engage in venturing, renewal and innovation. The proposed hypotheses were tested through a hierarchical regression analysis. Findings This study finds the support for the mediation effect of marketing capability on the EO-performance relationship. Critically, this study also finds that marketing resources moderates on the indirect effect of EO on performance via marketing capability. The findings supporting both the mediation and moderation effects of marketing capability and marketing resources on the EO-performance relationship (moderated mediation model) suggests that greater insight into how EO influences small service firm performance can be achieved through considering in combination with other firm-level constructs (marketing capability and marketing resources in this study). Originality/value It addresses the call by prior studies to link the EO construct to theory by embedding marketing resources and marketing capabilities in the EO-performance relationship. Importantly, by accounting for both mediation and moderation effects the authors provide a more complete picture of the EO-performance relationship that highlights the mediating role of marketing capability and the moderating role of marketing resources. This approach helps to reconcile the critical but separate directions proposed by prior studies in advancing the EO-performance relationship.

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A Proposed Framework of Corporate Entrepreneurship in Government-linked Companies

Business Management and Strategy ◽

10.5296/bms.v10i2.15863 ◽

2019 ◽

Vol 10 (2) ◽

pp. 234

Author(s):

Harry Entebang

Keyword(s):

Firm Performance ◽

Strategic Management ◽

Entrepreneurial Orientation ◽

Strong Relationship ◽

Corporate Entrepreneurship ◽

External Factors ◽

The Other ◽

Public Enterprises ◽

Internal And External Factors

The growth of public enterprises or government-linked companies (GLCs) has been phenomenal over the years. However, the performance of GLCs remains a major concern. On the other hand, past studies have postulated that there is a strong relationship between corporate entrepreneurship (CE), entrepreneurial orientation (EO) and firm performance. Despite this, viewing GLCs’ performance in the context of CE or EO has received minimal attention among strategic management and entrepreneurship scholars. This paper highlights and discusses the performance of GLCs within the context of CE. Given the role of EO as a direct predictor while proposing CE internal and external factors as moderators of the EO-CE performance relationship in GLCs, a proposed framework of CE within the context of GLCs in Malaysia is proposed.

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