The nature of entrepreneurial orientation strength: the impact of shared values on firm performance

2021 ◽  
pp. 1-21
Author(s):  
Laurence G. Weinzimmer ◽  
Eric J. Michel ◽  
Jennifer Robin
Keyword(s):  
Firm Performance ◽  
Entrepreneurial Orientation ◽  
Convergent Validity ◽  
Field Studies ◽  
Theory And Practice ◽  
Interactive Effects ◽  
Revenue Growth ◽  
Entrepreneurship Theory ◽  
The Impact ◽  
Strong Culture

Abstract Drawing on Wales, Monsen, and McKelvie's (2011, Entrepreneurship Theory and Practice, 35(5), 895–923) model of entrepreneurial orientation pervasiveness and the strong culture hypothesis (Denison, 1984, Organization Dynamics, 13, 4–22), this study investigates how entrepreneurial orientation (EO) strength, defined as the level of agreement in the shared perceptions of EO, serves as a boundary condition of the EO–firm performance relationship. Four field studies provide evidence for a valid and reliable 10-item multidimensional measure of entrepreneurial orientation, the EO-10, which in turn, may be used to assess EO strength. We establish content and construct validity of the EO-10 (study 1; n = 447 employees), criterion-related validity with revenue growth and sales growth (study 2; n = 412 employees in 43 profit centers), and convergent validity with Covin and Slevin's (1989, Strategic Management Journal, 10, 75–87) 9-item measure (study 3; n = 291 employees). Finally, in study 4 (n = 853 employees nested in 22 organizations), we demonstrate the interactive effects of EO and EO strength on profit growth and revenue growth. In sum, this study provides conceptual and empirical evidence for the importance of EO strength as a moderator of the EO–firm performance relationship.

Collectivistic Leadership in Context: An Examination of How and When Collective Charismatic Leadership Relates to Unit Functioning

2021 ◽  
pp. 154805182098653
Author(s):  
Jonathan C. Ziegert ◽  
David M. Mayer ◽  
Ronald F. Piccolo ◽  
Katrina A. Graham
Keyword(s):  
Social Inclusion ◽  
Task Complexity ◽  
Contextual Factors ◽  
Negative Relationship ◽  
Field Studies ◽  
Charismatic Leadership ◽  
Interactive Effects ◽  
Collective Leadership ◽  
Contingency Perspective ◽  
The Impact

This research explores the nature of collective leadership by examining the boundary conditions of how and when it relates to unit functioning. Building from a contingency perspective that considers the impact of contextual factors, we propose that collective charismatic leadership will be associated with lowered unit conflict, and this relationship will be strengthened by the contingency elements of individual charismatic leadership, task complexity, and social inclusion. Furthermore, we propose that the interactions of collective charismatic leadership with these contextual factors will relate to performance and satisfaction through conflict. We examine our hypotheses across two unit-level field studies, and the results illustrated that high levels of these contextual factors enhanced the negative relationship between collective charismatic leadership and conflict, which generally mediated the relationships between these interactive effects and performance and satisfaction. The results also highlight the detrimental aspects of collective leadership and how it can relate to reduced unit functioning when it is not aligned with an appropriate context. Overall, these findings begin to provide a more complete picture of collective leadership from a contingency perspective through a greater understanding of when and how it is related to unit functioning.

Should Fast-Food Franchisees Pursue Entrepreneurial Orientation?

2021 ◽  
Vol 0 (0) ◽  
Author(s):  
Ehsan Asgharian ◽  
Misagh Tasavori ◽  
Jim Andersén
Keyword(s):  
Firm Performance ◽  
Significant Role ◽  
Risk Taking ◽  
Entrepreneurial Orientation ◽  
Fast Food ◽  
Business Systems ◽  
Unidimensional Construct ◽  
Different Dimensions ◽  
Competitive Aggressiveness ◽  
The Impact

Abstract Although it is widely accepted that entrepreneurial orientation (EO) improves firm performance, scholars have advised that particular attention should be paid to the context. In this research, we investigate a less explored context of franchising where business systems and procedures are usually dictated to franchisees by franchisors. Therefore, whether a franchisor should allow franchisees to pursue EO (innovativeness, proactiveness, risk-taking, competitive aggressiveness, and autonomy) is not clear. In the context of franchising, the majority of prior studies have mainly focused on the employment of EO as a unidimensional construct and at the franchisor level. In this research, we take a bottom-up perspective and evaluate the impact of different dimensions of EO on franchisees’ performance. Our analysis of a multi-group of 183 restaurant franchisees located in Sweden and Iran reveals that only the pursuit of proactiveness and competitive aggressiveness improves a franchisee’s performance and other dimensions do not play a significant role in improving performance in this context.

The impact of a crisis on entrepreneurial orientation of family firms: The role of organisational decline and generational change

2021 ◽  
pp. 026624262110366
Author(s):  
Ana M Moreno-Menéndez ◽  
Unai Arzubiaga ◽  
Vanessa Díaz-Moriana ◽  
José C Casillas
Keyword(s):  
Entrepreneurial Orientation ◽  
Family Firms ◽  
Theory And Practice ◽  
Stability And Convergence ◽  
Generational Change ◽  
Entrepreneurial Behaviour ◽  
Temporal Aspects ◽  
Alternative Hypotheses ◽  
The Impact

This article critically analyses entrepreneurial orientation (EO) in family firms after a major crisis, to investigate how firms with equal initial levels of EO reach different levels over time. Based on two alternative hypotheses (stability and convergence), we analysed whether the EO of family firms remains intact, strengthens, or weakens after a crisis. Based on an examination of a database of 151 family firms collected in 2004 and 2017, our findings reveal that compared to firms with higher pre-crisis EO levels, those with lower levels saw a larger increase post crisis. Furthermore, unlike the latter group, the former was able to maintain high pre-crisis levels even after the crisis. In addition, we also we found this relationship between pre-crisis and post-crisis EO levels to be influenced by two key periodic discontinuities, namely, organisational decline and generational change contingencies. These findings advance our understanding of temporal aspects of EO and heterogeneous entrepreneurial behaviour among family firms with significant implications for both theory and practice.

The Impact of Entrepreneurial Orientation Success Factors To Muslim SME Success

2021 ◽  
Vol 12 (3) ◽  
pp. 2493-2504
Author(s):  
NadratunNafisah Abdul Wahab Et.al
Keyword(s):  
Entrepreneurial Orientation ◽  
Random Sampling ◽  
Success Factors ◽  
Simple Random Sampling ◽  
Theory And Practice ◽  
The Impact

This study presentsa research of the multidimensional entrepreneurial orientation (innovation, risk and proactive) in relation to the Muslim SME success. Thus far, past literatures shown that limited study of Muslim SME success. This study was conducted in the form of survey, with data being gathered from 122 firms (operating above 3 years) selected through simple random sampling from 2286 Muslim SME in Malaysia. The results show that innovation and proactivefactors have relationshipsto SME Muslim success. The results shed new light on the theory and practice. This finding contributes to RBV theory and to the field of Islamic entrepreneurship focusing on Muslim SME success.

The role of internationalization in entrepreneurial orientation-performance link: empirical study of SMEs in a developing nation perspective

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Zaynab Dadzie ◽  
Ahmed Agyapong ◽  
Abdulai Suglo
Keyword(s):  
Firm Performance ◽  
Empirical Study ◽  
Entrepreneurial Orientation ◽  
Developing Nation ◽  
Content Type ◽  
Mediating Role ◽  
And Performance ◽  
The Impact ◽  
The Relationship

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.

scholarly journals The impact of market orientation on the performance of MSMEs operating in technology parks: The role of market dynamism

2021 ◽  
Vol 17 (2) ◽  
pp. 29-52
Author(s):  
Anna Wójcik-Karpacz ◽  
◽  
Jarosław Karpacz ◽  
Joanna Rudawska ◽  
◽  
...  
Keyword(s):  
Firm Performance ◽  
Market Orientation ◽  
Small And Medium Enterprises ◽  
Theory And Practice ◽  
Systematic Research ◽  
Technology Parks ◽  
And Performance ◽  
Medium Enterprises ◽  
The Impact

Purpose: The purpose of this article is to identify the role of market dynamism in the relationship between market orientation and the performance of micro, small, and medium enterprises (MSMEs) operating in technology parks (TPs) in Poland. Methodology: The two methods used for performing the quantitative empirical research are CAWI and PAPI. The research sample included MSMEs operating in technology parks in Poland. The article is the answer to the needs for systematic research of models between market orientation and firm performance. Findings: The research findings provide an insight into the level of market orientation and performance of the analyzed MSMEs operating in technology parks in Poland. It was found that MSMEs in the research sample were not a homogeneous group in this respect. It has been proven that market orientation is a significant stimulant of firm performance, while market dynamism has not been classified as a moderator of the market orientation–firm performance relationship. Implications for theory and practice: This study contributes to strategic management by identifying the key role of market orientation for enterprises wishing to benefit from this type of strategic orientation. The important role of the predictor – market orientation in shaping the results of micro, small and medium-sized enterprises operating at TPs in Poland has been proven. In practice, this means that increasing the level of market orientation is conducive to increasing positively assessed financial performance. Originality and value: Our research carried out at MSMEs operating in technology parks in Poland enriches and supplements knowledge about market orientation as a phenomenon of universal character because it also applies to smaller sized business organizations.

Bibliometric analysis of entrepreneurial orientation

2019 ◽  
Vol 15 (1) ◽  
pp. 45-69 ◽  
Author(s):  
Nelson A. Andrade-Valbuena ◽  
Jose M. Merigo-Lindahl ◽  
Sergio Olavarrieta S.
Keyword(s):  
Family Business ◽  
Entrepreneurial Orientation ◽  
Theory And Practice ◽  
Global Perspective ◽  
Content Type ◽  
Graphical Visualization ◽  
Bibliographic Data ◽  
Knowledge Capability ◽  
Entrepreneurship Theory ◽  
The Many

Purpose The remarkable concept of entrepreneurial orientation (EO) has attracted scholars’ attention for its relevance to a firm’s performance. Based on bibliometric and distance-based visualization of similarities (VOS) analysis, the purpose of this paper is to outline a broad-spectrum perspective of the structure of research in EO across more than 20 years of publications, identifying the most prominent journals, authors and articles in this field. Design/methodology/approach The paper uses the Web of Science Core Collection and the VOS viewer software. The analysis searches for all the documents connected to EO available in the database from 1976 to 2017. The graphical visualization maps the bibliographic data using both bibliographic coupling and co-citation data. Findings Entrepreneurship Theory and Practice Journal, Journal of Business Venturing and Family Business Review are the most relevant journals in the field. Among the many important authors in the EO literature, key contributors are Lumpkin, Payne, Short, Covin, Dess and Wiklund. Three different streams of research are linked to the EO concept; strategy and entrepreneurship, family business and miscellaneous work in psychometrics, methods, marketing and knowledge/capability-based approaches to organizations. Originality/value This paper contributes to EO research by providing a global perspective on the concept’s investigation, using bibliometric data and graphical networks.

scholarly journals The Impact of Entrepreneurial Orientation Success Factors to Muslim SMESuccess

2021 ◽  
Vol 12 (3) ◽  
pp. 2821-2832
Author(s):  
NadratunNafisah Abdul Wahab Et.al
Keyword(s):  
Entrepreneurial Orientation ◽  
Random Sampling ◽  
Success Factors ◽  
Simple Random Sampling ◽  
Theory And Practice ◽  
The Impact

This studypresentsa research of the multidimensional entrepreneurial orientation (innovation, risk and proactive) in relation to the Muslim SME success. Thus far, past literatures shown that limited study of Muslim SME success. This study was conducted in the form of survey, with data being gathered from 122 firms (operating above 3 years) selected through simple random sampling from 2286 Muslim SME in Malaysia. The results show that innovation and proactivefactorshave relationshipsto SME Muslim success. The results shed new light on the theory and practice. This finding contributestoRBV theory and to the field of Islamic entrepreneurship focusing on Muslim SME success.

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