How entrepreneurs’Zhong-yongthinking improves new venture performance

2018 ◽  
Vol 12 (2) ◽  
pp. 323-345 ◽  
Author(s):  
Cuiping Ma ◽  
Hefu Liu ◽  
Jibao Gu ◽  
Junsheng Dou
Keyword(s):  
Organizational Performance ◽  
Cognitive Style ◽  
New Ventures ◽  
Environmental Turbulence ◽  
New Venture ◽  
Complex Situation ◽  
Content Type ◽  
Venture Performance ◽  
The Relationship ◽  
New Venture Performance

PurposeThe purpose of this paper is to focus on the cultural cognition of ChineseZhong-yongthinking, which is deeply rooted in Chinese Confucius culture, and to examine how entrepreneurs’Zhong-yongthinking is related to new venture performance throughguanxinetwork, and also examine how environmental turbulence affects the influencing mechanism.Design/methodology/approachThis paper follows an empirical design. Data are collected from a survey administered to entrepreneurs in new ventures of China. Regression analysis is used to test the hypothesis.FindingsResults show that entrepreneurs’Zhong-yongthinking is positively related toguanxiand new venture performance, andguanximediates the relationship between entrepreneurs’Zhong-yongthinking and new venture performance. In addition, environmental turbulence moderates the relationship between entrepreneurs’Zhong-yongthinking andguanxisuch that the relationship is stronger under higher technological turbulence or lower market turbulence.Research limitations/implicationsThis research uses cross-sectional data, so causal conclusions cannot be made. In addition, more moderators should be considered.Practical implicationsThe present study enriches the understanding of how entrepreneurs’Zhong-yongthinking affects new ventures, which helps entrepreneur understand how to strategize according to external environment and develop what kind of cognitive style to deal with complex situation of their own venture.Originality/valueThis study is a pioneer in exploring non-Western cognitive style–Zhong-yongthinking in entrepreneurial context. It not only enriches the understanding of how Chinese wisdom affects organizational strategy and organizational performance but also advances the cognition research in the field of entrepreneurship.

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.

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.

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.

Do power distance and market information foster or impede performance of Chinese new ventures?

2019 ◽  
Vol 13 (4) ◽  
pp. 877-894
Author(s):  
Haili Zhang ◽  
Michael Song
Keyword(s):  
New Ventures ◽  
Power Distance ◽  
New Venture ◽  
Market Information ◽  
Moderating Effects ◽  
Information Utilization ◽  
Content Type ◽  
Market Growth ◽  
Venture Performance ◽  
New Venture Performance

Purpose The purpose of this paper is to examine the moderating effects of market growth on the relationships between power distance and new venture performance and between market information utilization in new ventures and new venture performance in China. Design/methodology/approach This study uses content analyses and OLS regressions. Findings First, power distance and market information utilization have positive effects on Chinese new venture performance. Second, in a low market growth environment, increasing power distance increases Chinese new venture performance. Third, in a high market growth environment, increasing power distance decreases, not increases, Chinese new venture performance. Research limitations/implications This study contributes to the market orientation literature by examining the moderating effects of market growth on the market information utilization-performance relationship in China. This study also adds to the existing understanding of power distance and market information utilization in contingency theoretical perspective. Practical implications Chinese new ventures operating in a high-growth market should reduce power distance. However, when operating in the low market growth industry, Chinese new ventures should increase power distance. While all Chinese new ventures should use market information to make decisions, the roles of market information are more important for Chinese new ventures operating in high market growth industries than for those operating in low market growth industries. Originality/value This study examines the moderating effects of market growth on the positive relationship between power distance and Chinese new venture performance and the positive relationship between market information utilization on Chinese new venture performance in the same model.

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 Curvilinear Relationship Between Collective Team Identification and New Venture Performance: The Moderating Effect of Environmental Uncertainty

2021 ◽  
Vol 0 (0) ◽  
Author(s):  
Hao Ji ◽  
Wencang Zhou
Keyword(s):  
New Ventures ◽  
Environmental Uncertainty ◽  
Internet Technology ◽  
New Venture ◽  
Curvilinear Relationship ◽  
Team Identification ◽  
Venture Performance ◽  
High Level ◽  
The Relationship ◽  
New Venture Performance

Abstract Many new ventures are founded and developed by teams rather than solo entrepreneurs. Therefore, the extent to which entrepreneurs identify with their teams is likely to have an important impact on the process and outcome of new venture creation in new venture teams. However, most of the relevant studies focus on entrepreneurs’ individual identity, and the identity at the team level has been overlooked. This study seeks to fill this gap by exploring the effect of collective team identification on new venture performance. The relationship between collective team identification and new venture performance was examined using a sample of 54 new venture teams in Internet Technology (IT) industry. The results show that the relationship between collective team identification and new venture performance is inverted U-shaped. Moreover, environmental uncertainty may moderate this curvilinear effect, such that this inverted U-shaped relationship is more salient at a low level of environmental uncertainty rather than at a high level of environmental uncertainty.

Entrepreneurial Marketing and New Venture Performance: The Mediating Effects of Ambidextrous Innovation

2017 ◽  
Vol 21 (6) ◽  
pp. 1073-1078
Author(s):  
Xiaowen Hu ◽  
◽  
Lidong Zhu ◽  
Hui Zhang
Keyword(s):  
New Ventures ◽  
New Venture ◽  
Mediating Effects ◽  
Working Mechanism ◽  
Five Dimensions ◽  
Entrepreneurial Marketing ◽  
Venture Performance ◽  
The Relationship ◽  
Specific Working ◽  
New Venture Performance

Entrepreneurial Marketing has a significant effect on new ventures’ performance. However, the findings have been mixed and conflicting. There is still little in-depth exploration of its specific working mechanism based on two distinct literatures streams from ambidextrous innovation and entrepreneurial marketing. We present an integrated framework for analyzing entrepreneurial marketing, ambidextrous innovation and new venture performance (NVP). By conducting an empirical studyon a sample of 883 new ventures (NVs) in Anhui province in China, the study found that: (a) EM is an important driver of NVP and only five dimensions of EM have positively effects on NVP ,including proactiveness, opportunity-focus, innovations, risk-taking and resource leveraging. (b) Both exploration innovation and exploitation innovation advance NVP. (c) The ambidextrous innovation did not affect NVP significantly. (d) Exploration innovation and exploitation innovation partly mediate the relationship between EM and NVP.

scholarly journals Regulatory focus, persistence and new venture performance

2020 ◽  
Vol 27 (7) ◽  
pp. 1107-1124
Author(s):  
Samuel Adomako
Keyword(s):  
Regulatory Focus ◽  
Manufacturing Sector ◽  
New Ventures ◽  
Self Regulation ◽  
Institutional Support ◽  
New Venture ◽  
Content Type ◽  
Venture Performance ◽  
Using Data ◽  
New Venture Performance

PurposeThe purpose of this paper was to examine the joint effects of regulatory focus, entrepreneurial persistence and institutional support on new venture performance.Design/methodology/approachThis paper uses a random survey approach to sample 204 new ventures from Ghana. The moderated mediation method was used to analyse the survey data.FindingsThe findings from this paper show that entrepreneurs' promotion focus positively relates to persistence while prevent focus negatively influences persistence. In addition, persistence mediates the link between regulatory focus (promotion and prevention focus) and new venture performance. These relationships are positively moderated by perceived institutional support.Research limitations/implicationsUsing data from only the manufacturing sector in Ghana limits the generalisability of this paper. In addition, persistence is not observed or measured directly in this paper but is only used as self-reporting variable that captures an individual's tendency to persist.Originality/valueThe contribution of this paper is threefold. First, this paper contributes to regulatory focus literature by enhancing our knowledge on how self-regulation could help explain entrepreneurial decision-making. Second, this paper broadens self-regulation literature by adding institutional context as a moderating variable. Third, this paper helps clarify the potential role of persistence in entrepreneurship.

Laotian entrepreneurs' optimism and new venture performance

2013 ◽  
Vol 41 (8) ◽  
pp. 1267-1278 ◽  
Author(s):  
Shouming Chen ◽  
Zhiguo Liao ◽  
Tammi Redd ◽  
Sibin Wu
Keyword(s):  
Firm Performance ◽  
New Ventures ◽  
Emerging Economy ◽  
New Venture ◽  
Level Of Education ◽  
Entrepreneurship Research ◽  
Venture Performance ◽  
The Relationship ◽  
New Venture Performance

Research into entrepreneurial optimism and its impact on firm performance has produced inconsistent results. We analyzed 146 Laotian entrepreneurs and found that entrepreneurial optimism was positively related to their new venture performance. We also found that level of education and motivation moderated the relationship between entrepreneurs' optimism and their new ventures. In our study we extended entrepreneurship research on optimism by investigating the relationship between entrepreneurial optimism and new venture performance in an emerging economy.

IMPACT OF INITIAL CONDITIONS ON NEW VENTURE SUCCESS: A LONGITUDINAL STUDY OF NEW TECHNOLOGY-BASED FIRMS

2010 ◽  
Vol 14 (01) ◽  
pp. 41-56 ◽  
Author(s):  
JIAN GAO ◽  
JUN LI ◽  
YUAN CHENG ◽  
SHUDE SHI
Keyword(s):  
Longitudinal Study ◽  
Initial Conditions ◽  
New Technology ◽  
New Ventures ◽  
New Venture ◽  
Overseas Students ◽  
Venture Performance ◽  
New Technology Based Firms ◽  
The Relationship ◽  
New Venture Performance

This article examines the relationship between initial conditions and new venture performance. The study uses a longitudinal study of 92 new ventures in Beijing Overseas Students Pioneer Park at Haidian. This study finds that new venture performance is significantly impacted by the venture's initial conditions. Additionally, the effects of initial conditions are found to decrease as the entrepreneurial process continues. It is also found that new venture performance is impacted more significantly by factors relating to entrepreneurial quality and characteristics of the venture.

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