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.

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.

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.

scholarly journals Research on entrepreneurship, entrepreneurial bricolage and performance of IT new venture

2020 ◽  
Vol 179 ◽  
pp. 02074
Author(s):  
Zhang Fenghai ◽  
Wang Fang
Keyword(s):  
Regression Analysis ◽  
New Ventures ◽  
New Venture ◽  
Venture Performance ◽  
Relationship Model ◽  
Entrepreneurial Bricolage ◽  
Intermediary Role ◽  
And Performance ◽  
The Relationship ◽  
New Venture Performance

Through the questionnaire survey of 152 IT new ventures, this study establishes the relationship model of entrepreneurship, entrepreneurial bricolage and IT new ventures performance, and uses regression analysis and other methods to obtain the following results: giving full play to entrepreneurship can effectively promote IT new venture to carry out entrepreneurial bricolage; entrepreneurship has a significant impact on IT new venture performance. Entrepreneurial bricolage can effectively improve the IT new venture performance and promote their growth; Entrepreneurial bricolage plays a partial intermediary role between entrepreneurship and IT new venture performance.

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.

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.

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 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.

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.

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