Entrepreneurial orientation and performance – are sexes equal?

2016 ◽  
Vol 22 (3) ◽  
pp. 346-374 ◽  
Author(s):  
Katharina Fellnhofer ◽  
Kaisu Puumalainen ◽  
Helena Sjögrén
Keyword(s):  
Entrepreneurial Orientation ◽  
Work Performance ◽  
Positive Impact ◽  
Entrepreneurship Policy ◽  
Or Education ◽  
Firm Level ◽  
Data Set ◽  
Content Type ◽  
And Performance ◽  
The Individual

Purpose – The purpose of this paper is to shed light on the different perceptions of entrepreneurial orientation (EO) of females compared to those of their male counterparts. EO and its links to performance are examined at the level of both the individual and the firm. Design/methodology/approach – Multiple linear regression analyses of a data set with 301 employees in different industries reveal significant differences between genders. Findings – EO has a positive impact on performance at both individual and firm levels of analysis. Females tend to perceive their individual EO as lower than males, but their self-evaluated work performance is higher than that of males. The firm’s EO is also perceived differently by men and by women, but the perceptions of firm’s performance are similar. Research limitations/implications – The results draw attention to the differences between individuals when they evaluate firm-level constructs like EO. While the sample is based on a small number of firms, the findings suggest that EO is neither pervasive throughout the firm nor gender-neutral. Practical implications – The different gender-related perceptions should be kept in mind when promoting entrepreneurially oriented behaviour within organizations. A strong focus on EO in entrepreneurship policy or education may discourage women. Originality/value – So far, multi-level organizational interrelationships have been substantially neglected with respect to the gender dimension.

Corporate tax planning and corporate tax disclosure

2019 ◽  
Vol 28 (2) ◽  
pp. 327-364
Author(s):  
Mahfoudh Hussein Mgammal
Keyword(s):  
Positive Impact ◽  
Positive Influence ◽  
Tax Planning ◽  
Corporate Tax ◽  
Effective Tax Rate ◽  
Firm Level ◽  
Data Set ◽  
Content Type ◽  
The Impact ◽  
Practical Implications

Purpose This paper aims to examine the impact of corporate tax planning (TP) on tax disclosure (TD). Using tax expenses data set, with the detailed effective tax rate (ETR) by reconciling individual items of income and expenses. Design/methodology/approach A firm-level panel data set is used to analyse 286 non-financial listed companies on Bursa Malaysia that spans the period 2010-2012. Multivariate statistical analyses were run on the sample data. The empirical understanding of TD depends on public sources of data in the financial statement, characterized in the aggregated note of tax expenses. Fitting with Malaysian environment, the authors measured TD using modified ETR reconciling items. Findings Results show that TP, exhibit a robust positive influence on TD. This suggests that TP is related to lower corporate TD. In addition, companies with high TP attempt to mitigate the disclosure problem by increasing various TD. The authors further find significant positive impact between each of firm size and industry dummy, on TD. This means that company-specific characteristics are significant factors affecting corporate TD. Research limitations/implications This study contributes to the literature on the effect of TP on TD. It depends on both the signalling theory and the Scholes–Wolfson framework, which are the main theories concerned with TP and TD. Therefore, from a theoretical side, the authors add to the current theories by verifying that users are the party influenced whether positively or negatively, by the extent of TD or the extent of TP activities through Malaysian organizations. Practical implications The evidence found in this paper has important policy and practical implications for the authorities, researchers, decision makers and company managers. The findings can provide them some relevant insights on the importance of TP actions from companies’ perspective and contribute to the discussion of who verifies and deduces from TD directed by companies. Originality/value This paper originality is regarded as the first attempt to examine the impact of TP on TD in a developing country such as Malaysia. Malaysian setting is an interesting one to examine because Malaysia could be similar to other countries in Southeast Asia. Results contribute significant insights to the discussion about TD regarding, which parties are responsible for the verification of TD by firms, and which parties benefit from this disclosure. Findings suggest that companies face a trade-off between tax benefits and TD when selecting the type of their TP.

Entrepreneurial orientation and performance of SMEs in the services industry

2015 ◽  
Vol 28 (2) ◽  
pp. 194-212 ◽  
Author(s):  
María José Rodríguez-Gutiérrez ◽  
Pilar Moreno ◽  
Pilar Tejada
Keyword(s):  
Entrepreneurial Orientation ◽  
National Level ◽  
Business Environment ◽  
Data Set ◽  
Unit Of Analysis ◽  
Content Type ◽  
Competitive Success ◽  
Resources And Capabilities ◽  
Services Industry ◽  
And Performance

Purpose – The purpose of this paper is to examine both the sources of competitiveness of small and medium- sized enterprises (SMEs) in the services industry measured by their capability to grow, and the relative importance of each of these sources. More specifically, the resources and capabilities of Spanish SMEs in the services industry that may become sources of competitive advantage are analysed. Design/methodology/approach – In order to achieve this objective, this paper is organized as follows. First, a concise overview of prior research on determinants of performance of SMES is provided, outlining the role of factors regarding resources and capabilities. Second, a set of lineal regression models are performed to test the hypothesis research. In line with several previous studies, competitive success and performance of the company are approached through the recent evolution of firms in terms of employment, turnover and productive investment. The data set comes from a survey on Spanish SMEs operating in the services industry that was carried out between the end of 2010 and the beginning of 2011. Findings – The findings reveal that entrepreneur characteristics, firm features and managerial attributes have significant effect on the business performance. The results from the empirical analysis indicate that competitive success of the Spanish SMEs in the service industry is conditioned by macroeconomic and social factors related to the general business environment and especially by business factors concerning the entrepreneurial orientation of the firm, these findings are consistent with those of earlier research conducted at both an international level a national level. Originality/value – The fundamental contribution of SMEs to the overall performance of the economy constitutes a crucial motive for researchers to investigate and examine the key success factors behind these enterprises. This issue has been analysed exhaustively for the manufactured goods industry, but has scarcely been addressed for the services industry. Thus, further research is needed to clarify the variables explaining survival and success for services SMEs. Furthermore, since this research is focused on the microeconomic level, by considering the firm as the unit of analysis, it contributes towards complementing previous research on this topic that has been conducted from a macroeconomic approach. Thus it attempts to provide certain empirical evidences for support the traditional academic debate between economic and administrative disciplines concerning the appropriate unit of analysis for the understanding and explanation of businesses competitiveness.

scholarly journals The Evolutionary Model of Corporate Entrepreneurship: A Case Study of Samsung Creative-Lab

2020 ◽  
Vol 12 (21) ◽  
pp. 9042
Author(s):  
Bo Young Shin ◽  
Keun Tae Cho
Keyword(s):  
Case Studies ◽  
Positive Impact ◽  
Single Case ◽  
Evolutionary Model ◽  
Corporate Entrepreneurship ◽  
Firm Level ◽  
Individual Level ◽  
And Performance ◽  
The Individual ◽  
Entrepreneurial Activities

Despite international interest in corporate entrepreneurship research, relevant knowledge has not been systematically accumulated. Even in practice, the discussions of corporate entrepreneurship revolve around the appropriate level necessary and the preferred method of action. This paper proposes an evolutionary model that outlines corporate entrepreneurship overall in terms of an organization’s entrepreneurial activities. For the research objective, this paper includes in-depth case studies on Samsung’s Creative Lab. The Creative-Lab of Samsung has been actively implementing corporate venture system for eight years. We conducted collective case studies by focusing on a single case (Creative-Lab) and then moving to multiple cases (Creative-Lab spin-off companies). Firstly, the study identifies the development process of entrepreneurship from the individual-level to the firm-level, and from the firm-level to the social-level. Secondly, the study confirms that corporate venturing and the corporate spin-off system have a positive impact on entrepreneurial behavior, which is crucial to seize opportunities. Thirdly, based on the growth factors and performance of corporate entrepreneurship, an evolutionary model of corporate entrepreneurship is proposed in this paper. This study can contribute to the establishment of an integrated and structured mechanism of related research as it comprehensively reviews the antecedents, elements, and outcomes of corporate entrepreneurship.

The impact of training on firm outcomes: longitudinal evidence from Canada

2019 ◽  
Vol 41 (2) ◽  
pp. 117-131
Author(s):  
Stéphane Renaud ◽  
Lucie Morin
Keyword(s):  
Firm Performance ◽  
Positive Impact ◽  
Voluntary Turnover ◽  
Empirical Literature ◽  
Reverse Causality ◽  
Firm Level ◽  
Data Set ◽  
Content Type ◽  
Firm Outcomes ◽  
The Impact

Purpose The purpose of this paper is to examine the impact of three training indicators, namely offer, participation and cost, on three firm outcomes, namely voluntary turnover, firm performance and profit. Design/methodology/approach The empirical analysis is carried out using firm-level data sourced from a Canadian national data set. In total, data from 5,237 for-profits firms with ten employees or more were analyzed longitudinally over eight years. Results were generated by XTREG fixed effect longitudinal analyses between the three variables of training, voluntary turnover, firm performance and profit. Findings Training offer, operationalized as the number of different formal training programs offered annually by an employer, significantly decreases voluntary turnover while it significantly increases performance and profit. Training participation, operationalized as the percentage of employees receiving training per year, has a significant positive impact on voluntary turnover. Training cost, operationalized as the annual cost of training per employee, has no impact on the three firm outcomes. Practical implications Among the various human resource practices a firm can use to strengthen its human capital, training can have a significant impact of its own. Investing in a diversified training offer brings value to a firm by decreasing employee voluntary turnover while increasing firm performance and profit. Originality/value This research contributes to the strategic impact of organizational training, demonstrating the impact of training on key organizational outcomes over time. Further, this paper contributes to the empirical literature by making a distinction between voluntary and involuntary turnover. Last, even though this study does not entirely addresses the problem of possible reverse causality, using longitudinal objective data, this study addresses several limits of past research at the macro-level of analysis.

Entrepreneurially oriented employees and firm performance: mediating effects

2019 ◽  
Vol 42 (1) ◽  
pp. 25-48 ◽  
Author(s):  
Katharina Fellnhofer
Keyword(s):  
Firm Performance ◽  
Entrepreneurial Orientation ◽  
Structural Equation ◽  
Mediating Effects ◽  
Firm Level ◽  
Content Type ◽  
Equation Modelling ◽  
Multi Level ◽  
The Individual ◽  
Practical Implications

PurposeThis paper aims to contribute to the literature on entrepreneurial orientation (EO) with a focus on the interplay between the individual and firm level for embedding EO pervasively within organisations.Design/methodology/approachComprising 356 individual employees from five companies collected from June to September 2015, this investigation uses structural equation modelling.FindingsThe results show significant indirect effects from individuals’ EO on firm’s performance, mediated by both individuals’ performance and firm’s EO.Research limitations/implicationsWhile the construct of EO is strengthened with a multi-level approach, the authors also stress the organisational homogeneity of EO.Practical implicationsConsequently, the EO instrument can be used as a strategic tool to evaluate an individual’s orientation towards entrepreneurship to facilitate firm performance.Originality/valueFinally, the EO instrument can be used as a strategic tool to evaluate an individual’s orientation towards entrepreneurship to facilitate firm performance.

CEO management style: does educational background play a role?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sanjiv Jaggia ◽  
Satish Thosar
Keyword(s):  
Market Performance ◽  
Educational Background ◽  
Performance Outcomes ◽  
Management Style ◽  
Elite Education ◽  
Firm Level ◽  
Data Set ◽  
Content Type ◽  
Science Technology ◽  
And Performance

PurposeThe corporate finance literature has largely treated individual managers as uniform entities, leaving unexplained the large heterogeneity in corporate practices. The authors explore whether educational background attributes, such as a bachelor's degree from an elite institution and the field of study, influence CEO management style manifested in objectively measurable outcomes at the firm level.Design/methodology/approachThe authors construct a unique data set from various sources. The management-style variables encompass investment, financial, organizational strategy policy choices, and performance outcomes. They standardize the style variables by industry sector and express deviations from industry means into three categories (low, medium, high). The ordered logit models suggest that educational background attributes influence management style across several dimensions.FindingsThe authors document numerous statistically and economically significant results. For instance, an elite education translates to superior market performance as measured by Tobin's Q. A background in science/technology manifests in more (less) spending on R&D (advertising) and less exposure to financial risk for the firm. The authors also find that gender plays almost no role, while CEO age has a nonlinear influence role in affecting management style.Research limitations/implicationsThe study posits that educational background plays an important role along several dimensions such as skill and character development, signaling and network building. While these effects are difficult to disentangle, they all arguably influence an individual's ability to perform complex tasks such as running a company.Originality/valueThe paper contributes to the growing literature on the drivers of CEO style and performance. Previous studies have examined the role of a CEO's elite educational background on firm performance outcomes and have reported either no or limited association. In contrast, the authors document that an elite education is strongly linked to superior market performance but not to accounting-based performance measures. They also find that CEOs who major in science/technology exhibit markedly different management styles compared to their counterparts with backgrounds in business/economics or the humanities.

Bridging the gap between management and finance: entrepreneurial orientation and idiosyncratic risk

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Steve Kihm ◽  
Rashiqa Kamal
Keyword(s):  
Content Analysis ◽  
Risk Taking ◽  
Entrepreneurial Orientation ◽  
Multivariate Regression Analysis ◽  
Idiosyncratic Risk ◽  
Research Database ◽  
Firm Level ◽  
Content Type ◽  
Risk Levels ◽  
The Individual

PurposeManagement theorists suggest that entrepreneurially oriented firms manifest higher risk levels than more conservative companies, but executives of such firms and their consultants argue that the opposite is true. The purpose of this paper is to explore this issue and examine the relationship between entrepreneurial orientation and idiosyncratic risk of firms.Design/methodology/approachContent analysis is applied to the 2018 third-quarter earnings call transcripts for 992 companies to measure five factors attributed to entrepreneurially oriented firms: autonomy, competitive aggressiveness, innovation, proactiveness and risk-taking, and their relationship to firm-level idiosyncratic risk. Multivariate regression analysis is used to examine the effect of these factors on measures of idiosyncratic risk obtained from the Wharton Research database Service's Beta Suite.FindingsResults show that firms whose executives frequently use terms related to risk-taking tend to manifest higher levels of idiosyncratic risk, but those firms whose executives stress innovation-related terms tend to have lower levels of idiosyncratic risk. The degree to which executives use words related to the three other entrepreneurial orientation factors show no associations with idiosyncratic risk.Practical implicationsThe results might suggest to managers which of the individual components of entrepreneurial orientation, if adopted, are likely to affect firm-specific risk and in what way.Originality/valueThis paper is the first to attempt to bridge the gap between the management concept of entrepreneurial orientation and the financial concept of idiosyncratic risk by studying the possible relationship between the two. The research also uses the novel methodology of applying content analysis to earnings call transcripts, which is uncommon in finance research.

Industry structure, R&D intensity, and performance in New Zealand

2020 ◽  
Vol 47 (1) ◽  
pp. 91-110 ◽  
Author(s):  
Rashid Ameer ◽  
Radiah Othman
Keyword(s):  
New Zealand ◽  
Carbon Emission ◽  
Positive Impact ◽  
Industry Structure ◽  
Porter Hypothesis ◽  
Data Set ◽  
Content Type ◽  
Innovation Strategies ◽  
And Performance ◽  
High Level

PurposeThe purpose of this paper is to test the Porter hypothesis using the Structure–Conduct–Performance (SCP) framework for a panel data set of industries in New Zealand.Design/methodology/approachThe authors developed a mutually exclusive classification of the process-led and product-led innovation strategies and examined their impact on SCP in the high (low) carbon emission industries.FindingsThe findings show that the high-level concentration provides more beneficial opportunities for product and geographical diversification that require a high level of R&D intensity. The authors find that in high-carbon emission industries, the product-led innovation strategies have a significant positive impact on the industry structure and performance which provide support for the Porter hypothesis.Practical implicationsThe findings imply that competition effects firm-level investments, in particular, capital expenditure to address carbon emissions, as such investments give firms a head start over rivals, and increase their profit margin compared to other firms over time. Overall, the empirical results lend support to the Porter hypothesis and suggest that understanding of industries’ unique R&D attributes is critical to developing regulations to support industries in smaller economies.Originality/valueIt is the first study that examines the industry structure, R&D intensity and performance in a small developed economy of New Zealand.

Validating multidimensional entrepreneurial orientation in emerging economies

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Kaustav Saha ◽  
Rohit Kumar ◽  
Swarup Kumar Dutta ◽  
Preeti Tiwari
Keyword(s):  
Firm Performance ◽  
Emerging Economies ◽  
Entrepreneurial Orientation ◽  
Positive Impact ◽  
New Ventures ◽  
Manufacturing Firms ◽  
New Venture ◽  
Primary Data ◽  
Data Set ◽  
Content Type

Purpose This study aims to examine the Lumpkin and Dess (1996) conceptualization of entrepreneurial orientation (EO) in an emerging economy, focusing on India. It ascertains the dimensions of EO that are valuable in securing superior firm performance in emerging economies, which might differ from a developed market setting. It further examines the difference in the significance of dimensions between the manufacturing and services industry. Design/methodology/approach A novel primary data set consisting of responses from 228 new ventures incorporated in India was created through an online questionnaire survey following the tailored design method principles. A disaggregated approach was adopted and the data were analyzed using multiple regression in SPSS 21. Findings Among the dimensions of EO, competitive aggressiveness positively affected new venture performance, whereas proactiveness did not show any effect. Autonomy also exhibited a positive impact, except for new venture growth in manufacturing firms. Innovativeness exhibited partial support, only for the effectiveness of service firms. Risking-taking exhibited a negative effect on performance, particularly for manufacturing firms. Practical implications The findings guide entrepreneurs and managers operating their new ventures in emerging economies by suggesting the dimensions that are most likely to benefit firm performance and those that might be detrimental. Originality/value This study empirically validates the multidimensional conceptualization of EO in India and extends previous studies, which have typically focused on an aggregated EO scale. This study’s findings attest that the manifestation of EO in emerging economies might be different compared to mature economies. The contrast between the manufacturing and service sectors is also shown.

Strategic entrepreneurship: mediating the entrepreneurial orientation-performance link

2016 ◽  
Vol 54 (1) ◽  
pp. 24-43 ◽  
Author(s):  
Deniz Kantur
Keyword(s):  
Organizational Performance ◽  
Entrepreneurial Orientation ◽  
Structural Equation ◽  
Equation Modeling ◽  
Firm Level ◽  
Data Set ◽  
Content Type ◽  
Strategic Entrepreneurship ◽  
The Relationship ◽  
Practical Implications

Purpose – The purpose of this paper is to develop a better understanding of the relationship between firm-level entrepreneurship and organizational performance in an emerging economy through assessing the mediating influence of strategic entrepreneurship between entrepreneurial orientation and organizational performance. The extant literature on the relationship between firm-level entrepreneurship and organizational performance points to a lack of clarification of the link between real entrepreneurial events and organizational performance. Design/methodology/approach – Data are collected from 324 respondents in 118 companies in four different industries. The paper adopts structural equation modeling to test the mediated relationship. Findings – The results show that strategic entrepreneurship fully mediates the relationship between entrepreneurial orientation and organizational performance, assessed as two major categories of financial and non-financial performance. Research limitations/implications – The dominance of four industries in the data set limits the generalizability of the findings. Practical implications – Findings highlight strategic and practical implications for managers especially in emerging economies who seek to enhance competitive advantage and exploit market opportunities through entrepreneurial initiatives. Originality/value – The current study develops a measure of strategic entrepreneurship concept and attempts to contribute to the literature through differentiating between behavioral intentions toward entrepreneurship and real entrepreneurial events at the firm-level to serve as a step to reduce the ambiguity present in the field.

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