Entrepreneurial and market orientation interactive effects on SME performance within transitional economies

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Robert Zacca ◽  
Saad Alhoqail
Keyword(s):  
Firm Performance ◽  
Market Orientation ◽  
Interaction Effect ◽  
Synergetic Effect ◽  
Transitional Economies ◽  
Interactive Effects ◽  
Testable Hypothesis ◽  
Future Research ◽  
Content Type ◽  
Strategic Orientations

Purpose The purpose of this study is to examine how the adaptive nature of market orientation (MO) and the risk-taking nature of entrepreneurial orientation (EO) might be integrated for a complementary and reinforcing synergetic effect on firm performance within transitional economies. Design/methodology/approach The paper suggests links between the EO and MO concepts and develops propositions informed by prior research and reasonable assumptions. The propositions aim to spur future research to uncover further evidence that validates the testable hypothesis. Findings In particular, the study calls for investigating the interaction effect of EO with MO on new product entry, market intelligence collection and processing competence. In addition, the study proposes research studies on whether EO’s interaction effect with MO will tend to mitigate risk in the development of breakthrough innovation and whether the interacting strategic orientations are creating a synergetic effect towards firm performance. Finally, the study recommends that research models should be tested and understood in consideration of conditions and circumstances from varying contexts, such as the small and medium enterprise sector within transitional economies and the media industry. Originality/value Whilst the performance implications of EO and MO, when modelled separately, have been extensively studied in developed and diversified market economies, studies are in the early stages of investigating the joint effect of EO and MO on firm performance, especially within transitional economies.

Impacts of strategic orientations on Saudi firm performance: is supply chain integration a missing link?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Amin K. Alsadi ◽  
Wassim J. Aloulou
Keyword(s):  
Supply Chain ◽  
Firm Performance ◽  
Market Orientation ◽  
Supply Chain Integration ◽  
Future Research ◽  
Organizational Capability ◽  
Content Type ◽  
Research Perspectives ◽  
Strategic Orientations ◽  
Positive Direct

PurposeLittle previous research has investigated the relationships among strategic orientations, supply chain integration and firm performance. The purpose of this study is to advance a research model that examines the direct and indirect effects of strategic orientations via supply chain integration on firm performance in the Saudi transitional context.Design/methodology/approachThis study is based on data collected from a survey using questionnaires completed by 187 top management members of Saudi firms from different sectors. To analyse the data and test the proposed hypotheses, confirmatory factor analysis and structural equation modelling were conducted using the AMOS statistical analysis package.FindingsResults show that both market orientation and supply chain integration have a significant positive direct effect on Saudi firm performance. They also reveal that supply chain integration fully mediates the effect of technology orientation on firm performance, while partially mediating the effect of market orientation on firm performance.Research limitations/implicationsThis study contributes to the literature by showing how SCI could serve as an organizational capability that links strategic resources to firm performance. The main limitation of this study is that it was not possible to generalize the findings. Future research perspectives were proposed to address this limitation and add new insights to the field.Practical implicationsThe results could help decision-makers in Saudi firms choose the right strategic orientations and aid them in integrating their supply chains by sharing the necessary information and coordinating operations with key partners to enhance their firms' performance.Originality/valueThis study is one of the first to conduct such an investigation in the Saudi context. The study simultaneously examines the role of supply chain integration in linking strategic orientations to firm performance and fills a current research gap in such a transitional context.

Strategic orientations, firm performance and the moderating effect of absorptive capacity

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Manuel-Alejandro Ibarra-Cisneros ◽  
María del Rosario Demuner-Flores ◽  
Felipe Hernández-Perlines
Keyword(s):  
Firm Performance ◽  
Market Orientation ◽  
Absorptive Capacity ◽  
Entrepreneurial Orientation ◽  
Manufacturing Firms ◽  
Moderating Effect ◽  
Equation Modeling ◽  
Content Type ◽  
Strategic Orientations ◽  
The Relationship

PurposeThe purpose of this article is to study the moderating effect of absorptive capacity, defined as the set of organizational routines and processes through which companies acquire, assimilate, transform and exploit knowledge to produce a dynamic organizational capacity (Zahra and George, 2002), in three strategic orientations: market orientation; technology orientation and entrepreneurial orientation and their positive relationship in the performance of the medium and large Mexican manufacturing firms. Likewise, it is determined whether these three combined SOs influence firm performance.Design/methodology/approachThe data was collected from 171 medium and large-sized Mexican manufacturing firms. The proposed hypotheses are tested using partial least square structural equation modeling (PLS-SEM).FindingsDespite the importance of knowledge for the development of firms, the results indicate that the moderating effect of absorptive capacity is only present in the relationship between entrepreneurial orientation and firm performance. That is, firms cannot take advantage of knowledge simultaneously between the three strategic orientations. For their part, market orientation and entrepreneurial orientation exert a positive influence on firm performance.Practical implicationsThe main practical implication for the manufacturing industry is that they must develop mechanisms to detect what kind of knowledge affects each strategic orientation, in this way it can make the absorptive capacity influence the relationships between SO and FP.Originality/valueThe main contribution consists of studying the moderating effect of the absorptive capacity on the relationship between three strategic orientations and firm performance, and not concentrating solely on the simultaneous use of these strategies as is commonly done.

Market orientation, entrepreneurial orientation and performance in emerging markets

2015 ◽  
Vol 10 (3) ◽  
pp. 560-571 ◽  
Author(s):  
Tina Gruber-Muecke ◽  
Katharina Maria Hofer
Keyword(s):  
Firm Performance ◽  
Emerging Markets ◽  
Market Orientation ◽  
Entrepreneurial Orientation ◽  
Emerging Market ◽  
Cross Sectional Study ◽  
Research Literature ◽  
Future Research ◽  
Cross Sectional ◽  
Content Type

Purpose – The purpose of this paper is to examine how market-oriented and entrepreneurial-oriented behaviour drives firm performance in an emerging markets context. Design/methodology/approach – Using data from 170 Austrian exporters to Central and Eastern Europe, the authors test a conceptual model including market-oriented and entrepreneurial-oriented practices as predictors of performance. Findings – Results indicate that both market-orientated and entrepreneurial-oriented strategies have positive performance effects in emerging markets. Research limitations/implications – A limitation is that firms were not examined longitudinally, as this is a cross-sectional study. Future research may include longitudinal studies or focus on other markets/regions. Practical implications – Firms are encouraged to adopt a market-oriented and entrepreneurial-oriented strategy to achieve better results in international, emerging market operations. Originality/value – The authors add to the emerging economy research literature by studying the relevance of market orientation and entrepreneurial orientation in determining firm performance in emerging markets. Furthermore, this study supports the generalizability of findings from an advanced to an emerging economies research setting.

Strategic orientation and business performance

2015 ◽  
Vol 53 (10) ◽  
pp. 2287-2302 ◽  
Author(s):  
Yahya Al-Ansaari ◽  
Hakim Bederr ◽  
Chuanhai Chen
Keyword(s):  
Market Orientation ◽  
United Arab Emirates ◽  
Business Performance ◽  
Emerging Market ◽  
Future Research ◽  
Content Type ◽  
Strategic Direction ◽  
Strategic Orientations ◽  
Positive Effect

Purpose – The purpose of this paper is to examine the role of strategic orientations (technology, alliance, and market orientations) of small and medium-sized enterprises (SMEs) in an emerging market, namely Dubai in the United Arab Emirates. Design/methodology/approach – Drawing upon data from 200 Dubai SMEs, this study uses a structured survey that was developed from a methodical literature review. Both descriptive and inferential statistics were used to evaluate the findings. Findings – The findings revealed that market orientation has a positive effect on business performance compared to technology and alliance orientations within SMEs in the Dubai marketplace. Research limitations/implications – This study offers SMEs a better understanding of their strategic orientations to enhance business performance. However, this study is limited to only SMEs operating in the Dubai marketplace. Future research could also look at other markets and use qualitative research methods. Originality/value – This study provides important insights that could guide SMEs in their understanding of strategic orientations and the benefits for business performance. These findings reinforce the growing empirical evidence of the positive effect of market orientation, as being a strategic direction for SMEs, on business performance.

Market orientation, innovation commercialization capability and firm performance relationships: the moderating role of supply chain influence

2017 ◽  
Vol 32 (7) ◽  
pp. 913-924 ◽  
Author(s):  
Jeen-Su Lim ◽  
William K. Darley ◽  
David Marion
Keyword(s):  
Supply Chain ◽  
Firm Performance ◽  
Market Orientation ◽  
Innovation Management ◽  
Strategy Formulation ◽  
Content Type ◽  
Positive Effects ◽  
The Impact ◽  
Moderating Role

Purpose The study aims to explore supply chain influence (SCI) on the linkages among market orientation, innovation capabilities and firm performance (FP), using the resource-based view as a theoretical backdrop. Design Survey data from 182 top managers who are involved in strategy formulation and innovative direction of their companies was collected and analyzed using moderated multiple regression analysis. Findings Results revealed a moderating role of the SCI in that the proactive market orientation (PMO) and FP relationship is stronger when SCI is high, and innovation commercialization capability (ICC) and FP relationship is stronger when SCI is low. Practical implications Firms pursuing high PMO strategy must collaborate with supply chain function to achieve the full effect of PMO. Additionally, as supply chain is critical to meeting customers’ needs, these firms should allow supply chain to exert greater influence to enjoy the positive effects of PMO in addition to ensuring full integration into marketing strategy implementation. Also, firms with high ICC need to limit SCI to maximize the benefit of ICC on FP, just as innovation management needs to be cognizant of other functional areas. Originality/value The study investigates the potential moderating role of SCI on the relationships among market orientation, ICC and FP. The study fills a gap in the understanding of the nature and role of supply chain in the marketing–supply chain interaction, and the impact on FP.

Determinants of the firm performance of returnee entrepreneurs in Somalia: the effects of external environmental conditions

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mohamed-Abdullahi Mohamed ◽  
Asmat-Nizam Abdul-Talib ◽  
AfifahAlwani Ramlee
Keyword(s):  
Firm Performance ◽  
Conceptual Framework ◽  
Empirical Studies ◽  
Theoretical Background ◽  
Future Research ◽  
African Countries ◽  
Content Type ◽  
Somali Diaspora ◽  
Post Conflict ◽  
Perceived Environmental Uncertainty

Purpose This study aims to examine the role of returning Somali diaspora entrepreneurs on firm performance and their perceived environmental obstacles. Design/methodology/approach The paper draws on a broad literature review and covers a theoretical background to develop a research framework. It presents several propositions to be empirically tested to determine the influence of returnee entrepreneurs’ success and the challenges they face in the process. Findings The paper offers an overview of how Somali diaspora returnee entrepreneurs can use their resources to succeed in their business and the possible environmental uncertainties that could hinder them. The study highlights some under-researched areas and provides future research directions. Research limitations/implications A research investigation is needed to test the proposed conceptual framework empirically. Further research is also recommended to use other predictors when investigating the perceived environmental uncertainty faced by returnee entrepreneurs. Practical implications In the diaspora entrepreneurship literature, returnee entrepreneurs in post-conflict African countries did not get enough attention. Hence, the study will contribute theoretically to the literature. Originality/value The paper provides a conceptual framework that will help understand returnee entrepreneurs in post-conflict states in Africa, paving the way for empirical studies on the topic.

Big data-driven strategic orientation in international marketing

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shahriar Akter ◽  
Md Afnan Hossain ◽  
Qiang (Steven) Lu ◽  
S.M. Riad Shams
Keyword(s):  
Big Data ◽  
Literature Review ◽  
Systematic Literature Review ◽  
International Marketing ◽  
Strategic Orientation ◽  
Data Driven ◽  
Future Research ◽  
Content Type ◽  
Strategic Orientations ◽  
Marketing Activities

PurposeBig data is one of the most demanding topics in contemporary marketing research. Despite its importance, the big data-based strategic orientation in international marketing is yet to be formed conceptually. Thus, the purpose of this study is to systematically review and propose a holistic framework on big data-based strategic orientation for firms in international markets to attain a sustained firm performance.Design/methodology/approachThe study employed a systematic literature review to synthesize research rigorously. Initially, 2,242 articles were identified from the selective databases, and 45 papers were finally reported as most relevant to propose an integrative conceptual framework.FindingsThe findings of the systematic literature review revealed data-evolving, and data-driven strategic orientations are essential for performing international marketing activities that contain three primary orientations such as (1) international digital platform orientation, (2) international market orientation and (3) international innovation and entrepreneurial orientation. Eleven distinct sub-dimensions reflect these three primary orientations. These strategic orientations of international firms may lead to advanced analytics orientation to attain sustained firm performance by generating and capturing value from the marketplace.Research limitations/implicationsThe study minimizes the literature gap by forming knowledge on big data-based strategic orientation and framing a multidimensional framework for guiding managers in the context of strategic orientation for international business and international marketing activities. The current study was conducted by following only a systematic literature review exclusively in firms' overall big data-based strategic orientation concept in international marketing. Future research may extend the domain by introducing firms' category wise systematic literature review.Originality/valueThe study has proposed a holistic conceptual framework for big data-driven strategic orientation in international marketing literature through a systematic review for the first time. It has also illuminated a future research agenda that raises questions for the scholars to develop or extend theory in this area or other related disciplines.

Impacts of strategic orientations on new product development and firm performances

2019 ◽  
Vol 22 (2) ◽  
pp. 257-280
Author(s):  
Wassim J. Aloulou
Keyword(s):  
Product Development ◽  
New Product Development ◽  
New Product ◽  
Equation Modeling ◽  
Future Research ◽  
Business Practices ◽  
Industrial Firms ◽  
Content Type ◽  
Strategic Orientations ◽  
Industrial Sectors

PurposeThe purpose of this paper is to investigate the relationships between strategic orientations as well as the role played by them to impact the performance of industrial firms.Design/methodology/approachThe paper formulates some hypotheses from the literature review. These hypotheses are tested using structural equation modeling with data collected from 292 randomly selected firms operating in several industrial sectors in the Kingdom of Saudi Arabia.FindingsThe findings of this study showed the importance of these strategic orientations in enhancing the performance of Saudi industrial firms and emphasized the mediating role of entrepreneurial orientation in the relationships of market orientation and technology orientation to new product development performance and firm performance.Research limitations/implicationsThe study discusses the findings and advances certain limitations and research and managerial implications for future research avenues. It proposes some recommendations to help Saudi firms to choose more than one orientation simultaneously and adopt an appropriate configuration of orientations. Future research has to consider the interplay between these strategic orientations and the impacts of environmental turbulence in terms of market and technology turbulence on strategic orientations – performance relationship.Practical implicationsThe study suggests that managers of Saudi industrial firms should utilize a mix of aspects from several strategic orientations such as market and technology through entrepreneurial capabilities and resources that enhance higher levels of performance.Originality/valueThis study contributes to the literature on entrepreneurship and strategic management by showing the reliability of scales used and the confirmatory of the factor structure. It also contributes to business practices by showing the importance for Saudi firms to combine different strategic orientations and provide more attention to the interplay of these orientations in order to perform better in such a transitional context.

Work grit as a moderator of politics perceptions

2018 ◽  
Vol 23 (6/7) ◽  
pp. 576-594 ◽  
Author(s):  
Samantha L. Jordan ◽  
Wayne A. Hochwarter ◽  
Gerald R. Ferris ◽  
Aqsa Ejaz
Keyword(s):  
Leadership Development ◽  
Turnover Intentions ◽  
Well Being ◽  
Interactive Effects ◽  
Quality Of Work Life ◽  
Citizenship Behavior ◽  
Future Research ◽  
Multiple Sources ◽  
Content Type ◽  
Work Settings

Purpose The purpose of this paper is to test the interactive effects of grit (e.g. supervisor and employee) and politics perceptions on relevant work outcomes. Specifically, the authors hypothesized that supervisor and employee grit would each demonstrate neutralizing effects when examined jointly. Design/methodology/approach Three studies (N’s=526, 229, 522) were conducted to test the moderating effect across outcomes, including job satisfaction, turnover intentions, citizenship behavior and work effort. The authors controlled for affectivity and nonlinear main effect terms in Studies 2 and 3 following prior discussion. Findings Findings across studies demonstrated a unique pattern differentiating between grit sources (i.e. employee vs supervisor) and outcome characteristic (i.e. attitudinal vs behavioral). In sum, both employee and supervisor grit demonstrated neutralizing effects when operating in politically fraught work settings. Research limitations/implications Despite the single source nature of data collections, the authors took steps to minimize potential biasing factors (e.g. time separation, including affectivity). Future research will benefit from multiple sources of data as well as a more expansive view of the grit construct. Practical implications Work contexts have grown increasingly more political in recent years primarily as a result of social and motivational factors. Hence, the authors recommend that leaders investigate factors that minimize its potentially malignant effects. Although grit is often challenging to cultivate through interventions, selection and quality of work life programs may be useful in preparing workers to manage this pervasive source of stress. Originality/value Despite its practical appeal, grit’s impact in work settings has been under-studied, leading to apparent gaps in science and leadership development. Creative studies, building off the research, will allow grit to maximize its contributions to both scholarship and employee well-being.

Eco-labelling brand strategy

2014 ◽  
Vol 26 (4) ◽  
pp. 305-329 ◽  
Author(s):  
Sihem Dekhili ◽  
Mohamed Akli Achabou
Keyword(s):  
Interaction Effect ◽  
Consumer Preference ◽  
Third Party ◽  
Future Research ◽  
Brand Strategy ◽  
Content Type ◽  
Branded Product ◽  
Positive Effect ◽  
Practical Implications ◽  
Insight Into

Purpose – The purpose of this paper is to explore consumers’ preference for responsible labels in the specific case of well-known brands. The research examines the propensity of consumers to consider self-declarations carried out by the company itself in comparison with independent certifications organised by an external third party. Design/methodology/approach – An empirical study involving 134 French consumers by means of a conjoint analysis method was conducted, and the case of Nespresso coffee was tested. Findings – The results show that self-declaration (Nespresso AAA Sustainable Quality) positively influences consumer preference. Moreover, this positive effect is equivalent to that of independent certification (Fair Trade Max Havelaar). Research limitations/implications – This study’s contribution gives a better insight into the consumers’ response to eco-labelling. It suggests the existence of an interaction effect between the brand and the responsible label. But, a future research needs to be conducted to gain better understanding of this interaction effect. Practical implications – The results suggest that a strategy of promoting a well-known branded product based on self-declaration would be effective. They offer additional insights to managers on the eco-labels’ efficiency. Originality/value – Contrary to the literature which suggests the superiority of the effect of certifications organised by a third party, this research shows that this finding is not valuable in the case of a well-known brand. Self-declaration may be preferred by consumers in the same way as independent certification. This research is one of the rare research to stress the need to consider brand when exploring eco-labelling issue.

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