The Relationship Between Environmental Hostility and Entrepreneurial Orientation of Small Businesses

2020 ◽  
Vol 6 (2) ◽  
pp. 347-362
Author(s):  
Oluwafemi Dele-Ijagbulu ◽  
Menisha Moos ◽  
Chukuakadibia Eresia-Eke
Keyword(s):  
South Africa ◽  
Entrepreneurial Orientation ◽  
Small Businesses ◽  
Structural Equation ◽  
Early Stage ◽  
Business Environment ◽  
Partial Least Square ◽  
Least Square ◽  
Entrepreneurial Activity ◽  
Environmental Hostility

Declining entrepreneurship as indicated by low total early-stage entrepreneurial activity (TEA) and high business failure is unacceptable in any economy. This predicament is indicative of South Africa’s business environment as well as the entrepreneurial disposition of firms operating within it. However, the factors precipitating entrepreneurial behaviour among small firms are yet to be fully comprehended and the environment as a motivation for entrepreneurship among these firms is yet to be examined thoroughly. Furthermore, research focus on the antecedents of entrepreneurial orientation (EO) is limited, even as EO has been considered as an aggregated construct repeatedly with inadequate attention directed at its independent constituents. In response to these concerns, this study investigates the relationships between environmental hostility (EH) and the individual components of EO among small businesses in South Africa. Using a quantitative methodological approach, the study conducts a survey, and analyses data obtained through random sampling. Through exploratory factor analysis (EFA) and partial least square structural equation modelling (PLS-SEM), it is discovered that only four components of EO are statistically recognisable, contrary to five as widely acknowledged in literature. Positive associations were also revealed between EH and each of these dimensions to varying degrees. These findings underline the necessity for entrepreneurial action along the lines of risk-taking, proactive-innovativeness, competitive aggressiveness and autonomy among small businesses in South Africa, given the hostile environment of her small business sector.

scholarly journals The effect of entrepreneurial experience and entrepreneurial orientation on social entrepreneurial performance

2021 ◽  
pp. 1133-1140 ◽  
Author(s):  
Susetyo Darmanto ◽  
Bukirom Bukirom
Keyword(s):  
Social Entrepreneurship ◽  
Entrepreneurial Orientation ◽  
Structural Equation ◽  
Equation Model ◽  
Partial Least Square ◽  
Least Square ◽  
Entrepreneurial Experience ◽  
Analysis Technique ◽  
Waste Bank ◽  
The City

The objective of this study is to analyze the effect of entrepreneurial experience and social entrepreneurship orientation on social entrepreneurship performance. This survey research was conducted on waste bank entrepreneurship activists in the city of Semarang. Thirty-five respondents were taken using the accident sampling method. Partial Least Square Structural Equation Model (PLS-SEM) is used as an analysis technique. The results showed that entrepreneurial experience and social entrepreneurship orientation had a positive and significant effect on the performance of social entrepreneurship. The contribution of the concept of human capital and the concept of entrepreneurial orientation is needed in building social entrepreneurship. The Semarang government is requested to give more attention to developing waste banks due to their contribution to social, economic, and environmental.

scholarly journals Mediating Effect of Social Media Marketing Adoption Towards Business Performance: An Approach of Structural Equation Modelling Partial Least Square (SEM-PLS)

2020 ◽  
Vol 11 (5) ◽  
pp. 100
Author(s):  
Muhammad Faizal Samat ◽  
Mohd Nor Hakimin Yusoff ◽  
Mohammad Ismail ◽  
Nur Amalina Awang ◽  
Norazlan Anual
Keyword(s):  
Social Media ◽  
Structural Equation ◽  
Business Environment ◽  
Partial Least Square ◽  
Least Square ◽  
Mediating Effect ◽  
Competitive Intelligence ◽  
Social Media Marketing ◽  
Survey Method ◽  
Technological Support

Business environment in Malaysia has become more competitive due to the advancement of technology and globalisation including the small and medium enterprises (SMEs). SMEs have so long devised various marketing strategies in order to penetrate the online advertisement clutter alongside improving their performance. Past studies have shown that using ICT such as social media help to improve SMEs’ performance. The owner-managers themselves determine the adoption of social media in their marketing due to the process of information collection and analysis are highly relied on them. Most of the SMEs have their own websites but these are primarily used as an information tool only. Thus, this study investigated the mediating role of social media marketing adoption between technological support, organisational support, government support and competitive intelligence towards the performance of SME. The theoretical framework of this study is substantiated by Resource-based View (RBV) theory and supported by Technology, Environment and Organisation (TOE) framework. This study has been carried out in the East Coast region of Malaysia consisting of Kelantan, Terengganu and Pahang states and also employed a questionnaire survey method. From 1920 questionnaires distributed, 339 responses were returned and found usable for the final analysis using the structural equation model partial least square (SEM-PLS). The findings revealed that the adoption of social media marketing mediates the relationship between these technological, organisational, and government supports, the competitive intelligence, and SME performance. Finally, the study’s theoretical and practical implications as well as the limitations and directions for future research were provided and discussed.

scholarly journals Supporting SMEs’ internationalisation through a deeper understanding of human and technology barriers

2019 ◽  
Vol 6 (4) ◽  
pp. 205-226 ◽  
Author(s):  
John Mendy ◽  
Mahfuzur Rahman
Keyword(s):  
Emerging Economies ◽  
Small Businesses ◽  
Structural Equation ◽  
Emerging Market ◽  
Theory Development ◽  
Equation Model ◽  
Partial Least Square ◽  
Least Square ◽  
Content Type ◽  
Technology Type

Purpose The purpose of this paper is to investigate small- and medium-sized enterprises’ (SMEs) internationalisation from an emerging market perspective. It explores and applies human resource management (HRM) processes to small businesses’ internationalisation efforts in order to ascertain the extent to which human- and technology-oriented barriers to internationalisation can be better understood and their processes better managed by SMEs. Design/methodology/approach The data collection and analysis involved a mixed method technique so as to identify the two dominant barriers faced by SMEs at the employer and employee levels. By using primary survey data obtained from 212 Bangladeshi SMEs, a partial least square based structural equation model was successfully validated and its development enhanced the comparison of processes involved in managing people and technology-type barriers. Findings The research results highlight the importance of HRM processes in the proper management of both human and technology-type barriers, which are equally as significant to SMEs’ internationalisation. Practical implications The results highlight the urgent need for governments in emerging economies to prioritise SMEs’ internationalisation and to dedicate resources and processes in order to effectively optimise economic and social dividends. The practical, theoretical and methodological implications of the paper raise opportunities for further research in SMEs’ internationalisation and people management processes and practices as well as new policy guidelines. Originality/value The examination of the link between humans and technology is a much under-represented area in developing countries and the actual contribution of effective HRM processes in the context of SMEs’ internationalisation is missing. Applying HRM processes to these aspects serves to deepen the knowledge of small businesses’ internationalisation efforts and the contributed model enhances professional practice and theory development in these disciplines and in emerging economies.

Examining the influence of business environment on socio-economic performance of informal microenterprises

2015 ◽  
Vol 35 (3/4) ◽  
pp. 273-288 ◽  
Author(s):  
Eijaz Ahmed Khan ◽  
Mohammed Quaddus
Keyword(s):  
Firm Performance ◽  
Field Study ◽  
Economic Performance ◽  
Structural Equation ◽  
Business Environment ◽  
Partial Least Square ◽  
Least Square ◽  
Business Practices ◽  
Mixed Method Research ◽  
Content Type

Purpose – This study realize that the relationships between business environment and firm performance in context of small- and medium-sized enterprises and large organizations is well understood and focused, but less research has been done on microenterprises, especially in informal sector. The purpose of this paper is to examine these relationships. Design/methodology/approach – A mixed method research design was used. In the field study, data were obtained from 14 participants via one-to-one personal interview. Content analysis was applied to extract, classify, and cross-examine of the data. In the quantitative approach, questionnaire was developed and data were collected from 438 informal microenterprises (IMs) owners. The data were analysed using the partial least square structural equation modelling. Findings – Results from this field study and survey recognized these relationships and vibrates well with the existing literature and establish the hypothesis. Practical implications – In order to create more favourable environment and ensure the performance, the policy makers, professional bodies could formulate decent requirements for IMs to have a code of business practices and socio-economic performance. Originality/value – This study provides a first step towards business environment and firm performance in context IMs and makes several contributions to the literature.

scholarly journals Entrepreneurial Orientation in Micro and Small Enterprises of Traditional Food Centers in Bandung, West Java

2019 ◽  
Vol 10 (3) ◽  
pp. 167-174
Author(s):  
Margo Purnomo ◽  
Erwin Permana ◽  
Achsanul Qosasi ◽  
Ahmad Fajri Febrian ◽  
Asep Miftahuddin
Keyword(s):  
Risk Taking ◽  
Entrepreneurial Orientation ◽  
Structural Equation ◽  
Partial Least Square ◽  
Least Square ◽  
Organizational Level ◽  
Small Enterprises ◽  
Traditional Food ◽  
Competitive Aggressiveness ◽  
Micro And Small Enterprises

The research objective was to analyze the determninant factors of Entrepreneurial Orientation (EO) in the Micro and Small Enterprises (MSEs) of the traditional food centers in Bandung. It used the EO dimension at the organizational level. Five dimensions were used to measure the EO level, namely risk-taking, innovativeness, competitive aggressiveness, proactiveness, and autonomy. The questionare’s was distributed to eight MSEs in Bandung. The sample size is 100 employee Structural Equation Model (SEM) analysis techniques with Partial Least Square (PLS) was used to test the samples. This research shows that the EO level in the micro and small enterprises in the traditional food centers in Bandung is at a moderate level. Although EO of MSEs in the traditional food centers in Bandung is in the moderate category, the results of testing on the EO model find out that each EO dimension forms a significant EO construct. The four dominant and recommended dimensions forming an EO construct in MSEs are risk-taking, innovativeness, competitive aggressiveness, and proactiveness. Among the four dimensions, risk-taking is the dominant dimension. It indicates that courage in taking risks in MSEs is a natural characteristic of the EO in the traditional food centers in Bandung.

scholarly journals INTERNAL FACTOR EFFECTS IN FORMING THE SUCCESS OF SMALL BUSINESSES

2020 ◽  
Vol 10 (1) ◽  
Author(s):  
Achmad Daengs GS
Keyword(s):  
Knowledge Sharing ◽  
Small Businesses ◽  
Structural Equation ◽  
Partial Least Square ◽  
Least Square ◽  
Financial Resources ◽  
Business Success ◽  
Marketing Capability ◽  
Technology Usage ◽  
Entrepreneurial Competency

ABSTRACT. The objective of this study to analyses the effects of entrepreneurial competency, marketing capability, financial resources, technology usage, knowledge sharing to business success on Small-Micro Enterprises built by Industrial and Trade Agency of Surabaya. This study employs explanatory study type. Data collection technique that used is Structural Equation Model (SEM) with Smart Partial Least Square (PLS) aided tools. The upshot of this research shows that : (1) Entrepreneurial Competency has significant effect to Business Success, (2) Marketing Capability has significant effect to Business Success ; (3) Financial Resources has not significant to Business Success; (4) Technology Usage has significant effect to Business Success; (5) Knowledge sharing has significant effect to Business Success. Keywords : Entrepreneurial Competency, Marketing Capability, Financial Resources, Technology Usage, Knowledge Sharing

scholarly journals Orientasi Kewirausahaan dalam Kinerja UMKM di Jember

2021 ◽  
Vol 9 (1) ◽  
pp. 54
Author(s):  
Enny Hindarwati ◽  
Agus Rahayu ◽  
Lili Adi Wibowo
Keyword(s):  
Entrepreneurial Orientation ◽  
Structural Equation ◽  
Small And Medium Enterprises ◽  
Sampling Technique ◽  
Simple Random Sampling ◽  
Partial Least Square ◽  
Least Square ◽  
Equation Modeling ◽  
Study Population ◽  
Medium Enterprises

The entrepreneurial orientation that affects the performance of Micro, Small and Medium Enterprises (MSMEs) in Jember is a research objective. The study population was 172 micro, small and medium enterprises in Jember. This research uses 100 respondents with simple random sampling technique. The research respondents were the owners of the MSME as informants. Collecting data by distributing questionnaires to 100 respondents. The collected data were analyzed using Structural Equation Modeling (SEM) Partial Least Square (PLS) software. The results showed that the autonomous dimension had a significant effect on the performance of MSMEs, while the other dimensions of entrepreneurial orientation: innovation, proactivity and risk had no significant effect.

scholarly journals Pengaruh Orientasi Kewirausahaan, Kinerja Pemasaran, dan Kapabilitas TIK Terhadap Keunggulan Bersaing Pada Pelaku UMKM di Sentra Industri Sepatu Cibaduyut Kota Bandung

2021 ◽  
Vol 4 (2) ◽  
pp. 120-127
Author(s):  
Mochammad Rifky Pamungkas ◽  
Muhamad Rizal ◽  
Ria Arifianti ◽  
Asmaul Husna
Keyword(s):  
Competitive Advantage ◽  
Entrepreneurial Orientation ◽  
Structural Equation ◽  
Small And Medium Enterprises ◽  
Partial Least Square ◽  
Least Square ◽  
Equation Modeling ◽  
Marketing Performance ◽  
Industry Center ◽  
Medium Enterprises

Covid-19 penetrates into Indonesia to have an impact on Business, Micro, Small and Medium Enterprises (MSMEs). One of the MSMEs affected by the Covid-19 pandemic is the Cibaduyut Shoe Industry Center. This has an impact on business, marketing, information and the competitiveness of MSME players in Cibaduyut. So the research objective is to find and determine the effect of entrepreneurial orientation, marketing performance, and ICT capabilities on competitive advantage. The research method used is quantitative with the research sample being SMEs in Cibaduyut and analysis using Structural Equation Modeling-Partial Least Square. While the results of the study provide results for the greatest influence on the ICT capability variable of 44.9%. The conclusion in this study is that the entrepreneurial orientation variable and marketing performance do not have a significant effect on competitive advantage, while the ICT capability variable has a significant effect.

scholarly journals Analysis Of Factors Affecting Entrepreneurial Sustainability

2020 ◽  
Vol 3 (2) ◽  
pp. 189-204
Author(s):  
Nunik Kusnilawati ◽  
Nurhidayati Nurhidayati ◽  
Teguh Ariefiantoro
Keyword(s):  
Social Competence ◽  
Competitive Advantage ◽  
Performance Management ◽  
Entrepreneurial Orientation ◽  
Structural Equation ◽  
Partial Least Square ◽  
Least Square ◽  
Equation Modeling ◽  
Entrepreneurial Performance ◽  
Positive Effect

The research aims to analyze and test empirically the influence of the variable management of entrepreneurial performance, entrepreneurial orientation, and social competence on the variable of entrepreneurial sustainability, either directly or through competitive advantage variables. The sample is 125 respondents. Data collection was carried out using a questionnaire instrument, using the google form application. Processing data using the Partial Least Square-Structural Equation Modeling method. The results of descriptive analysis show that perceptions of entrepreneurial performance management are 79.68%, entrepreneurial orientation 89.44%, social competence 79.36%, competitive advantage 72.64%, entrepreneurial sustainability 89.28%. The results of quantitative analysis show that performance management, entrepreneurial orientation, and social competence have a positive effect on competitive advantage; Furthermore, performance management has no effect on entrepreneurial sustainability; but entrepreneurial orientation and social competence have a positive effect on entrepreneurial sustainability; then competitive advantage has a positive effect on entrepreneurial sustainability

Experiential Marketing

2020 ◽  
pp. 108-132
Author(s):  
Ali Ihtiyar ◽  
Osman Nuri Aras
Keyword(s):  
Structural Equation ◽  
Reliability And Validity ◽  
Business Environment ◽  
Partial Least Square ◽  
Least Square ◽  
Primary Data ◽  
Experiential Marketing ◽  
Phnom Penh ◽  
Quality Perceptions ◽  
Retail Shopping

The purpose of this study is to examine the influence of experiential marketing on experiential values of young customers and respectively on their satisfaction and word of mouth, intention to pay more and revisit. Primary data were gathered through questionnaires conducted with 489 respondents to examine young customers' experiences in well-known grocery retails in Phnom Penh, Cambodia. Structural equation modelling using partial least square (PLS) method results were adequate in terms of reliability and validity. Empirical results revealed that some of strategic experiential modules and service quality perceptions of young customers have positive influences on customer experiences (functional and emotional). This research contributes to shed light on the role of shopping experiences of young retail consumers on experiential values, customer satisfaction, and post-purchase attitudes. It is anticipated that by filling this knowledge gap, strengthening retail-shopping strategies, which require an adjustment in the current business environment, can be developed.

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