The Influence of Strategic Orientation on Firm Performance Mediated by Social Media Orientation at MSMEs

2018 ◽  
Vol 4 (08) ◽  
Author(s):  
Aekram Faisal ◽  
Asep Hermawan ◽  
Willy Arafah
Keyword(s):  
Social Media ◽  
Firm Performance ◽  
Market Orientation ◽  
Entrepreneurial Orientation ◽  
Two Dimensions ◽  
Strategic Orientation ◽  
Equation Modeling ◽  
Learning Orientation ◽  
Technological Orientation ◽  
Media Orientation

The main purpose of this research is to analyze the influence of strategic orientation on firm performance mediated by social media orientation at MSMEs. Strategic orientation includes market orientation, entrepreneurial orientation, technological orientation, and learning orientation. The design used in this research is hypothesis testing by using Structural Equation Modeling (SEM). The respondent population of this research is all owners or managers of MSMEs located in DKI Jakarta area and have been running their business for at least 2 (two) years, and have used social media in their business. This study used a sample of respondents. The sampling was done by using non-probability sampling technique with purposive sampling method with 321 respondents. The results of this study show that only learning orientation has a direct effect on firm performance, while for market orientation and entrepreneurial orientation requires mediation role from social media orientation, and for technological orientation either directly or after mediation by social media orientation still has no effect significant to firm performance. The variable that has the greatest influence on firm performance after mediated by social media orientation is the entrepreneurial orientation. The results of this study provide insight for MSMEs practitioners, in order to use their strategic activities to increase the use of social media so as to improve the firm performance. This study has limitations, including not detailing the construct dimension of social media orientation into two dimensions of visibility and Sales and business development, and the sample of respondents from this study is only the perpetrators of MSMEs located in the area of DKI Jakarta. This can be a suggestion for further research. The model proposed in this study is to add the role of social media orientation as a mediation variable in the relationship between strategic orientation with firm performance.

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.

Impact of Social CRM Capabilities on Firm Performance

2016 ◽  
Vol 8 (4) ◽  
pp. 1-16 ◽  
Author(s):  
Shampy Kamboj ◽  
Mayank Yadav ◽  
Zillur Rahman ◽  
Praveen Goyal
Keyword(s):  
Social Media ◽  
Firm Performance ◽  
Structural Equation ◽  
Performance Outcomes ◽  
Two Dimensions ◽  
Equation Modeling ◽  
Media Technologies ◽  
Social Crm ◽  
Technology Resources

The emergence of social media technologies have drastically changed the face of customer relationship management (CRM), hence firms are incorporating social media technologies in their existing CRM systems which has led to the evolution of social CRM. This article extends capability-based perspective of traditional CRM by integrating it with social media technologies and to assess empirically their significant impact on firm performance. It also examines the mediating role of co-created customer experience. The developed hypothesis and proposed model were tested through structural equation modeling (SEM). The results show that co-created customer experiences play a role of mediator between social CRM capabilities and performance outcomes. Sales/marketing centric technology resources significantly influence four dimensions and customer centric technology resources influence two dimensions of relational information processing capability. The findings also depict that there is an influence of Sales/marketing and customer centric technology resources on customer linking, market sensing and social CRM capabilities.

A Tale of Three Strategic Orientations: A Moderated-Mediation Framework of the Impact of Entrepreneurial Orientation, Market Orientation, and Learning Orientation on Firm Performance

2016 ◽  
Vol 24 (03) ◽  
pp. 313-348 ◽  
Author(s):  
Dev K. Dutta ◽  
Vishal K. Gupta ◽  
Xiujian Chen
Keyword(s):  
Firm Performance ◽  
Market Orientation ◽  
Entrepreneurial Orientation ◽  
Moderated Mediation ◽  
Learning Orientation ◽  
Performance Effect ◽  
Strategic Orientations ◽  
Primary Finding ◽  
The Impact

In this study, we examine the ways in which three strategic orientations associated with the firm — entrepreneurial orientation (EO), market orientation (MO), and learning orientation (LO) — affect performance. We hypothesize and test a moderated-mediation framework relating these constructs using a panel dataset of large US retail firms over five years. Our primary finding is that LO mediates the impact of MO on performance and this relationship is strengthened under the moderating influence of EO. In other words, LO acts as a conduit through which the performance effect of MO arises and EO complements MO in terms of impact on performance.

scholarly journals Entrepreneurial orientation, learning orientation, market orientation, and organizational performance: Family firms versus non-family firms

2020 ◽  
Vol 10 (1) ◽  
pp. 6-19
Author(s):  
Remedios Hernández Linares ◽  
María Concepción López Fernandez
Keyword(s):  
Organizational Performance ◽  
Market Orientation ◽  
Entrepreneurial Orientation ◽  
Strategic Behavior ◽  
Family Firms ◽  
Strategic Orientation ◽  
Learning Orientation ◽  
Strategic Orientations ◽  
Scant Attention ◽  
Improved Performance

Firms develop and use multiple strategic orientations. However, the investigations considering more than one strategic orientation are scant and have paid scant attention to the singular context of family firms, despite the growing evidence of their special strategic behavior. To cover these research gaps, we analyze the combined effects of three strategic orientations (mainly, entrepreneurial orientation, learning orientation, and market orientation) on family firm’s performance, by comparing family firms and non-family firms from Spain and Portugal. Our results show that the entrepreneurial orientation is the strategic orientation with higher impact on family firm performance, followed by market orientation, so, our work offers family firms some insights to an improved performance. In addition our work contributes to literature by corroborating the idea of strategic equifinality.

scholarly journals The Influence of Entrepreneurial Orientation and Innovation Capability on Perceived Firm Performance with The Mediating Role of Market Orientation: Case study in PT WIKA Industri & Konstruksi

2021 ◽  
Vol 5 (3) ◽  
pp. 149-156
Author(s):  
Anggiat Maju Lubis ◽  
Firdaus Basbeth
Keyword(s):  
Firm Performance ◽  
Market Orientation ◽  
Entrepreneurial Orientation ◽  
Structural Equation ◽  
Equation Modeling ◽  
Innovation Capability ◽  
Construction Company ◽  
Mediating Role

Performance of PT WIKON in two consecutive years indicated run into downtrend from the year 2018 to the year 2019. Low levels of Entrepreneurial Orientation, Innovation Capability, and Market Orientation have been suspected as factors leading to the performance of PT WIKA Industri & Konstruksi.  The objective of this study is to investigate Market Orientation as the mediator of relationship Entrepreneurial Orientation and Innovation Capability on Firm Performance in a construction company. However, study-related Market Orientation as a mediator on the indirect effect of Innovation Capability and Firm Performance is still rare, therefore research on this subject can be seen as Novelty. There are Six theory-based hypotheses are measured. This research employs a quantitative approach with empirical evidence of employees and BOD of PT WIKA Industri & Konstruksi. Survey data are from 93 respondents were analyzed used structural equation modeling (SEM). The findings of this research showed that Market Orientation has a positive effect on Firm Performance. Surprisingly, Entrepreneurial Orientation (EO) and Innovation Capability (IC) independently do not have a direct effect on Firm Performance. The Effect of Entrepreneurial Orientation (EO) on Firm Performance (FP) is mediated by Market Orientation. Likewise, the effect of Innovation Capability (IC) on Firm Performance (FP) is mediated by Market Orientation. These results suggest that Entrepreneurial Orientation and Innovation Capability should focus on Market Orientation to improve the overall Firm Performance. Besides, it is highly recommended to middle management and above of PT WIKA Industri & Konstruksi should focus and allocate resources to Market Orientation to improve their Firm Performance.

scholarly journals The effects of entrepreneurial orientation, social media, managerial ties on firm performance: Evidence from Vietnamese SMEs

2022 ◽  
Vol 6 (1) ◽  
pp. 243-252 ◽  
Author(s):  
An Thi Hong Nguyen ◽  
Phuong V. Nguyen ◽  
Huynh Thi Sa Do
Keyword(s):  
Social Media ◽  
Firm Performance ◽  
Entrepreneurial Orientation ◽  
Structural Equation ◽  
Business Performance ◽  
Equation Modeling ◽  
Mediating Effects ◽  
Senior Managers ◽  
Managerial Ties ◽  
Practical Implications

This study examines the effects of entrepreneurial orientation, social media, and managerial ties on the business performance of small and medium-sized enterprises (SMEs) in Vietnam. In addition, the mediating effects of social media and managerial ties on the causal relationship between entrepreneurial orientation and firm performance is investigated. A total of 180 senior managers of SMEs were collected for data analysis by using partial least squares structural equation modeling. The results reveal that entrepreneurial orientation strongly enhances social media and managerial ties, which are determinants of business performance. Specifically, entrepreneurial orientation has no direct impact on firm performance; but the mediating effects were confirmed. Based on the results, our study highlights some theoretical contributions and suggests practical implications for practitioners in Vietnamese SMEs to improve firm performance effectively and efficiently.

scholarly journals Linking Two Dimensions of Entrepreneurial Orientation to Firm Performance: The Moderating Effect of Government’s Role

2017 ◽  
Vol 2 (2) ◽  
pp. 60
Author(s):  
Melvin Mojikon ◽  
Azizan Abdullah ◽  
Sofian Shamsuddin
Keyword(s):  
Firm Performance ◽  
Entrepreneurial Orientation ◽  
Manufacturing Firms ◽  
Two Dimensions ◽  
Strategic Orientation ◽  
Multidimensional Construct ◽  
Significant Relationships ◽  
Orientation Method ◽  
Competitive Aggressiveness ◽  
The Government

Entrepreneurial Orientation (EO) has been defined as a strategic orientation method, which employed by firms to identify ways and in creating a specific set of opportunities through various decision-making skills and entrepreneurial practices. Hence, this study was conducted based on the phenomenon experienced by a number of manufacturing firms in Sabah, Malaysia, within the context of Small and Medium-Sized Enterprises (SMEs). The EO, moreover, was deemed as a multidimensional construct encompassing two dimensions, namely competitive aggressiveness and pro-activeness. The study took place in Sandakan which is situated in Sabah. Based on the attributes of EO consisting of competitive aggressiveness and pro-activeness, the results were statistically demonstrated a significant relationships with firm performance. Whereas the government, which usually plays an important role, as the moderator, portrayed an insignificant and non-influential role in strengthening the relationships between these two EO dimensions and firm performance.

LINGKUNGAN BISNIS, ORIENTASI KEWIRAUSAHAAN, ORIENTASI PASAR, DAN KINERJA USAHA MIKRO, KECIL DAN MENENGAH

2012 ◽  
Vol 7 (1) ◽  
pp. 45
Author(s):  
Maria Pampa Kumalaningrum
Keyword(s):  
Market Orientation ◽  
Direct Effect ◽  
Entrepreneurial Orientation ◽  
Structural Equation ◽  
Small Firms ◽  
External Environment ◽  
Two Dimensions ◽  
Equation Modeling ◽  
Competitive Intensity ◽  
Technological Turbulence

This study examined the effect of environmental factors, entrepreneurial orientation, and market orientation on profitability in small business. In this study, we consider two dimensions of external environment: technological turbulence and competitive intensity. Theoretically, technological turbulence, competitive intensity, and entrepreneurial orientation are correlated, but distinct construct. Data was processed with Structural Equation Modeling using AMOS program. The results showed that technological turbulence has no direct effect on market orientation, but competitive intensity proved to have significant impact on market orientation. Entrepreneurial orientation has a direct effect and an indirect effect on profitability mediated by market orientation. The result also showed that market orientation proved to have significant impact on profitability. Based on the results, this study suggest, at least in small firms, competitive intensity and entrepreneurial orientation complements market orientation by instilling an opportunistic culture that impacts the profitability.Keywords: technological turbulence, competitive intensity, entrepreneurial orientation, market orientation, and profitability.

ICT SMEs, Performance, Absorptive Capacity and Transformative Capacity

2019 ◽  
Vol 118 (3) ◽  
pp. 178-188
Author(s):  
Yeon-Sung Cho ◽  
Kyung-Il Khoe
Keyword(s):  
Firm Performance ◽  
Market Orientation ◽  
Empirical Analysis ◽  
Absorptive Capacity ◽  
Latent Variables ◽  
Equation Modeling ◽  
Transformative Capacity ◽  
The Impact ◽  
The Empirical Analysis ◽  
Innovative Capacity

This study intends to integrate the relationship of market orientation, innovative capacity and firm performance to Information and Communication Technology(ICT) SMEs. The purpose of this study is to identify the role of absorptive capacity and transformative capacity that affect the performance of ICT SMEs. Hypotheses were established between five latent variables. A total of six hypotheses were established including the moderated effects of absorptive capacity and transformative capacity. Of the data collected after the survey, 112 valid surveys were selected as the final sample, except for 17 questionnaires with high non - response and insincere response. The empirical analysis of this study used smartpls3.0, Partial Least Squares (PLS), a variance-based structural equation modeling. The empirical analysis of this study revealed that the impact of market orientation on innovative capacity was significant. Moreover, the innovative capacity had a positive effect on the performance of ICT SMEs. In addition, the absorptive activity had a positive moderated effect between the market orientation and the innovative capacity. On the other hand, the transformative capacity showed a positive moderated effect in relation to innovative capacity and firm performance. Our empirical results have demonstrated the importance of knowledge based capacity in the ICT SMEs.

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