Determinant Analysis of Entrepreneurial Orientation in Business Organisations.

2020 ◽  
Vol 2 (2) ◽  
pp. 35-50
Author(s):  
Bulky Maharsa ◽  
Abdul Rahman Kadir ◽  
Andi Nur Baumassepe

The purpose of this study is to analyze the measurement of the entrepreneurial orientation (X) ​​derived from innovativeness, risk-taking, proactiveness, autonomy, and competitive aggressiveness factors. This research is explanatory research with quantitative methods. The population in this study were all food and beverage SME owners in Makassar City. The number of samples was determined as many as 99 respondents with a purposive sampling technique. The data collection method uses a questionnaire. The analytical tool used is partial Least Square (PLS). The results showed that entrepreneurial orientation was measured positively and significantly by Innovativeness. The best indicator for forming an innovativeness variable is X1.1 (focusing on product innovation rather than product/service marketing) because it has the highest loading value. Entrepreneurial orientation is measured positively and significantly by risk-taking. The best indicator forming the risk-taking variable is X2.1 (brave in taking new opportunities despite having a high risk) because it has the highest loading value. Entrepreneurial orientation is measured positively and significantly proactiveness. The best indicator forming the proactiveness variable is X3.2 (being the first compared to competitors in introducing new products and new services) because it has the highest loading value. Entrepreneurial orientation is measured autonomously positively and significantly. The best indicator [form the autonomy variable is X4.3 (has full power in determining the steps to run a business) because it has the highest loading value. Entrepreneurial orientation is measured by competitive aggressiveness in a positive and significant way. The best indicator forming the competitive aggressiveness variable is X5.2 (not afraid to face business competitors) because it has the highest loading value.

2019 ◽  
Vol 10 (3) ◽  
pp. 167-174
Author(s):  
Margo Purnomo ◽  
Erwin Permana ◽  
Achsanul Qosasi ◽  
Ahmad Fajri Febrian ◽  
Asep Miftahuddin

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.


2021 ◽  
Vol 306 ◽  
pp. 03011
Author(s):  
M. Khalifatul Ardhi ◽  
Jangkung Handoyo Mulyo ◽  
Irham

The increasing growth of the coffee shop business with a fast and attractive expansion as a food & beverage industry in urban areas of Indonesia, especially Special Region of Yogyakarta has led to business competition between micro, small, and medium enterprises (MSMEs) which are required to use their ability to adapt, be competitive and improve business performance. The entrepreneurial orientation is claimed to important contributions to business success. This study aims to analyze the effect of entrepreneurial orientation on business performance. Partial Least Square-Structural Equation Modeling (PLS-SEM) analysis method is used to examine the effect of five dimensions of entrepreneurial orientation (innovative, proactive, risk-taking, autonomy, and competitive aggressiveness) on business performance. This research was conducted at 80 coffee shop MSMEs with the sampling technique using convenience sampling. The results showed that the dimensions of proactive, autonomy, and competitive aggressiveness were found to have a positive and significant effect on business performance, while the innovative and risk-taking dimensions did not affect significantly on business performance.


Author(s):  
Brent Smith ◽  
Thanigavelan Jambulingam

PurposeScholarship in the entrepreneurship and marketing literatures has helped advance thinking about how health care organizations create value for companies and consumers. However, there is an ongoing need for empirical research; hence, the purpose of this paper is to examine how entrepreneurial orientation and customer orientation influence healthcare (retail pharmacy) industry performance.Design/methodology/approachUsing a sample of the US retail pharmacies, the study applies partial least squares structural equation modeling to identify the direct and indirect effects of the entrepreneurial orientation constructs on company performance. The study also includes importance–performance analyses to prioritize for managers which orientations, dimensions and respective manifest items merit the most critical attention as contributors to pharmacy performance.FindingsWe find that the entrepreneurial orientation has a significant impact on customer orientation and company effectiveness. We also find that three dimensions – innovation, risk-taking, and proactiveness – exhibit stronger importance and performance than autonomy and competitive aggressiveness.Research limitations/implicationsWhile the present study employs data from firms of various sizes, it is limited to firms in the pharmacy industry. Although this study included established EO measures, one of the risk taking items was dropped from the final analysis. In certain research contexts, this result may or may not be consequential. Finally, this study employed nonfinancial measures for measuring performance. Using such measures is not uncommon and can offer insightful linkages to long-term organizational strategies in ways not afforded by conventional financial measures (Ittner and Larcker 2000); however, future research should, if possible, aim to capture financial and nonfinancial data.Practical implicationsIn the dynamic healthcare environment, entrepreneurial pharmacies that have the ability to innovate, take risks and be proactive can provide superior customer orientation and hence better performance.Social implicationsHealth care industry in general and pharmacies in particular have to be entrepreneurial to meet customer needs and hence the wellbeing of the society With the aging population and growth of complex diseases, pharmacies can provide better access to care delivery if they have entrepreneurial orientation.Originality/valueIn this study, partial least square modeling technique along with importance performance analysis was adopted for first time in this literature to identify key factors that contribute to EO. The findings will aid pharmacy managers to focus their initiatives on the three key dimensions to succeed in their retail pharmacy business.


2020 ◽  
Vol 10 (5) ◽  
pp. 629-650
Author(s):  
Carlos Luis Barzola Iza ◽  
Domenico Dentoni

PurposeThis study explores the role of the key dimensions of farmers' entrepreneurial orientation – namely proactiveness, risk-taking, innovativeness and intentions – as drivers of product, process and market innovation in the context of one coffee MSP in Uganda.Design/methodology/approachEmpirical data from 152 coffee farmers were analyzed via confirmatory factor analysis and partial least square multi-variate statistics.FindingsFindings highlight, first, that farmers' proactiveness significantly drives their product innovation and, to a lesser extent, process innovation. This effect holds when considering key control variables, such as access to key resources and associated actors. Second, more surprisingly, farmers' innovativeness hampers market innovation. Third, entrepreneurial intentions per se did not play a significant role in farmers' innovation. Fourth, the adapted measurement of risk-taking from the Western literature did not suit well the Ugandan coffee farming context.Research limitations/implicationsThese results lead to methodological implications for the measurement of farmers' risk-taking, innovative and proactive attitudes, as well as market innovation in rural Africa. Furthermore, they expand the role farmers' entrepreneurial orientation on product, process and market innovation in a rural African context.Originality/valueMulti-stakeholder platforms (MSPs) are often claimed to play an important role in stimulating farmers' innovation and enhancing rural development. Nevertheless, little is known yet on if why some farmers participating in MSPs may innovate more than others. This paper addresses this gap by shedding light on the role of farmers' entrepreneurial orientation.


2019 ◽  
Vol 3 (1) ◽  
pp. 52
Author(s):  
Agus Sucipto ◽  
Nailul Chasanah

The stock market is a business field of securities trading one of them stock. For prospective investors, investment decisions in stock must be preceded by a process of analysis of variables which can influence the price of a stock. Investors need to have benchmarks in order to know whether if he invested in a company he would benefit if the shares are sold. Salaah one factor to be a benchmark investor is knowing the financial condition of the company where it can be seen with the financial ratio analysis and management of an optimal capital structure. This study aims to determine the effect of the ratio of liquidity, profitability, and solvency to return stock with a capital structure as an intervening variable.This study uses a quantitative approach. The research method using the method of documentation. Samples were company food and beverage sub-sectors listed in Indonesia Stock Exchange 2013-2017 period. The sampling technique used purposive sampling method with predetermined criteria obtained 11 samples of the company. This study uses data analysis Partial Least Square (PLS).These results indicate that liquidity ratios have a negative impact on stock returns, while the profitability and solvency ratios have no effect on stock returns. The results also show the liquidity ratio and solvency ratio has a negative effect on the capital structure, profitability ratios while not having capital structure. And capital structure has a negative impact on stock returns. The results also show the ratio of liquidity, profitability, and solvency partially no effect on stock returns with the capital structure as an intervening variable.


2021 ◽  
Vol 10 (1) ◽  
pp. 23-37
Author(s):  
Nia Nur Safitri ◽  
Jaka Nugraha

This study aims to determine the effect of entrepreneurship education on entrepreneurial intentions through risk taking, self-efficacy, and being proactive during the COVID-19 pandemic. The population in this study were students of class XI and XII majoring in office governance automation who took lessons on creative products and entrepreneurship at SMKN 1 Surabaya using 188 respondents with simple random sampling technique. Methods of data collection using a questionnaire. Analysis of the data used in this study is Structural Equation Modeling-Partial Least Square (SEM-PLS). The results obtained in this study are entrepreneurship education has no significant effect on entrepreneurial intentions, risk taking as a mediation has no significant effect between entrepreneurship education and entrepreneurial intentions, self-efficacy is able to significantly mediate the effect of entrepreneurship on entrepreneurial intentions, proactive is not able to significantly mediate the effect of education entrepreneurship to entrepreneurial intentions. The limitation of this study is that the proposed model was only tested in SMKN 1 Surabaya, students of class XI and XII majoring in office governance automation. Originality in this study is to measure the mediating variables, namely risk taking, self-efficacy, and proactiveness in the relationship between entrepreneurship education and entrepreneurial intentions.


2021 ◽  
Vol 9 (1) ◽  
pp. 54
Author(s):  
Enny Hindarwati ◽  
Agus Rahayu ◽  
Lili Adi Wibowo

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.


Author(s):  
Abdulmohsin Abdulla M Alyafei Et.al

The main purpose of the current study is to investigate the impact of the impact of international Entrepreneurial orientation on the performance of SMEs in QATAR. Additionally, the study has investigated the mediating role of the degree of internationalisation in the relationship between the international Entrepreneurial orientation on the performance of SMEs in Qatar. The present study used stratified sampling technique. The study used Smart PLS-SEM, which is Smart Partial Least Square Structural EquationModeling (SEM) 3.2.6 version. EO has been indicated to improve organisational competitiveness which leads to value creation and eventually improved organisational performance. The findings indicate that the growth performance of SMEs depends on the ability of an entrepreneur to allocate the strategic limited resources and adapt to changes by setting up proper firm orientation. Successful processes will only be achievable if sufficiently skilled and motivated employees are equipped with precise and current information. The findings of this study have presented important managerial implication and contribution to studies on entrepreneurial orientation of SME firms in Qatar.


Author(s):  
Fauziyah Rahmawati ◽  
Santi Novani

This study aims to analyze product innovation and value co-creation on marketing performance in this pandemic covid-19. SMEs of food and beverage used as a sample. Sampling was done using a purposive sampling technique. Data were collected using a self-administered questionnaire. This study uses 34 data from MSMEs in the food and beverage sector affected by COVID-19. Partial Least Square (PLS) on Structural Equation Modeling (SEM) was chosen as the research method in this study. The results show that value co-creation have a significant effect on marketing performance. Product innovation negatively and not significant effects on marketing performance, and value co-creation significantly affect product innovation. The novelty in this study is a phenomenon that occurs; that is when the Covid-19 pandemic spreads in Indonesia. This study's limitation is needed to add other variables beyond the variables already in the model. This study only focused on SMEs for the food and beverage sector


2018 ◽  
Vol 1 (2) ◽  
Author(s):  
Ayu Wulandary

            Business performance is one of the benchmarks of entrepreneurship orientation so that the concept of entrepreneurship orientation of the entrepreneur is important because it has impacts on business performance. The entrepreneurship orientation is shaped by the five dimensions of innovation: risk-taking, proactiveness, competitive aggressiveness, and autonomy. The objective of this study was to analyze the influence of entrepreneurship orientation on business performance of fish abon SME in Makassar. This research employed a Structural Equation Modeling-Partial Least Square (SEM-PLS) 3.0 tool for quantitative analysis. The results of this study indicated that the influence of entrepreneurship orientation had a positive and significant impact on business performance. It could be observed that t-statistic value was 3,302> 1.96 and p-value was 0.001 <0.05, it meant that any improvement to the business adopting entrepreneurship orientation would improve business performance at fish abon SME in Makassar City.


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