Entrepreneurial Orientation
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Growing changes in the present global environment is compelling firms to seek and exploit opportunities for market growth. Among others, an innovation that is cost-effective, functional, and sustainable (frugal) is one of the important factors for such growth. To validate this link empirically, we investigate the influence of risk-taking and proactivity behaviours (dimensions of entrepreneurial orientation (EO)) on frugal innovation (FI), and moderation of external knowledge. We nested the data from Small and Medium Entreprises that were engaged in frugal product innovation in Pakistan. The findings reveal that the behaviours of taking the risk and being ahead of competitors (proactiveness) have a significantly positive influence on FI. However, moderation of external knowledge strengthens the influence of risk-taking behaviour while weakens the influence of proactivity behaviour on FI. The authors also discuss some important theoretical and managerial contributions of this research.

2021 ◽  
Vol 1 (3) ◽  
pp. 259-267
Mohammad Irhas Effendi ◽  
Agus Sukarno ◽  
Gunawan Nusanto ◽  
Bunga Alfausta Amallia ◽  
Trisna Adisti

This study aims to examine the relationship between Entrepreneurial Orientation (EO) and Interaction Orientation (IO) market approaches in developing countries. This study uses two market methods using a survey approach. This study collects data from 110 SMEs in Yogyakarta and analyzes it using PLS. Research findings indicate that EO and IO have a beneficial impact on innovation performance. The impact of EO and IO on business innovation performance was not found to be moderating in this study. Research findings support strategic planning by recommending that managers focus on two market approaches to increase innovation success.

2022 ◽  
Vol 60 (3) ◽  
Marina Daneluz ◽  
Mario Duarte Canever ◽  
Helenice González de Lima ◽  
Rogerio Folha Bermudes ◽  
Gabrielito Rauter Menezes

Abstract: The main objective of the study is to develop and test a model that emphasizes the relationship between entrepreneurial orientation (EO) and managerial capacity (MC) to the performance of dairy farms. This article also examines the effect of these variables on performance expectations as well as the succession planning of farms. Cross-sectional data were collected out of a sample of 158 dairy farmers in 2017 in Brazil. A path analysis approach has been applied to validate the hypothesized model. Results show that between EO dimensions, innovativity has the greatest impact on performance as well as on MC. MC is not significantly related to the current performance on dairy farms, but it is so to the performance expectation, which in turn has an impact on the succession planning of farms. The age of the farmers moderates the relations hypothesized in the model, especially between innovativity, proactivity, and MC in the farms’ performance.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Tiannv Ma ◽  
Siying Yang

Purpose This study aims to examine how entrepreneurial orientation affects new venture performance in a dynamic environment. The authors examine whether entrepreneurial bricolage and opportunity recognition mediate the effect of entrepreneurial orientation on new venture performance and whether environmental dynamics moderate the above effects. Design/methodology/approach This study uses questionnaires to collect data. The sample includes responses of managers from 274 new Chinese ventures. Regression analysis and bootstrapping are used to test the hypotheses. Findings Entrepreneurial bricolage and opportunity recognition play mediating roles between entrepreneurial orientation and new venture performance. Environmental dynamism positively moderates the relationship between opportunity recognition and new venture performance. Practical implications In a dynamic environment, new ventures should strengthen their entrepreneurial orientation, which would gradually improve their performance by improving their entrepreneurial bricolage and opportunity recognition ability. Originality/value This study innovatively explains the relationship between entrepreneurial orientation and new venture performance from the perspectives of “flexible solutions to current problems” and “discovering and grasping potential new opportunities.” It does so by using the concepts of entrepreneurial bricolage and entrepreneurial opportunity identification in the context of a dynamic environment.

Fábio Dal-Soto ◽  
Yeda Swirski de Souza ◽  
Mats Benner

The establishment of entrepreneurial orientation (EO) in the academic environment, through its basilar conceptual dimensions such as proactiveness, innovativeness, and risk-taking, has been the subject of relevant debate for academics, higher education managers, and policy-makers. In this context, this article aims to analyze the establishment of EO in the academic environment, pursuing an entrepreneurial university model. Thus, the strategy of multiple case studies was adopted, based on three universities: two in Brazil, the Pontifical Catholic University of Rio Grande do Sul (PUC-RS) and the Pontifical Catholic University of Rio de Janeiro (PUC-Rio), and one in Sweden, the Lund University (LU). Results show that the EO established by the universities studied is seen in several times and in different ways through its conceptual dimensions, suitable to the academic context. The movements observed in the three cases researched show non-sporadic behaviors towards an entrepreneurial university model over time.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Anderson Betti Frare ◽  
Ana Paula Capuano da Cruz ◽  
Carlos Eduardo Facin Lavarda ◽  
Chris Akroyd

Purpose This study aims to understand the relationship between the elements of a startup firms’ management control system (MCS) package, its entrepreneurial orientation (EO) and firm performance. Design/methodology/approach The authors collected survey data from a sample of 100 Brazilian startups who had exited technology-based parks and incubators. The authors used two data analysis techniques, namely, partial least squares structural equation modeling (PLS-SEM) and fuzzy-set qualitative comparative analysis (fsQCA). Findings The findings show that cultural and planning controls were the only two MCS elements that were included in all high-performing startup firms’ MCS packages. The authors also found that EO has a positive influence on firm performance through the MCS package. Research limitations/implications The mixed-method approach allowed for a holistic view of the analyzed phenomenon. PLS-SEM analysis was applied to the symmetric relationships between the proposed relationships while fsQCA was used to analyze the asymmetric combinations between EO dimensions and MCS package elements, which promoted high firm performance. Practical implications The authors show how different combinations of MCS elements form a package, mediating EO, which can enable high performance. Originality/value Using fsQCA and PLS-SEM, the authors were able to better understand the important role that MCS package adoption has on a startups’ performance and provide new evidence regarding the interface between MCS and EO. This extends the understanding of the importance that cultural and planning controls have in an MCS package to support startup performance.

Reem Mohamed Ismaeil El-Masry ◽  

This paper aims to develop a framework for the entrepreneurial orientation in Egypt to cope with the required level of competitive advantage to be achieved by SMEs in the Egyptian context through the mediating role of sustainability. This illustration will be tackling every dimension of entrepreneurial orientation, Sustainability, and competitive advantage. Then the relationship between the three variables will be tested and examined. Literature and prior studies related to this field are reviewed to construct the research hypotheses which state that there is a significant relationship between entrepreneurial orientation and sustainability, there is a significant relationship between sustainability and competitive advantage, Sustainability mediates the relationship between entrepreneurial orientation and competitive advantage. These hypotheses will be tested throughout the research study. Primary data is collected from entrepreneurs of Egyptian SMEs in the food and beverage sector using a quantitative approach (Questionnaire). The data collected is analyzed and then the results of the analysis and findings are demonstrated by the end of the research with some recommendations to Egyptian SMEs to enhance their competitive advantages.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Ahmad Raza Bilal ◽  
Tehreem Fatima

Purpose This study aims to extend the much-held strategic entrepreneurial orientation stance and conceptualized it as a psychological disposition of small- and medium-scale enterprises (SMEs) owners. Based on this notion, the authors theorized that individual entrepreneurial orientation (IEO) is a precursor of success in manufacturing sector SMEs. Building on the credo of action regulation, the authors clarified the IEO and SMEs’ success association by introducing exploration activities as a conduit. Further, the authors posited that entrepreneurial alertness augments the nexus of IEO, exploration activities and SMEs success. Design/methodology/approach A three-wave survey was done by drawing a cluster-based sample of 389 SME owners in the manufacturing sector of Pakistan. The mediation and moderation analysis were done by PROCESS macro that uses bootstrapping with 5,000 draws to calculate the indirect (Model 4), conditional and conditional indirect effects (Model 7) at a 95% confidence interval. Findings The results offered empirical support to the conjectured association among IEO and SMEs’ success mediated by exploration activities. Moreover, the conditional direct (between IEO and exploration activities) and indirect impact (among IEO and SMEs’ success mediated by exploration activities) of entrepreneurial alertness was substantiated. Originality/value The authors added to the sprouting body of knowledge in the field of entrepreneurial orientation by focusing on its individual-level psychological conception. The authors have unlocked the interplay between IEO and SMEs’ success via the role of action characteristics of exploration activities and entrepreneurial alertness based on the action regulation tenet. Thus, the authors made a novel contribution by linking the micro-level entrepreneurial orientation and actions with macro-level SMEs' success.

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