Entrepreneurial Orientation in low- and medium-tech industries: The need for Absorptive Capacity to increase performance

The implications of Entrepreneurial Orientation (EO) for firm performance in low- and medium-tech (LMT) industries are largely unexplored and seem to be limited. In this paper we seek to address this research gap studying how Absorptive Capacity can act as a key factor determining the effectiveness of EO in such a context. Specifically, we adopt the knowledge-based view of the firm and explore the moderating effects of Absorptive Capacity’s Potential and Realized dimensions on the EO–performance relationship in LMT industries. Our regression results based on a lagged dataset of 103 medium-sized firms based in Italy confirm our hypotheses that, in LMT industries, EO has a positive effect on firm performance when coupled with high levels of both Potential and Realized Absorptive Capacity.     

Entrepreneurial orientation and social ties in transitional economies

Recent research suggests that entrepreneurial orientation (EO) has a more complex effect on performance (i.e. non-linear instead of linear) than previously considered. We extend this view by examining the non-linear effect of each individual dimension of EO (i.e. innovativeness, proactiveness, and risk-taking) on firm performance in the context of a transitional, collectivist economy. Drawing upon social capital theory, we also examine under which social capital conditions (i.e., business and political ties) each dimension of EO is most effective. Using survey data from 137 firms in Vietnam Top 500 Companies, this study shows that innovativeness and proactiveness have inverted U-shaped relationships with firm performance, while the effect of risk-taking on firm performance is also non-linear but in the form of increasing returns. Findings also show that social capital from business ties differentially moderates the effects of EO dimensions on performance. Similarly, social capital from political ties has different moderating effects on the innovativeness-performance and proactiveness-performance linkages. The findings urge managers of firms operating in transitional economies to take the levels of social capital from business ties and political ties into consideration when making their decision on which entrepreneurial strategy to pursue.     

Examining Facilitative Configurations of Entrepreneurially Oriented Growth: An Information Processing Perspective

This study examines how the relationship between entrepreneurial orientation and firm growth is shaped by learning orientation in technologically sophisticated environments. We draw upon an information processing perspective that emphasizes alignment between information processing demands and support mechanisms. Using data from 116 small to medium‐sized enterprises in the Netherlands, we observe that the ability of entrepreneurial orientation to drive firm growth greatly depends on the joint consideration of technological sophistication and learning orientation. Our findings contribute to a better understanding of how configurations of strategic orientations and environmental considerations work in concert to influence the efficacy of organizational entrepreneurial efforts dramatically.     

Entrepreneurial orientation in vertical alliances: joint product innovation and learning from allies

This paper clarifies how a firm’s entrepreneurial orientation (EO) affects joint product innovation within a vertical alliance and how this is influenced by increasing technological uncertainty and the absorption of knowledge from the alliance partners. The results of a structural equation model with latent interactions on 171 firms in the manufacturing industry indicate that the focal firm’s EO increases joint innovation, although this positive effect declines when a high level of uncertainty increases. On the other hand, the ability to absorb partners’ knowledge increases joint product innovation. As such, this study’s results contribute to research in the field of vertical alliances, EO, and the theoretical foundation of a dynamic capability perspective.     

Outsourcing and Performance in Entrepreneurial Firms: Contingent Relationships with Entrepreneurial Configurations*

This article develops and examines an empirical typology of entrepreneurial firms, based on organizational and life cycle characteristics. Results indicate five entrepreneurial configurations representing the essential contingent features of age, size, innovation, and governance structure (Elders, Giants, Innovators, and Owners) and one configuration representing a mix of all features (Balanced). We found that (i) outsourcing affected financial performance in entrepreneurial firms and (ii) configurations moderated this relationship. Results support the use of salient contingent features of age, size, innovation, and governance structure to predict outsourcing effectiveness in the entrepreneurial configurations. That is, entrepreneurial firms that aligned their configurational characteristics with outsourcing tended to have greater gains in financial performance. From a resource dependency perspective, managing these alignments has important implications for entrepreneurial firm performance.     

创业导向与创新绩效：高管团队特征和市场动态性的影响

创业导向对创新绩效的提升具有重要的影响,但创业导向与创新绩效的关系还可能受高管团队特征和市场动态性的影响。根据基于注意力的观点,对创业导向、创新绩效、高管团队的异质性、高管团队的共同愿景和市场动态性的关系进行研究,探讨高管团队的异质性和共同愿景对创业导向与创新绩效关系的调节作用,并进一步研究这种调节作用是否受市场动态性的影响。利用在广东、江苏、山东、陕西和河南5地收集的264份调查问卷,采用多元线性回归和调节效应的检验方法对研究假设进行实证检验。研究结果表明,创业导向对创新绩效有正向促进作用,高管团队的异质性有助于加强创业导向与创新绩效的关系。在稳定的市场环境下,高管团队的异质性对创业导向与创新绩效关系的调节效应更强;在不考虑环境动态性和环境动态性较低的情况下,高管团队的共同愿景对创业导向与创新绩效关系的调节效应不显著,但在动态性较高的市场环境下,可以显著地正向调节创业导向与创新绩效的关系。     

Exploitative Learning and Entrepreneurial Orientation Alignment in Emerging Young Firms: Implications for Market and Response Performance*

We examine exploitative learning and entrepreneurial orientation (EO) in emerging young high technology firms located within business incubators. In the last five years, the UK government has invested approximately £125m in incubation activities. The rationale for supporting business incubation is to maximize knowledge sharing across firms with an expectation that it will leverage performance. This represents exploitative learning – the acquisition of established knowledge that carries clear known value and outcomes. Paradoxically, research into EO has repeatedly emphasized the value of knowledge created through exploratory learning mechanisms (‘play, discovery and experimentation’) in securing advantage. Theoretical and empirical questions are raised herein with regard to the value of exploitative learning within a network context which might negatively influence the impact of EO on the firm. Using configuration theory, we demonstrate that firms cannot sustain dual‐dominant orientations of exploitative learning and EO. A strongly configured EO generates high performance returns. However, multi‐group analysis reveals that these effects are particularly strong for those firms whose exploitative learning is weak. Implications and directions for future research are discussed.     

新企业创业导向与绩效的倒 Ｕ形关系——基于资源整合能力的调节效应研究

近年来, 创业导向与绩效的正向关系不断受到挑战.诸多学者强调, 创业导向与绩效的关系是“难以捉摸”的.新企业由于“新且小”的先天不足抑制了创业导向对绩效的积极功效.新企业的创业实践表明, 资源整合能力之资源识取能力和资源配用能力对于创业导向与绩效的关系具有重要影响.文章基于234份新企业样本实证检验了上述关系, 结果表明, 新企业创业导向与绩效的关系并非主流研究成果所认可的正向线性关系, 而是呈现出了倒U形的曲线关系.资源识取能力和资源配用能力对创业导向与绩效的倒U形关系分别具有调节效用, 即当这两种能力提升时, 低度创业导向对绩效的正面作用会增强, 高度创业导向对绩效的负面作用会降低.这说明了新企业创业导向并不总是有助于绩效的提升, 只有拥有适度创业导向的新企业才会有较好的绩效表现, 而要确保创业导向对绩效的积极作用, 新企业必须完善并提升其资源整合能力.     

Disentangling combinations and contingencies of generic strategies: A set-theoretic configurational approach

Porter's framework of generic strategies conceptualizes key elements of firms' strategic positions in their industry. Research on these generic strategies has been challenged by the complexity of capturing relations between generic strategies (i.e., cost leadership, differentiation, and focus) and their interdependencies with other strategic commitments for performance outcomes. We address these challenges by utilizing fuzzy set Qualitative Comparative Analysis (fsQCA) to explore the causal complexity underlying the links between generic strategies and firm performance. Specifically, we study combinations of firms' generic strategies and other strategy attributes as paths to high or low performance in the U.S. and Canadian airline industry. We find six equifinal configurations that are consistently linked to high performance and nine configurations that are consistently linked to the absence of high performance. Our findings shed light on the contingencies underlying performance consequences of generic strategies. Consequently they redirect theoretical debates on the links between generic strategies and firm performance as well as on the superiority of pure versus hybrid generic strategies towards relations of set-theoretic of necessity and sufficiency. Specifically, we show that having a generic strategy advantage is not sufficient for high performance but that it is a vital ingredient in recipes for success. Similarly, our findings suggest that a generic strategy disadvantage is not sufficient for low performance, but is a key ingredient in all paths to poor performance. We conclude with a discussion of our study's contributions to the literature, suggestions for future research, and implications for managerial practice.     

Institutional support and firms’ entrepreneurial orientation in emerging economies

In recent years, many governments in emerging economies have used macro-level institutional support to boost entrepreneurship, but the actual impact of institutional support on firms’ entrepreneurial orientation (EO) remains unclear. To provide a holistic understanding of this impact, we examine the relationship between institutional support and three specific dimensions of EO—proactiveness, innovativeness, and risk-taking—and we explore how these relationships are contingent on firm ownership and the industry life cycle. A two-study, mixed-methods empirical design confirms our hypotheses. Specifically, Study 1 surveys 303 Chinese firms and finds that institutional support has a decreasingly positive relationship with proactiveness, an increasingly positive relationship with innovativeness, and a positive linear relationship with risk-taking; each of these three relationships is weaker for state-owned enterprises (SOEs) than for non-SOEs and for firms in fast-growing industries than for firms in slow-growing industries. Study 2 conducts a scenario-based experiment using6 133 MBA students, and its results again support the main effects hypotheses.     

领导权变更、创业导向及自主创新间关系的实证研究

基于制度理论,考察了领导权变更对企业创业导向的影响,以及创业导向与环境不确定对企业自主创新的影响。通过对195家企业的问卷调查,验证了提出的假设。结果发现:领导权变更与企业的创业导向存在倒"U"型关系;需求不确定削弱创业导向对自主创新的促进作用,而技术不确定加强创业导向对自主创新的促进作用。     

Digitalization in the financial industry: A contingency approach of entrepreneurial orientation and strategic vision on digitalization

Technology is rapidly changing the financial industry. Banks, in particular, are faced with a shift from traditional, interpersonal forms of service to digital financial services. These digital technologies are more and more becoming today’s standard in the banking sector, they challenge traditional business models, and they provide opportunities for banks to capitalize on. Building on the concept of entrepreneurial orientation (EO), this study of banks in Germany, Switzerland, and Liechtenstein aims at developing insights that explain how banks can use the tactics and strategies associated with EO to achieve superior performance in the digitalization age. The results from a survey in 102 banks show that: 1) banks that display high levels of EO report a higher level of performance, and 2) the relationship between a banks’ strategic vision on digitalization, and performance is moderated by EO. These results indicate that the sheer level of the digitalization of a bank does not affect profitability. Instead, in this time of technological change banks should develop a clear vision on digitalization that is characterized by innovation, being ahead of the competition, and a willingness to take risks.     

Governance structure and internationalization of family-controlled firms: The mediating role of international entrepreneurial orientation

Stemming from resource dependence theory this article investigates the mediating role of international entrepreneurial orientation on the relationship between the involvement of non-family members in the firms' governance structure and both pace of internationalization and international performance of family firms. Relying on a sample of 113 German family firms, the theoretical model proposed in the study is tested via structural equation modeling techniques. Our findings suggest that a high involvement of non-family members in governance structure has a positive impact on family firms' pace of internationalization, and that this relationship is mediated by the international entrepreneurial orientation of the firm. The discussion section offers implications for family business and international entrepreneurship literature, as well as practical implications.     

A configurational analysis of the antecedents of entrepreneurial orientation

Entrepreneurial orientation is widely acknowledged as a strong predictor of firm performance. It is therefore critical to understand the factors and conditions that nurture it. In this paper, we investigate what configurations of motivations and personality traits trigger entrepreneurial orientation in three strategic leadership situations: successor of a family business, family-oriented founder, non-family founder. Strategic leaders in these situations are differently exposed to the opportunities and constraints to pursue entrepreneurial posture, because of the influence of family embeddedness and organizational resistance. We apply Fuzzy Set Qualitative Comparative Analysis to a sample of 257 Italian SME owner/managers. We identify 12 coherent configurations of internal and external motivations, and personality traits that are all conducive to entrepreneurial orientation. These configurations are consistent with features of the family and organization environments in which the entrepreneurial action takes place; furthermore, in each strategic leadership situation, different configurations of attributes lead to entrepreneurial orientation.     

Breaking the routines: Entrepreneurial orientation,strategic learning,firm size,and age

Drawing upon prior research suggesting inertia prevents organizations from learning, we suggest that the relationship between entrepreneurial orientation (EO) and strategic learning (SL) is not as straightforward and linear as has been suggested. The size and age of an organization, considered indicators of inertia, are important factors affecting how EO contributes to the components of SL. Data from 182 software companies confirm the non-linear relationships between EO and the dissemination, interpretation, and implementation components of SL. The results also indicate that the U-shaped association between EO and specific components of SL is more pronounced for larger and established companies than for younger and smaller ones. These findings depart from previous work based on strategic learning from mistakes, and offer a specific understanding of the relationship between EO and the four distinct components of SL. These results suggest that companies should opt to facilitate the individual components of SL as they are affected differently depending on the level of EO, and the age and size of the organization.     

市场导向对组织创造力的非线性作用机理——组织二元结构文化与创业导向的影响研究

在我国加快实施创新驱动发展战略中,如何提升企业组织创造力以促使企业创新变得至关重要。企业战略是影响组织创造力和创新的重要情境因素。市场导向和创业导向是新兴经济体国家的企业发展的战略核心。然而,现有研究对市场导向与企业创造性产出之间关系的观点却不一致。创业导向如何影响市场导向对组织创造力的作用也尚未得到关注和研究。本研究以145家企业的979份高层管理人员与核心员工的套问卷数据为样本,研究发现：市场导向对组织创造力产生倒U型影响,且倒U型影响通过二元结构文化（一致性文化与适应性文化）的不同传导机制而产生,即：一致性文化在市场导向与组织创造力之间正向中介效应随市场导向的增强而减弱,并在高度市场导向时转变为负向中介效应,而适应性文化在市场导向和组织创造力之间发挥部分中介效应。研究还发现：市场导向对组织创造力的倒U型影响受创业导向的调节作用,即：当创业导向较高时,市场导向对组织创造力的积极影响随市场导向的增强而逐渐增强,反之,则逐渐减弱。研究结论为提升企业组织创造力提供新的思路和理论参考。     

Entrepreneurial orientation and the business performance of SMEs: a quantitative study from the Netherlands

Entrepreneurial Orientation (EO) is often mentioned as an antecedent of growth, competitive advantage and superior performance, and prior empirical research has often shown a positive relationship between EO and performance appears to exist. However, an important question that remains unanswered is what effect EO might have on firm performance during periods of economic crisis, and the severe environmental turbulence that accompany such crises. This research is a first investigation towards the effects of EO on the performance of small and medium sized firms during the current global economic crisis. In this study we use the multidimensional model of EO and test a series of hypotheses pertaining to its performance effects using survey data gathered from 164 Dutch SMEs. The present research shows that proactive firm behavior positively contributes to SME performance during the economic crisis. We further show that innovative SMEs do perform better in turbulent environments, but those innovative SMEs should minimize the level of risk and should take action to avoid projects that are too risky.     

个体企业家导向视角的管理创新引进机理研究

为揭示作为组织创新与变革直接负责人和承担者的企业核心管理者在引进新管理实践或方法的决策过程中的具体作用机制,揭开管理决策黑箱,尝试从核心管理者个人层面的企业家导向视角出发,在回顾相关文献的基础上,构建企业家导向的3个维度(技术创新性、先动性、风险倾向性)通过创新意愿的中介作用影响管理创新引进水平的研究框架,并对浙江、四川、广东和辽宁等地的237份有效问卷进行四阶段多元回归分析,验证相关假设。研究结果表明,管理者个人层面企业家导向的3个维度均显著影响管理创新引进水平;企业家导向通过创新意愿影响管理创新决策,3个维度之间符合行为理论从态度到意愿到行为的实现过程;创新意愿部分中介企业家导向与管理创新引进水平之间的关系。     

高新技术企业联盟导向、创业导向与企业绩效关系的实证研究

基于我国195家高新技术企业的问卷调查数据,实证分析了联盟导向和创业导向对企业绩效的影响,以及创业导向和环境动态性在联盟导向与企业绩效关系间的调节作用。研究结果表明:联盟导向和创业导向对企业绩效具有显著的正向影响;创业导向和市场动态性在联盟导向与企业绩效关系中起到正向调节作用;技术动态性在联盟导向与企业绩效的关系中起到负向调节作用。     

The extended dynamic capabilities model: A meta-analysis

This paper investigates, from meta-analytic approach, some topics that were unexplored in others dynamic capabilities meta-analysis. Hence, our research advances to identify and test the main antecedents of dynamic capabilities, the possible moderation effects of economic and cultural contexts in the relationship between dynamic capabilities and firm performance and the mediation effects between the antecedents of dynamic capabilities and firm performance. (1) The elements that stimulate dynamic capabilities development are resources, knowledge and learning, alliances and environmental dynamism. However, entrepreneurial orientation has no direct relationship with dynamic capabilities. (2) Dynamic capabilities play a mediating role between resources, knowledge and learning, alliances and firm performance. Curiously, entrepreneurial orientation is not mediated by dynamic capabilities in relation to performance. (3) Economic and cultural moderation affect the relation between dynamic capabilities and performance. Surprisingly, we detected that an Eastern orientation, presenting a high level of power distance and a low level of individualism, promotes stronger effects in the relationship between dynamic capabilities and firm performance than a Western orientation. Thus, our main contribution is to broaden the previous research on dynamic capabilities and to propose a future research agenda. In addition, this study adds new empirical evidence to the study of dynamic capabilities, which reduces the heterogeneity of previous results.