The entrepreneurial orientation (EO) concept of an individual is understood to be a complex mix of personal and situational factors. In this paper, we review the emerging body of literature focusing upon entrepreneurial discourse and identity, through a concept of an organisation having a Regional Entrepreneurial Orientation which explicitly includes regional and organisational values into the EO concept. This case is explored through textual and metaphorical evidence for a North Yorkshire town in the UK
This paper reports an investigation of entrepreneurial failure using hermeneutic analysis of five entrepreneurship narratives. The data used in this study was collected between 2002 and 2005. The research focuses on entrepreneurial orientation and defines entrepreneurs as individuals who can “see what is not there.” The researchers adopted “a deviation from the entrepreneurs’ desired expectations” as their working definition of entrepreneurial failure. The paper progresses through four levels of interpretation in the development of theoretical understanding of personal and organizational learning from failure. The researchers found that individuals and organizations can learn from failure and thus improve chances of ultimate success. However, sometimes individuals and organizations do not learn from entrepreneurial failure and other times there are no lessons to be learned from entrepreneurial failure. The authors created a model of entrepreneurial failure based on an ecological perspective. The study adds to the growing body of research into entrepreneurial failure. It introduces researchers to the importance of seeing entrepreneurial failure within the context of endogenous and exogenous forces. The study provides a mechanism for practitioners to determine whether or not there is learning available from particular instances of entrepreneurial failure.
This study examines the relationship between the strategic planning process and entrepreneurial business orientation in China’s indigenous hotel companies. The findings show that there are significant positive correlations between entrepreneurial orientation and the key dimensions of strategic planning such as environment scanning, planning flexibility, and planning horizon length. It also shows that locus of planning is not a good predictor of entrepreneurial business orientation. The findings have practical applications for Chinese hotel managers who are attempting to become more entrepreneurial and will also help researchers to better understand the relationship between strategic planning and entrepreneurial behavior in Chinese hotel companies.
The research investigates the effects of basic organizational cultural orientations, namely entrepreneurial, technological and customer orientations on firm financial performance when market dynamism is high and when it is low. Data were collected from 91 manufacturing firms operating in The Marmara region of Turkey. The research results show that there is a positive and meaningful relation between entrepreneurial orientation and financial performance when the market dynamism is high. Also, there is a positive and meaningful relation between technological orientation and financial performance when the market dynamism is low. On the other hand, there is a negative and meaningful relation between customer orientation and financial performance when the market dynamism is either high or low. The theoretical and managerial implications are discussed.
To date, service classification research has primarily taken a macro view, creating service typologies or taxonomies by using dimensions such as customer contact or degree of labor intensity. Such classification schemes, though helpful in deciphering critical management issues and positioning strategies between service industries, tend to treat an entire industry, such as airlines, as a single homogenous entity. However, organizations in the same industry often use intangible resources, such as entrepreneurial orientation processes, to compete with one another. Resource-advantage theory suggests that organizations utilize intangible resources to build long-term strategies and a sustainable competitive advantage leading to superior performance. We developed organization clusters based on entrepreneurial orientation as intangible resources to classify organizations within a retailing industry. Using data from the retail pharmacy industry, we tested if the entrepreneurial orientations of the resultant groups within the pharmacy industry were related to their perception of the environment, organizational factors, and performance outcomes. The operationalization of the construct of entrepreneurial orientation is one of the contributions of the study
In this paper we are developing ideas based on Geert Hofstede’s work. From this author one can notice a strong relationship between the personal values of company founders and the organisation values. The first days in the life of a young firm and its first actors have an impact of the highest intensity on the organisational value system. Following Geert Hofstede’s statement, we really think that the values of firm founders and/or of young company first actors play a key role on the enterprise culture. More specifically, looking at individual values in relation to innovation, initiative and risk-taking, creation of new economic and social wealth and entrepreneurship, we hypothesize that these personal values can quickly move into the collective value system and influence the entrepreneurial attitudes and behaviours of the company. The qualitative indicator we are using in this research to assess such behaviours is entrepreneurial orientation. We keep four out of five dimensions of the Lumpkin and Dess’s indicator, namely innovativeness, risk-taking, autonomy and proactiveness. We qualitatively test the relationship between founder (entrepreneur) values and enterprise culture and we apply our entrepreneurial orientation model to L’Oreal, one of the largest French companies. In this case we are not interested in the founder, Eugene Schueller, but in a key first actor, Francois Dalle, who has identified, evaluated and exploited growth opportunities in the cosmetic market for more than forty years. Our results, in this exploratory phase, are interesting. They underline the role of top manager values, the influence of the enterprise culture and its capacity to counterbalance the eventual negative effects of the national culture on entrepreneurial spirit, and entrepreneurial behaviours in France. Obviously, there is a call for other research to validate the hypothesis and bring knowledge to improve our understanding of key cultural variables and mechanisms which help or inhibit the entrepreneurial orientation and the entrepreneurial dynamics of firms.
Small businesses have been identified as a catalyst for creating jobs and generally growing the economy. One industry that is characterised by the proliferation of small businesses is the tourism industry. Key to this industry reaching its full potential is, however, access to markets. The Internet is seen by many as having the potential to help small tourism businesses understand their markets better, extend their market reach and to serve their customers more effectively, irrespective of their geographical location. However, identifying the factors that influence the success of the use of the Internet for marketing purposes is proving elusive. The focus of this study is to identify those owner-manager factors that are present in a small tourism business which will influence the success with which the Internet can be used to market the business. These are distinct from the factors implicit in the technology per se. If these owner-manager factors can be identified and their relative influence on Internet marketing success is determined, it will allow small tourist businesses to access markets more readily. The results of this study indicate that the level of involvement of owner-managers, the owner-manager having an entrepreneurial orientation, the knowledge of owner-managers, the involvement in decision making of owner-managers and a marketing orientation are important to the successful use of the Internet for the marketing of small tourism businesses in South Africa.
Centralization and formalization represent two key aspects of organizational structure whose effect on corporate entrepreneurship is explored in this study. Hypotheses linking these two constructs with entrepreneurial behavior are formulated. The effect of company size on entrepreneurial behavior is also considered. Findings are reported from a survey of export manufacturing firms from Malta. The results show that increased centralization limits entrepreneurial behavior. They also indicate that entrepreneurial behavior may be higher under conditions of increased formality. The implications of the findings for management actions are discussed.
This study focuses on the importance of changes in entrepreneurial orientation (EO) over time for subsequent firm performance, and the significance which inimitable resources (networks, governance system and unique competence) might have in this connection. Hypotheses are developed to test the effects that changes in EO level over a time period and resources have on subsequent firm performance. The study is based on data from 168 Norwegian SMEs, interviewed both in 2000 and 2003. The primary contribution of this study is that a change in EO over time (increased or decreased), may be of importance for a firm’s performance represented by performance compared to competitors, and employment growth. A focus on entrepreneurial activities seems to be beneficial in the long run (increasing EO), while the opposite is the case if the EO level decreases. It is especially encouraging to see that firms focusing on EO (increased or the same) are positively associated with employment growth, one of the primary policy goals world-wide. Another contribution from this study is that resources that may be inimitable for firms have some influence on performance compared to competitors. Implications for policy-makers, practitioners and further research are discussed.
Entrepreneurial orientation (EO) has received substantial conceptual and empirical attention, representing one of the few areas in entrepreneurship research where a cumulative body of knowledge is developing. The time is therefore ripe to document, to review, and to evaluate the cumulative knowledge on the relationship between EO and business performance. Extending beyond qualitative assessment, we undertook a meta-analysis exploring the magnitude of the EO-performance relationship and assessed potential moderators affecting this relationship. Analyses of 53 samples from 51 studies with an N of 14,259 companies indicated that the correlation of EO with performance is moderately large (r= .242) and that this relationship is robust to different operationalizations of key constructs as well as cultural contexts. Internal and environmental moderators were identified, and results suggest that additional moderators should be assessed. Recommendations for future research are developed.