IDEAS home Printed from https://ideas.repec.org/a/fej/articl/v5cy2011i3p63-77.html
   My bibliography  Save this article

Entrepreneurial orientation, executives individualism and Firm Performance: The moderating role of executives individualism

Author

Listed:
  • Ilhami Yucel

    (Faculty of Economics and Administrative Sciences Department of Management University of Erzincan, Erzincan, Turkey 24078)

Abstract

Some studies have found that firms have more entrepreneurial orientation (EO) performs better. Others have failed to find this positive relationship. This raises the problem of whether EO is always an appropriate strategic orientation or if its relationship with performance is more complex. This study examines how executive individualism impact the relationship between EO and firm performance within a sample of 218 US small and medium-sized firm (an SME). Executives individualism is used as the moderating variable for explaining the relationship between entrepreneurial orientation and firm performance. The results indicate that entrepreneurial orientation is positively related to firm performance and, executives individualism plays a moderating role in this relationship. The results strongly support firms with an EO that have executives with high individualism will have higher performance than those that have executives with low individualism. The study suggests the EO–performance relationship is more complex than previous studies present.

Suggested Citation

  • Ilhami Yucel, 2011. "Entrepreneurial orientation, executives individualism and Firm Performance: The moderating role of executives individualism," Far East Journal of Psychology and Business, Far East Research Centre, vol. 5(3), pages 63-77, December.
  • Handle: RePEc:fej:articl:v:5c:y:2011:i:3:p:63-77
    as

    Download full text from publisher

    File URL: http://www.fareastjournals.com/files/FEJPBV5N3P3.pdf
    Download Restriction: no

    File URL: http://www.fareastjournals.com/archive_detail.aspx?jid=18&aid=16
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Gregory G. Dess & Richard B. Robinson, 1984. "Measuring organizational performance in the absence of objective measures: The case of the privately‐held firm and conglomerate business unit," Strategic Management Journal, Wiley Blackwell, vol. 5(3), pages 265-273, July.
    2. McGrath, Rita Gunther & MacMillan, Ian C. & Scheinberg, Sari, 1992. "Elitists, risk-takers, and rugged individualists? An exploratory analysis of cultural differences between entrepreneurs and non-entrepreneurs," Journal of Business Venturing, Elsevier, vol. 7(2), pages 115-135, March.
    3. Gregory G. Dess & G. T. Lumpkin & J. G. Covin, 1997. "Entrepreneurial strategy making and firm performance: tests of contingency and configurational models," Strategic Management Journal, Wiley Blackwell, vol. 18(9), pages 677-695, October.
    4. Sang Lee & Seongbae Lim, 2009. "Entrepreneurial orientation and the performance of service business," Service Business, Springer;Pan-Pacific Business Association, vol. 3(1), pages 1-13, March.
    5. Lumpkin, G. T. & Dess, Gregory G., 2001. "Linking two dimensions of entrepreneurial orientation to firm performance: The moderating role of environment and industry life cycle," Journal of Business Venturing, Elsevier, vol. 16(5), pages 429-451, September.
    6. Shane, Scott A., 1992. "Why do some societies invent more than others?," Journal of Business Venturing, Elsevier, vol. 7(1), pages 29-46, January.
    7. Zahra, Shaker A., 1993. "Environment, corporate entrepreneurship, and financial performance: A taxonomic approach," Journal of Business Venturing, Elsevier, vol. 8(4), pages 319-340, July.
    8. George P. Huber & Danial J. Power, 1985. "Retrospective reports of strategic‐level managers: Guidelines for increasing their accuracy," Strategic Management Journal, Wiley Blackwell, vol. 6(2), pages 171-180, April.
    9. Hunt, Shelby D. & Arnett, Dennis B., 2006. "Does marketing success lead to market success?," Journal of Business Research, Elsevier, vol. 59(7), pages 820-828, July.
    10. Chen, Chao C. & Greene, Patricia Gene & Crick, Ann, 1998. "Does entrepreneurial self-efficacy distinguish entrepreneurs from managers?," Journal of Business Venturing, Elsevier, vol. 13(4), pages 295-316, July.
    11. Wiklund, Johan & Shepherd, Dean, 2005. "Entrepreneurial orientation and small business performance: a configurational approach," Journal of Business Venturing, Elsevier, vol. 20(1), pages 71-91, January.
    12. Jeffrey G. Covin & Dennis P. Slevin, 1988. "The Influence Of Organization Structure On The Utility Of An Entrepreneurial Top Management Style," Journal of Management Studies, Wiley Blackwell, vol. 25(3), pages 217-234, May.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Chonnatcha Kungwansupaphan & Jibon Kumar Sharma Leihaothabam, 2019. "Entrepreneurial Orientation, Performance And The Moderating Role Of Institutional Capital: A Case Study Of Female Entrepreneurs In Thailand," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 24(02), pages 1-20, June.
    2. Anis Khedhaouria & Călin Gurău & Olivier Torrès, 2015. "Creativity, self-efficacy, and small-firm performance: the mediating role of entrepreneurial orientation," Small Business Economics, Springer, vol. 44(3), pages 485-504, March.
    3. Knight, Gary & Moen, Øystein & Madsen, Tage Koed, 2020. "Antecedents to differentiation strategy in the exporting SME," International Business Review, Elsevier, vol. 29(6).
    4. Ari Jantunen & Kaisu Puumalainen & Sami Saarenketo & Kalevi Kyläheiko, 2005. "Entrepreneurial Orientation, Dynamic Capabilities and International Performance," Journal of International Entrepreneurship, Springer, vol. 3(3), pages 223-243, September.
    5. Bradley A. George & Louis Marino, 2011. "The Epistemology of Entrepreneurial Orientation: Conceptual Formation, Modeling, and Operationalization," Entrepreneurship Theory and Practice, , vol. 35(5), pages 989-1024, September.
    6. Hasyim & Sahyar & Mahmud, 2017. "Isolating Mechanism as a Mean to Improve Performance of SMEs," European Research Studies Journal, European Research Studies Journal, vol. 0(3A), pages 594-612.
    7. Rodney C. Runyan & Baoshan Ge & Baobao Dong & Jane L. Swinney, 2012. "Entrepreneurial Orientation in Cross–Cultural Research: Assessing Measurement Invariance in the Construct," Entrepreneurship Theory and Practice, , vol. 36(4), pages 819-836, July.
    8. Tobias Kollmann & Christoph Stöckmann, 2014. "Filling the Entrepreneurial Orientation–Performance Gap: The Mediating Effects of Exploratory and Exploitative Innovations," Entrepreneurship Theory and Practice, , vol. 38(5), pages 1001-1026, September.
    9. Dimitratos, Pavlos & Lioukas, Spyros & Carter, Sara, 2004. "The relationship between entrepreneurship and international performance: the importance of domestic environment," International Business Review, Elsevier, vol. 13(1), pages 19-41, February.
    10. Milovanović Bojan Morić & Bubaš Zoran & Mikić Mihaela, 2021. "Entrepreneurial Orientation, Strategic Networking, and Croatian SMEs Performance: A Configurational Approach," Business Systems Research, Sciendo, vol. 12(2), pages 236-252, December.
    11. Jean-Marie Courrent & Sonia Chassé & Waleed Omri, 2018. "Do Entrepreneurial SMEs Perform Better Because They are More Responsible?," Journal of Business Ethics, Springer, vol. 153(2), pages 317-336, December.
    12. Mojtaba Hosseini & Hossein Dadfar & Staffan Brege, 2018. "Firm-level entrepreneurship and international performance: A simultaneous examination of orientation and action," Journal of International Entrepreneurship, Springer, vol. 16(3), pages 338-368, September.
    13. Haibin Yang & Gregory G. Dess & James A. Robins, 2019. "Does entrepreneurial orientation always pay off? The role of resource mobilization within and across organizations," Asia Pacific Journal of Management, Springer, vol. 36(3), pages 565-591, September.
    14. Ayşegül Eryılmaz Kıralı & Songül Zehir & Reha özder, 2024. "Competitive Strategies and Market Performance: The Mediating Role of Entrepreneurship Orientation in COVID-19 Period," Journal of Ibn Haldun Studies [İbn Haldun Çalışmaları Dergisi], Ibn Haldun University, vol. 9(1), pages 1-22, January.
    15. Chahal, Hardeep & Gupta, Mahesh & Lonial, Subhash & Raina, Swati, 2019. "Operational flexibility-entrepreneurial orientation relationship: Effects and consequences," Journal of Business Research, Elsevier, vol. 105(C), pages 154-167.
    16. Avlonitis, George J. & Salavou, Helen E., 2007. "Entrepreneurial orientation of SMEs, product innovativeness, and performance," Journal of Business Research, Elsevier, vol. 60(5), pages 566-575, May.
    17. Erik Lundmark & Anna Krzeminska & Dean A. Shepherd, 2019. "Images of Entrepreneurship: Exploring Root Metaphors and Expanding Upon Them," Entrepreneurship Theory and Practice, , vol. 43(1), pages 138-170, January.
    18. Milena Gojny-Zbierowska & Przemysław Zbierowski, 2021. "Improvisation as Responsible Innovation in Organizations," Sustainability, MDPI, vol. 13(4), pages 1-20, February.
    19. Paul E. Bierly III & Paula S. Daly, 2007. "Alternative Knowledge Strategies, Competitive Environment, and Organizational Performance in Small Manufacturing Firms," Entrepreneurship Theory and Practice, , vol. 31(4), pages 493-516, July.
    20. Sjoerd Beugelsdijk, 2010. "Entrepreneurial Culture, Regional Innovativeness and Economic Growth," Springer Books, in: Andreas Freytag & Roy Thurik (ed.), Entrepreneurship and Culture, chapter 0, pages 129-154, Springer.

    More about this item

    Keywords

    Entrepreneurial orientation; executive personality characteristics; individualism; firm performance.;
    All these keywords.

    JEL classification:

    • M1 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fej:articl:v:5c:y:2011:i:3:p:63-77. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Jim Chau (email available below). General contact details of provider: http://www.fareastjournals.com/journal_detail.aspx?jid=18 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.