scholarly journals EFFECT OF SOCIAL CAPITAL ON FIRM PERFORMANCE: THE ROLE OF ENTREPRENEURIAL ORIENTATION AND DYNAMIC CAPABILITY

2019 ◽  
Vol 9 (4) ◽  
pp. 63-73
Author(s):  
Tian Hongyun ◽  
William Adomako Kankam ◽  
Florence Appiah-Twum ◽  
Isaac Gumah Akolgo
Author(s):  
Huseyin Ince ◽  
Salih Zeki Imamoglu ◽  
Mehmet Ali Karakose

The relationship between entrepreneurial orientation, social capital, innovation performance, and firm performance has attracted the attention of many researchers. However, there is a lack of research on the mediating role of innovation performance on the relationship between entrepreneurial orientation, social capital, and firm performance. The purpose of this study is to investigate the mediating effect of innovation performance on the relationships between entrepreneurial orientation and firm performance and between social capital and firm performance. The study involves a questionnaire-based survey of managers from a variety of firms operating in Turkey. A total of 665 surveys from 298 firms were received and subjected to structural equation modelling analyses. We find that: (1) entrepreneurial orientation and social capital affect innovation performance, (2) innovation performance affects firm performance, and (3) innovation performance mediates the relationship between social capital and firm performance, and between entrepreneurial orientation and firm performance.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Samar Hayat Khan ◽  
Abdul Majid ◽  
Muhammad Yasir ◽  
Asad Javed ◽  
Hassan Ahmed Shah

PurposeThe objective of this study is to evaluate the key issues that how social capital augments the initiation of strategic renewal through the mediating role of entrepreneurial orientation and the moderating role of organizational flexibility. In the context of Small and Medium Enterprises (SMEs) of developing economies, the study developed and tested the theoretical model of strategic renewal for analyzing its major outputs.Design/methodology/approachThis study utilized cross-sectional design and employ quantitative approach. The data were collected from the owner, managers and executive directors of pharmaceutical SMEs of Pakistan. The study used statistical analysis of correlation and regression for the analysis of data.FindingsThe study discovered that entrepreneurial orientation mediates the positive relationship of social capital and strategic renewal. Moreover, high organizational flexibility strengthens the association between social capital and strategic renewal of SMEs.Originality/valueThis research contributes to the body of knowledge by providing empirical evidence that how to thrive the mechanism of strategic renewal. The study further provides understanding of the effects of organizational social capital, entrepreneurial orientation and organizational flexibility on strategic renewal.


2018 ◽  
Vol 36 (2) ◽  
pp. 195-209 ◽  
Author(s):  
Job Rodrigo-Alarcón ◽  
Pedro M. García-Villaverde ◽  
María J. Ruiz-Ortega ◽  
Gloria Parra-Requena

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Zaynab Dadzie ◽  
Ahmed Agyapong ◽  
Abdulai Suglo

Purpose This study aims to examine the mediating role of internationalization in the relationship between the dimensions of entrepreneurial orientation (EO) and performance, empirical study of small and medium scale enterprises (SMEs) in a developing nation. Design/methodology/approach The study uses a sample of 158 exporting SMEs based in the sub-Saharan developing economy, Ghana. The use of hierarchical regression (ordinary least square analysis) was used by the researcher to assess the suggested model of the study. Findings Largely supporting the conjectural predictions, the study indicates that EO positively and significantly influences performance; internationalization fully mediates the relationship between innovativeness and performance of export firms; internationalization fully mediates the relationship between risk-taking and performance of export firms; and finally, internationalization partially mediates the relationship between competitive aggressiveness and performance of export firms. Managers are, therefore, encouraged to strategically develop both their EO and internationalization, as the study has confirmed that EO has both a direct and indirect relationship with performance. Originality/value This study integrated a resource-based view of the firm and international entrepreneurship theory as a theoretical foundation. Theoretically, internationalization’s mediating role reveals the relevance of this construct in the linkage between entrepreneurial orientation and firm performance. Furthermore, the study extends the entrepreneurial orientation concept to the international business literature by estimating and testing models of the mediating link between entrepreneurial orientation and performance. Moreover, the study seeks to broaden the knowledge of entrepreneurial orientation and its relationship with performance in small and medium businesses. The study further extends the limited studies on performance, driven by entrepreneurial orientation and internationalization in a developing nation (Ghanaian) context. This paper besides seeks to highlight the impact of entrepreneurial orientation on performance when channeled through internationalization. The study also reveals the dimensions of entrepreneurial orientation to be important antecedents of internationalization, in attempts at unearthing the critical predictors of firm performance, especially those of international characteristics.


2017 ◽  
Vol 27 (1) ◽  
pp. 231-249 ◽  
Author(s):  
Phyra Sok ◽  
Lan Snell ◽  
Wai Jin (Thomas) Lee ◽  
Keo Mony Sok

Purpose The literature establishes complex relationships between entrepreneurial orientation (EO) and performance, with mixed findings suggesting the variability of the magnitude of the relationship between the two. Some studies report a positive relationship, some negative, while some report an insignificant relationship between EO and performance. These conflicting findings suggest that the EO-performance relationship is more complex than a simple main-effects-only relationship. The literature offers two distinct approaches – integrating moderating or mediation variables in advancing the EO-performance relationship. The purpose of this paper is to extend current knowledge by examining underlying processes through which EO contributes to performance and the specific conditions under which this process is facilitated. Design/methodology/approach To test the hypotheses the authors chose small service firms in Australia. Industry representation included: accommodation and food services; health care services; rental, hiring and real estate services; transport, postal and warehousing; arts and recreation services; retail trade; construction and training services; and professional, scientific and technical services. The services sector offers a unique opportunity to analyze variances in entrepreneurial engagement and organizational outcomes given the competitive intensity within the service sector which requires firms to engage in venturing, renewal and innovation. The proposed hypotheses were tested through a hierarchical regression analysis. Findings This study finds the support for the mediation effect of marketing capability on the EO-performance relationship. Critically, this study also finds that marketing resources moderates on the indirect effect of EO on performance via marketing capability. The findings supporting both the mediation and moderation effects of marketing capability and marketing resources on the EO-performance relationship (moderated mediation model) suggests that greater insight into how EO influences small service firm performance can be achieved through considering in combination with other firm-level constructs (marketing capability and marketing resources in this study). Originality/value It addresses the call by prior studies to link the EO construct to theory by embedding marketing resources and marketing capabilities in the EO-performance relationship. Importantly, by accounting for both mediation and moderation effects the authors provide a more complete picture of the EO-performance relationship that highlights the mediating role of marketing capability and the moderating role of marketing resources. This approach helps to reconcile the critical but separate directions proposed by prior studies in advancing the EO-performance relationship.


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