Yes / Purpose- Research on entrepreneurial orientation (EO) has concluded a positive link between
EO and firm performance and that relationship depends on several contingencies. The paper
derives insights from the absorptive capacity and contingency perspectives to introduce extraorganizational advice as a moderator of the relationship between EO and firm performance in a dynamic environment.
Design/methodology/approach-Using survey data from 340 small and medium-sized
enterprises (SMEs) in Ghana, the study examines the moderating influence of extraorganizational advice on the EO-firm performance relationship in dynamic environments.
Findings-The study’s empirical findings suggest that extra-organizational advice amplifies
the EO-performance relationship in dynamic environments.
Research limitations/implications-The cross-sectional design of the study does not permit
causal inferences to be made regarding the variables examined. Future studies may use
longitudinal design to examine the causal links of the variables. Limitations aside, the study
helps to answer how extra-organizational advice translates EO into improved performance in
an environment characterised by constant flux.
Practical implications- The results of this paper can assist entrepreneurs and policy-makers
in understanding the dynamics and processes involved in implementing a strategic orientation
to achieve higher performance. For SME managers, firm performance is determined by high
levels of EO and extra-organizational advice in dynamic environments. The understanding of
this issue can promote the development and maintenance of entrepreneurial ventures.
Originality/value-The paper examines an important, but under-researched issue-the
moderating effect of extra-organizational advice on the EO-performance relationship in
dynamic environments. To the best of the authors’ knowledge, the present study pioneers
research in this area.
| Identifer | oai:union.ndltd.org:BRADFORD/oai:bradscholars.brad.ac.uk:10454/8536 |
| Date | January 2016 |
| Creators | Adomako, Samuel, Narteh, B., Danquah, Joseph K., Analoui, Farhad |
| Source Sets | Bradford Scholars |
| Language | English |
| Detected Language | English |
| Type | Article, Accepted manuscript |
| Rights | © 2016 Emerald. Reproduced in accordance with the publisher's self-archiving policy. |
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