TITLE:
Configuration Approach to Strategic & Entrepreneurial Orientation Construct & Small Firm Growth: Evidence from India
AUTHORS:
Rakesh Gupta, Valiaparampil Joseph Sebastian
KEYWORDS:
Strategic & Entrepreneurial Orientation, Environmental Uncertainty, Resources, Contingency & Configuration Approach
JOURNAL NAME:
Theoretical Economics Letters,
Vol.7 No.5,
August
1,
2017
ABSTRACT: Various researchers have articulated firm level
entrepreneurship as a firm’s strategic approach towards entrepreneurship
comprising innovativeness, proactiveness and risk-taking and held that these
three dimensions covary. Lumpkin and Dess [1] suggested addition of
competitive aggressiveness and autonomy to the existing three dimensions and
argued that these five dimensions vary independently. Prior research indicates
that entrepreneurial orientation (EO) construct is a key ingredient in small
firm’s success but few studies have reported an insignificant or negative
relationship. Researchers have highlighted the role of contextual variables
both exogenous and endogenous in influencing EO-Firm Growth relationship.
Building upon past studies, this paper examines EO construct comprising five
independent dimensions with environmental uncertainty and resources as
moderating variables. Results of the models estimated using contingency and
configuration approach indicate that the five dimensions of EO vary
independently and show significant interaction effects especially when both the
moderating variables were configured simultaneously with individual dimensions
of EO construct.