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The effect of entrepreneurial orientation variables on business performance in the SME industry context

The effect of entrepreneurial orientation variables on business performance in the SME industry... The purpose of this study is to provide new practical and theoretical insights into how small and medium-sized enterprises (SMEs) adjust and further develop business competencies, innovations and performance by using market orientation, learning orientation behaviors and entrepreneurial orientation.Design/methodology/approachThe data was collected from manufacturing SMEs of textile products that had a number of employees between 5 and 99 people in the province of Bali, Indonesia, in 2016. Bali province was chosen as a research location because Bali was one of the tourism centers in Indonesia and even in the world was considered suitable for this research. It was because it had textile product industries that contributed in the fulfillment of the needs of tourism clothing, national economy, the fulfillment of fashion needs and foreign exchange contributors from non-oil exports (Industry and Trade Service of Bali).FindingsBased on the results of descriptive and inferential analysis that has been conducted, it can be concluded that the answer to the problems and objectives that have been determined is market orientation, learning orientation and entrepreneurial orientation affect business performance through knowledge competence and innovation directly and its influence is significantly positive. But market orientation, learning orientation and entrepreneurial orientation do not directly have a significant positive effect on innovation through knowledge competence. Market orientation, learning orientation and entrepreneurship orientation indirectly have a significant positive effect on business performance through knowledge and innovation competencies.Originality/valueThe lack of studies in the existing literature underscores the potential contribution of this subsequent study. The novelty of the research is first to develop a concept of learning orientation that is linked to competence of knowledge, which this link has not been much expressed in the context of industry SMEs; second, to build the concept of innovation development of small and medium-sized industry of textile industry based on market orientation by strengthening the mediation role of competence of knowledge. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Journal of Workplace Learning Emerald Publishing

The effect of entrepreneurial orientation variables on business performance in the SME industry context

Journal of Workplace Learning , Volume 32 (1): 28 – Feb 4, 2020

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References (97)

Publisher
Emerald Publishing
Copyright
© Emerald Publishing Limited
ISSN
1366-5626
DOI
10.1108/jwl-03-2019-0033
Publisher site
See Article on Publisher Site

Abstract

The purpose of this study is to provide new practical and theoretical insights into how small and medium-sized enterprises (SMEs) adjust and further develop business competencies, innovations and performance by using market orientation, learning orientation behaviors and entrepreneurial orientation.Design/methodology/approachThe data was collected from manufacturing SMEs of textile products that had a number of employees between 5 and 99 people in the province of Bali, Indonesia, in 2016. Bali province was chosen as a research location because Bali was one of the tourism centers in Indonesia and even in the world was considered suitable for this research. It was because it had textile product industries that contributed in the fulfillment of the needs of tourism clothing, national economy, the fulfillment of fashion needs and foreign exchange contributors from non-oil exports (Industry and Trade Service of Bali).FindingsBased on the results of descriptive and inferential analysis that has been conducted, it can be concluded that the answer to the problems and objectives that have been determined is market orientation, learning orientation and entrepreneurial orientation affect business performance through knowledge competence and innovation directly and its influence is significantly positive. But market orientation, learning orientation and entrepreneurial orientation do not directly have a significant positive effect on innovation through knowledge competence. Market orientation, learning orientation and entrepreneurship orientation indirectly have a significant positive effect on business performance through knowledge and innovation competencies.Originality/valueThe lack of studies in the existing literature underscores the potential contribution of this subsequent study. The novelty of the research is first to develop a concept of learning orientation that is linked to competence of knowledge, which this link has not been much expressed in the context of industry SMEs; second, to build the concept of innovation development of small and medium-sized industry of textile industry based on market orientation by strengthening the mediation role of competence of knowledge.

Journal

Journal of Workplace LearningEmerald Publishing

Published: Feb 4, 2020

Keywords: Performance; Innovation; Learning orientation; Market orientation; Competence of knowledge; Entrepreneurial orientation

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