Managerial Behavior, Entrepreneurial Style, and Small Firm Performance

Managerial Behavior, Entrepreneurial Style, and Small Firm Performance Considerable effort has been devoted to identifying the general characteristics of entrepreneur; however, much of this has been conducted from a trait–based rather than from a behavioral perspective. In this study of small firms in the United Kingdom, we explored the relationships among managerial behaviors (based upon a competence model), entrepreneurial style (based on Covin and Slevin's theory), and firm type (in terms of sales growth performance). Principal components analysis of a management competence inventory identified six broad categories of managerial behavior. Regressing a measure of entrepreneurial style on these six behaviors suggested that managing culture and managing vision are related to an entrepreneurial style, while managing performance is related to a nonentrepreneurial style. Entrepreneurial style—but not managerial behavior—was associated positively with the probability that a firm would be a high–growth type. The results are discussed from the perspective of a model of small firm management that posits separate entrepreneurial, nonentrepreneurial, and generic management behaviors derived from a global competence space. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Journal of Small Business Management Wiley

Managerial Behavior, Entrepreneurial Style, and Small Firm Performance

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Publisher
Wiley
Copyright
Copyright © 2003 Wiley Subscription Services, Inc., A Wiley Company
ISSN
0047-2778
eISSN
1540-627X
D.O.I.
10.1111/1540-627X.00066
Publisher site
See Article on Publisher Site

Abstract

Considerable effort has been devoted to identifying the general characteristics of entrepreneur; however, much of this has been conducted from a trait–based rather than from a behavioral perspective. In this study of small firms in the United Kingdom, we explored the relationships among managerial behaviors (based upon a competence model), entrepreneurial style (based on Covin and Slevin's theory), and firm type (in terms of sales growth performance). Principal components analysis of a management competence inventory identified six broad categories of managerial behavior. Regressing a measure of entrepreneurial style on these six behaviors suggested that managing culture and managing vision are related to an entrepreneurial style, while managing performance is related to a nonentrepreneurial style. Entrepreneurial style—but not managerial behavior—was associated positively with the probability that a firm would be a high–growth type. The results are discussed from the perspective of a model of small firm management that posits separate entrepreneurial, nonentrepreneurial, and generic management behaviors derived from a global competence space.

Journal

Journal of Small Business ManagementWiley

Published: Jan 1, 2003

References

  • Entrepreneurial Action, Innovation, and Business Performance: The Small Independent Business
    Georgelli, Georgelli; Joyce, Joyce; Woods, Woods
  • Competence‐Based Management Development in Small and Medium‐Sized Enterprises: A Multi‐Stakeholder Analysis
    Loan‐Clarke, Loan‐Clarke; Boocock, Boocock; Smith, Smith; Whittaker, Whittaker
  • Occupational Standards for Small Firms
    Wilson, Wilson

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