This chapter aims at reviewing theories relating to entrepreneurship i.e. Psychological Entrepreneurship Theories and Sociological theories, Schumpeter’s Innovation Theory, Entrepreneurial Orientation Theory at Individual Level and Entrepreneurial Orientation theory at Firm Level.This review will aid in the understanding of the concept of entrepreneurship, social entrepreneurship and entrepreneurial orientation. This chapter will also show the conceptual framework which will be derived from the theoretical review. Finally, this chapter will cover various empirical studies done by other scholars based on which the operational framework will be formed.
2.2 Conceptual Review
2.2.1 Savings and Credit Co-operative
Savings and Credit Co-operative
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Markets developed internally are negatively associated with profitability. They also found out that products and/or markets developed via merger/acquisition would be associated with entrepreneurial firm performance. Markets developed via merger/acquisition were significant positive predictors of changes in net worth only. Their primary contribution to the study is that unlike other theoretical constructs developed in North America, EO appears to be somewhat globally generalizable to developed countries as a uni-dimensional construct with multiple characteristics rather than a multi-dimensional …show more content…
Wang (2008) found that loading of EO to LO was significant as well as loading from LO to the dependent variable firm performance. Therefore LO mediates the EO performance relationship. EO facets in this context are risk-taking, innovativeness, market pro-activeness and competitive aggressiveness. EO performance relationship was mediated by a firm’s LO. Innovativeness and LO both have a stronger internal orientation towards business processes and self-renewal, whilst pro-activeness and aggressiveness both have stronger external orientation towards the market and the competition. Therefore individuals within the firm are motivated to learn and be more receptive to new information. Innovativeness has a positive significant relationship with firm performance because innovative firm’s often adopt cross-functional teams (Kuratko et al., 2001), rather than traditional authoritarian and hierarchical structures, to facilitate communication that in turn, bring about an organization – wide consensus of goals and direction. Hence, innovative firms instill values of commitment to learning, open mindedness, and should vision which leads to overall improvement of the firms’ performance. Wang (2008) found that risk-taking has a low correlation with LO, particularly shared vision. Risk tolerance is an
The Hershey manufacturer and the Tootsie Roll company both are firms in confection enterprise; they specialize in a vast form of chocolate sweet products. I compared each companies for the years 2002, 2003, and 2004 towards every different and in opposition to the enterprise averages so as to make a selection about which organization investors would decide on to put money into. The comparisons I used to make this decision were ratios for liquidity, solvency, and
Another aspect to look at is the size of the company. Some people like to grow within a company faster than others. You would need to take in account the full layout of the company. A smaller organization might not have as many opportunities as a larger organization. A larger organization might not have enough personnel in management to establish a working relationship with their employees.
It shows that management is willing to invest in its employees as well as invest in the
From my perspective, different theoretical orientations are beneficial for different types of populations. I do not believe one theory fits all, as everyone has different attachment, and developmental levels. In the duration of the graduate program, I have been exposed to various theoretical approaches such as attachment theory, cognitive-behavioral therapy (CBT), psychodynamic, person-centered therapy, acceptance commitment therapy (ACT), and a few others. However, I have encountered cognitive-behavioral therapy (CBT), acceptance commitment therapy (ACT), and play therapy to be favorable when treating children/adolescents.
Introduction Re-invention and targeted approach towards achieving competitive advantage were the key strategic actions taken to make Trader Joe’s (TJ) from a glorified regional convenience store to a nationwide specialty retailer, and that might just be the most important thing in the supermarket business. The footprint of this success lies in the efficient utilization of the company’s resources and their unique capacity to deploy its resource and capabilities(BB835). The result of such unique circumstances helped TJ to stay far ahead of its competitors in terms of customer satisfaction and brand loyalty. This TMA proposes that, through a company’s resources and capabilities TJ managed to imitate Key Success Factors (KSF) that created value,
Moreover, the employee get involved more to help the organization succeed.
When employees see they are valuable to the company and they are secure it gives them confidence and in return they give their loyalty to the
Resources and Capabilities VRIO Framework V R I O Competitive Implication Strong corporate culture + + + + Sustainable competitive advantage Strong investment in R&D + + + + Temporary competitive advantage Outstanding customer service + + + + Sustainable competitive advantage
Mergers and Acquisitions and Shareholder Wealth: The theory of finance states that maximization of shareholder wealth should be the goal of every business organization. It is not clear, however, whether maximization of shareholder wealth is the main motivation behind Mergers and acquisitions. This has generated a lot of research interest the area. Unfortunately decades of intensive research have not been able to conclusively establish the impact of Mergers and acquisitions on shareholder wealth.
It can be said that by means of organisation’s competitive strategy, it can achieve an upper hand in the business market over its rivals. Competitive Advantage offers a beneficial position to business organisations over rivals in regards of some measure like expense, quality, or velocity. An efficient strategy can help an organisation to achieve an upper hand through commitment to its strategic objectives and the capacity to significantly expand execution and profitability (Bartlett & Ghoshal,
The advantages of transactional leadership are in its clear policies, structure, and efficiency. The disadvantages of transactional leadership include stifled creativity, impaired initiative, and inflexibility of the organisation. Furthermore, reward incentive models are consistently shown to be ineffective in the long term (Gneezy et al.,
Question 1 Several factors have been proposed as providing a rationale for mergers. Among the more prominent ones are (I) tax considerations, (2) diversification, (3) control, (4) purchase of assets below replacement cost, and (5) synergy. From the standpoint of society, which of these reasons are justifiable? Which are not?
Leadership can make contribution of employee’s behavior towards innovation and it has a significant impact on it. DeJong and Hartog (2007) explored the fact that leaders’ behavior could strongly affect employees’ innovation behavior. They stated that managers’ can motivate employees to think differently, make innovations, generate new ideas, by their day to day activities and behaviors toward employees’ and encourage them to apply those ideas
The attractiveness is the overall profitability of the industry whilst unattractiveness drives down profitability. Thus using this model, it implies that profitability or the return is a constant integer, across firms and industries; however various studies established that different industries have different levels of profitability due to their diverse structure and circumstances they operate in. The model can also be utilized to develop an edge over competitors and rudimentarily for identifying a niche whether it is potentially feasible to manufacture new products, services or open new
Entrepreneurship in the Philippines is currently booming and one of the best things a person can do today is start taking action in putting up its own business or acquiring a franchise (Louren, 2017). Entrepreneurship is a state of mind. It is not identified or measured with the type of business a person is in the success of that business but rather it is the total way of life for entrepreneurs. Being an entrepreneur requires distinct personality traits such as having a risk-taking personality, need for achievement, internal focus of control, tolerance for ambiguity and having a type A behavior or striving to achieve more in less time and general competitiveness (Gilles and Mondejar, 2008). Entrepreneurship has been described as the “capacity and willingness to develop, organize and manage a business venture along with any of its risks in order to make a profit” (www.businessdictionary.com).