Business partners and corporate entrepreneurship in developing countries

Abstract

This study addresses the way small and medium enterprises in developing countries can fill their knowledge gaps to enhance their level of corporate entrepreneurship. Our observation of a sample of 126 (doublerespondent questionnaires) small and medium supplier firms providing products and services to the mining industry in Iran indicate that firms with more business partners have more engagement in corporate entrepreneurship. Yet, this connection is conditional to the firm's network management capabilities. In particular, relational governance plays an important role in the effective use of business partners for corporate entrepreneurship. Our findings suggest that the increased number of business partners in tandem with network management capabilities can promote corporate entrepreneurship in developing countries.

Assessing the impact of corporate entrepreneurship in the financial performance of subsidiaries of Colombian business groups: under environmental dynamism moderation

“…Moreover, this result suggests that CE has boundary conditions associated with the context of each country (Demirkan et al, 2019;Liu & Vrontis, 2017;Miller, 2011). There must be considered that the impact of CE in the FP depends on economic drivers, such as gross domestic product, investment-grade sovereign rating, political and regulatory stability, and environmental hostility (Rauch et al, 2009;Sakhdari & Farsi, 2016); then these differences between emerging and developed economies could explain these results. Whereas the dominant reason for wealth generation in emerging economies is the production intensity, based on efficiency and low costs by scale economies, in developed economies the dominant reason for wealth generation is through the creation of unique goods and services with significant innovations (Farinha et al, 2018;Kelley et al, 2016).…”

Corporate Entrepreneurship: A Review and Future Research Agenda

“…Moreover, empirical results are mixed with regard to the impact of the number of business partners on corporate entrepreneurial activities, in particular in the context of developing countries and among smaller firms (Lin et al, 2014;Yiu & Lau, 2008;Wu, 2011). As such, investigating organizational and contextual moderators can be a compelling path for future research (Sakhdari & Farsi, 2016). Finally, recent studies have adopted a network/dyad level of analysis and argued how mechanisms for sharing knowledge in an organizational network can enhance corporate entrepreneurship (Turner & Pennington III, 2015).…”

Entrepreneurial orientation and performance in SMEs

“…Several studies have provided varying evidence on the relationship between EO and performance; while some have identified a positive relationship (Hernández-Perlines and Cisneros, 2017; Sakhdari and Farsi, 2016; Zahra and Garvis, 2000), others have found a weak relationship, and in some cases even a negative outcome (Brown et al , 2001; Kaya and Syrek, 2005; Lwamba, 2014; Shirokova et al , 2015). This justifies the view of Rauch et al (2009) and Wiklund and Shepherd (2005) that there are several interrelated factors that are likely influencing the EO–performance relationship, thus supporting the need for assessing interrelationships with other variables to further clarify their relationship.…”