influence of market orientation and entrepreneurship orientation in achieving hospital performance

Abstract

This study aims to deepen knowledge about the direct effects of entrepreneurial orientation (EO) and market orientation (MO) on hospital performance using the structural equation modeling partial least squares (PLS-SEM) model. This research is a quantitative, non-experimental, and descriptive study using the PLS-SEM statistical technique. The PLS-SEM results show that the first hypothesis of market orientation does not have a direct effect on hospital performance with a t-statistic value of 1.29 <1.96 with a p-value of 0.018 <0.05. The second hypothesis, entrepreneurial orientation has a direct effect on hospital performance t-statistic 10, 85> 1.96 with a p-value <0.005 so that the second hypothesis is declared accepted. The results show sufficient evidence that EO positively affects hospital performance. Likewise, the impact of EO on hospital performance is positive either directly. Regarding managerial implications, the study provides managers with insight into the process of strategy formation and decision-making, emphasizing the importance of both encouraging the development of EO capabilities and focusing efforts on being proactive and innovative to improve hospital performance.