Seizing Opportunities: The Moderating Role of Managerial Characteristics on the Relationship between Opportunity-Seeking and Innovation Efficacy in Small Businesses

Abstract

We draw from regulatory focus theory to examine the relationship between a focus on opportunities through strategic orientation and entrepreneurial culture and managerial reports of innovation efficacy in small businesses. We propose that manager goals and behaviors moderate these relationships. Hypotheses were tested on a sample of 352 small employer firms. Findings support that strategic orientation positively associates with innovation efficacy and that this relationship is stronger under low managerial direction behaviors. Entrepreneurial culture positively associates with innovation efficacy when managers focus on profit and growth goals and under high managerial direction behaviors.

Entrepreneurial Passion and Self-Efficacy as Factors Explaining Innovative Behavior: A Mediation Model

“…Dalborg and Wincent (2015) determine that there is a positive relationship between business entrepreneurship and ESE. Among the business characteristics, some research demonstrates that strategic orientation and organizational culture are positively related to ESE, since this variable provides opportunities for indirect learning (Cooper et al, 2016). Within the institutional environment and culture, researchers have resorted to social cognitive theory to analyze whether culture and institutional environment impact ESE (Newman et al, 2018).…”

Core Self-Evaluations and Innovative Behavior Among Microentrepreneurs: The Mediating Effect of Proactive Personality

“…Hence, we argue for a mediating relationship between CSE and proactive personality on innovative behavior. This investigation should provide new understanding how factors affecting innovative behavior must be central in the discussion of entrepreneurial competitiveness (see Cooper, Peake & Watson, 2016).…”

Social entrepreneurship innovation: A study from Mexico

“…Chen and Zhou (2017) found that entrepreneurial self-efficiency positively relates to innovation thanks to entrepreneurs' motivation to be efficient at a personal and organizational level and to achieve goals. But there are studies (Shepherd, Patzelt, & Baron, 2013;Cooper, Peake, & Watson, 2016) that confirmed the relationship between self-regulation, personal characteristics, and the entrepreneur task and roles. However, this relationship was never proved in the Latin-American context.…”