Entrepreneurial orientation and the mediating role of organisational learning amongst Indian S-SMEs

Stanzin Mantok, Harjit Sekhon, Gurjeet Sahi, Paul Jones

    Research output: Contribution to journalArticlepeer-review

    42 Citations (Scopus)
    195 Downloads (Pure)

    Abstract

    Purpose – The purpose of this paper is to examine organisational learning as a mediator among small-scale manufacturing enterprises (S-SMEs) which comprise the majority of economic activity in an emergent/ developing economy. This study offers further understanding regarding the mediating role of organisational learning in developing world economies, due to its potential regional influence.
    Design/methodology/approach – A cross-sectional survey of Indian S-SMEs was undertaken from the District Industrial Center. The study employed a systematic sampling technique to contact owner/managers. Overall, 204 S-SMEs owners/managers participated in the study and 192 usable survey instruments were received.
    Findings – The study offers novel insights to the following questions. First, the factors that prompt entrepreneurial orientation to achieve superior business performance, i.e. the antecedents of entrepreneurial orientation? The results reveal competitor orientation is an antecedent of entrepreneurial orientation that leads to an S-SME’s business performance. Second, the outcomes of entrepreneurial orientation, i.e. the consequences of entrepreneurial orientation? The study reveals organisational learning and business performance are the corollary of entrepreneurial orientation. Third, the examination of whether organisational learning mediates the relationship between entrepreneurial orientation and business performance? The findings found the effects of entrepreneurial orientation on business performance are, in part, mediated by organisational learning.
    Research limitations/implications – Three study limitations are recognised. First, other strategic orientations, including technology orientation, production orientation and selling orientation are not included. Second, other constructs have a potentially significant relationship with market and entrepreneurial orientation, such as organisational capabilities, innovation and social context, were not considered. Third, the study is industry-sector specific and does not consider alternative sectors which also may play a potential role in economic development.
    Originality/value – This study enhances the existing S-SME literature by identifying factors contributing to entrepreneurial orientation and its repercussions on business performance. For S-SMEs it adds credence to the role played by organisational learning in mediating the link between entrepreneurial orientation and business performance which potentially encourages owner/managers to dedicate increased time and resources towards creating and maintaining a conducive learning environment. The results support entrepreneurs in acknowledging the importance of competitor orientation during the emergence and development of entrepreneurial orientation, specifically in emerging economy contexts.
    Original languageEnglish
    Pages (from-to)641-660
    Number of pages20
    JournalJournal of Small Business and Enterprise Development
    Volume26
    Issue number5
    Early online dateFeb 2019
    DOIs
    Publication statusPublished - 11 Nov 2019

    Bibliographical note

    Copyright © and Moral Rights are retained by the author(s) and/ or other copyright owners. A copy can be downloaded for personal non-commercial research or study, without prior permission or charge. This item cannot be reproduced or quoted extensively from without first obtaining permission in writing from the copyright holder(s). The content must not be changed in any way or sold commercially in any format or medium without the formal permission of the copyright holders.

    Keywords

    • India
    • Organizational learning

    ASJC Scopus subject areas

    • Business, Management and Accounting (miscellaneous)
    • Strategy and Management

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