How Organizational Culture Influences Innovativeness,Proactiveness, and Risk‐Taking: Fostering Entrepreneurial Orientation in SMEs |
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| Authors: | Tessa Christina Flatten |
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| Abstract: | The beneficial outcome of a firm's entrepreneurial orientation (EO) has been widely researched, but literature and empirical studies about factors and conditions that foster EO remain scarce. The Competing Values Model is used to investigate the relationships between key dimensions of organizational culture (group, hierarchical, developmental, and rational) and three dimensions of EO in small and medium enterprises. A study of 298 enterprises showed that developmental, group, and rational culture has a strong positive impact on EO, whereas the impact of hierarchical culture is negative. Thus, our results highlight the importance of an external orientation of organizations to foster EO. |
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