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100 _aAdisu Fanta Bate
245 _aThe Effect of Entrepreneurial Orientation on SME Business Performance in Ethiopia: The Configurational Approach
300 _aP.439-484
520 _aEntrepreneurial orientation (EO) is a firm-level equivalent of individual entrepreneurship, and its impact on business performance is widely debated in entrepreneurship literature. However, research findings have been inconclusive due to the influence of moderators such as market dynamism and access to capital. This study aims to address this gap by examining these factors and their configurational effects on the EO–performance relationship using data from Ethiopian manufacturing SMEs. The results signal a moderate EO implementation, suggesting a need for industry-tailored EO training that emphasises innovativeness, risk-taking, proactiveness, competitive aggressiveness, autonomy and networking. EO significantly affects business growth, highlighting the importance of enhancing EO practices to improve SME performance. Contrary to normative assumptions, the configuration of high market dynamism, greater access to finance and EO level is not required for superior performance. SMEs can excel in performance even in less volatile environments with reasonable access to finance and EO practices. Thus, maintaining market stability, enhancing finance access and implementing EO can effectively boost a firm’s business performance. The study contributes to understanding the EO–performance relationship by adopting networking as an additional EO dimension, pursuing a configurational approach and employing a blend of PROCESS macro-moderation models and hierarchical linear regression.
654 _aEntrepreneurial orientation
_ainnovativeness
_arisk-taking
_anetworking
_aaccess to finance
_amarket dynamism
700 _aLuke Pittaway
773 0 _080315
_9111063
_dIndia Sage Publications
_oJP423
_tJournal of Entreprenureship
_x0971-3557
942 _cJA
942 _2ddc
999 _c130749
_d130749