Louis D. Marino

Assessing the psychometric properties of the entrepreneurial orientation scale: a multi-country analysis

This study utilized data from 1,067 firms In six countries to clarify the psychometric properties of the entrepreneurial orientation (EO) measure. The first research question addressed dimensionality and explored whether EO achieved the best model fit when structured as a one-, two-, or three-dimensional measure. The results of a confirmatory factor analysis in LISREL supported modeling entrepreneurial orientation with three sub-dimensions: innovation, proactiveness, and risk-taking. The second research question addressed the extent to which the three sub-dimensions of the entrepreneurial orientation measure co-varied with one another. Correlation analysis revealed that the three sub-dimensions of EO are able to vary independently of one another in many situations. This study also provided strong support for the cross-cultural validity of the Covin and Slevin EO scale.

The Influence of National Culture on the Formation of Technology Alliances by Entrepreneurial Firms

We consider the effect that national culture has on the propensity for small, independent manufacturing enterprises to (1) cooperate with other firms for technological innovation and (2) use equity...

Exploring an Inverted U-Shape Relationship between Entrepreneurial Orientation and Performance in Chinese Ventures

The critical role of entrepreneurial orientation (EO) in firm performance has been widely studied in the U.S. context. However, the examination of this key construct in emerging regions such as China has been very limited. In this article, we hypothesize that the relationship between EO and firm performance is best represented as curvilinear, as opposed to linear, in China. We use a two–study approach to test the link between EO and performance, as expressed in both perceptual and objective performance. Findings of both studies demonstrate an inverted U–shape relationship. Implications for future research on EO are discussed.

Cultural Influences on Entrepreneurial Orientation: The Impact of National Culture on Risk Taking and Proactiveness in SMEs

This study utilizes data from 1,048 firms in six countries to assess the impact of national culture and certain institutions that are representative of national culture on two key dimensions of entrepreneurial orientation: risk taking and proactiveness. Eight hypotheses are developed specifying the expected relationships between four cultural dimensions and levels of risk taking and proactiveness within SMEs. Additionally, two hypotheses are developed to explore between–country differences in the relationship between risk taking and proactiveness and a range of institutional variables. Uncertainty avoidance and power distance are both found to have a significant negative influence on risk taking; uncertainty avoidance, individualism, and power distance are found to negatively influence proactive firm behaviors. A number of institutional factors are also found to be significantly linked to between–country differences in both risk taking and proactive behaviors. This research contributes to existing theories of national culture by suggesting that the various dimensions of cultural values and several of the institutions that are representative of national culture impact the willingness of entrepreneurial firms to display risk taking and proactive behaviors.

The moderating effect of national culture on the relationship between entrepreneurial orientation and strategic alliance portfolio extensiveness

This study examines the influence that national culture has on the relationship between entrepreneurial orientation and strategic alliance formation. Using a sample of small- to medium-sized enterprises located in Finland, Greece, Indonesia, Mexico, the Netherlands, and Sweden, we find that firms with higher levels of entrepreneurial orientation will use strategic alliances more extensively (i.e., use a greater number of agreements) than those firms with a weaker entrepreneurial orientation. Moreover, this relationship is strengthened in those countries that demonstrate either feminine or collective characteristics.

The Epistemology of Entrepreneurial Orientation: Conceptual Formation, Modeling, and Operationalization

In this manuscript, we examine the evolution of the Entrepreneurial Orientation (EO) concept in an effort to identify areas of concern for the future development of knowledge around the construct and provide conceptual analyses to suggest how we might best move forward in the constructs development. We suggest that the continued accumulation of knowledge in the field is best facilitated by conceptualizing EO as a reflective model utilizing three dimensions that can be extended through the use of a classical classification scheme and that additional subcategories of EO should be developed within the EO conceptual family utilizing new measurement items.

Analyzing the historical development of the environmental uncertainty construct

The concept of environmental uncertainty is recognized as a fundamental element of the strategic management and organizational theory literature. Unfortunately, the development of inconsistent conceptualizations and operationalizations of uncertainty have muddled the true meanings of the construct. In an effort to reverse this disturbing trend, this paper systematically analyzes the historical development of the uncertainty construct. Seminal management literature is used to trace the construct’s evolution over the last 60 years and to speak to the original meanings of its key elements. The rise of the information uncertainty and resource dependence schools is explored, as is the evolution of the construct’s operationalization from simple to complex measures. Insights provided by this analysis form the basis of a categorization scheme for conceptualizations and operationalizations of uncertainty. This categorization and the discussion that accompanies it are intended to provide future researchers with greater precision and consistency in the use of the environmental uncertainty construct.

Environmental Shocks and SME Alliance Formation Intentions in an Emerging Economy: Evidence from the Asian Financial Crisis in Indonesia

Environmental shocks can occur when emerging country governments open their markets to outside influences. We extend research conducted primarily in mature economies on how managers react to environmental shocks by evaluating how environmental shock type, a firms strategic orientation, and its slack resources affected strategic alliance formation intentions during and immediately following the Asian Financial Crisis. Results from two Indonesian small– and medium–sized enterprises (SME) samples show that these factors influenced alliance intentions, although not always in ways that were consistent with previous research findings in more mature markets. Overall, our results provide critical insights into emerging market firms’ strategic actions, particularly related to key managerial motivations for SME alliance formation.

Doing More with Less: The Disordinal Implications of Firm Age for Leveraging Capabilities for Innovation Activity

Innovation requires the entrepreneurial capabilities of opportunity recognition and opportunity exploitation. Such capabilities generally accrue over time from a firms cumulative learning and experience. In this study, we theorize that firm age should therefore moderate the firms ability to leverage these capabilities for innovation activity, such that older firms can obtain higher outputs from their capabilities than younger firms can. We examine this relationship using a sample of 676 small and medium enterprises. We find that when both younger and older firms have highly developed innovation capabilities, older firms appear to enjoy higher levels of innovation activity than younger firms do. However, younger firms generally appear more likely to have higher levels of innovation activity than older firms do, when neither firm has highly developed innovation capabilities. We conclude with a discussion of the implications of these findings for research and practice.

An Examination of Entrepreneurial Orientation, Environmental Scanning, and Market Strategies of Nonprofit and For-Profit Nursing Home Administrators

This study explores differences in entrepreneurial orientation (EO) by profit status. In addition to EO, other survey questions sought to determine how firms scanned the external market for information and the firm’s view of external market volatility. The sample, collected in 2004, consisted of 134 nursing home administrators located in the state of Florida. The data were analyzed using generalized linear model. The results show that there was no significant difference in the EO between nonprofits and for-profits but that nonprofits were significantly more likely to engage in environmental scanning activities such as gathering information from trade magazines and suppliers and that they remained abreast of economic and technological trends more than their for-profit counterparts. Given the demands of the external market, nonprofits may find that developing strategies to better compete with for-profit firms is vital.