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Important Factors of SMEs Entrepreneurial Orientation

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Listed:
  • Jaroslav Belas
  • Jan Dvorsky
  • Ludmila Kozubikova
  • Martin Cepel

Abstract

Effective implementation of EO attributes represents an important factor of SMEs’ success on the target market, and significantly determines its long-term existence. The aim of this paper was to define and quantify the significance of EO factors influencing SMEs business orientation. In connection to the defined target, separate research was conducted using a questionnaire in the Czech Republic attended by 1,141 enterprise owners within the SME segment. The method of regression analysis was used to quantify the significance of respective factors and to determine their statistical significance.The results of the research indicate that SMEs’ entrepreneurial orientation is mostly affected by the following factors: Investing finances into development of new methods and technologies (EO13), Conducting risky projects for the purpose of increasing the enterprise’s performance (EO23), Initiative on the target market (EO32), and Activities performed towards competition (EO43). Subsequently, it was determined that factors such as Enterprise’s risk strategy (EO21), Creating entrepreneurial environment within the scope of the enterprise (EO33), Aggressive activities towards competition (EO42), and Reputation for being an autonomous enterprise (EO51) do not affect the overall degree of entrepreneurial orientation. The results of this research may serve as an inspiration for further research in the field of SMEs entrepreneurial orientation.

Suggested Citation

  • Jaroslav Belas & Jan Dvorsky & Ludmila Kozubikova & Martin Cepel, 2019. "Important Factors of SMEs Entrepreneurial Orientation," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 3, pages 165-179.
    • Handle: RePEc:bas:econst:y:2019:i:3:p:165-179
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    1. Yanko Hristozov & Petar Chobanov, 2020. "Innovation Environment towards Smart Specialization and Circular Economy," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 6, pages 79-105.

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    More about this item

    JEL classification:

    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • O16 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance
    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages

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