IDEAS home Printed from https://ideas.repec.org/a/eee/jobuve/v12y2019ics2352673418301033.html
   My bibliography  Save this article

Revisiting Covin and Slevin (1989): Replication and extension of the relationship between entrepreneurial orientation and firm performance

Author

Listed:
  • Lee, Younggeun
  • Zhuang, Yiming
  • Joo, Minjoo
  • Bae, Tae Jun

Abstract

We replicate and extend the seminal paper of Covin and Slevin (1989) on entrepreneurial orientation (EO) by conducting two studies. Specifically, we examine the impact of a firm’s EO on financial performance under hostile environments using various measurements. Study 1 is a direct replication of Covin and Slevin (1989) in which we utilize data collected from firms in the USA, which adopted the same survey measures of Covin and Slevin (1989). Study 2 is a generalization and extension of Covin and Slevin (1989) in which we implement newly developed objective EO measurement by Miller and Le Breton-Miller (2011) and utilize objective financial data of Chinese public firms. The results of both studies provide evidence that a firm’s EO positively impacts firm performance, especially in hostile environments. Further theoretical implications and contributions based on diverse types of replication studies are discussed.

Suggested Citation

  • Lee, Younggeun & Zhuang, Yiming & Joo, Minjoo & Bae, Tae Jun, 2019. "Revisiting Covin and Slevin (1989): Replication and extension of the relationship between entrepreneurial orientation and firm performance," Journal of Business Venturing Insights, Elsevier, vol. 12(C).
    • Handle: RePEc:eee:jobuve:v:12:y:2019:i:c:s2352673418301033
    DOI: 10.1016/j.jbvi.2019.e00144
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S2352673418301033
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jbvi.2019.e00144?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Richard A. Bettis & Sendil Ethiraj & Alfonso Gambardella & Constance Helfat & Will Mitchell, 2016. "Creating repeatable cumulative knowledge in strategic management," Strategic Management Journal, Wiley Blackwell, vol. 37(2), pages 257-261, February.
    2. G. Lumpkin & Todd Moss & David Gras & Shoko Kato & Alejandro Amezcua, 2013. "Entrepreneurial processes in social contexts: how are they different, if at all?," Small Business Economics, Springer, vol. 40(3), pages 761-783, April.
    3. Rodolphe Durand & Robert M. Grant & Tammy L. Madsen & Rodolphe Durand & Robert M. Grant & Tammy L. Madsen, 2017. "The expanding domain of strategic management research and the quest for integration," Strategic Management Journal, Wiley Blackwell, vol. 38(1), pages 4-16, January.
    4. Honig, Benson & Samuelsson, Mikael, 2015. "Replication in entrepreneurship research: a further response to Delmar," Journal of Business Venturing Insights, Elsevier, vol. 3(C), pages 30-34.
    5. Shahzad, Ali M & Wales, William J & Sharfman, Mark P & Stein, Christopher M, 2016. "Casting a wider performance net: The role of entrepreneurial orientation in boosting overall firm stakeholder value," Journal of Management & Organization, Cambridge University Press, vol. 22(2), pages 272-290, March.
    6. Jeffrey G. Covin & Dennis P. Slevin, 1989. "Strategic management of small firms in hostile and benign environments," Strategic Management Journal, Wiley Blackwell, vol. 10(1), pages 75-87, January.
    7. William J. Wales & Pankaj C. Patel & G. T. Lumpkin, 2013. "In Pursuit of Greatness: CEO Narcissism, Entrepreneurial Orientation, and Firm Performance Variance," Journal of Management Studies, Wiley Blackwell, vol. 50(6), pages 1041-1069, September.
    8. Danny Miller, 1983. "The Correlates of Entrepreneurship in Three Types of Firms," Management Science, INFORMS, vol. 29(7), pages 770-791, July.
    9. Yoshihiro Eshima & Brian S. Anderson, 2017. "Firm growth, adaptive capability, and entrepreneurial orientation," Strategic Management Journal, Wiley Blackwell, vol. 38(3), pages 770-779, March.
    10. Wennberg, Karl & Anderson, Brian S. & McMullen, Jeffrey, 2019. "2 Editorial: Enhancing Quantitative Theory-Testing Entrepreneurship Research," Ratio Working Papers 323, The Ratio Institute.
    11. Peter Wright & Mark Kroll & Jeffrey A. Krug & Michael Pettus, 2007. "Influences of top management team incentives on firm risk taking," Strategic Management Journal, Wiley Blackwell, vol. 28(1), pages 81-89, January.
    12. Anderson, Brian S. & Wennberg, Karl & McMullen, Jeffery S., 2019. "Editorial: Enhancing quantitative theory-testing entrepreneurship research," Journal of Business Venturing, Elsevier, vol. 34(5), pages 1-1.
    13. Lumpkin, G. T. & Dess, Gregory G., 2001. "Linking two dimensions of entrepreneurial orientation to firm performance: The moderating role of environment and industry life cycle," Journal of Business Venturing, Elsevier, vol. 16(5), pages 429-451, September.
    14. Johan Wiklund & DEAN Shepherd, 2003. "Knowledge‐based resources, entrepreneurial orientation, and the performance of small and medium‐sized businesses," Strategic Management Journal, Wiley Blackwell, vol. 24(13), pages 1307-1314, December.
    15. Brian S. Anderson & Patrick M. Kreiser & Donald F. Kuratko & Jeffrey S. Hornsby & Yoshihiro Eshima, 2015. "Reconceptualizing entrepreneurial orientation," Strategic Management Journal, Wiley Blackwell, vol. 36(10), pages 1579-1596, October.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Antonio Rodríguez-Peña, 2021. "Assessing the impact of corporate entrepreneurship in the financial performance of subsidiaries of Colombian business groups: under environmental dynamism moderation," Journal of Innovation and Entrepreneurship, Springer, vol. 10(1), pages 1-27, December.
    2. Sanjeev S. Ingalagi & Nishad Nawaz & Habeeb Ur Rahiman & A. Hariharasudan & Vanishree Hundekar, 2021. "Unveiling the Crucial Factors of Women Entrepreneurship in the 21st Century," Social Sciences, MDPI, vol. 10(5), pages 1-12, April.
    3. Tânia Gonçalves & Mário Sérgio Teixeira & José G. Dias & Sofia Gouveia & Ricardo Jorge Correia, 2021. "Commitment to exporting as an antecedent of organizational skills and firm performance," Journal of Business Economics, Springer, vol. 91(7), pages 1063-1084, September.
    4. Patrick M. Kreiser & Brian S. Anderson & Donald F. Kuratko & Louis D. Marino, 2020. "Entrepreneurial Orientation and Environmental Hostility: A Threat Rigidity Perspective," Entrepreneurship Theory and Practice, , vol. 44(6), pages 1174-1198, November.
    5. Wales, William J. & Kraus, Sascha & Filser, Matthias & Stöckmann, Christoph & Covin, Jeffrey G., 2021. "The status quo of research on entrepreneurial orientation: Conversational landmarks and theoretical scaffolding," Journal of Business Research, Elsevier, vol. 128(C), pages 564-577.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Antonio Rodríguez-Peña, 2023. "Corporate entrepreneurship and firm performance relationship under the moderating effect of environmental dynamism: Replication and extension analysis," Journal of International Entrepreneurship, Springer, vol. 21(4), pages 550-585, December.
    2. Zhang, Jing A. & O'Kane, Conor & Chen, Guoquan, 2020. "Business ties, political ties, and innovation performance in Chinese industrial firms: The role of entrepreneurial orientation and environmental dynamism," Journal of Business Research, Elsevier, vol. 121(C), pages 254-267.
    3. Zhaoyang Guo & Wei Jiang, 2020. "Risk-taking for entrepreneurial new entry: risk-taking dimensions and contingencies," International Entrepreneurship and Management Journal, Springer, vol. 16(2), pages 739-781, June.
    4. Milovanović Bojan Morić & Bubaš Zoran & Mikić Mihaela, 2021. "Entrepreneurial Orientation, Strategic Networking, and Croatian SMEs Performance: A Configurational Approach," Business Systems Research, Sciendo, vol. 12(2), pages 236-252, December.
    5. Joohwan Seo & Jiseon Lee & Sunggwang Jung & Sangil Park, 2023. "The Role of Creating Shared Value and Entrepreneurial Orientation in Generating Social and Economic Benefits: Evidence from Korean SMEs," Sustainability, MDPI, vol. 15(7), pages 1-19, April.
    6. Lu, Jinfeng & Dimov, Dimo, 2023. "A system dynamics modelling of entrepreneurship and growth within firms," Journal of Business Venturing, Elsevier, vol. 38(3).
    7. Francisco Javier Forcadell & Fernando Úbeda, 2022. "Individual entrepreneurial orientation and performance: the mediating role of international entrepreneurship," International Entrepreneurship and Management Journal, Springer, vol. 18(2), pages 875-900, June.
    8. Yan Ling & María Concepción López-Fernández & Ana María Serrano-Bedia & Franz W. Kellermanns, 2020. "Organizational culture and entrepreneurial orientation: examination through a new conceptualization lens," International Entrepreneurship and Management Journal, Springer, vol. 16(2), pages 709-737, June.
    9. Tomasz Ingram & Katarzyna Bratnicka-Myśliwiec & Teresa Kraśnicka & Izabella Steinerowska-Streb, 2022. "Entrepreneurial Orientation as a Determinant of Sustainable Performance in Polish Family and Non-Family Organizations," Sustainability, MDPI, vol. 14(24), pages 1-25, December.
    10. Shih-Kai Lin & Hung-Chang Chung, 2023. "The Relationship Between Entrepreneurial Orientation and Firm Performance From the perspective of MASEM: The Mediation Effect of Market Orientation and the Moderated Mediation Effect of Environmental ," SAGE Open, , vol. 13(4), pages 21582440231, December.
    11. Wales, William J. & Kraus, Sascha & Filser, Matthias & Stöckmann, Christoph & Covin, Jeffrey G., 2021. "The status quo of research on entrepreneurial orientation: Conversational landmarks and theoretical scaffolding," Journal of Business Research, Elsevier, vol. 128(C), pages 564-577.
    12. Wei Yu & Johan Wiklund & Ana Pérez-Luño, 2021. "ADHD Symptoms, Entrepreneurial Orientation (EO), and Firm Performance," Entrepreneurship Theory and Practice, , vol. 45(1), pages 92-117, January.
    13. Franczak, Jennifer & Gyensare, Michael A. & Lanivich, Stephen E. & Adomako, Samuel & Chu, Irene, 2024. "How and when does founder polychronicity affect new venture performance? The roles of entrepreneurial orientation and firm age," Journal of Business Research, Elsevier, vol. 172(C).
    14. Sinha, Kanhaiya K. & Steel, Piers & Saunders, Chad & Fariborzi, Hadi, 2023. "Balancing entrepreneurial and learning orientations: A meta-analytic approach to understanding performance variability," Journal of Business Venturing Insights, Elsevier, vol. 20(C).
    15. Francisco Adro & Cristina I. Fernandes & Pedro M. Veiga & Sascha Kraus, 2021. "Social entrepreneurship orientation and performance in non-profit organizations," International Entrepreneurship and Management Journal, Springer, vol. 17(4), pages 1591-1618, December.
    16. Antonio Rodríguez-Peña, 2021. "Assessing the impact of corporate entrepreneurship in the financial performance of subsidiaries of Colombian business groups: under environmental dynamism moderation," Journal of Innovation and Entrepreneurship, Springer, vol. 10(1), pages 1-27, December.
    17. Kollmann, Tobias & Stöckmann, Christoph & Niemand, Thomas & Hensellek, Simon & de Cruppe, Katharina, 2021. "A configurational approach to entrepreneurial orientation and cooperation explaining product/service innovation in digital vs. non-digital startups," Journal of Business Research, Elsevier, vol. 125(C), pages 508-519.
    18. Patrick M. Kreiser & Brian S. Anderson & Donald F. Kuratko & Louis D. Marino, 2020. "Entrepreneurial Orientation and Environmental Hostility: A Threat Rigidity Perspective," Entrepreneurship Theory and Practice, , vol. 44(6), pages 1174-1198, November.
    19. Jintong Tang & Zhi Tang & Birton J. Cowden, 2017. "Exploring the Relationship between Entrepreneurial Orientation, CEO Dual Values, and SME Performance in State–Owned vs. Nonstate–Owned Enterprises in China," Entrepreneurship Theory and Practice, , vol. 41(6), pages 883-908, November.
    20. Martin Hemmert & Adam R. Cross & Ying Cheng & Jae-Jin Kim & Masahiro Kotosaka & Franz Waldenberger & Leven J. Zheng, 2023. "Environmental uncertainty and the entrepreneurial orientation–performance relationship among East Asian new technology-based firms: an institutional perspective," Asian Business & Management, Palgrave Macmillan, vol. 22(4), pages 1683-1711, September.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jobuve:v:12:y:2019:i:c:s2352673418301033. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: https://www.journals.elsevier.com/journal-of-business-venturing-insights .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.