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Investigating the Moderation of Organizational Culture on the Relationship between Innovativeness, Reactiveness, and Risk-Taking Propensity with Business Performance: A Case of Pakistan

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  • Nadeem Khalid
  • Munwar Hussain Pahi
  • Sallam Bin Abdullah

Abstract

The present study investigated the role of core components of entrepreneurial orientation and its impact on business performance. The study examined how innovativeness, proactiveness, and risk-taking propensity can influence business performance in an emerging economy like Pakistan. Accordingly, the study also tested how organizational culture could moderate these relationships. Employees from a large national level organization from Karachi, Pakistan were sampled for the study. 300 questionnaires in total were distributed across the company out of which, 193 were received back. 31 questionnaires were discarded and 162 were taken for final analysis. Structural equation modeling results through using Smart PLS 2.0 revealed a positive relationship of all the three factors with business performance. More importantly, the study also found strong moderation of organizational culture on the hypothesized relationships. Findings, recommendations and contributions of the study are discussed in detail.

Suggested Citation

  • Nadeem Khalid & Munwar Hussain Pahi & Sallam Bin Abdullah, 2016. "Investigating the Moderation of Organizational Culture on the Relationship between Innovativeness, Reactiveness, and Risk-Taking Propensity with Business Performance: A Case of Pakistan," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 6(10), pages 326-338, October.
    • Handle: RePEc:hur:ijarbs:v:6:y:2016:i:10:p:326-338
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    References listed on IDEAS

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