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The Role of Multi Dimensional EO in the Competitive Strategy - Performance Link

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  • Firdaus Basbeth
  • Ainon Ramli
  • Muhammad Ashlyzan Bin Razik
  • Rosmaizura Mohd Zain
  • Noorshella Bin Che Nawi

Abstract

Despite the increase market in catering industry by 37% per year, the number of SME-catering service firms is only 30.000, or only 5% from the total number of SME in 2016. From 30,000 registered catering service company, only 10% is an active business with annual growth rate (3%). In order to achieve competitive advantage and growth, firms will develop appropriate competitive strategy, strategy which directly relate to firm performance. The purpose of this paper is to develop a better understanding of the relationship between competitive strategy and firm performance in a different entrepreneurial orientation (EO) dimension. The statistical results revealed a) innovativeness, risk taking and proactivenss were found to have a significant and positive moderating effect on the relationship between differentiation strategy and firm performance b) innovativeness, risk taking and proactivenss were found to have a significant and positive moderating effect on the relationship between CL strategy and firm performance.

Suggested Citation

  • Firdaus Basbeth & Ainon Ramli & Muhammad Ashlyzan Bin Razik & Rosmaizura Mohd Zain & Noorshella Bin Che Nawi, 2019. "The Role of Multi Dimensional EO in the Competitive Strategy - Performance Link," Research in World Economy, Research in World Economy, Sciedu Press, vol. 10(2), pages 20-25, July.
  • Handle: RePEc:jfr:rwe111:v:10:y:2019:i:2:p:20-25
    DOI: 10.5430/rwe.v10n2p20
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    References listed on IDEAS

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    Cited by:

    1. Ahmad Raflis Che Omar & Mohd Yahya Mohd Hussin & Fidlizan Muhammad, 2019. "Assessing Strategic Orientation and Mosques Performance," Research in World Economy, Research in World Economy, Sciedu Press, vol. 10(5), pages 30-35, December.

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