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Entrepreneurial Self-Efficacy And Firm Performance In Challenging Environments: Evidence From The Franchise Context

Author

Listed:
  • DENISE M. CUMBERLAND

    (Department of Leadership, Foundations and Human Resource Education, College of Education, University of Louisville, Louisville, KY 40292, USA)

  • WILLIAM R. MEEK

    (Department of Management and Marketing, School of Business Administration, University of Dayton, 300 College Park Ave, Dayton, OH 45469, USA)

  • RICHARD GERMAIN

    (Department of Marketing, College of Business, University of Louisville, Louisville, KY 40292, USA)

Abstract

The purpose of the current study is to investigate the impact of the five ESE dimensions on firm performance. More specifically, we examine whether any of the five ESE dimensions are important to firm performance when the external environment is either competitively intense or technologically turbulent. This study investigated these relationships using a sample of franchisees, an important audience understudied in entrepreneurial literature. We find that the three-way interaction of competitive intensity, technological turbulence and each of ESE innovation, ESE management, and ESE financial control predicts franchisee performance. This confirms the wisdom of studying ESE as consisting of specific dimensions (as opposed to holistically) because not all ESE dimensions interact with franchisee environment in predicting performance.

Suggested Citation

  • Denise M. Cumberland & William R. Meek & Richard Germain, 2015. "Entrepreneurial Self-Efficacy And Firm Performance In Challenging Environments: Evidence From The Franchise Context," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 20(01), pages 1-19.
  • Handle: RePEc:wsi:jdexxx:v:20:y:2015:i:01:n:s1084946715500041
    DOI: 10.1142/S1084946715500041
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    Citations

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    Cited by:

    1. Florentine U. Salmony & Dominik K. Kanbach, 2022. "Personality trait differences across types of entrepreneurs: a systematic literature review," Review of Managerial Science, Springer, vol. 16(3), pages 713-749, April.
    2. Legendre, Nicolas & Nitani, Miwako & Riding, Allan, 2021. "Are franchises really more viable? Evidence from loan defaults," Journal of Business Research, Elsevier, vol. 133(C), pages 23-33.
    3. Pushkarskaya, Helen & Fortunato, Michael W.-P. & Breazeale, Nicole & Just, David R., 2021. "Enhancing measures of ESE to incorporate aspects of place: Personal reputation and place-based social legitimacy," Journal of Business Venturing, Elsevier, vol. 36(3).
    4. Krzysztof Zięba & Jakub Golik, 2018. "Testing Students’ Entrepreneurial Self-Efficacy as an Early Predictor of Entrepreneurial Activities. Evidence From the SEAS Project," Journal of Entrepreneurship, Management and Innovation, Fundacja Upowszechniająca Wiedzę i Naukę "Cognitione", vol. 14(1), pages 91-108.
    5. Tazeen Imran & Rizwan Raheem Ahmed & Dalia Streimikiene & Riaz Hussain Soomro & Vishnu Parmar & Jolita Vveinhardt, 2019. "Assessment of Entrepreneurial Traits and Small-Firm Performance with Entrepreneurial Orientation as a Mediating Factor," Sustainability, MDPI, vol. 11(19), pages 1-23, September.

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