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Investigating the effect of entrepreneurial orientation on the growth of small companies in Golpayegan city

Number of pages: 94 File Format: word File Code: 31115
Year: 2013 University Degree: Master's degree Category: Management
Tags/Keywords: Business - Company growth - Corporate entrepreneurship - Economic and social development - Economic development - Economic enterprises - Entrepreneurial orientation - Entrepreneurship - Public administration - Small business growth
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  • Summary of Investigating the effect of entrepreneurial orientation on the growth of small companies in Golpayegan city

    Dissertation for Master's Degree

    (M.A)

    Financial Orientation Public Administration

    Abstract

    Entrepreneurship as the driving engine of economic and social development plays an essential role in the development process of societies. Small businesses are the best place for entrepreneurial activities and this requires that the owners and employees of small businesses have skills and abilities. Therefore, the purpose of this research is to investigate the effect of entrepreneurial orientation on the growth of small companies in Golpayegan city. The statistical sample of this research includes 60 small companies in Golpayegan city, which was obtained by using Kekran's formula. The data collection tool in this research is a questionnaire. According to the type of study and its variables and according to the entrepreneurial responsibility and the amount of information available to senior managers, the questionnaires were specifically provided to these managers and the required information was collected. The questionnaire consisted of 15 questions, and to measure the validity of the questionnaires, at first, it was tried to use standard questionnaires, and using them, an initial questionnaire was developed, and to determine the reliability of the said questionnaire, Cronbach's alpha and internal consistency method were used, and the alpha level was obtained. It turned out to be a suitable indicator of reliability. This research is practical in terms of purpose and descriptive in terms of method. In this research, descriptive statistics and inferential statistics (Spearman and Pearson correlation coefficients and Durbin-Watson and Kolmogorov-Smirnov tests) and SPSS software were used to analyze and review the data. The results show that there is a direct and positive relationship between entrepreneurial orientation and sales growth and employee growth of small companies, but between the life of small companies and the growth of sales and their employees. There is a negative and inverse relationship. Keywords: entrepreneurial orientation, business, small companies It has come into existence at the same time as the beginning of human life on earth and the effort to earn and provide the necessities of life. However, the concept of this category does not have much history (Saeedi Mehrabad and Mehtadi, 2017).

    Entrepreneurship is a very important category that many developed and developing countries pay serious attention to. In the meantime, one of the main branches of entrepreneurship is entrepreneurship in the organization, which undoubtedly has a significant contribution to the success and excellence of organizations (Ahmedpour, 2013; 132-135).

    Changes in the products of market mechanisms are often such that organizations take advantage of opportunities that other organizations do not follow and sometimes they are not even aware of their existence.  In this context, innovation plays a strategic and major role (Collins and Ram, 2003, pp. 5-7) [1] .

    Corporate entrepreneurship is a set of activities that make it possible to exploit the competitive advantages of innovation in an organization and is an approach to institutionalize innovation in organizations. In fact, corporate entrepreneurship is considered as a window towards exploiting lasting competitive advantages, innovation and pioneering for organizations (Koratko et al., 2005; p. 699) [2]. In such a way that the world of work and business will be forever affected by this category. For example, we can mention the strong start of entrepreneurial activities in America during the last ten years. The statistics related to the registration of new commercial companies is about 600,000 commercial establishments per year.  Although a large number of these institutions and business units may have been smaller or cooperative-like units in the past, their desire and tendency towards higher risk work has increased, both when starting work and during the development and progress stages of the institution.  More accurate statistics show that 807 thousand small business establishments were registered in 1995 AD. Since 1980 AD, about five hundred large companies have lost more than five million job opportunities, but statistics show that in contrast to this figure, about 34 million new job opportunities have been created.  In 1996, only one small job field was able to create one million and six hundred thousand new job opportunities.15% of the business units that were growing and developed very fast, accounted for 94% of the job creation network, and less than a third of these units had advanced technology.

    Small businesses, i.e. those with less than five hundred employees, employed 53% of private employment, as well as 47% of sales and 51% of GDP.

    16% of all business units currently operating in the United States have been registered within the last year, and smaller business units have registered about 67% of new inventions and discoveries in their name (Reynold, Hay and Camp; 1999) [3] .

    Despite these new data and findings, it is clear that the number of new business units should be accepted. It is about 600,000 units in a year, and several million new jobs will be created in the form of self-employment projects every year. On average, one new unit is registered for every 300 people in America every year. Since each of these units has at least two managers or owners, so every year, one person out of every 150 people becomes the founder of a new business unit.

    America has achieved its highest level of economic performance during the last 10 years, and this is the result of encouragement, persuasion, as well as improvement and promotion of the quality of entrepreneurial activities in various fields (Miniti and Bygrave, 2004) [4] .

    Entrepreneurship can be called a dynamic process; which includes aspiration, evolution, transformation and creativity.  This process requires the application and use of people's power and motivation to create and implement new ideas as well as practical solutions. 1-2 Statement of the problem There are different definitions and theories about entrepreneurship. Most of the accepted definitions belong to Champeter (1934) [5]. He defined entrepreneurship as a prerequisite for new goods or new quality of goods, new production methods, entering a new market and exploiting new resources. This definition considers entrepreneurship as "creating new economic activities". In this approach, any activity that causes changes in the market is entrepreneurship. Therefore, the growth of the company is also considered as entrepreneurship because the growth of the company brings with it changes to the internal and external environment. In addition, (Stevenson and Jarillo, 1990) [6] have stated that growth is achieved through entrepreneurship. Entrepreneurship is often considered as a personal and organizational phenomenon. Examining entrepreneurship at the individual level is not an easy task because several situational variables affect the success of entrepreneurs and it is difficult to analyze these characteristics. Therefore, it will be beneficial when entrepreneurship is examined based on the behavior of the company (Slevin and Quinn, 1990) [7]. and remain in the market for a long period of time. Therefore, entrepreneurship is very important for small companies. This research introduces a theoretical framework in which the entrepreneurial orientation has an effect on the entrepreneurial management and consequently on the growth of the company. Therefore, the entrepreneurial orientation will determine the extent of the entrepreneurial management activities that will ultimately affect the growth of the company. The independent variable of this research is entrepreneurial orientation and the dependent variable of this research is the growth of small companies. The age of the company is considered as a control variable because it is an important factor in describing the growth of the company. Compared to younger companies, companies with a longer age have a lower growth rate (Davidson et al., 2002) [8] .

    Therefore, as the age of the companies increases, their entrepreneurship decreases (Wiklund, 1998) [9] .

    Next, this research has several It shows the hypothesis using these statements. Therefore, the issue we are looking for is what effect does entrepreneurial orientation have on the growth of small companies? 1-3 The importance and necessity of research: The role of organizations in achieving economic, political, social and cultural goals is so prominent that the organizations of any society are called the pillars of achieving the goals of that society.

  • Contents & References of Investigating the effect of entrepreneurial orientation on the growth of small companies in Golpayegan city

    List:

    Abstract: 1.

    Chapter One

    Overview of the research. 2

    1-1 Introduction 3

    1-2 statement of the problem 5

    1-3 importance and necessity of research. 6

    1-4 theoretical framework. 7

    1-5 Assumptions. 9

    1-6 research objectives. 9

    1-6-1 general purpose. 9

    1-6-2 sub-goal. 9

    1-7 scope of research. 10

    1-7-1 Subject area. 10

     

    1-7-2 Spatial area. 10

    1-7-2 Time realm. 10

    1-8 conceptual definitions. 10

    1-9 operational definitions. 11

    Chapter Two

    A review of the research literature. 12

    2-1 Introduction 13

    2-2 Organizational entrepreneurship: 14

    2-3 The importance and necessity of entrepreneurship in organizations and companies: 15

    2-4 Entrepreneurial behavior: 16

    2-5 Entrepreneurial skills. 17

    2-5-1 Personal skill. 17

    2-5-2 Management skills. 17

    2-5-3 technical skills. 17

    6-2 organizational entrepreneurship strategy 18

    2-7 barriers and limitations of entrepreneurship. 19

    8-2-2 factors affecting organizational (corporate) entrepreneurship 22

    2-8-1 entrepreneurial structural factors 22

    2-8-2 entrepreneurial behavioral factors 22

    2-8-3 entrepreneurial background factors 22

    2-9 structure of entrepreneurial companies. 22

    2-10 characteristics of entrepreneurial companies. 23

    2-11 models of entrepreneurial companies. 24

    2-11-1 Cornwall and Perlman's model of organizational entrepreneurship. 24

    2-11-2 organizational entrepreneurship model of Koratko and Nafziger. 25

    2-11-3 organizational entrepreneurship model of Ekhles and Net. 26

    2-12 entrepreneurial orientation (entrepreneurial orientation) 26

    2-13 organizational culture and innovation. 27

    2-14 innovation. 29

    2-14-1 Types of innovation. 30

    2-14-2 stages of innovation. 32

    2-15 risk taking. 34

    2-16 research background. 37

    2-16-1 Internal investigations. 38

    2-16-2 External investigations. 38

     

     

     

     

    Chapter Three

    Research implementation method. 40

    3-1 Introduction 41

    3-2 Research method. 41

    3-3 study community. 42

    3-3-1 sample size. 42

    3-4 information collection method. 43. 3-5 Validity and Reliability of Questionnaire 44 3-5-1 Determining the Validity of Questionnaire 44 46

    3-6-1 Assumptions in the application of linear correlation test. 46

    3-6-2 Watson camera test. 46

    3-7 Checking the normality of data 49

    3-7-1 Kolmogorov-Smirnov test. 49

    3-7-2- Regression analysis. 50

    Chapter 4

    Data analysis 51

    4-1 Introduction 52

    4-2 Descriptive results of the research. 52

    4-3 Data analysis 55

    4-3-1 Durbin Watson test. 55

    4-3-2 Kolmogorov-Smirnov test. 56

    4-4 Examining research hypotheses. 56

     

     

    Chapter Five

    Conclusion and suggestions. 64

    5-1 Introduction 65

    5-2 Conclusion of assumptions. 65

    5-2-1 Hypothesis 1. 65

    5-2-2 Hypothesis 2. 66

    5-2-3 Hypothesis 3. 66

    5-2-4 Hypothesis 4. 66

    5-3 Proposal based on research. 67

    4-5 Suggestions for future researchers. 69

    Appendices 71

    Sources and reference 79

    Persian sources: 80

    Latin sources: 82

    Abstract: 84

    Source:

    Persian sources:

    1-Aghazadeh, Hashem and Hossein Rezazadeh (( 1383 Organizational Entrepreneurs, Tadbir Monthly, No. 102. 2- Ahmedpour Dariani. Mahmoud, 1380, Entrepreneurship: Definitions, Theories, Patterns, Third Edition, Tehran: Pardis. .

    4- Imanipour, Narges and Mehdi Zivodar, 2017, "Investigation of the relationship between tendency towards corporate entrepreneurship and performance (case study: sales agents of Iran Insurance Company in Tehran)", Entrepreneurship Development, first year, second issue.

    5- Asmaili Givi, Mohammad Reza, Gholamali Tabarsa, Siamak Mehboob and Hamidreza Ismaili Givi, 1388, "Investigation of the impact of organizational entrepreneurial culture on creativity and innovation in public libraries in the country.

     

    5- Ismaili Givi, Mohammad Reza, Gholamali Tabarsa, Siamak Mehboob and Hamidreza Ismaili Givi, 1388, "Investigation of the impact of organizational entrepreneurial culture on creativity and innovation in the country's public libraries", research on information and public libraries, spring 1389.

    6- Hafiz Niya, Mohammad Reza, 1380, an introduction to research methods in humanities, Tehran: Samit

    7- Jadi, Sosan and Mohammad Zanjani ( 1380) Obstacles to the development of organizational entrepreneurship in Iran, Tadbir Monthly, No. 120.

    8- Khenifar, Hossein and Fardin Vakili, 1387, "The relationship between the type of organizational structure and entrepreneurship" Organizational and

    Economic in small and medium economic companies", Entrepreneurship Development, first year, second issue.

     

    9- Dehghanpour Farshah, Ali (1381) Review of Entrepreneurship Literature, Industry Journal, Number 33.

    10- Zabihi, Mohammadreza and Alireza Moghdisi (1388 Entrepreneurship; from theory to practice, Jahan Farda Publishing, print Second. 11- Sarmad, Zohra, Abbas Bazargan and Elaha Hijazi (1379) research methods in behavioral sciences, Aghat Publications, third edition, Tehran. 12- Samad Aghaei, Jalil (1382), Entrepreneurial Organizations, Higher Institute of Education and Research, Management and Planning, second edition, Tehran.

    13- Kurdnaich, Asadullah (1384) Entrepreneurial University, higher education and its role in creating employment, Management and Development Quarterly, No. 26.

    14 Kurdnaich, Asadullah, Hassan Akbari and Ali Rezaian, 1386, "Investigation of barriers to organizational entrepreneurship: case study, Shamal Wood Industry Company", Faculty of Humanities Quarterly, Special issue of Management, Fall 1386.

    15-Ali Miri, Mustafa (1387), Entrepreneurship Education: Origin, Development, Trends and Challenges, Entrepreneurship Development Quarterly, Year 1, Number 1.

    16-Moghimi, Seyed Mohammad and Mahmoud Ahmadpour Dariani, 1387, "Entrepreneurship Education in Small and Medium Businesses of Iran: Solutions and Needs" ", Entrepreneurship Development Quarterly, first year, number 1. 17-Maqdisi, Alireza, 1388, "Feasibility of implementing organizational entrepreneurship in Soha Teb Industrial Manufacturing Company", Management Quarterly, sixth year, number 16. 18-Histrich, Robert D., and Peters, P. Michael, Entrepreneurship, volume one and Second, translated by Faiz Bakhsh, Seyyed Alireza and Taghiyari Hamidreza, first edition, Sharif University of Technology Scientific Publishing Institute, 1383.

    19-Hazar Jaribi, Jafar, 1384, Entrepreneurship", first edition, Tehran: Research Institute of Economic Affairs.

    External sources:

    1. Bart, C. (2006). "Product Strategy and Formal Structure in Entrepreneurship". Strategic Management Journal, Vol. 7, No. 4.

    2- Begley, T.M. and Boyd, D.P. (1987), ``Psychological characteristics associated with performance in entrepreneurial firms and smaller businesses'', Journal of Business Venturing, Vol. 2 no. 1, pp. 79-93.

    3-Brown, T.E. (1996), "Resource orientation, entrepreneurial orientation and growth: how the perception of resource availability affects small firm growth", unpublished doctoral dissertation, Rutgers University, Newark, NJ.

    4-Covin, J.G. (1991), ``Entrepreneurial vs conservative firms: a comparison of strategies and performance'', Journal of Management Studies, Vol. 28 no. 5, pp. 439-6

    5-Davidsson, P. (1991), ``Continued entrepreneurship: ability, need and opportunity as determinants of small firm growth'', Journal of Business Venturing, Vol. 6 no. 6, pp. 405-29

     

     6-Dess, G.G., Lumpkin, G.T. and Covin, J.G. (1997), ``Entrepreneurial strategy making and firm performance: tests of contingency and configurational models'', Strategic Management Journal, Vol. 18 No. 9, pp. 677-95. 7. Etzkowitz, H. (2004). "The Evolution of the Entrepreneurial University". Technology and Globalization Journal, Vol. 1. 8. Fredrickson, J. (2006). "The Strategic Decision Process and Organizational Structure in Entrepreneurship". Academy of Management Review, Vol. 11, No. 2. 9. Hisrich, R. D. and M. P. Peters (1998). "The Individual Entrepreneur in Entrepreneurship". McGraw Hill Publishing. 10. Kuartko, D. F., J. Hornsby, D. Naffziger and R. Mentagno (1993).

Investigating the effect of entrepreneurial orientation on the growth of small companies in Golpayegan city
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