Connecting the dots: The relationship among intra-organizational environment, entrepreneurial orientation, market orientation and organizational performance

Abstract

Purpose

This paper aims to identify the intra-organizational environment factors that affect entrepreneurial orientation (EO) and examine the mediating role of market orientation (MO) in the relationship between and organizational performance.

Design/methodology/approach

The study is conducted in a less-researched area, Egypt. Data were collected using a survey from 120 large-sized manufacturing firms working in seven industries: engineering and home appliances, communication and information technology (IT), food and beverage, chemicals, furniture and decoration, clothing and smoking. The research framework was examined using partial least square approach of structural equation modeling (PLS-SEM).

Findings

The findings indicate that the intra-organizational environment factors that affect entrepreneurial orientation practices are deep locus of planning, planning flexibility, planning horizon, integration and organizational support. Also, the results show that MO mediates the relationship between entrepreneurial orientation and performance.

Practical implications

The findings provide insights about how to manage the intra-organizational environment of the firm and how to configure strategic capabilities, i.e. entrepreneurial orientation and MO, to enhance the organization’s performance.

Originality/value

This paper provides a holistic approach that identifies the intra-organization environmental factors necessary to create an organizational culture that facilitates and encourages entrepreneurial orientation and MO, as well as examine the role of MO in the relationship between entrepreneurial orientation and the organizational performance.

Citation

Mahrous, A.A. and Genedy, M.A. (2019), "Connecting the dots: The relationship among intra-organizational environment, entrepreneurial orientation, market orientation and organizational performance", Journal of Entrepreneurship in Emerging Economies, Vol. 11 No. 1, pp. 2-21. https://doi.org/10.1108/JEEE-09-2016-0036