ENTREPRENEURIAL ORIENTATION EFFECT ON ORGANIZATIONAL PERFORMANCE

Abstract

The relationship between Entrepreneurial Orientation (EO) and Organizational Performance (OP) is still widely discussed in national and international publications in the area of entrepreneurship and organizational strategy. However, the type of effect can be different depending on the context analyzed. The purpose of this article is to investigate the strength of the relationship between the dimensions of OE and the direct effect of OE on PO. The survey gathered 252 responses obtained by a five-point Likert questionnaire. The data were analyzed using the Structural Equation Modeling, in addition to other statistical tests that proved the positive and significant effect of the proposed hypotheses. The results suggest advances in the development of new theoretical-empirical research that indicate robust measurement models involving the dimensions of EO and OP. Regional development was influenced by European culture, entrepreneurial vocation and companies with attributes of proactivity, innovativeness and competitiveness. As a contribution, this study demonstrates the positive effect of EO on OP from the perspective of employees of companies of different sizes and sectors located in the northeast region of the state of Rio Grande do Sul/RS.