ENTREPRENEURIAL ORIENTATION AFFECTS BUSINESS PERFORMANCE: A PERSPECTIVE FROM WOODCRAFTS MSMES IN JAKARTA
Article Sidebar
Main Article Content
Abstract
The purpose of this study was to determine the effect of risk-taking, proactiveness, innovation, competitive aggressiveness, and Autonomy on the performance of woodcraft MSMEs. The population in this study are entrepreneurs who run MSMEs in woodcraft sector. The sample used in this study were 52 MSMEs entrepreneurs in the woodcraft center at the Outer Ring Road of Jakarta W1 (West Jakarta) and Pahlawan Revolusi Street (East Jakarta). The type of sampling technique used was judgmental sampling. Data collection was done using a questionnaire distributed to entrepreneurs who were willing to become respondents then the data obtained will be processed using SmartPLS 3.0 software. The results of this study point out that risk-taking, proactiveness, and Autonomy have a positive effect on the performance of MSMEs in the woodcraft center on the Outer Ring Road of Jakarta W1 (West Jakarta) and Pahlawan Revolusi Street (East Jakarta), while for innovation and competitive aggressiveness there was no influence on the performance of MSMEs in the woodcraft center on the Outer Ring Road of Jakarta W1 (West Jakarta) and Pahlawan Revolusi Street (East Jakarta).
Article Details
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.
This journal provides immediate open access to its content on the principle that making research freely available to the public supports a greater global exchange of knowledge.
IJAEB by Graduate Program of Universitas Tarumanagara is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.. Permissions beyond the scope of this license may be available at https://journal.untar.ac.id/index.php/ijaeb
References
K. Eunike and L. Utama, "Faktor–Faktor Yang Mempengaruhi Kinerja Umkm Bidang Kuliner Pada Masa Pandemi COVID–19," Jurnal Manajerial Dan Kewirausahaan, vol. 3, no. 3, pp. 771-781, 2021. DOI: http://dx.doi.org/10.24912/jmk.v3i3.13209
P. Hall, "Measuring SME performance," Manufacturing Engineer, Vol. 81 No. 3, pp. 113-115, 2002. DOI: 10.1049/me:20020303
L. Utama and J. K. Nadi, "Pengaruh Kreativitas terhadap Kinerja Usaha dengan orientasi kewirausahaan sebagai mediasi pada wirausaha di ITC Cempaka Mas," In Conference on Managerial and Behavorial Studies , pp. 80-88, 2017.
N. Boso, &. V. Story and J. Cadogan, "Entrepreneurial orientation, market orientation, network ties and performance: study of entrepreneurial firms in a developing economy," Journal of Business Venturing, Vol. 28 No. 6, pp. 708-727, 2013. DOI: 10.1016/j.jbusvent.2013.04.001
W. Wales, J. Covin and E. Monsen, "Entrepreneurial orientation: The necessity of a multilevel conceptualization," Strategic Entrepreneurship Journal, 14, p. 639–660, 2020. https://doi.org/10.1002/sej.1344
M. Hughes and R. Morgan, "Deconstructing the relationship between entrepreneurial orientation and business performance at the embryonic stage of firm growth" Industrial Marketing Management, Vol. 36 No. 5, pp. 651-661, 2007. https://doi.org/10.1016/j.indmarman.2006.04.003
J. Barney, "Firm resources and sustained competitive advantage," Journal of management, 17(1)., pp. 99-120, 1991. https://doi.org/10.1177/014920639101700108
P. Ogunsiji and W. L. Kayode, "Entrepreneurial Orientation as a Panacea for the Ebbing Productivity in Nigerian Small and Medium Enterprises: A Theoretical Perspective," International Business Research, 3(4)., pp. 192-199, 2010. DOI:10.5539/ibr.v3n4p192
A. Kallmuenzer and M. Peters, "Entrepreneurial behaviour, firm size and financial performance: the case of rural tourism family firms," Tourism Recreation Research, Vol. 43 No. 1, pp. 2-14, 2018. DOI:10.1080/02508281.2017.1357782
Juliana, "Pengaruh Inovasi Dan Pengambilan Risiko Terhadap Perkembangan Wirausaha Muda Dalam Bidang Kuliner Di Wilayah Binong Tangerang," Jurnal Khasanah Ilmu Vol.10 No.1 , pp. 1-12, 2019. DOI: https://doi.org/10.31294/khi.v10i1.5623
G. Lumpkin and G. Dess, "Clarifying the entrepreneurial orientation construct and linking it to performance," The Academy of Management Review, Vol. 21 No. 1., pp. 135-172, 1996. https://doi.org/10.2307/258632
W. Baker and J. Sinkula, "The complementary effects of market orientation and entrepreneurial orientation on profitability in small businesses," ournal of Small Business Management, Vol. 47 No. 4, pp. 443-464, 2009. https://doi.org/10.1111/j.1540-627X.2009.00278.x
G. Lumpkin and G. Dess, "Linking two dimensions of entrepreneurial orientation to firm performance: The moderating role of environment and industry life cycle," Journal of Business Venturing, 16(5)., pp. 429-451, 2001. https://doi.org/10.1016/S0883-9026(00)00048-3
N. Lopez and G. White, "North American entrepreneurs in Cuba: which entry mode and government affiliation strategy?," European Journal of Management and Business Economics Vol. 27 No. 3, 2018 , pp. 285-303, 2018. https://doi.org/10.1108/EJMBE-12-2017-0065
T. Dorson, "Innovation development in service firms: A three-model perspective," International Journal of Services and Operations Management, 28(1), p. 64–80, 2017.
A. Rauch, J. Wiklund, G. Lumpkin and M. Freese, "Entrepreneurial orientation and business performance: Cumulative empirical evidence.," ENTREPRENEURSHIP THEORY and PRACTICE, Vol. 33, pp. 761-788, 2009. https://doi.org/10.1111/j.1540-6520.2009.00308.x
J. Hussain, Q. Abbas and M. Khan, "Entrepreneurial Orientation and Performance: The Moderating Effect of Market Orientation," Global Management Journal for Academic & Corporate Studies, Vol. 7, No. 1, pp. 1-9, 2017.
P. Gautam, "Entrepreneurial orientation and business performance of handicraft industry: a study of nepalese handicraft enterprises," International Journal of Small Business and Entrepreneurship Research, Vol. 4 No. 2, pp. 48-63, 2016.
D. Ionita, "Success and Goals: An Exploratory Research in Small Enterprises," Procedia Economic and Finance, 6(13), pp. 503-511, 2013. https://doi.org/10.1016/S2212-5671(13)00168-8
Y. Sefiani and R. Bown, "What influences the success of manufacturing SMEs? A perspective from tangier," Int. J. Bus. Soc. Sci., vol. 7, no. 4, p. 15–29, 2013.
S. F. Slater and J. C. Narver, "Intelligence Generation and Superior Customer Value," Journal of the Academy of Marketing Science, 28(1), p. 120–127, 2000. DOI: 10.1177/0092070300281011
M. Coulthard, "The role of entrepreneurial orientation on firm performance and the potential influence of relational dynamism," Journal of Global Business and Technology, Vol. 3 No. 1, p. 29., p. 29, 2007.
A. Jalali, M. Jaafar and T. Ramayah, "Entrepreneurial orientation and performance: the interaction effect of customer capital," World Journal of Entrepreneurship, Management and Sustainable Development Vol. 10 No. 1., pp. 48-68, 2014. http://dx.doi.org/10.1108/WJEMSD-05-2013-0030
A. Jalali, M. Jaafar, K. Talebi and A. Halim, "The Moderating Role of Bridging Ties between Risk-Taking, Proactiveness and Performance: The Evidence from Iranian SMEs," International Journal of Business and Management, 9(5), pp. 74-87, 2014. DOI:10.5539/ijbm.v9n5p74
G. Gürbüz and S. Aykol, "Entrepreneurial management, entrepreneurial orientation and Turkish small firm growth.," Management Research News, 32(4)., pp. 321-336, 2009. https://doi.org/10.1108/01409170910944281
R. Mahmood and N. Hanafi, "Entrepreneurial Orientation and Business Performance of Women-Owned Small and Medium Enterprises in Malaysia: Competitive Advantage as a Mediator," International Journal of Business and Social Science, Vol. 4 No. 1, pp. 82-90, 2013.
F. Kropp, N. Lindsay and A. Shoham, "Entrepreneurial, market, and learning orientations and international entrepreneurial business venture performance in South African Firms," International Marketing Review, Vol. 23 No. 5, pp. 504-523., 2006. DOI: 10.1108/02651330610703427
M. Mason, J. Floreani, S. Miani, F. Beltrame and R. Cappelletto, "Understanding the impact of entrepreneurial orientation on smes’ performance. the role of the financing structure.," Procedia Economics and Finance, Vol. 23, pp. 1649-1661, 2015. https://doi.org/10.1016/S2212-5671(15)00470-0
G. Guzman, M. Serna and S. Castro, "Entrepreneurial orientation and growth in Mexican small business," Journal of Management and Sustainability, Vol. 7, pp. 94-102, 2017. DOI: 10.5539/jms.v7n1p94
E. Monsen and B. Wayne, "The impact of strategic entrepreneurship inside the organization: Examining job stress and employee retention," Entrepreneurship Theory and Practice, Vol. 33 No. 1, pp. 71-104, 2009. DOI: 10.1111/j.1540-6520.2008.00281.x
J. F. Hair, C. M. Ringle and M. Sarstedt, "PLS-SEM: Indeed a silver bullet," The Journal of Marketing Theory and Practice, 19(2)., pp. 139-151, 2011. https://doi.org/10.2753/MTP1069-6679190202
I. Ghozali, Aplikasi Analisis Multivariabel Dengan program IBM SPSS 20, Semarang: BP Universitas Diponegoro, 2011.
Maholtra, " Introduction: Analyzing Accumulated Knowledge and Influencing Future Research," Review of Marketing Research, pp. 13-28, 2010. DOI: 10.1108/S1548-6435(2010)0000007004
M. Kuncoro, Metode Riset untuk Bisnis dan Ekonomi : Edisi 4, Jakarta: Erlangga, 2013.
S. Setiaman, Tutorial ANALISA PARSIAL MODEL PERSAMAAN STRUKTURAL Dengan Software SMART-PLS Versi 3 : Edisi pertama, Doha, 2021.
J. Cohen, Statistical Power Analysis for the Behavioral Sciences (2nd ed.), New York: Lawrence Erlbaum Associates, Publishers., 1988.
A. Awang, Z. Ahmad, A. Asghar, K. Subari and S. Kassim, "Firm entrepreneurial orientation and knowledge/networking of agro based enterprises in Malaysia: The role of technology and strategy.," African Journal of Business Management, 5(22), pp. 9685-9706., 2011.
F. Lawal, O. Adegbuyi, O. Iyiola, O. Ayoade and A. Taiwo, "NEXUS BETWEEN INFORMAL NETWORKS AND RISK-TAKING: IMPLICATIONS FOR IMPROVING THE PERFORMANCE OF SMALL AND MEDIUM ENTERPRISES (SMES) IN NIGERIA," Academy of Strategic Management Journal, Volume 17, pp. 1-14, 2018.
M. Mojikon, A. Abdullah and S. Shamsuddin, "Entrepreneurial orientation and effects on firm performance on SMEs in Sabah manufacturing sector," Asian Entrepreneurship Journal, Vol. 2 No. 1, pp. 109-118, 2016.
S. Kraus, R. J.P.C, M. Hughes and V. Hosman, "Entrepreneurial orientation and the business performance of SMEs: a quantitative study from the Netherlands," Review of Managerial Science; Heidelberg Vol. 6, pp. 161-182, 2012. https://doi.org/10.1007/s11846-011-0062-9
I. Donkoh, H. Vu and C. NWACHUKWU, "ENTREPRENEURIAL ORIENTATION AND SMALL AND MEDIUM ENTREPRISES PROFITABILIY IN GHANA," Management Research and Practice; Bucharest Vol. 13, pp. 32-43, 2021.
Dita and L. Soelaiman, "PENGARUH PENGAMBILAN RESIKO, INOVASI, PROAKTIF, COMPETITIVE AGGESSIVENESS DAN OTONOMI TERHADAP KINERJA USAHA KONVEKSI," Jurnal Manajerial dan Kewirausahaan, Volume III No. 1, pp. 186-195 , 2021 . http://dx.doi.org/10.24912/jmk.v3i1.1130
B. Buli, "Entrepreneurial orientation, market orientation and performance of SMEs in the manufacturing industry : Evidence from Ethiopian enterprises," Management Research Review Vol. 40 No. 3, pp. 292-309, 2017. https://doi.org/10.1108/MRR-07-2016-0173
M. Ardhi, J. Mulyo and Irham., "How does entrepreneurial orientation affect the business performance of coffee shop MSMEs in Indonesia?," E3S Web of Conferences, Vol.306, pp. 1-9., 2021. https://doi.org/10.1051/e3sconf/202130603011