The Effect Of Entrepreneurial Orientation On Performance: Organization Structure And Environment As Moderator Variables

As the deep development of the Open and Reform, entrepreneurial activities in China go much more prosperous. However, some firms will grow steadily, while the others will fail, in similar or even the same situation. Many researchers attempt to explain the phenomena with entrepreneurial orientation (EO), which refers to the processes, practices, and decision-making activities that lead to new entry. But will firms get higher performance if they have a high EO? And which factor will moderate the relationship?Based on these questions and the study of literature, this paper has established the theoretical model, and adopted questionnaire to analyze empirically the condition of Chinese firms. We have examined the association between a film's EO and performance with different organization structure organicity under different environmental hostility and dynamism.Through the questionnaire and analysis of the data, the main conclusions of this paper are as follows: (1) EO and its dimensions, innovativeness, risk taking, proactiveness, and competitive aggressiveness, are positively with entrepreneurial performance; (2) the relationships of proactiveness and risk taking with performance are moderated by organization structure organicity respectively: firms with a proactiveness or risk taking that use a organic structure will have higher performance relative to those that do not use an organic structure; structure organicity will not moderate the relations of EO and other dimensions to entrepreneurial performance; (3) the relationships of proactiveness and competitive aggressiveness with performance are moderated by environmental hostility respectively: firms with a proactiveness or competitive aggressiveness that in hostile environment will have higher performance relative to those that in benign environment; environmental hostility will not moderate the relations of EO and other dimensions to entrepreneurial performance; (4) the relationships between proactiveness and performance are moderated by environmental dynamism: firms with a proactiveness that in dynamic environment will have higher performance relative to those that in static environment; environmental dynamism will not moderate the relations of EO and other dimensions to entrepreneurial performance.