Presenters:Mohammad TariSara KazemiMohammad Forouzandeh
Conceptual frame work of factors affecting SME development: Mediating factors on the relationship of entrepreneur traits
and SME performance
Lead -in
Who makes a great
entrepreneur?
How an SME can turn into an LSE?
How can a firm get greater share of
the market?
SME ‘s performanc
e vs entrepreneu
r traits
The main difference between SME&LSE
The purpose of
the article
Introduction
Constructs affecting SME ‘s performance
Innovative
perform
ance
Innoative
Capacity
Organizational
Search
Entrepren
euria
l
Orientat
ion
Market
Orientat
ion
Firm Performance is usually measured as financial and nonfinancial performance
measures.
Financial Measures
Nonfinancial Measures
Return on Investment
Profit
Costs
Customer Satisfaction
Employee ‘s Growth
Market Share
Entrepreneur’s Traits
Risk-taking
Propensity
MotivationPreference for
Innovation
Flexibility
Social Skills
Locus of Control
’‘Innovation is any idea ,practice or object that is perceived to be new
.(unit of adoption’’(Rogers
Purpose of
Innovation
Increase of Competitivene
ss
Product.
Process.
Marketing
Organizational
Different types of innovation
Innovative Performance
It refers to the extent to which firms actually introduce their innovation to the
market, such as: the rate of new products, new processes new
devices(Freeman& Soete) .
Innovative performance &Firm performance
Organizational Search
It refers to a firms ‘s activity in finding knowledge , ideas, information that will bring about stronger competences and capabilities that will
result in innovations.
Search Pattern: Most SME ‘s conduct their search in an informal way as contrasted to medium to high technology SMEs .
Oragnizational Search
organizati
onal
search
results i
n
new
knowl
edge
and i
nfor
mati
on
New
i
nfor
mati
on is
repl
aced
by
ol
d i
nfor
mati
on
Innovative Perfor
mance
Purpose of OS
Achieve noble ideas
Find certain information on
purchases and market
Innovative Performance& Organizational Search
Innovative Capacity:It is firm’s ability to utilize knowledge internally, regardless
the newness of the knowledge for the firm and its ability to match the outcomes of its innovation with the final market expectations in the changing market needs.
relies onkey personnel's
information
Knowledge in SME
Entrepreneurial Orientation
’‘Firm ‘s strategic orientation. The one which makes the specific
decisions .’’
Entrepreneurial orientation
Entrepreneur Traits
High score in EO
Competitive PostitionOragizational Search
Innovative performance
Entrepreneurial orientation and organizational search
Market Orientation: It refers to a part of organizational culture that serves as a key to a firm ‘s success by
emphasizing customer orientation, competitor orientation and responsiveness(Kohli&Jaworski).
What is the role of Market Orientation ?
Entrepreneurial Orientation V.S Market Orientation
The Correlation of the following constructs:
Market Orientation & Organizational Search
Market Orientation &Innovative Capacity