Evaluating the Effect of Entrepreneurial Orientation on SME’s Performance: A Study of Sports Industry Pakistan

• Main Authors: Rana Zain Ul Abidin, Abdul Rahim B Othman, Lily Julienti Abu Bakar
• Format: Article
• Language: English
• Published: University of Central Punjab 2015-12-01
• Series: Paradigms
• Subjects: SMEs; Entrepreneurship; Entrepreneurial Orientation; Sports Industry
• Online Access: http://paradigms.ucp.edu.pk/rcc/Volume9_26(the-long-walk-t).pdf

The Sports industry has played a vital role in the economy of Pakistan. The recent high failure rate of small and medium businesses in the sports sector has necessitated the need to identify strategies that will help to improve their performance. The primary objective of this study is to establish the level of entrepreneurial orientation of small and medium enterprises in the sports sector of Pakistan. Simple random sampling method was used to gather 153 usable questionnaires from small and medium businesses in Sialkot, Pakistan. An exploratory factor analysis was conducted to determine the validity of the measuring instrument. Cronbach’s alpha coefficients were calculated to assess the reliability of the measuring instrument. Multiple regression analysis was performed to analyze the hypothesized relationships. The results of this study have shown that the dimensions of entrepreneurial orientation (i.e., pro-activeness, innovativeness, and competitive aggressiveness) have a significant positive influence on the success of the business, whereas the dimensions (i.e., autonomy and risk-taking) have no influence. The study has implications for both researchers and small and medium business owners.