The Intervening Effect of Market Orientation on Entrepreneurial Orientation, Operations Strategy and Business Performance Febriana Wurjaningrum (a*), Bintari Hartami (a)
(a) Department of Management, Faculty of Economics and Business, Universitas Airlangga, Surabaya,
febriana.w[at]feb.unair.ac.id.
Abstract
The small and medium enterprises (SMEs) are an important part to the economy of a country or region, therefore, its presence needs to get attention from the government and the business itself. There have been many studies conducted by experts using the variety of variables that influence the development of SMEs. Based on previous researches, this study examined the influence of entrepreneurial orientation, operations strategy, and market orientation to business performance
The objective of this study was to examine the influence of entrepreneurial orientation and operations strategy towards business performance through intermediaries which market orientation as an intervening variable or not. This study used a quantitative approach which focused on proving the hypothesis and generating some conclusions.
The sample required thirty owners of the SMEs of pottery / ceramics in Kasongan Yogyakarta from the existing population with a minimum provision have been in operation for three years. The result was to provide evidence about the hypothesis that the entrepreneurial orientation and operations strategy significantly influenced business performance. The direct effect of the two independent variables of business performance was greater than if there was market orientation as the intervening variable.
Keywords: small and medium business enterprises, entrepreneurial orientation, operations strategy, market orientation, business performance
Topic: Strategic Management, Entrepreneurship and Contemporary Issues
