The impact of entrepreneurial orientation on the financial performance of a South African engineering firm.
Date
2017
Authors
Mahlangu, Joseph Tebogo
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Abstract
The purpose of this research was to assess the impact of the dimensions of
entrepreneurial orientation on the financial performance of a South African
engineering firm.
A literature study was conducted in the field of corporate entrepreneurship. The
term ‘entrepreneurial orientation’ consisting of three constructs; namely
innovativeness, proactiveness and risk-taking was defined. Financial controls used
to measure performance of the company are sales growth, return on investment,
return of equity, return on assets and gross profit. The results obtained from the
questionnaire, in conjunction with the literature review, were used to draw up the
conclusion and make recommendations.
A questionnaire was administered to employees in a company called ABC Electrical
that was perceived as a market leader in the electrical construction industry in South
Africa.
The study concluded that there is a significant relationship between entrepreneurial
orientation and selected financial performance variables. The findings support that
entrepreneurial orientation is an integral component for business performance in
attaining sustainable competitive advantage and achieving success.
Description
MBA Thesis
Keywords
Entrepreneurship -- South Africa,Business enterprises -- South Africa -- Finance,Strategic planning -- South Africa.