THE EFFECT OF ENTREPRENEURIAL ORIENTATION TOWARDS ORGANIZATIONAL PERFORMANCE OF E-BUSINESS IN MALAYSIA

Abstract

This paper aims to investigate the effect of entrepreneurial orientation and organizational performance of e-business in Malaysia. Although entrepreneurial orientation and organizational performance are primarily studied in business organizations, these issues are still important for e-business. However, few attempts have been made to investigate the relationship between entrepreneurial orientation and organizational performance, particularly in the context of Malaysian e-business. The present study fills the research gap by examining the effects of entrepreneurial orientation towards organizational performance of owner/founder in Malaysian e-business. A quantitative approach via self-administered questionnaire was adopted. In all, 400 copies of the questionnaire were distributed to owner/founder of e-business in Malaysia, and 381 usable copies were subsequently collected, suggesting that non-response bias was not a major issue. Structural equation modelling using partial least squares (PLS-SEM) was performed to test the hypotheses. The findings indicated that entrepreneurial orientation has positively affect organizational performance. The current findings prove that a better decision making, method, and practices able to achieve better performance. Therefore, the organizations are advised to make sure to implement a good entrepreneurial orientation in order to benefit the customers and the organization. The findings of this paper have implication for academics and practitioners.