Measuring Entrepreneurial Orientation in an Individualized Technology Context (2004)

ABSTRACT An empirical test was performed to determine if an entrepreneurial proclivity exists among executives in small businesses who are users of technology. The theoretical structure was forged using research on entrepreneurial orientation) adjusted for technology and individual contexts. A mail survey was sent to target population of individuals in small businesses who have historically demonstrated proclivity toward entrepreneurship and who are computer users. The empirical results indicated that four of the five dimensions of an individual entrepreneurial orientation in technology context were statistically significant. These four dimensions were manager characteristics of being proactive, innovative, and assertive as well as autonomy in the workplace. Based on these results, conclusions and managerial implications are offered. INTRODUCTION Small business growth and new business ventures have provided fuel for U.S. employment gains in recent years. Estimates indicate that small businesses, typically entrepreneurial efforts, employ more than one-half the American workforce and create two-thirds of net, new jobs in the economy (The State of Small Business: A Report to the President, 2001). Other studies have found that up to 85 percent of fairly recent employment growth within the United States can be linked to entrepreneurial efforts (Morris & Sexton, 1996). It has been concluded in other studies that the greatest portion of all new U.S. jobs result from entrepreneurial companies (Meeks & Linden, 1994). Given the magnitude of these impacts, understanding the entrepreneur is increasingly seen as an important organizational and employment issue, as individuals often purposefully select this orientation (Douglas & Shepherd, 2000). A great deal of contemporary literature in both academic and popular presses now address the subject of entrepreneurship. Topics range from performance and the assessment of firm's entrepreneurship to entrepreneurship in public service environments and the freedoms of being an entrepreneur (Caruana, Ewing, & Ramasehan, 2002). Initial conclusions suggested that little is really known about the individual referred to as an entrepreneur (Cunningham & Lischeron, 1991). This appears true today, as host of studies over the last decade have attempted to understand the individual and the environment in which entrepreneurs operate (Kreiser, Marino, & Weaver, 2002). The scope of interest in entrepreneurs has widened in recent years providing multiple views of what constitutes entrepreneurship (Stearns & Hills, 1996) and the environment in which it occurs (Lumpkin & Dess, 1996). One major view concludes an entrepreneur requires the pursuit of opportunities in conducive, organizational environment (Warshaw, Anderson, Callan, & Carnoy, 1996). Although presented in different contexts, opportunity has subsequently become common, critical factor, particularly as it relates to taking advantage of situation (Gardner, 1994). For example, it is generally expected for entrepreneurs to utilize available resources & tools enhancing their ability to take advantage of situation. As result, the availability of critical tool (e.g., technology) seems to be key issue in allowing an entrepreneurial spirit to prosper within an organization. In fact, technology usage is consistent with the need to have a favorable chance...to reach desired state (Christensen, Madsen, Ohlenschlaeger, & Peterson, 1994, p. 62) as well as foster differential advantage (Kotler, 1980) critical to the entrepreneurial opportunity. In such context, entrepreneurship has to be considered as available in host of situations and individuals and not limited to single application, discipline, environment, or person. Equally, while being an entrepreneur fosters advantages, it does not seem to be universally available to, or desirable of, all employees (Douglas & Shepherd, 2000). …