Abstract

This paper explores effect of business group affiliation on entrepreneurial orientation of the affiliated firms. Building on the argument that organizational and governance structure influence entrepreneurship, we argue that despite some potential advantage that business group affiliation has on a firm through intermediate market filling roles, the entrenchment behavior of business groups discourages entrepreneurial orientation of affiliated firms. Taking a firm-specific contingent perspective we also posit that the level of internationalization of a firm and its performance helps to alleviate- even counter–the negative influence of business group affiliation on the firm’s entrepreneurial orientation. We find support for our predictions in a longitudinal data set of 419 Indian firms for the period from 2006 to 2019. The implications and directions for future research are discussed in the context of business group affiliation in emerging economies.

Details

Title
Business group affiliation and entrepreneurial orientation: Contingent effect of level of internationalization and firm’s performance
Author
Purkayastha, Anish 1   VIAFID ORCID Logo  ; Gupta, Vishal K. 2 

1  The University of Sydney Business School, The University of Sydney, Sydney, Australia (GRID:grid.1013.3) (ISNI:0000 0004 1936 834X) 
2  The University of Alabama, College of Commerce and Business Administration, Tuscaloosa, USA (GRID:grid.411015.0) (ISNI:0000 0001 0727 7545) 
Pages
847-876
Publication year
2023
Publication date
Jun 2023
Publisher
Springer Nature B.V.
ISSN
02174561
e-ISSN
15729958
Source type
Scholarly Journal
Language of publication
English
DOI
https://doi.org/10.1007/s10490-022-09809-w
ProQuest document ID
2802644121
Copyright
© The Author(s) 2022. This work is published under http://creativecommons.org/licenses/by/4.0/ (the “License”). Notwithstanding the ProQuest Terms and Conditions, you may use this content in accordance with the terms of the License.