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The multi-level effects of corporate entrepreneurial orientation on business unit radical innovation and financial performance

journal contribution
posted on 18.03.2020, 11:37 by Mathew HughesMathew Hughes, Yi-Ying Chang, Ian HodgkinsonIan Hodgkinson, Paul Hughes, Che-Yuan Chang
Corporate enterprises must support its business units to adapt to changes that are increasingly dramatic and complex. In response, corporate entities must organize to embed a corporate entrepreneurial orientation (EO) that pervades the actions of its business units to create the radical innovations needed to thrive in these circumstances. By developing a global willingness–local ability framework, we test a multi-level model of corporate EO by conceptualizing its effects on business unit radical innovation and business unit financial performance, moderated by business unit R&D resourcing and business unit absorptive capacity. With data from 2820 business units of 1290 Taiwanese corporations from two separate surveys, we find support for our theoretical expectations and contribute much-needed knowledge of the multi-level effects of EO and the conditions to turn EO into actual innovation activity and profit from it.

Funding

Ministry of Science and Technology of Taiwan, grant number MOST102-2628-H-011-001-SS3

History

School

  • Business and Economics

Department

  • Business

Published in

Long Range Planning

Volume

54

Issue

1

Publisher

Elsevier

Version

AM (Accepted Manuscript)

Rights holder

© Elsevier Ltd

Publisher statement

This paper was accepted for publication in the journal Long Range Planning and the definitive published version is available at https://doi.org/10.1016/j.lrp.2020.101989.

Acceptance date

17/03/2020

Publication date

2020-03-20

Copyright date

2020

ISSN

0024-6301

Language

en

Depositor

Prof Mat Hughes. Deposit date: 17 March 2020

Article number

101989