How long-term orientation affects corporate entrepreneurship: The role of entrepreneurs' prior experience

Abstract

AbstractDespite the prevalence of corporate entrepreneurship, our understanding of its temporal horizon remains undeveloped. This study fills this gap by using stewardship theory to elaborate on how an entrepreneur's prior experience moderates the association between a firm's long-term orientation and corporate entrepreneurship. Using data based on a large-scale survey of private small and medium-sized firms in China, we find that long-term orientation plays a positive role in the corporate entrepreneurship of small and medium-sized firms. The evidence shows that the link between long-term orientation and corporate entrepreneurship is enhanced within firms where entrepreneurs have prior experience in the government or the military. However, the strength of this link is weakened within firms where entrepreneurs have overseas experience. This study contributes a fine-grained understanding of the temporal horizon and stewardship tendency that firms integrate when implementing entrepreneurial activities.