Delineating entrepreneurial orientation efficacy on retailer’s business performance

Abstract

PurposeIn today’s technology-led volatile business environment all established businesses are trembling and retailing is no exception. Exploration of the entrepreneurial side of retailers will expose the essential attitudes to survive in the new world order. The present study is an endeavor towards this end.Design/methodology/approachIn this descriptive research, a pre-tested entrepreneurial orientation questionnaire constructed by De Nobrega (2012) was adopted, and it was fine-tuned to suit for the retail environment. Initially, an exploratory study was organized, and it was followed by confirmatory factor analysis. Data collected were analyzed with SPSS 23.0, and the conceptual model was validated in AMOS 23.0.FindingsThe study evinces that the retailer’s entrepreneurial orientation is induced by five factors, namely, autonomy, risk-taking, innovation, competitive aggressiveness and pro-activeness. The study exposes the five dimensions and their ascendancy on business performance.Research limitations/implicationsThe study is operationalized in a small sample, confined to two types of trade, limited to small and medium retailers in Chennai and all the constructs are measured with the help of perceptual self-reporting scales.Practical implicationsThe study highlights that the art of spearheading retail business performance lies in attitude orientation. This work will propel retailers and trade bodies to nurture the entrepreneurial orientation.Social implicationsThe study emphasizes that boosting entrepreneurial mindset of retailers will enable them to achieve business progress and protects the grass root sector of the society.Originality/valueThis work is the very first study to identify and evaluate the impact of five-dimensional entrepreneurial orientation construct on small and medium retailer’s business performance. The present study is a pioneering empirical contribution to the Indian context.