Effect of Entrepreneurial Orientation in Shaping Strategic Management Practices in SMEs
Keywords:
Entrepreneurial orientation, strategic management practices, SMEs.Abstract
Aim: This study aims to examine the effect of entrepreneurial orientation on shaping strategic management in SMEs.
Methods: This study employed a descriptive research design. The study targeted the top management of the mid-size SMEs in Lagos, Nigeria. A sample size of 278 managers was selected through stratified random sampling. Primary data was collected by use of semi-structured questionnaires. Data was analyzed using SPSS version 26 and included descriptive and inferential analysis.
Results: The findings indicate that a strong entrepreneurial orientation positively influences strategic management practices in SMEs. The studies highlight that EO promotes innovation, risk-taking, and proactive behaviour, which in turn shapes strategic management practices, leading to improved organizational performance.
Conclusion: It was concluded that entrepreneurial orientation plays a vital role in shaping strategic management practices in SMEs. By fostering a culture of innovation, risk-taking, and proactivity, SMEs with a strong entrepreneurial orientation can effectively implement strategic management practices that enhance organizational performance.
Recommendation: SMEs should cultivate an entrepreneurial orientation by encouraging innovation, risk-taking, and proactive behaviour among employees. This will help shape strategic management practices that drive organizational performance and success.
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