Entrepreneurial orientation and business performance of small and medium scale enterprises of Western Province in Sri Lanka

The economic growth of developing countries can be sustained by the expansion of private sector, as they are the engine of growth. Many scholars have argued that Entrepreneurial Orientation is one of the salient factors which contribute to the performance of SMEs. However, the recent literature provides contradictory findings about the relationship between Entrepreneurial Orientation and performance. Accordingly this study aimed at investigating the level of Entrepreneurial Orientation (EO) of owner(s)/manager(s) of SMEs and the relationship between EO and business performance of manufacturing SMEs in Western province. This study adopted deductive approach and used both descriptive and inferential statistical tools in analyzing the collected data. Findings revealed that the Entrepreneurial Orientation (EO) among owner/managers of manufacturing SMEs in Western province is at high level. Among the dimensions of EO, innovativeness shows high influence on business performance.

DOI: http://dx.doi.org/10.4038/kjm.v2i2.6550

Kelaniya Journal of Management Vol.2(2) 2013:51-67