Performance and its Link to Entrepreneurial Behavior

Problem statement: This study investigates the effects of Entrepreneurial Orientation (EO) on firm performance. In recent times, especially with the growth of globalization and other such factors, the performance measurement standards and parameters have changed. This has also led to a significant change in the factors that are now used within the operational sphere of an organization in order to affect the firm performance. Approach: The literature review illustrates the relationship between EO and firm performance. Results: Firms with high levels of EO tend to enhance firms’ abilities find new opportunities and increase their competitive advantage. Conclusion: Although research has shown a fairly consistent positive relationship between EO and firm performance, there has been limited research on the mechanisms that might moderate the influence of EO on firm performance.