A Multilevel Examination of Entrepreneurial Orientation and Corporate Entrepreneurship: the Joint Impact of Unit-Level Social Capital and Firm-Level Transformational Leadership
Abstract
We examine the relationship between unit-level entrepreneurial orientation (EO) and unit-level corporate entrepreneurship (CE), which has been typically neglected in entrepreneurship research. Building on the conservation of resource theory (COR), we argue that the relationship between unit-level EO and unit-level CE will be stronger when unit-level social capital is higher. Further, we posit that unit-level social capital becomes more effective when firm-level leaders are viewed as less (and not more) transformational by unit members. Data were collected from 186 managers, 372 employees, and 62 senior managers from 93 units of 31 firms. We find that unit-level EO is positively related to unit-level CE and this relationship strengthens when unit-level social capital is high. This moderating effect of social capital is itself moderated by firm-level transformational leadership, and strengthens as firm-level transformational leadership behaviors decrease (supporting “dark side” views of transformational leadership). Implications of our findings for organizational entrepreneurship research and practice are discussed.
Funding statement: This work was supported by the Ministry of Science and Technology, Taiwan [grant number 10.13039/501100004663 (102-2628-H-011-001-SS3)].
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Articles in the same Issue
- Risk Tolerance, Legitimacy, and Perspective: Navigating Biases in Social Enterprise Evaluations
- A Multilevel Examination of Entrepreneurial Orientation and Corporate Entrepreneurship: the Joint Impact of Unit-Level Social Capital and Firm-Level Transformational Leadership
- How do Institutions Inspire Ambitions? Differentiating Institutional Effects on Entrepreneurial Growth Intentions: Evidence from China
- Moderating Effect of Environmental Dynamism on the Relationship between a Firm’s Entrepreneurial Orientation and Financial Performance
- The Determinants of Entrepreneurship at the Country Level: A Panel Data Approach
Articles in the same Issue
- Risk Tolerance, Legitimacy, and Perspective: Navigating Biases in Social Enterprise Evaluations
- A Multilevel Examination of Entrepreneurial Orientation and Corporate Entrepreneurship: the Joint Impact of Unit-Level Social Capital and Firm-Level Transformational Leadership
- How do Institutions Inspire Ambitions? Differentiating Institutional Effects on Entrepreneurial Growth Intentions: Evidence from China
- Moderating Effect of Environmental Dynamism on the Relationship between a Firm’s Entrepreneurial Orientation and Financial Performance
- The Determinants of Entrepreneurship at the Country Level: A Panel Data Approach