Examining the Relationship Between Entrepreneurial Orientation and Organizational Performance: The Moderating Role of Organizational Learning

December 3, 2025

Examining the Relationship Between Entrepreneurial Orientation and Organizational Performance: The Moderating Role of Organizational Learning

Michael James Mapalala | 2017

Abstract

Although literature has highlighted the importance of entrepreneurial orientation (EO) in stimulating the general economic development and performance and survival of individual organizations, research on the degree to which EO is related to organizational performance (OP) suffers from the following problems: (a) it has provided inconsistent results, (b) researchers have generally ignored calls for research that investigates how characteristics internal to the organization moderate this relationship, and (c) there is a general lack of research on how EO affects OP in developing countries. The current study examined the relationship between EO and OP as moderated by organizational learning (OL) with the intention of providing quantified answers to the following two research questions: Does EO positively influence OP? Does OL moderate the relationship between EO and OP? I drew on the resource-based view theory to examine this relationship. I collected survey data from 298 selected Tanzanian organizations from a variety of industries as represented by their senior managers using previously validated instruments. I used a series of moderated hierarchical multiple regression analyses to test the study’s hypotheses. I found no evidence to support the generally held belief that EO is universally beneficial to OP; rather, I found evidence to suggest that the relationship between EO and OP is much more complicated than it is generally assumed, and that under certain circumstances, the five EO dimensions may vary independently, implying that entrepreneurial activity or processes could sometimes lead to desirable results on one performance dimension and undesirable results on a different performance dimension. I found evidence to suggest that different OL dimensions may have different moderating effects on the relationship between the different EO and OP dimensions. I discuss the theoretical and practical implications of this study and recommend areas for future research.

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