The Interrelationship Between Environmental Hostility And Entrepreneurial Orientation

Abstract

The main purpose of this paper is to present an empirical analysis of the interrelationship between the propensity of a firm to adopt an entrepreneurial orientation and its perceived degree of environmental hostility. The present study provides support for a minority view in the literature which argues that there is an inverse relationship between the degree of perceived environmental hostility and the likelihood that the firm will adopt an entrepreneurial orientation. This is a conclusion not supported by those who argue on logical grounds that adoption of an entrepreneurial orientation is a viable solution to the problem of U.S. firms lack of global competitiveness.