Does the firm size matter on firm entrepreneurship and performance? US apparel import intermediary case
Journal of Small Business and Enterprise Development
ISSN: 1462-6004
Article publication date: 20 February 2009
Abstract
Purpose
The purpose of this paper is to investigate whether the relationship between firm entrepreneurship and performance is dependent on firm size within a small and medium‐size enterprise (SME) population, using non‐manufacturing, industry‐specific empirical data.
Design/methodology/approach
Survey methodology was employed, using a national sample of US apparel import intermediary (AII) SMEs. Regression analysis was performed to determine the type of the moderator variable, firm size, and to test statistical significance of the firm size effect on the relationship between firm entrepreneurship and performance measures.
Findings
The paper's results suggested that the firm size effect was present on the relationship between firm entrepreneurship and SMEs' longevity performance; however, there was no statistical significance of the firm size effect on the relationship between firm entrepreneurship and SMEs' creative contribution or profitability performance.
Research limitations/implications
Although the study results were based on randomly selected nation‐wide surveys, the findings should be viewed as industry‐ and time‐specific; generalization to a larger population, or to other firms, must be undertaken with caution.
Practical implications
These findings help to recognize and understand the heterogeneity of the relationship between firm entrepreneurship and performance even within a population of SMEs. Therefore, the results suggest that AII SME managers should put different emphasis on firm entrepreneurship, depending on specific goals and the firm size.
Originality/value
The paper shows that different approaches to SME entrepreneurship research are needed to recognize diversity within an SME population. The study also supports the view that performance measures are not necessarily correlated; thus justification of selection is critical.
Keywords
Citation
Ha‐Brookshire, J.E. (2009), "Does the firm size matter on firm entrepreneurship and performance? US apparel import intermediary case", Journal of Small Business and Enterprise Development, Vol. 16 No. 1, pp. 132-146. https://doi.org/10.1108/14626000910932926
Publisher
:Emerald Group Publishing Limited
Copyright © 2009, Emerald Group Publishing Limited