Corporate entrepreneurship and business performance: The moderating role of organizational culture in selected banks in Pakistan

Abstract

Purpose – The purpose of this paper is to investigate the relationship between corporate entrepreneurship (CE), organizational culture (OC) and business performance (BP). Additionally, the study has attempted to address the moderating influence of OC on CE–BP relationship. Design/methodology/approach – Data were collected from middle managers of Big Five banks of Pakistan. A two-step approach to structural equation modeling was used. Using confirmatory factor analysis, the measurement model fit was determined. The significance of the theoretical relationship was assessed using structural model. Findings – The results have supported the hypothesized direct and moderated relationship. Originality/value – The present study extends the body of knowledge in testing the resource-based view of the firm theory and contingency theory through providing empirical evidence on the hypothesized relationships. Additionally, the study has contributed in the existing theory through evaluating the moderating of OC by using interaction effect in partial least squares structural equation modeling (PLS-SEM).

Keywords

• Organizational culture
• Entrepreneurship
• Contingency theory
• Structural equation modeling
• Business performance
• Corporate entrepreneurship