Role of proactive behavior in entrepreneurial alertness: A mediating role of dynamic capabilities

Abstract

The role of entrepreneurial alertness has been increasing to cope with the current fiercely competitive market. Entrepreneurial alertness enables companies to benefit from unseized opportunities and gain a competitive advantage. Therefore, the study explores the role of proactive behavior in enhancing the entrepreneurial alertness of organizations through the mediating role of dynamic capabilities. The study focuses on the Iraqi telecommunication market because of the intense competition between three major telecom companies. Data were collected through a 5-point Likert-scale questionnaire distributed among employees of mobile telecommunications companies in Iraq. The sample aimed to cover different levels in the business hierarchy with a particular focus on the leading positions. Therefore, it included 299 members of boards of directors, branch managers, department heads, and chief supervisors (middle managers). Structural equation modeling (SEM) was used to analyze the responses. Results revealed the positive effect of adopting proactive behavior (e.g., problem prevention, innovation, and holding responsibilities) on entrepreneurial alertness (e.g., scanning, searching for, and evaluating opportunities). The results also approved the mediating role of dynamic capabilities in enhancing the relationship between proactive behavior and entrepreneurial alertness. Therefore, Iraqi governmental telecommunication enterprises are recommended to benefit from the dynamic capabilities of employees (e.g., sensing, learning, integrating, and coordinating capabilities) to maximize the positive influence of proactive behavior on entrepreneurial alertness and, accordingly, improve the prediction of production risks and threats.

Keywords

• dynamic capabilities
• entrepreneurial alertness
• proactive behavior
• structural equation modeling
• telecommunications sector