Strategic Reactiveness And Entrepreneurial Management : The Role Of Structure-Style Fit

Izaidin, Abdul Majid and Othman, Aman and Nor Azah, Abdul Aziz and Kamariah , Ismail (2011) Strategic Reactiveness And Entrepreneurial Management : The Role Of Structure-Style Fit. Project Report. UTeM, Melaka, Malaysia. (Submitted)

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Abstract

It bas been widely agreed that entrepreneurship leads to the success of firms. Small and Medium-sized Enterprises (SMEs) have been given high priority in Malaysia and have been identified as one of the engines of the economic growth to drive Malaysia toward the New Economic Model ( NEM) transformation. This study highlights the implementation of Strategic Reactiveness (SR) and Entrepreneurial Management (EM) tendencies of S11Es sector within the states ofMalacca and Johor in Malaysia. This study considers that strategyrelated variables are competitively aggressive and adaptive. Strategic reactiveness allows organizations to anticipate changes and create strategic options for those changes. This study applies the Stevenson's six dimensional construct of EM, where the framework consists of Strategic Orientation (SO), Resources Orientation (RO), Management Structure (MS), Reward Philosophy (RP), Growth Orientation (GO) and Entrepreneurial Culture (EC). On the other hand, the Strategic Reactiveness dimensional construct consists of Strategic Formulation, Technocratic Decision Making and fmally Structural Organicity. Specifically, this study is geared to answer the following research questions: "Is Strategic Reactiveness positive relationship with entrepreneurship inclination based on Entrepreneurial Management measure? Among the three elements of Strategic Reactiveness used in this study, namely Strategic Formulation, Technocratic Decision Making and Structural Organicity, which is the best predictor of ·firm entrepreneurship inclination?" The result reveals that Strategic Reactiveness has significant and positive relationship with Entrepreneurial Management tendencies. The result indicates that among the three dimensions of SR approach; only Structural Organicity is the best predictors for entrepreneurship inclination.

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