The Role of Entrepreneurial Orientation on the Firm Performance Through Strategic Flexibility ; A Conceptual Approach

Abstract

In the dynamic environment, organization should always have and develop a greater competitive advantage against its competitors. To cope with the ever changing environment, a firms need to increase Entrepreneurial Orientation (EO) conducted flexibly to improve firm performance. This article attemps to develop a conseption of the relationship between EO to firm performance by mediationg variable strategic flexibility. Although some previous studies have shown that EO is directly related to firm performance, but other studies indicate that the significance of the relationship between variables must be mediated by other variables. The argument developed in this article is relatively still very few studies that use strategic flexibility as a mediating variables of the relationship between EO to firm performance. Thus, the purpose of this article is to explain the relationship between EO to firm performance through strategic flexibility as a mediating variable.

Keyword: Entrepreneurial Orientation, Strategic Flexibility, Firm Performance