Entrepreneur’s Personality Traits and Firm Performance of Malaysian Smes: Mediated by Market Orientation

Abstract

Purpose: This study aims to recognize crucial factors related with entrepreneurs, based on the Malaysian SMEs. The study also explores the factors affecting entrepreneurs and their success. Understanding their crucial success factors and challenges can help us better understand entrepreneurs' personality traits and strategic orientation needed by them. Theoretical framework: This study indicates the remaining ideas, particularly those related to resource acquisition, entrepreneurship strategy, and organization, may be helpful in analyzing how, why, and when opportunities are taken advantage of. This study demonstrates that strategic decisions act as a mediator in the relationships between resource endowments and company performance. Design/methodology/approach: Data from SME’s owners and senior managers Malaysian businesses were gathered through a countrywide survey. The Malaysian Statistical Department's database provided the sample frame from which SMEs' population was counted. These SMEs were chosen at random; they worked in the manufacturing sector. The final group of SMEs to which the surveys were sent out consisted of 800 people, and 412 of them responded, or 64% of the total number. A 7-point Likert scale was used to create the questionnaire. Finding: The study has discovered that relationship of need for cognition (NFC) and firm performance (FP) are partially mediated by market orientation (MO). Meaning, MO is partially mediated in the decision of NFC towards FP. It is strongly suggested that business owners who have NFC may have carefully considered the advantages of MO before deciding to implement MO as their strategic orientations. In actuality, the organization favors and emphasizes tasks that require developing original solutions to challenges. Additionally, they excel at solving complicated issues. Research, Practical & Social Implication: The study contributes to a better understanding entrepreneurs crucial success factors and challenges can help us better understand entrepreneurs' personality traits and strategic orientation needed by them. Originality/value: This finding might serve as a guide for how strategic orientations should be implemented in any organization. The choice of a suitable orientation within the business is essential in a collectivist society like Malaysia since the employer-employee connection is viewed as a "family link" where it is crucial that there be confidence between the two parties and encourages both sides to take initiative at work.