Entrepreneurial Culture as Threat to SMEs’ Entrepreneurial Orientation-Success Relationship in Developing Countries – The Case of Private Healthcare Sector in Macedonia

Abstract

Businesses face multiple challenges throughout their early years of performance. Entrepreneurial culture plays a significant role in the environmental ecosystem of the businesses in developing countries. Internally, having entrepreneurial orientation strategy at their business focus certainly improves SMEs’ position by initiating courage for exploring new opportunities and taking risk, initiate innovation, act proactively on the market and to set autonomy and competitive aggressiveness as standards in their operations. The study has proposed six theoretical propositions for entrepreneurial orientation-SMEs’ success relationship under the influence of the entrepreneurial culture. The six propositions derived from this context have been elaborated by applying a multiple-case research strategy. Participant companies have been part of the private healthcare sector in Macedonia. Interviews with the founders have been conducted to examine their personal views on the entrepreneurial culture in the country, as well as to practically test the propositions on their real business experience and current performance. Study results have indicated relatively low threat from the entrepreneurial culture to the entrepreneurial orientation dimensions and the businesses success correspondingly. Overall, the study has provided vital context-specific results that might guide managers in building strategies and plans that better suit local conditions and avoid adverse consequences.