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- W53291246 abstract "ABSTRACT It is widely accepted that performance impacts subsequent strategic action. However, how managers evaluate a business' performance is not well understood. Managers are thought to evaluate their organization's performance by comparison to various referents. Given the differences between entrepreneurial businesses and established small businesses, it is likely that different performance referents are used. Hypotheses that predict which referents entrepreneurial firms and established small businesses use are developed and tested. Results indicate that managers of entrepreneurial firms place more importance on comparing their firms' performance to organizational goals, and the performance of firms managed by acquaintances than do established small businesses. INTRODUCTION The relationship between strategic action and performance is a cornerstone of small business research. Although action and performance generally are considered to be reciprocally related (Milliken & Lant, 1991), most research attention has focused on the influence of strategic action on subsequent performance (e.g., Litz & Stewart, 2000; McGee & Peterson, 2000; Miles, Preece, B McGrath & MacMillan, 1992). EFs and ESBs operate in different environments (Hudson & McArthur, 1994), and, thus, have different objectives (Dodge & Robbins, 1992), internal processes (e.g., strategic planning, Matthews and Scott, 1995) and different contracting strategies (Hudson & McArthur, 1994). Given these distinctions between EFs and ESBs, it is likely that they would not find the same performance referents equally relevant. Accordingly, this study explores one research question: (1) are there differences in the performance referents used by EFs and ESBs? BACKGROUND AND THEORETICAL DEVELOPMENT Entrepreneurship research long has held that entrepreneurs are different than the owners and managers of established firms (Carland et al. …" @default.
- W53291246 created "2016-06-24" @default.
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- W53291246 date "2003-03-01" @default.
- W53291246 modified "2023-09-23" @default.
- W53291246 title "Evaluating Performance: Referents in Entrepreneurial and Small Businesses" @default.
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