Scientific Steps Group

Volume 1, Issue 1, pp: 9-17

Research Article

The effect of entrepreneurial orientation on firm’s supply chain performance:

The case of food sector in Jordan

Luay Jum’a1,*

1,* German Jordanian University (GJU), Department of Logistic sciences, Jordan.



* Correspondence Author

Received: 4 July 2023 | Revised: 2 August 2023 | Accepted: 23 August 2023 | Published: 27 August 2023


The objective of this study was to examine the impact of entrepreneurial orientation on the supply chain performance of firms operating within the food sector in Jordan. This study developed a theoretical framework for analyzing three key dimensions of entrepreneurial orientation: proactiveness, innovativeness, and risk-taking. The data collection process in the Jordanian food manufacturing sector involved a quantitative approach. A total of 192 respondents participated in the study, and the collected data was subsequently analyzed using SPSS software. The findings of the study indicate a significant positive impact on supply chain performance from two particular elements related to entrepreneurial orientation: innovativeness and risk-taking. Additionally, the study found that proactiveness had no significant impact on the performance of the supply chain. This study offers decision-makers seeking to establish a unique market position an opportunity to distinguish their supply chain operations by leveraging entrepreneurial orientation. Furthermore, this empirical study provides practical recommendations to organizations on enhancing various aspects related to proactiveness, innovativeness, and risk-taking. Firms with high entrepreneurial orientation excel in supply chain performance as they create customer-focused products, adapt to market changes, and maintain rigorous standards with suppliers and partners. This results in increased productivity, reduced distractions, and faster delivery. Moreover, the present study provides a theoretical contribution by proposing a framework that investigates the influence of three distinct types of entrepreneurial orientation on supply chain performance an area that has received limited attention in previous studies, particularly in the food sector.


Entrepreneurial orientation, Supply chain management, Innovation, Supply chain performance, Jordan

1. Introduction

Numerous developing economies have acknowledged the significance of manufacturing enterprises, which assume a pivotal role in bolstering economic expansion and fostering innovation (Afriyie et al., 2019; Juma & Kilani, 2022). Several academic studies have also identified different characteristics of firms that enable them to enhance their competitive performance (Vaitoonkiat & Charoensukmongkol, 2020; Juma & Kilani, 2022). The existing body of literature primarily centers on organizational factors, including the attributes of entrepreneurs and the capabilities of firms (Fuentelsaz et al., 2018; Jum’a et al., 2023). Additionally, macro-level factors such as government support and the level of competitive intensity have been identified as significant contributors to this research area (Charoensukmongkol, 2016).

According to Vaitoonkiat and Charoensukmongkol (2020), previous studies in the field of entrepreneurship have indicated that entrepreneurial orientation (EO) is a key competency that enables small and medium-sized enterprises (SMEs) to effectively and assertively address intense market competition. EO is a term used to describe the strategic decision-making processes employed by organizations, which serve as a foundation for entrepreneurial actions and choices (Gunawan et al., 2016; Vaitoonkiat & Charoensukmongkol, 2020).

The existing body of literature commonly acknowledges EO as a crucial asset that empowers firms to outperform their competitors in terms of performance. Several studies have presented empirical evidence supporting the positive effects of EO on various dimensions of firm performance, including sales growth, employee growth, and return on investment (Fuentelsaz et al., 2018; Afriyie et al., 2019). While previous research has often highlighted the positive impact of EO on firms’ business performance, there remain significant gaps in our understanding that warrant further investigation. The majority of research in the field of EO has primarily focused on examining the direct impact of EO as a singular construct on business performance. However, only a limited number of studies have explored the specific effects of various components of EO on the performance of manufacturing firms. From a strategic standpoint, it is imperative to comprehend the various types of EO that must be employed in conjunction with EO strategies to enhance the competitive advantage of organizations. Furthermore, it is worth noting that while several studies on EO have been conducted in developed countries (Fairoz et al., 2010; Gunawan et al., 2016), there is a scarcity of research examining the role of EO in firms operating in developing countries within the Middle East and North Africa (MENA) region. To further substantiate the effectiveness of EO in the business context of the MENA region, it is imperative to examine the role of EO in firms from emerging and developed economies, as these entities exhibit significant differences in their business practices (Vaitoonkiat & Charoensukmongkol, 2020). The objective of this study was to investigate the impact of three elements of EO on the performance of food manufacturing firms in Jordan. The food industry in Jordan provides a pertinent context for EO research due to the challenges faced by firms in this sector resulting from the recent downturn in the country’s manufacturing sector (Raouf et al., 2020). The impact of the pandemic has been widespread across various industries, with micro and small businesses experiencing a disproportionately detrimental effect. After the first year of the global pandemic, a significant majority of the surveyed enterprises, specifically 98 percent, acknowledged experiencing adverse effects in various aspects of their operations. According to Raouf et al. (2020), a significant number of enterprises experienced a decline in revenues and encountered financial challenges. Firms are actively seeking strategies to differentiate themselves from competitors through innovation and entrepreneurship, as highlighted by Jum’a et al. (2023). According to Gunawan et al. (2016), the concept of entrepreneurial EO is widely recognized as a significant determinant in the attainment of organizational objectives by firms.

The rest of the paper will be structured as follows. Section 2 offers a background on EO, outlining its key dimensions and the theoretical and empirical evidence regarding the connection between EO and supply chain performance. Section 3 describes the research methods that will be employed to address the research objectives and discusses the data collection tool. Sections 4, 5, and 6 present the research findings, provide a discussion of the results and highlight the implications of this study for both theory and practice. Section 7 summarizes the main findings of the paper and explores potential avenues for future research.

2. Literature review

2.1 Entrepreneurial orientation

EO is commonly acknowledged as a form of entrepreneurship that revolves around identifying and capitalizing on opportunities (Covin & Wales, 2012). The origins of EO can be attributed to upper echelon theory (Hambrick & Mason, 1984), which posits that organizations gradually adopt the characteristics and values of their senior management teams. Undoubtedly, a firm’s business priorities exert a significant influence over critical determinations, including market selection, technology investment, and service level determination (Niemand et al., 2021; Jum’a et al., 2022; Ziyadeh et al., 2023). According to Adel and Younis (2021), individuals in various positions within an organization have the capacity to initiate and execute entrepreneurial actions on behalf of the firm. Therefore, the concept of EO is widely recognized as the amalgamation of the entrepreneurial mindset of senior management and the organizational behaviors that exhibit entrepreneurial characteristics, such as proactivity, innovativeness, and risk-taking, at both the organization and managerial levels (Adel & Younis, 2021).

EO is an organizational-level construct that embodies a proactive mindset prioritizing innovation and a willingness to take risks (Niemand et al., 2021). The consequences of entrepreneurial endeavors are not uniformly favorable and can lead to unfavorable outcomes, including failure and, in severe instances, bankruptcy (Adel & Younis, 2021). To comprehend the circumstances in which EO contributes to firm performance, previous studies on EO have relied on contingency theory, which proposes that the alignment of crucial variables is crucial for achieving elevated levels of firm performance (Saeed et al., 2014).


2.2 Dimensions of EO

The term EO encompasses the various decision-making procedures, practices, and behaviors demonstrated by managers, which contribute to the initiation of new business ventures in emerging or established markets, involving either novel or pre-existing products or services (Rigtering et al., 2017). Miller (1983) has put forth the prevailing understanding of EO, which refers to the long-term direction of a firm’s strategic approach towards innovativeness, proactiveness, and risk-taking (Adel & Younis, 2021).

The concept of innovativeness pertains to a company’s inclination to actively participate in and endorse novel ideas, experimentation, and creative procedures that have the potential to yield fresh products, services, and technological advancements (Wu & Li, 2011; Yosef et al., 2023). Proactiveness is a strategic approach characterized by a proactive and forward-thinking mindset, involving the introduction of novel products and services ahead of competitors, as well as taking action in anticipation of future market demand (Vaitoonkiat & Charoensukmongkol, 2020). Risk-taking can be defined as the act of undertaking bold actions by entering unfamiliar territories, relying heavily on borrowed funds, and allocating substantial resources to endeavors in unpredictable circumstances (Rauch et al., 2009; Yosef et al., 2023).

Since its inception, the concept of EO has emerged as a prominent area of study within the field of entrepreneurship research. Scholars have conducted numerous studies on EO in diverse cultural contexts and industries. These studies have predominantly found a positive association between EO and business performance (Niemand et al., 2021).


2.3 EO and supply chain performance of firms

Previous studies have identified positive correlations between EO and firm performance across various contexts (Fairoz et al., 2010; Gunawan et al., 2016; Vaitoonkiat & Charoensukmongkol, 2020). According to Vaitoonkiat and Charoensukmongkol (2020), existing studies have indicated that EO is regarded as an intangible asset of a company that is cultivated through its internal resources. EO enables a company to actively engage in the exploration and exploitation of new market opportunities. This involves the proactive introduction of innovative products and services to gain a competitive advantage as a first mover. Additionally, EO entails setting ambitious targets and seeking superior returns to outperform competitors. This orientation involves allocating capital resources and empowering employees to independently execute the strategic plan (Park & Xiao, 2020; Baghizadeh et al., 2022). Moreover, the successful development of EO necessitates the acquisition of specific entrepreneurial resources, including the entrepreneurs’ skills, knowledge, experience, and networks (Vaitoonkiat & Charoensukmongkol, 2020). Additionally, the development process of EO is time-consuming, rendering it difficult to imitate or replace (Arunachalam et al., 2018). According to Arzubiaga et al. (2018), the identified contributions of EO align with the attributes of critical resources. This suggests that EO may serve as a distinguishing characteristic of organizations, enabling them to gain a competitive edge and achieve superior performance.

EO encompasses the attributes of creativity, proactivity, and a willingness to take risks when formulating decision-making strategies (Arzubiaga et al., 2018). According to Arunachalam et al. (2018), there exists a positive correlation between the dimensions in EO and their impact on business profitability, whether through direct or indirect influence. EO is not solely focused on financial indicators, but also encompasses more intricate aspects of business performance (Aloulou, 2018; Park & Xiao, 2020). The impact of EO on firms is contingent upon the knowledge mechanism that affects business performance (Gunawan et al., 2016). In its early stages, the concept of entrepreneurship primarily focused on the selection of a specific business venture. The current discourse in the field of entrepreneurship management process is centered on a more contemporary concept (Arunachalam et al., 2018). The literature on strategic management and entrepreneurship commonly identifies three dimensions that form the foundation of organizational inclinations toward the process of entrepreneurial management. These dimensions are typically referred to as innovation, risk-taking, and proactiveness (Vaitoonkiat & Charoensukmongkol, 2020). EO is a strategic approach that places significant emphasis on proactive behaviors towards products and markets, a willingness to undertake ventures with inherent risk, and a propensity to drive innovation and outperform competitors (Rachmawati & Suroso, 2020). Several scholars have sought to elucidate the correlation between EO and organizational performance in the business context. According to Rachmawati and Suroso (2020), businesses with EO have the ability to identify and capitalize on emerging market opportunities. Previous research has employed diverse financial indicators, including cash flow, return on assets, and return on equity, to evaluate the performance of businesses. Several scholarly studies propose that incorporating both financial and non-financial dimensions is necessary for obtaining a more comprehensive assessment of business performance (Saleh et al., 2021; Saleh et al., 2022; Al-Alawneh et al., 2023). Non-financial indicators encompass various factors such as market share perception, perception of growth in sales, the level of customer satisfaction, and loyalty level (Rachmawati & Suroso, 2020; Aloulou, 2018; Park & Xiao, 2020).

Various testing methods have been employed in empirical examinations of the association between EO and business performance. In their study, Cho and Lee (2018) observed a positive correlation between EO and both business profitability and growth. Park and Xiao (2020) conducted a study that revealed that the enhancement of firm performance through the exploration of dynamic capabilities is contingent upon the specific internal and external circumstances of the firms. In the context of developing nations’ firms, it can be observed that EO, while hindered by environmental dynamism enhances the positive impact of exploring dynamic capabilities on performance. According to the findings of Rachmawati and Suroso (2020), a significant correlation exists between EO and business performance. This study aims to address the discrepancy observed in the findings of prior research.

The primary driver of business success lies in the coherency of strategy and the efficiency of operations within the supply chain performance (SCP) (Le et al., 2022; Jum’a, 2023). The strategic dimension pertains to establishing clear roles among various entities within the broader business ecosystem, aiding managers in effectively shaping both organizations. The second dimension, referred to as operations, encompasses evaluating both supplier relationships and the efficacy of internal processes within an organization. To achieve exceptional business performance, it is imperative for firms to possess a comprehensive understanding of their positioning within the ecosystem. The positive influence of a coherent strategy on business performance is associated with establishing a well-balanced array of competitive priorities and the ability to effectively allocate resources to achieve a long-lasting competitive advantage (Hallikas et al., 2021). Implementing a suitable range of activities within an organization appears to result in a decrease in lead times across production, customer orders, and delivery. These reductions have positive effects on customer retention rates, as observed by Jum’a (2023). However, it’s important to note that the benefits derived from enhanced SCP may not always translate into overall business success, especially in situations involving intricate products or relationships, as highlighted by Hallikas et al. in 2021.


Thus, the following hypotheses were developed, as shown in Figure 1:

Hypothesis 1. Proactiveness aspect of EO positively influences SCP.

Hypothesis 2. Innovativeness aspect of EO positively influences SCP.

Hypothesis 3. Risk-taking aspect of EO positively influences SCP.

Figure 1. The study model

3. Methodology

The objective of this study was to investigate the impact of EO on SCP within the food manufacturing industry in Jordan. Data collection was conducted using a structured questionnaire. The research employed a non-random sampling method known as judgmental sampling. A total of 300 questionnaires were distributed, resulting in a final sample of 192 responses. This indicates a response rate of 64%.


3.1 Constructs measurement

Table 1 presents the list of items used in the examination of the constructs of proactiveness, innovativeness, and risk-taking within the context of EO and SCP.

The constructs pertaining to Proactiveness (EO.P), innovativeness (EO.I), and risk-taking (EO.RT) were derived from the study conducted by Adel and Younis (2021), while Hallikas et al. (2021) derived the indicators of SCP from the research. The measurement of all items was conducted using a Likert scale ranging from Strongly Disagree (1) to Strongly Agree (5).

Table 1. Questionnaire measurement items











“Our firm continuously tries to discover additional needs of our customers of which they are unaware”

(Adel & Younis, 2021)

“Our firm consistently looks for new business opportunities”

“Our firm’s marketing efforts try to lead customers, rather than respond to them”

“Our firm incorporates solutions to unarticulated customer needs in our products/services”

“In our firm, we work to find new businesses or markets to target”






“When it comes to problem-solving, our firm values creative new solutions more than conventional ones”

“Our firm highly values new product lines”

“We consider ourselves as an innovative firm”

“Our firm is often the first to market with new products/services”

“Competitors in this market recognise us as leaders in innovation”






“Our firm values new strategies/plans even if it is uncertain that they will always work”

“Our firm encourages staff to take risks with new ideas”

“To make effective changes to our offering, our firm is willing to accept at least a moderate level of risk of losses”

“Our firm engages in acceptable levels of risky investments to stimulate future growth”






“Increase flexibility”

(Hallikas et al. 2021)

“Increase resource efficiency”

“Decrease costs in supply chain”

“Reduce delivery time”

“Increase delivery reliability”

“Increase visibility”

4. Results

4.1 Sample demographics

The demographic information of the participants is displayed in Table 2. The experiences of the respondents were categorized into three groups: 25.5% had less than 5 years of experience, 44.3% had 5-10 years of experience, and 30% had more than 10 years of experience. The survey also encompassed gender distribution, indicating that 90.6% of respondents identified as male, while 9.4% identified as female. The findings reveal that the majority of the respondents (67.1%) held the position of first-line managers, followed by middle-level managers (21.4%) and top-management individuals (11.5%).

Table 2. Sample demographics (N=192)














Years of experience

Less than 5 Years



5-10 Years



More than 10 Years





First-level managers



Middle-level managers



Top-level managers



4.2 Analysis of data

The data analysis was performed using SPSS software. Prior to conducting hypothesis testing, a series of preliminary tests were administered, including assessments for both missing values and errors, to ensure the appropriateness of the data for analysis. Mean and standard deviation values for the variables under investigation in the study are presented in Table 3.

Table 3. Mean and Standard Deviation for the main variables




Std. Dev.

















The results pertaining to four variables, namely EO.P, EO.I, EO.RT, and SCP, are delineated in Table 3. EO.P registers a mean value of 3.74 with a standard deviation of 0.955, whereas EO.I displays a mean value of 3.95 with a standard deviation of 0.977. EO.RT, as the third variable, showcases a mean value of 4.08 and a standard deviation of 0.906. Notably, the variable SCP manifests a mean value of 3.75 and a standard deviation of 0.960.

The variables are ranked in ascending based on their mean values, as follows: EO.P, SCP, EO.I, and EO.RT. The ranking presented in this analysis reflects the comparative scale of the average values for each variable. EO.RT exhibits the highest mean value, suggesting that it possesses the highest average score among the four variables. In contrast, EO.P exhibits the lowest mean value, suggesting that it possesses the lowest average score among the four variables.

The multiple correlation coefficient (R) provides information about the magnitude and direction of the linear association between the EO predictors and SCP, as presented in Table 4.

Table 4. SCP Model Summary



R Square

Adjusted R Square

Std. Error of the Estimate






a. Predictors: (Constant), EO.RT, EO.P, EO.I

The findings of this study indicate that the coefficient of determination, denoted as R, is 0.678. This value suggests the presence of a moderate positive correlation between the three elements of EO and the SCP. In addition, it is worth noting that the R Square value obtained in this study is 0.460. This suggests that the predictor variables included in the model can explain approximately 46% of the variability observed in the SCP variable. Furthermore, the adjusted R square metric serves to account for the number of predictors included in the model and discourages the inclusion of superfluous predictors. The purpose of its utilization is to offer a more dependable estimation of the model’s adequacy in fitting the data. In this particular instance, the Adjusted R Square value is 0.452, indicating a slight decrease compared to the R Square value. This suggests that the model demonstrates a moderate level of explanatory power, even when considering the influence of the number of predictors.

The ANOVA test, as presented in Table 5, serves the purpose of evaluating both the overall statistical significance of the regression model and the individual effects of the predictor variables (EO.RT, EO.P, and EO.I).

Table 5. ANOVA test


Sum of Squares


Mean Square






















a. Dependent Variable: SCP

b. Predictors: (Constant), EO.RT, EO.P, EO.I

This observation suggests that the variable SCP, which is the subject of prediction, is considered the dependent variable in the regression analysis. The term “Constant” denotes the intercept term within the model, while EO.RT, EO.P, and EO.I are the independent variables employed for predicting SCP. Additionally, the F-ratio is subsequently employed to assess the overall significance of the model. The F-ratio is not presented in the provided table. Nevertheless, the p-value linked to the F-test would provide an indication of the statistical significance of the overall model. When the p-value is lower than the selected significance level, typically set at 0.05, it indicates that the model possesses statistical significance in predicting the dependent variable.

The coefficients resulted from a multiple regression analysis with the dependent variable SCP and three predictor variables —EO.P, EO.I, and EO.RT —are presented in Table 6. The t-value quantifies the number of standard errors by which the coefficient estimate deviates from zero. Additionally, the p-value associated with each coefficient is employed to evaluate the statistical significance of the coefficient. When the p-value is lower than the predetermined significance level, typically set at 0.05, it suggests that the coefficient is statistically significant, indicating that it is significantly different from zero and has a substantial impact on the dependent variable.

Table 6. Coefficients test


Unstandardized Coefficients

Standardized Coefficients




Std. Error



























a. Dependent Variable: SCP                                

Hence, the constant term in the model is denoted as 0.653 (B = 0.653), signifying the anticipated value of SCP when all predictor variables assume a value of zero. Furthermore, it is noteworthy that this constant term exerts a statistically significant influence on SCP. The variable EO.P exhibits a coefficient of 0.058 (B = 0.058) and a p-value that is not statistically significant (Sig. = 0.499). These results suggest that EO.P does not exert a statistically significant influence on SCP when controlling for other predictor variables. Additionally, it is observed that the coefficient of EO.I is 0.198 (B = 0.198) with a statistically significant p-value (Sig. = 0.034), indicating that EO.I has a noteworthy positive effect on SCP. The variable EO.RT exhibits the highest coefficient value of 0.512 (B = 0.512) and is accompanied by a statistically significant p-value (Sig. = 0.000), suggesting a significant positive impact of EO.RT on SCP.

The finding that proactiveness does not have a significant impact on supply chain performance is rather unexpected, considering the existing theoretical and empirical literature on the association between EO and performance across various disciplines. Nevertheless, it is possible to propose a potential rationale for this finding. There is a possibility that the relationship between proactiveness and supply chain performance to be influenced by additional factors, such as the specific industry within which the firm operates or the degree of competition present in the market. Further research is required to delve deeper into this matter and ascertain the variables that influence the correlation between proactiveness and supply chain performance. Based on the established study model, H1 is not supported, whereas H2 and H3 are supported.

5. Discussions

The research findings hold significant implications for firms operating in the food manufacturing sector in Jordan. The impact of EO on the SCP of a firm is a significant subject of investigation within the field of business and management. EO is a strategic orientation exhibited by organizations that emphasize innovation, proactiveness, and risk-taking. In contrast, SCP encompasses a range of indicators, including efficiency, responsiveness, flexibility, and the overall effectiveness of the supply chain in meeting customer demands and attaining business objectives.

Numerous scholarly investigations have examined the association between EO and SCP, with the results indicating a robust and statistically significant positive correlation between these two constructs. Based on the findings of the study, it can be concluded that EO.P does not exert a statistically significant influence on SCP. It is imperative for Jordanian firms with an EO to exhibit greater proactivity in the identification of market opportunities and demonstrate agility in responding promptly to emerging trends. The company demonstrates proactive behavior in its supply chain management by actively pursuing strategies to improve efficiency, minimize lead times, and optimize inventory levels, thereby enhancing the overall responsiveness of their supply chain.

Based on the findings of the study, it can be concluded that both EO.I and EO.RT exert a significant influence on SCP. Hence, it can be observed that Jordanian enterprises prioritize the incorporation of innovation and flexibility within their supply chain strategies. This enables organizations to promptly adjust to fluctuating market conditions and customer requirements, resulting in enhanced responsiveness of the supply chain and overall operational effectiveness. Furthermore, it is observed that firms in Jordan with a strong focus on entrepreneurship exhibit a greater propensity to engage in calculated risk-taking within their operational activities, particularly in the context of supply chain collaborations. The establishment of partnerships and alliances with suppliers and logistics providers has the potential to result in improved coordination within the supply chain and more favorable performance outcomes.

The practical ramifications arising from the association between EO and supply chain performance suggest that organizations should prioritize the cultivation of an EO mindset among their workforce. This can be achieved through fostering a culture that promotes innovation, embracing calculated risks, cultivating a proactive mindset, and fostering a sense of healthy competition within the organizational setting. It is imperative for firms to create a corporate environment that fosters collaboration and cooperation among their employees, as well as among their suppliers and partners. This measure will contribute to aligning individuals’ efforts towards common objectives and optimizing supply chain operations.

6. Theoretical and practical contributions

EO refers to a collection of attitudes, traits, and decision-making mechanisms that empower organizations to capitalize on opportunities and generate novel value. Supply chain performance refers to the evaluation of a company’s ability to effectively manage its network of suppliers, distributors, and other collaborative partners in order to efficiently provide products and services to its customers. The main theoretical contribution of this study is its elucidation of the correlation between EO and supply chain performance. EO is a highly advantageous resource for companies seeking to enhance their supply chain efficiency. Organizations that possess the capacity to cultivate an environment characterized by innovation, risk tolerance, proactivity, and competitiveness are more inclined to achieve success within the contemporary and fiercely competitive business landscape. This study offers a theoretical framework for examining the impact of EO on supply chain performance, focusing on three key factors within organizations. 

Additionally, it has been observed that there exists a favorable correlation between EO and the performance of the supply chain. Organizations characterized by a high EO exhibit a greater propensity for innovation, risk-taking, and proactivity. These aforementioned attributes have the potential to enhance supply chain performance through several means. Firstly, it is more probable that innovative enterprises will engage in the development of novel products and services that effectively cater to the demands and requirements of clients. This phenomenon has the potential to result in heightened levels of sales and profitability. Furthermore, organizations that engage in risk-taking are inclined to embrace novel challenges and seize emerging opportunities. This phenomenon has the potential to result in the emergence of novel markets, the establishment of fresh alliances, and the acquisition of additional streams of revenue. Moreover, organizations that exhibit proactive behavior are inclined to anticipate market shifts and subsequently adapt their supply chain strategies. This can assist individuals in mitigating interruptions and enhancing productivity. Furthermore, it can be argued that competitive organizations are more inclined to place a greater emphasis on demanding high standards from their suppliers and partners. This phenomenon has the potential to result in enhanced product and service quality, reduced expenses, and expedited delivery durations.

7. Conclusions

The present study aimed to examine the impact of EO on SCP within the context of food manufacturing firms operating in Jordan. EO comprises three key factors: proactiveness, innovativeness, and risk-taking. The findings of the study indicate that two environmental uncertainty factors and strategic approaches have a significant impact on the sustainable competitive performance of Jordanian companies. The innovative and risk-taking characteristics of EO have been found to have a substantial and favorable influence on SCP. Particularly, the risk-taking elements of EO have the most significant influence on SCP. Hence, it is advisable for firms to prioritize the adoption of novel strategies and plans, even in situations where their efficacy remains uncertain. Furthermore, it is imperative for organizations to foster a culture that promotes and incentivizes employees to embrace innovative ideas and implement impactful modifications to the firm’s offerings. Additionally, it is imperative for firms to demonstrate a willingness to assume a moderate level of risk in order to engage in acceptable levels of risky investments. Ultimately, the lack of statistical significance between proactiveness and SCP suggests that further efforts are required to improve the EO of Jordanian firms.

One of the limitations inherent in this study pertains to the utilization of judgemental sampling as a method for data collection, potentially compromising the generalizability of the findings to other industries. Furthermore, increasing the sample size has the potential to augment the findings of the study within the domain of food manufacturing.

Subsequent investigations may consider incorporating additional variables as moderators or mediators. The replication of this study in various manufacturing sectors or different countries can serve as a means to validate the relationships identified within the study’s model. It is recommended that future research be conducted to carry out longitudinal studies in order to uncover the underlying relationship between EO constructs and strategic corporate performance.


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Cite:  Jum’a, L. (2023). The effect of entrepreneurial orientation on firm’s supply chain performance: The case of food sector in Jordan. STEPS in BUSINESS EXCELLENCE, 1(1), 9–17.


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