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Does Environmental Uncertainty Affect Entrepreneurs’ Orientation and Performance? Empirical Evidence from Indonesian SMEs

Gadjah Mada International Journal of Business (GamaIJB) · Vol. 14 No. 1 (2012) · pp. 1–16

DOI
10.22146/gamaijb.5435
ISSN
2338-7238, 1411-1128
Published
2012-01-01
Publisher
Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada
Language
eng

Abstract

Small and medium enterprises (SMEs) have a critical role in economic growth in Indonesia and become the backbone for job creation, poverty alleviation, and safeguard during the crisis. However, they are highly exposed to uncertain environments. The present study aimed to investigate the influence of SMEs’ entrepreneurial orientation on business performance when uncertain environments exist. A total of 152 Indonesian SMEs were studied in order to assess this relationship. Moderated regression analysis is performed as the main statistical procedures to analyse the moderating role of environmental uncertainty on the influence of entrepreneurial orientation on business performance. Surprisingly, the result of the present study did not confirm the previous predominant studies which found that entrepreneurialorientation dimensions are positively associated with business performance in growing in an uncertain environment. Indonesian entrepreneurs were reluctant to innovate, be proactive, and take risks when an uncertain environment exists. The present study was an endeavour to provide better insight in explaining the inconsistent and ambiguous findings from existing literature.

Keywords

Collaboration network of the authors

2 authors · 1 co-authorship link · 1 across different organisations

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  • Universitas Gadjah Mada
  • University of Agder
  • Different organisations
  • Same organisation
  • Affiliation unknown
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Affiliations come from OpenAlex; journal OAI-PMH metadata carries none. Authors without an OpenAlex ID are matched by name, which can merge or split people.

Metadata source: OAI-PMH (metadata jurnal) https://journal.ugm.ac.id/gamaijb/oai, first harvested 28 Okt 2026, last seen 1 Nov 2026.
Original metadata (oai_dc) 
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	<dc:title xml:lang="en-US">Does Environmental Uncertainty Affect Entrepreneurs’ Orientation and Performance? Empirical Evidence from Indonesian SMEs</dc:title>
	<dc:creator>Herani, Rina</dc:creator>
	<dc:creator>Andersen, Otto</dc:creator>
	<dc:subject xml:lang="en-US">business performance; entrepreneurial orientation; environmental uncertainty</dc:subject>
	<dc:description xml:lang="en-US">Small and medium enterprises (SMEs) have a critical role in economic growth in Indonesia and become the backbone for job creation, poverty alleviation, and safeguard during the crisis. However, they are highly exposed to uncertain environments. The present study aimed to investigate the influence of SMEs’ entrepreneurial orientation on business performance when uncertain environments exist. A total of 152 Indonesian SMEs were studied in order to assess this relationship. Moderated regression analysis is performed as the main statistical procedures to analyse the moderating role of environmental uncertainty on the influence of entrepreneurial orientation on business performance. Surprisingly, the result of the present study did not confirm the previous predominant studies which found that entrepreneurialorientation dimensions are positively associated with business performance in growing in an uncertain environment. Indonesian entrepreneurs were reluctant to innovate, be proactive, and take risks when an uncertain environment exists. The present study was an endeavour to provide better insight in explaining the inconsistent and ambiguous findings from existing literature.</dc:description>
	<dc:publisher xml:lang="en-US">Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada</dc:publisher>
	<dc:date>2012-01-01</dc:date>
	<dc:type>info:eu-repo/semantics/article</dc:type>
	<dc:type>info:eu-repo/semantics/publishedVersion</dc:type>
	<dc:type xml:lang="en-US">Peer-reviewed Article</dc:type>
	<dc:format>application/pdf</dc:format>
	<dc:identifier>https://journal.ugm.ac.id/gamaijb/article/view/5435</dc:identifier>
	<dc:identifier>10.22146/gamaijb.5435</dc:identifier>
	<dc:source xml:lang="en-US">Gadjah Mada International Journal of Business; Vol 14, No 1 (2012): January - April; 1 - 16</dc:source>
	<dc:source>2338-7238</dc:source>
	<dc:source>1411-1128</dc:source>
	<dc:language>eng</dc:language>
	<dc:relation>https://journal.ugm.ac.id/gamaijb/article/view/5435/4415</dc:relation>
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