The Table 5 presents the results of the hypotheses in this study. The R2 value was 0.283, suggesting that 28.3% of the variance in the firm performance can be explained by the CE dimensions, which are the innovativeness, proactiveness, risk taking, and corporate venturing. The innovativeness (Hypothesis 1), proactiveness (Hypothesis 2), and corporate venturing (Hypothesis 4) were positively related to firm performance. Only risk taking dimension (Hypothesis 3) was not positively related with firm performance. It can be seen in Table 5 that innovativeness (в = 0.304, p < 0.01) was the most significant predictor of firm performance followed by proactiveness (в = 0.258, p < 0.01) and corporate venturing (в = 0.119, p < 0.1).
The aim of this study is to investigate the relationship between CE dimensions and firm performance among large firms in Malaysia. Consistent with the previous research findings, this study also revealed that the CE practices in large firms have significant effect on firm performance. Large firms especially the public-listed companies are important for economic development. Therefore, an examination of their performance is a worthwhile scholarly endeavour. The three dimensions namely innovativeness, proactiveness, and corporate venturing were found to have increased the performance of the firms. This finding supported previous researches that described CE as a useful tool to achieve superior performance. The results of this study also supported that innovation is the core of entrepreneurship and has the greatest impact on firm performance. Other than that, first mover approach or proactiveness behaviour is proven to have a positive effect on firm performance. Next, this study also found that by doing an acquisition, entering new industries, and launching new venture, these will eventually increase performance of large firms. On the other hand, contradictory to the findings in the previous research, risk taking behaviour was found to have no positive effect on firm performance.The results of this study have important research implications. Much of the previous research on entrepreneurship in Malaysia has utilized Small Medium Enterprises (SMEs) as a sample and focused on one particular sector, while in this study, it is focused on the large firm from various sectors. It is clear that the corporate entrepreneurship dimensions such as innovativeness, proactiveness, and corporate venturing exhibit positive impact on large firm performance. Therefore, in order to achieve superior performance the management team of large firms should practice and put a greater focus on innovativeness, practice proactive behaviour, and venture into new or existing industries.
Looking into the positive effect of the corporate entrepreneurship on firm performance, the future research should do more research on corporate entrepreneurship in the large firm settings. This is to seek and better clarify of the relationship between corporate entrepreneurship and firm performance. Future research should consider adding other dimensions such as strategic renewal and others. Other than that, the researchers need to account for the moderating impact of environmental characteristics when searching for the determinants of firm performance. The findings of this study can be generalised to some extent, despite the limitation of the sample size. payday loans direct lender
Table 5: Hypotheses and Results
|H1||Innovativeness -> Performance||0.304||3.800***||Yes|
|H2||Proactiveness -> Performance||0.258||2.831***||Yes|
|H3||Risk Taking -> Performance||0.035||0.431||No|
|H4||Corporate Venturing -> Performance||0.119||1.492*||Yes|