UNDERSTANDING ENTREPRENEURSHIP: RELATIONSHIP THAT EXIST BETWEEN BUSINESS PERFORMANCE AND ENTREPRENEURIAL ORIENTATION AN ANALYSIS

The main objective of this paper is to offer a review of the literature related to the developments in the theory of entrepreneurship and the emergence of the EO or Entrepreneurial Orientation Construct. The paper also depicts and explores the relationship that exists between the performance of the business and orientation of the entrepreneur. In all there are three models that are identified as the lines of research on the Entrepreneurial Orientation. These include the EO strategy model, the construct model and the performance model. The purpose of this paper is also to review the full range of publications showcasing the methodology, alternative approach and findings so as to study the performance model. As per the paper, high business performance is the result of strong entrepreneurial orientation. Entrepreneurial Orientation can be seen as a multidimensional construct operational in terms of variables like pro-activeness, competitive aggressiveness, risk taking and aggressiveness and so on. It is required to use objective and subjective measures of performance in combination in order to measure the performance accurately.