TITLE:
Entrepreneurial Orientation and Firm Performance of Tourist Accommodation Establishment in Ghana
AUTHORS:
Edward Nii Amar Amarteifio, Senyo Agbeblewu
KEYWORDS:
Entrepreneurial Orientation, Firm Performance, Accommodation
JOURNAL NAME:
Open Journal of Business and Management,
Vol.8 No.4,
July
20,
2020
ABSTRACT: Entrepreneurial Orientation in recent years is considered as an important
area that influences the performance of most firms. It is evident in research
that there is a strong correlation between performance and entrepreneurial
orientation. Originating from the resource based view, entrepreneurial
orientation and firm resources have been identified as important variables that
impact on the performance of entrepreneurial firms. In the Central region,
tourist accommodation and lodging establishments are very lucrative investments
that generate a lot of revenues and taxes for owner/managers and the state respectively. These lodging
facilities provide some form of employment for over 1800 workers. Most
businesses and suppliers within the catchment area also depend on these
lodgment facilities and its survival is of utmost importance to them. There is
an intense competition from globalization resulting in increased volatility in
business environments worldwide. Inability to adapt to such volatility
threatens the survival and growth of entrepreneurial ventures such as tourist
accommodation establishments. The explanatory survey was carried out in the
Central Region, one of Ghana’s ten administrative regions and home to about 142
licensed lodging facilities, comprising 3 star, 2 star, 1 star, guest houses,
budget hotels and a hostel where 113 were randomly selected. The study revealed
that managers were highly proactive but exhibited low levels of the other
Entrepreneurial Orientation dimensions, particularly competitive aggressiveness
and risk taking. It was therefore established that being innovative, proactive,
taking risks and being an autonomous leader impacts slight on financial
performance. Therefore, to improve the financial performance of their
businesses, key decision makers must be more competitively and comparatively
aggressive by intensifying efforts to outperform their competitors.