Entrepreneurship and dynamic capabilities - an empirical testing

Abstract

Conceptually the literature acknowledges that entrepreneurship can promote dynamic capabilities. We argue that a firm's strategic entrepreneurial orientation (EO) capture an important aspect of the way a firm develop DC. An instrument to measure four types of DC was developed to test the assumptions. Utilising a longitudinal sample of 226 Norwegian small and medium sized enterprises (SME), we find that EO appears to be the main explanatory factor for the development of the different types of DC controlling for type of industry and different types of resources. This finding largely confirms central claims and assumptions in the literature that entrepreneurship can create and stimulate new combinations of resources.