Risk-taking Propensity, Managerial Network Ties and Firm Performance in an Emerging Economy. (September 2016)

• Record Type: Journal Article
• Authors: Danso, Albert; Adomako, Samuel; Damoah, John Ofori; Uddin, Moshfique
• Is Part Of: Journal of entrepreneurship. Volume 25:Number 2(2016:Sep.)
• Page Start: 155
• Page End: 183
• Publication Date: 2016-09
• Subjects: risk-taking propensity -- managerial network ties -- firm performance -- Ghana -- emerging economy; Entrepreneurship -- Periodicals; 338.04
• DOI: 10.1177/0971355716650367
• Languages: English
• ISSNs: 0971-3557

Abstract

The objective of the study was to examine the effect of entrepreneurs' risk-taking propensity on firm performance and the moderating role of managerial network ties on this relationship in a sub-Saharan economy. This theoretically derived research model is empirically validated using survey data from 298 small and medium-sized enterprises (SMEs) in Ghana. The study's empirical findings are that high levels of entrepreneurs' risk-taking propensity enhance firm performance. This relationship is amplified when entrepreneurs cultivate stronger business, political and community network ties.