The role of risk perception and entrepreneurial orientation in the planning response of small firms.

• Main Authors: Neo, Zhi Wei., Lim, Nicholas Dominic Zi-Jie., Chee, Vincent Guo Qiang.
• Other Authors: Choo Wee Ee Clive
• Format: Final Year Project
• Language: English
• Published: 2012
• Subjects: DRNTU::Business::Management::Planning; DRNTU::Business::Management::Decision making
• Online Access: http://hdl.handle.net/10356/50821
• Institution: Nanyang Technological University

Various studies have been conducted over the past decades to examine the relationship between risk perception and planning responses of firms. The concept of entrepreneurial orientation has also been a keen topic of interest to academics and businessmen alike. Nevertheless, research on the above-mentioned relationships has largely been conducted in the context of medium and large firms, with little focus on small businesses. In light of this apparent knowledge gap, this paper seeks to focus on small firms with the context set in a highly uncertain environment, using the local automobile industry as a proxy. Through a broad review of literature, elements identified as essential to build small firm theory as delineated by d’Amboise and Muldowney (1988) and the resource dependency framework developed by Pfeffer and Salancik (1978) served as the foundation for this research. A two-stage case study approach consisting of in-depth face-to-face interviews will be adopted. The initial pilot study will involve interviewing governmental organizations, industry associations and veterans. The subsequent multiple case studies will involve interviews with twelve owner-managers. Based on the qualitative data collected, data processing was carried out using NVivo analytical software. Through the findings, a within-case and cross-case analysis approach was adopted to form a final framework. This was followed by a discussion on the implications of this study and areas for further research. Through these findings, investors and owner-managers of small firms can better assess the business strategies and make changes accordingly to achieve their desired business objectives.