Examining the Relationship between Entrepreneurial Orientation and Organizational Performance with the Social Exchange Approach: The Role of Organizational Justice

Sanjaghi, Mohammad Ebrahim; Farrahi Boozanjani, Borzoo; Zohoorian Nadali, Iman; Doroodi, Hamid

doi:10.22059/jed.2013.36627

Examining the Relationship between Entrepreneurial Orientation and Organizational Performance with the Social Exchange Approach: The Role of Organizational Justice

Document Type : Research Paper

Authors

Mohammad Ebrahim Sanjaghi ¹

Borzoo Farrahi Boozanjani ²

Iman Zohoorian Nadali ³

Hamid Doroodi ⁴

¹ Associate Professor, University of Malek-Ashtar

² Associate Professor, University of Imam Hussein

³ M.A., University of Malek Ashtar

⁴ M.A. Student, University of Malek Ashtar

10.22059/jed.2013.36627

Abstract

In recent years academic and research centers have been driven by a number of significant factors to improve their performance and financial self-reliance. The goal of this paper is to study the impact of entrepreneurial orientation on organizational performance of 25 institutes and research centers located in Tehran. Moreover, the paper intends to show that the extent of organizational justice as a facilitating factor can enhance the impact of entrepreneurial orientation. The research group includes 500 researchers out of which 208 persons were selected as sample population. The hypothesis testing and path analysis of research are carried out through the structural equation modeling method using the professional program, LISREL 8.8. The results indicate that with presumption of only a simple linear relationship between entrepreneurial orientation, and organizational performance, the organizational justice can play a moderating role in target population. However, given the simultaneous existence of both direct relationship between entrepreneurial orientation and organizational performance and indirect relationship through the organizational justice, the moderating role of organizational justice becomes insignificant, leaving only the direct impact of entrepreneurial orientation on organizational performance to be significant (88%).

Keywords

Entrepreneurial Orientation

organizational performance

Organizational Justice

Social exchange theory