Entrepreneurial Orientation and Performance of Agro Processing Firms in Nigeria: Moderating Effect of Environmental Dynamism and Organizational Structure

Abstract

This study examines the moderating effect that environmental dynamism and organizational structure have on entrepreneurial orientation and performance of agro-processing firms in Nigeria. Survey design was adopted and data was collected through structured self-administered questionnaire designed on 5-point Likert scale.  The main source of data was primary and the target population consisted of management staff of selected firms in the south eastern states of Nigeria. A sample size of 384 was drawn from the study population of 5761using Krejcie & Morgan approach. The single hypothesis formulated was tested with linear regression analysis at 0.05 level of significant. Based on the analyzed data, the study found that there is a positive significant effect of environmental dynamism and organizational structure on performance of agro-processing firms in Nigeria. It is advised that agro-processing firms in Nigeria need to understand the dynamism in the market and they must develop strategies to mitigate its effects. The study further recommended that there is a need for entrepreneurs to design the organization in such a manner that it will reflect the complexities of the environment; this entails proper alignment of the structure, strategy, culture, leadership and right skills so as to enhance performance.