The Relationship between Top Managers’ Strategic Thinking Capability and Firm’s Entrepreneurial Orientation

Nowadays, managers need different capabilities in order to gain success in the competitive markets. Strategic thinking capability is among cognitive capabilities that can have positive effects on the individuals’ and firms’ performance. This capability is different among different managers, and organizations in which managers have high levels of this capability enjoy a rare resource that can have positive effects on their performance. One of the desired organizational orientations is entrepreneurial orientation. Innovativeness, proactiveness and risk-taking comprise dimensions of entrepreneurial orientation. Previous studies show that entrepreneurial orientation has a powerful impact on firms’ performance. In the present research, it has been attempted to find a relationship between strategic thinking capability at the individual level and entrepreneurial orientation at the organizational level; that is, it has been argued that if top managers have high strategic thinking capability, organizational entrepreneurial orientation will be reinforced.

Nowadays, managers need different capabilities in order to gain success in the competitive markets. Strategic thinking capability is among cognitive capabilities that can have positive effects on the individuals’ and firms’ performance. This capability is different among different managers, and organizations in which managers have high levels of this capability enjoy a rare resource that can have positive effects on their performance. One of the desired organizational orientations is entrepreneurial orientation. Innovativeness, proactiveness and risk-taking comprise dimensions of entrepreneurial orientation. Previous studies show that entrepreneurial orientation has a powerful impact on firms’ performance. In the present research, it has been attempted to find a relationship between strategic thinking capability at the individual level and entrepreneurial orientation at the organizational level; that is, it has been argued that if top managers have high strategic thinking capability, organizational entrepreneurial orientation will be reinforced.