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Sustainable corporate entrepreneurship performance and social capital: a multi-level analysis

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Abstract

This study advances research on sustainable corporate entrepreneurship performance and social capital by exploring how the development of unit-level employees’ internal network knowledge and firm-level top management team’s (TMT) external network knowledge affect the association between transformational leadership and sustainable corporate entrepreneurship performance. By analyzing data of 561 top managers, 760 managers, and 1563 employees from 282 units in 87 firms from the high technology and manufacturing industries, we found that transformational leaders were relevant to the growth of employees’ internal bridging knowledge ties behavior at the unit level and sustainable corporate entrepreneurial performance. However, such association was moderated by firm-level TMT’s external bridging knowledge ties behaviors such that the influence was stronger as firm-level TMT external bridging knowledge ties behaviors lessened. This reveals the relationship between an unrecognized cost of firm TMT’s external bridging ties behaviors and corporate entrepreneurship performance. Finally, the implications, limitations, and scope for future research are discussed.

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Authors and Affiliations

  1. Department of Business Administration, National Taiwan University of Science and Technology, Taipei, Taiwan

    Yi-Ying Chang

  2. Graduate Institute of Management, National Taiwan University of Science and Technology, Taipei, Taiwan

    Yung-Ming Lin & Che-Yuan Chang

  3. Graduate School of Resources Management and Decision Science, Management College, National Defense University, Taipei, Taiwan

    Tai-Wei Chang

  4. Department of Ocean and Border Governance, National Quemoy University, Kinmen, Taiwan

    Tai-Wei Chang

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  1. Yi-Ying Chang
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Appendix: Scales

Appendix: Scales

1.1 Unit-level general managers’ transformational leadership

The unit general manager:

  1. 1.

    Instills pride in being associated with them

  2. 2.

    Goes beyond their own self-interest for the good of our group

  3. 3.

    Acts in ways that builds my respect

  4. 4.

    Displays a sense of power and confidence

  5. 5.

    Talks to us about their most important values and beliefs

  6. 6.

    Specifies the importance of having a strong sense of purpose

  7. 7.

    Considers the moral and ethical consequences of their decisions

  8. 8.

    Emphasizes the importance of having a collective sense of mission

  9. 9.

    Talks optimistically about the future

  10. 10.

    Expresses their confidence that we will achieve our goals

  11. 11.

    Talks enthusiastically about what needs to be accomplished

  12. 12.

    Articulates a compelling vision of the future

  13. 13.

    Re-examines critical assumptions to question whether they are appropriate

  14. 14.

    Seeks differing perspectives when solving problems

  15. 15.

    Suggests new ways of looking at how we do our jobs

  16. 16.

    Gets me to look at problems from many different angles

  17. 17.

    Treats me as an individual rather than just a member of a group

  18. 18.

    Focuses me on developing my strengths

  19. 19.

    Spends time teaching and coaching me

  20. 20.

    Treats each of us as individuals with different needs, abilities, and aspirations

1.2 Unit-level employees’ internal bridging ties

Members of this unit:

  1. 1.

    Vary widely in their areas of expertise

  2. 2.

    Have a variety of different backgrounds and experiences

  3. 3.

    Have skills and abilities that complement each other’s

1.3 Firm-level TMT’s external bridging ties

  1. 1.

    Top managers at buyer firms

  2. 2.

    Top managers at supplier firms

  3. 3.

    Top managers at competitor firms

  4. 4.

    Political leaders in various levels of the government

  5. 5.

    Officials in industrial bureaus

  6. 6.

    Officials in regulatory and supporting organizations such as tax bureaus, state banks, commercial administration bureaus, and the like

1.4 Environmental complexity

  1. 1.

    Competition in our local market is intense

  2. 2.

    Our organizational unit has relatively strong competitors

  3. 3.

    Competition in our local market is extremely high

  4. 4.

    Price competition is a hallmark of our local market

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Chang, YY., Lin, YM., Chang, TW. et al. Sustainable corporate entrepreneurship performance and social capital: a multi-level analysis. Rev Manag Sci (2023). https://doi.org/10.1007/s11846-023-00690-5

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