Published Online:June 2024
Product Name:The IUP Journal of Business Strategy
Product Type:Article
Product Code:
Author Name:Shahzada Irfan Bashir and Sandeep Vij
Availability:YES
Subject/Domain:Strategic
Download Format:PDF
Pages:23
While the resilience and success of family businesses in India has been remarkable, there have been no efforts to measure the mindset of the owner-managers of such firms. This study seeks to develop and test a scale to measure the entrepreneurial mindset in family firms. For this, a sample of 426 key informants (second and third-generation family business owners) from 213 firms, with two respondents from each firm have been taken. The study employed a quantitative approach by administering a survey questionnaire to key participants who are family business owners in the sports goods industry in India. Structural equation modeling was employed to confirm the reliability and validity of the entrepreneurial mindset (EM) scale. The study reveals critical aspects of the entrepreneurial mindset that are related to an entrepreneur’s cognitive thinking and behavioral actions. It finds a significant positive relationship between entrepreneurial mindset and business performance in family firms in India. By measuring the entrepreneurial mindset of family firms in India, this study contributes to a better understanding of the factors that lead to their success.
Both economists and policymakers believe in the importance and role of entrepreneurship in promoting innovation and economic growth (e.g., Van Praag and Versloot, 2007; Fayolle and Gailly, 2015; Tung et al., 2020; and Cui and Bell, 2022). Many factors play a significant role in entrepreneurial learning, which promotes entrepreneurial competencies by developing an entrepreneurial mindset (EM) (Cope, 2003; and Lackeus, 2014). Research suggests that education plays a vital role in nurturing entrepreneurship, and different institutions help entrepreneurs to translate their goals into possible outcomes (Jack and Anderson, 1998; Wibowo et al., 2019; Baggen et al., 2022; and Cui and Bell, 2022). Entrepreneurs can develop the mindset required to achieve business success (Lesonsky, 2019; and Elkaim, 2020).