• Interfirm Collaboration and CSR Expenditure in Turbulent Environments: The Moderating Role of Entrepreneurial Orientation

      Adomako, Samuel; Nguyen, P.N. (Wiley, 2020)
      This paper draws on resource dependency theory to examine the impact of interfirm collaboration on CSR expenditure. In addition, we examine entrepreneurial orientation (EO) as a moderator of the relationship between interfirm collaboration and CSR expenditure. We test our research model using survey data from 230 small and medium-sized enterprises (SMEs) in Ghana. Results from our empirical analyses reveal that interfirm collaboration positively impacts CSR expenditure and this relationship is strengthened when entrepreneurial orientation is greater in turbulent environments. Implications for theory and practice are discussed.
    • Market sentiment and firm investment decision-making

      Danso, A.; Lartey, T.; Amankwah-Amoah, J.; Adomako, Samuel; Lu, Q.; Uddin, M. (Elsevier, 2019-11)
      While research on factors driving corporate investment decisions has blossomed, knowledge related to the Chief Executive Officer’s (CEO’s) market sentiment on investment decision outcomes is lacking. In this study, we extend the existing corporate finance literature by examining the underexplored issue of how CEOs’ market sentiment drives firms’ investment decisions. Capitalising on a large sample of US firms for the period 2004-2014, we uncovered some crucial observations. First, we found empirical support for our theoretical contention that market sentiment drives corporate investment decisions. Second, we established that, while financial flexibility induces managers to overinvest, the expectation of future profitability leads firms to underinvest during high sentiment periods. In addition, we uncovered that the 2007/08 financial crisis significantly impacted firm behaviour and realigned managerial decision-making. Thus, the sentiment-investment relationship is more pronounced during the crisis and the post-crisis periods. Our results are robust after accounting for the possibility of endogeneity and using alternative measures of both CEOs’ market sentiment and firm investment.
    • The moderating influence of competitive intensity on the relationship between CEOs’ regulatory foci and SME internationalization

      Adomako, Samuel; Opoku, R.A.; Frimpong, K. (2017-09-21)
      The international business literature has mainly focused on the impact of top managers' psychological attributes on firms' strategic decisions. However, the potential moderating influence of industry conditions such as competition has not been well explored. Deriving insights from the regulatory focus and upper echelons theories, this paper extends the international business and regulatory focus literature by investigating how the impact influence of CEOs' regulatory foci on firms' degree of internationalization depends on the intensity of competitive market conditions. Using primary data gathered from 289 small and medium-sized enterprises (SMEs) in Ghana, the findings of the study revealed when competition is intense in the domestic market, the potency of a CEO's promotion focus as a driver of internationalization is amplified. In addition, the research shows that intense domestic market competition weakens the negative influence of a CEO's prevention focus on a firm's degree of internationalization. These findings have important research and managerial implications for international business.
    • Perceived institutional support and small venture performance: The mediating role of entrepreneurial persistence

      Ahsan, M.; Adomako, Samuel; Mole, K.F. (Sage, 2021-03)
      This article examines the entrepreneurial persistence of opportunity-motivated entrepreneurs in Ghana. Specifically, it develops a theoretical model focusing on the relationships among perceived institutional support, entrepreneurial persistence and small venture performance, including how entrepreneurial networks condition the relationship between institutional support and entrepreneurial persistence. Using time-lagged data from 373 opportunity-motivated entrepreneurs leading small ventures in Ghana, we find broad support for our hypotheses. The insights from our study provide an integrative understanding of the relationships among perceived institutional support, entrepreneurial persistence and venture performance in an adverse environment. Theoretical and practical implications are discussed.
    • Politically connected firms and corporate social responsibility implementation expenditure in sub-Saharan Africa: Evidence from Ghana

      Adomako, Samuel; Nguyen, N.P. (Wiley, 2020-11)
      While previous research has emphasized the role of stakeholder pressures, firm‐specific factors, as well as CEO characteristics as important drivers of corporate social responsibility (CSR) implementation, our understanding of how political connections impact small and medium‐sized enterprises' (SMEs') CSR implementation expenditure is quite limited. In this study, we contribute to filling this gap by investigating the effects of political connections and CSR expenditure and explain the conditions that impact this relationship. Using data from 473 SMEs in Ghana, we find that political connections negatively influence CSR implementation expenditure. However, the negative effect is weakened when a firms' reputation and competitive CSR implementation pressures are high. Implications for theory and practice are discussed.
    • Proactive environmental strategy and firm performance at the bottom of the pyramid

      Adomako, Samuel; Ning, E.; Adu-Ameyaw, E. (Wiley, 2021-01)
      This paper uses insights from the natural resource-based view (NRBV) to examine the conditions under which proactive environmental strategy (PES) drive firm performance. Using data collected from 266 small and medium-sized enterprises (SMEs) operating in Ghana, the results suggest that the impact of PES on firm performance is more pronounced in firms that do not purse bottom of the pyramid (BOP) orientation but not significant for firms pursuing the BOP orientation. Besides, the findings show that the influence of PES on firm performance is amplified for firms adopting imitation orientation but not significant for non-imitation oriented firms. Implications and directions for future research are discussed.
    • R&D intensity, knowledge creation process and new product performance: The mediating role of international R&D teams

      Adomako, Samuel; Amankwah-Amoah, J.; Danso, A.; Danquah, Joseph K.; Hussain, Zahid I.; Khan, Z. (Elsevier, 2021-05)
      Although previous studies have shown the positive effect of research and development (R&D) intensity on new product performance (NPP), our understanding about the mechanisms through which R&D intensity influence NPP is less understood. In this paper, we focus on the mediating role of international R&D teams in explaining the effect of R&D intensity on NPP. Since R&D teams are dispersed across the globe, thus examining the role of international R&D teams will provide a more nuanced understanding of the mechanisms through which R&D intensity contributes to NPP. Using survey data from 201 Ghanaian firms engaged in internationalization activities, the results suggest that the use of international R&D teams mediates the relationship between R&D intensity and NPP. Moreover, the findings indicate that the use of international R&D teams improves NPP and that this linkage is amplified when the knowledge creation process inside the firm is stronger. We discuss the implications of these findings for theory and practice.
    • Regulatory Focus, Persistence and New Venture Performance

      Adomako, Samuel (Emerald, 2020)
      Purpose The purpose of this article was to examine the joint effects of regulatory focus, entrepreneurial persistence, and institutional support on new venture performance. Design/methodology/approach This paper uses a random survey approach to sample 204 new ventures from Ghana. The moderated mediation method was used to analyze the survey data. Findings The findings from this paper show that entrepreneurs’ promotion focus positively relates to persistence whiles prevent focus negatively influences persistence. Besides, persistence mediates the link between regulatory focus (promotion and prevention focus) and new venture performance. These relationships are positively moderated by perceived institutional support. Research limitations/implications Using data from only the manufacturing sector in Ghana limits the generalisability of this paper. Also, persistence was not observed or measured directly in this paper but was only used as a self-reporting variable that captures an individual’s tendency to persist. Originality/value The contribution of this paper is threefold. First, this paper contributes to regulatory focus literature by enhancing our knowledge of how self-regulation could help explain entrepreneurial decision-making. Second, this paper broadens self-regulation literature by adding institutional context as a moderating variable. Third, this paper helps clarify the potential role of persistence in entrepreneurship.
    • Resource-Induced Coping Heuristics and Entrepreneurial Orientation in Dynamic Environments

      Adomako, Samuel (Elsevier, 2021-01)
      Prior studies show the impact of various facets of individual characteristics in driving a firm’s entrepreneurial orientation (EO). The present study complements this line of research by deriving insights from the conservation of resources (COR) theory to examine the effects of resource-induced coping heuristics (acquiring, protecting, and developing resources) on EO. Additionally, it investigates the underlying conditions influencing these relationships. Data were collected from new ventures in two developing countries (Ghana, N=204, and Ethiopia, N=214). Utilizing the moderated hierarchical regression analysis, the results show that the three dimensions of resource-induced coping heuristics positively relate to EO and these relationships are amplified when environmental dynamism is high. These findings provide a nuanced understanding of the relationships among the different types of resource-induced coping heuristics and EO. In this way, the study extends the boundaries of the resource-induced coping heuristics, EO, and broader entrepreneurship literature.
    • Small business growth and performance

      Adomako, Samuel; Mole, K.F. (Sage, 2018)
      Research on business growth has blossomed, yet scholars often complain face the difficulty of distililing a clearer pitcure of the business growth phenomenon. This paper attempts to overcome this limitation by reviewing and synthesizing extant research on business growth. First, we begin by examining Penrose’s view of firm growth. Second, we highlight how business growth is measured; these are absolute or relative change and growth as a process. Third, we explore theories of business growth; integrated models-theories that explain the factors that drive business growth and (2) stage models which view business growth as a series of phases or stages of development through which a firm must pass in its life-cycle. Fourth, we examine modes of business growth; these are organic vs. acquisition growth, growth through networks and alliances and growth through internationalization. Fifth, we examine drivers and constraints to business growth. We conclude the review by pointing out areas of harmony and contention in the literature, from which we suggest opportunities for future research.
    • Stakeholder integration, environmental sustainability orientation, and financial performance

      Danso, A.; Adomako, Samuel; Lartey, T.; Amankwah-Amoah, J.; Owusu-Yirenkyi, D. (2020-10)
      Despite the growing research on the influence of stakeholder integration on organizational outcomes, our understanding of the specific firm-level conditions that may mediate the relationship between stakeholder integration and financial performance is lacking. Using primary data gathered from 233 small and medium-sized enterprises in Ghana, we found empirical support for our contention that the link between stakeholder integration and financial performance is mediated by a firm’s environmental sustainability orientation. In addition, our study demonstrated that competitive intensity moderates the indirect relationship between stakeholder integration and financial performance in such a way that the indirect effect through environmental sustainability orientation is stronger for higher levels of industry competition. We discuss theoretical and managerial implications of these findings.