RESPONSIBLE ENTREPRENEURSHIP VISION DEVELOPMENT AND ETHICS

Factors promoting competitiveness in tea manufacturing firms: case study of tea… 111
The experiences of above cases of tea manufacturing firms imply that adoption of innovations
is desirable since innovations energize the adopting organizations and enhance their
organizational performance (Dos Santos et al., 1995). Table 1 illustrates the performance level
of each tea manufacturing firm. Based on the experiences of case A to F it appears that innovation
plays an important role for improving competitiveness. Further, it implies that B and
D tea manufacturing firms adopted more innovations and comparatively they are performing
well since innovation is fundamental in gaining competitive advantage. This finding is
in line with Miller and Friesen (1982) posit that entrepreneurial organizations try to obtain a
competitive advantage by routinely making innovations. Thereby it emphasizes that innovation
adoption of tea manufacturing firms is leading to firm’s performance as argued by theoretical
model.
Table 1: Level of Performance
Company
Level of Performance
Profit (Pretax) Market share growth Sales growth Average monthly sales
A Increase slightly 1 – 3 % 5 – 10 % 33 000 kg
B Increase moderately More than 5% More than 15 % 65 000 kg
C Increase slightly 3 – 5 % 10 – 15% 200 000 kg
D Increase moderately More than 5% More than 15 % 180 000 kg
E Increase moderately More than 5% More than 15 % 250 000 kg
F Increase slightly 3 – 5 % 10 – 15% 100 000 kg
Source: Survey data, 2014
The importance of entrepreneurial orientation
To deliver something better to customer than rival firms’ tea manufacturing firms need to
develop their EO behavior. EO reveals the firm’s tendency to engage in the search of new market
opportunities and the renewal of existing areas of operations (Hult & Ketchen, 2001). Further,
EO highlights the spirit of rejuvenating the business, which is often accomplished through
the introduction of innovations. Therefore, Table 2 shows the business strategies that utilized
by tea manufacturing firms which leading for innovation adoption and competitiveness.
Experience of above six cases implies that tea manufacturing firms are emphasizing two
main strategies as quality and quantity to gain competitive advantage for their firms. Accordingly,
A, B, D and F Companies are emphasizing more on quality in their business strategies
while C and E companies emphasizing more on quantity. Therefore, EO of all tea manufacturing
firms intended to enhance the product, process and marketing innovation adoptions
depending on their main focus. These ideas point to EO’s antecedent role to innovation as
highlighted by preliminary model. It means that innovation is a significant tool for sustain
in the competitive market. This reality verifies that EO is imperative for developing competitiveness
through innovation.