The Influence of Entrepreneurial Management on Cooperative Performance of Multipurpose Cooperatives in Davao Oriental, Philippines
Jeni Nicolas | Annie Deriada
Discipline: social work
Abstract:
This study is grounded in entrepreneurial management theory, aimed to identify which indicators of Entrepreneurial
Management - Strategic Orientation, Management Structure, Growth Orientation, and Entrepreneurial Culture significantly
predict the performance of multipurpose cooperatives in Davao Oriental, Philippines. A survey method using a researcheradministered questionnaire gathered data from 200 respondents. The data were then analyzed using mean, standard
deviation, Pearson correlation, and multiple regression. Results showed that entrepreneurial management attained an
overall mean score of 4.05, indicating implementation across strategic orientation, management structure, growth
orientation, and entrepreneurial culture. Cooperative performance likewise scored high (M = 4.34; SD = 0.83). Regression
results revealed that all four indicators significantly predict cooperative performance (R² = 0.85, p < .05). The findings
indicate that entrepreneurial management could play a crucial role in improving cooperative efficiency, organizational
development, and a member-centered approach, especially by having a high level of strategic orientation and entrepreneurial
culture. The findings offer practical implications for cooperative sustainability and may inform policies supporting
organizational development in rural enterprises.
References:
- Ahmed, M. H., and Mesfin, H. M. (2017). The impact of agricultural cooperatives membership on the well-being of smallholder farmers: Empirical evidence from eastern Ethiopia. Agricultural Economics, 5(6). https://doi.org/10.1186/s40100-017-0075-z
- Alvarez-Torres, F. J., Lopez-Torres, G. C., and Schiuma, G. (2019). Linking entrepreneurial orientation to SMEs’ performance: Implications for entrepreneurship universities. Management Decision, 57(12), 3364–3386. https://doi.org/10.1108/MD-11-2018-1234
- Brown, T. E., Davidsson, P., and Wiklund, J. (2001). An operationalization of Stevenson’s conceptualization of entrepreneurship as opportunity-based firm behavior. Strategic Management Journal, 22(10), 953–968. https://doi.org/10.1002/smj.190
- Cagas, J. C., and Sulayon, A. N. (2023). Intellectual capital and entrepreneurial orientation as predictors of business sustainability among agricultural cooperatives in Davao del Norte, Philippines. European Journal of Economic and Financial Research, 7(2), 1–16. https://oapub.org/soc/index.php/EJEFR/article/view/1948
- Chan, H. K., Yee, R. W. Y., Dai, J., and Lim, M. K. (2016). The moderating effect of environmental dynamism on green product innovation and performance. International Journal of Production Economics, 181, 384–391.
- Chesnick, D. (2000). Financial management and ratio analysis for cooperative enterprises.
- Chungyas, J. I., and Trinidad, F. L. (2022). Strategic management practices and business performance of cooperatives in Ifugao, Philippines: Basis for strategic planning model. International Journal of Management and Entrepreneurship Research, 4(2), 84–104. https://doi.org/10.51594/ijmer.v4i2.293
- Darma, D. (2020). The factors that affect performance and cooperative success. Archives of Business Research, 7(12), 219–232. https://doi.org/10.14738/abr.712.7563
- Donaldson, L. (2001). The contingency theory of organizations. SAGE Publications. https://doi.org/10.4135/9781452229249
- Field, A. (2018). Discovering statistics using IBM SPSS Statistics (5th ed.). Sage Publications.
- Fairoz, F. M., Hirobumi, K., and Tanaka, Y. (2010). Entrepreneurial orientation and business performance of small and medium scale enterprises of Hambantota District in Sri Lanka. Asian Social Science, 6(3), 34–46. https://doi.org/10.5539/ass.v6n3p34
- Fisher, J. G. (1995). Contingency-based research on management control systems: Categorization by level of complexity. Journal of Accounting Literature, 14, 24–53.
- Fowler, F. J., Jr. (2009). Survey research methods (4th ed.). SAGE Publications. https://sk.sagepub.com/books/survey-research-methods-4ed
- Franken, J., and Cook, M. (2013). Governance and performance of multipurpose cooperatives. University of Missouri.
- Galang, R. M. N., Lavado, R. F., White III, G. O., and Francisco, J. P. (2020). Imposing cooperation: the impact of institutions on the efficiency of cooperatives in the Philippines. Journal of Asia Business Studies, 14(4), 421–440. https://doi.org/10.1108/JABS-05-2019-0135
- Guzmán, J., Trujillo-Cáceres, A., and Trujillo-Ponce, A. (2020). Entrepreneurial culture and economic performance: Evidence from European regions. Papers in Regional Science, 99(2), 345–365. https://doi.org/10.1111/pirs.12493
- Hair, J. F., Black, W. C., Babin, B. J., and Anderson, R. E. (2019). Multivariate data analysis (8th ed.). Cengage Learning.
- Hindle, K. (2010). How community context affects entrepreneurial process: A diagnostic framework. Entrepreneurship and Regional Development, 22(7), 599–647.
- International Cooperative Alliance (ICA) and CICOPA. (2017). Cooperatives and employment: Second global report. https://www.cicopa.coop/publications/second-global-report-on-cooperatives-and-employment
- International Cooperative Alliance (ICA) and Euricse. (2023). World cooperative monitor: Exploring the cooperative economy – Report 2023. https://www.ica.coop/en/world-cooperative-monitor-2
- Ismail, M., Zainol, F. A., Yusoff, M. N. H., and Rusuli, M. S. C. (2019). The driving force of the business sustainability model among cooperatives in Malaysia. The Journal of Social Sciences Research, 53, 826–829. https://doi.org/10.32861/jssr.53.826.829
- Ishak, S., Omar, A. R. C., Sum, S. M., Othman, A. S., and Jaafar, J. (2020). Smallholder agriculture cooperatives’ performance: What is in the minds of management? Journal of Cooperative Organization and Management, 8(2), Article 100110. https://doi.org/10.1016/j.jcom.2020.100110
- Jamaluddin, F., Mohamed, N., and Abdullah, S. (2023). Cooperative governance and cooperative performance: A systematic literature review. SAGE Open, 13(3), 1–21. https://doi.org/10.1177/21582440231192944
- Jumawan, M. (2022). Management practices of cooperatives: Roadmap towards sustainability. improved performance and International Journal of Management, Business, and Economics Research, 2(4), 123–134. https://ijmaberjournal.org/index.php/ijmaber/article/view/514
- Kaplan, R. S., and Norton, D. P. (2001). The strategy-focused organization: How balanced scorecard companies thrive in the new business environment. Harvard Business School Press.
- Kreiser, P. M., Marino, L. D., and Weaver, K. M. (2011). Dimensions of entrepreneurial orientation and their impact on organizational performance. Journal of Management Studies, 48(6), 1325–1346. https://doi.org/10.1111/j.1467-6486.2010.00984.x
- Nordstrom, O., McKeever, E., and Anderson, A. (2020). Piety and profit: The moral embeddedness of an enterprising community. Entrepreneurship & Regional Development, 32(9–10), 783–804. https://doi.org/10.1080/08985626.2020.1781935
- Nti, N. K. (2022). Entrepreneurial management as a predictor of business performance in the Greater Accra Region, Ghana. Journal of Management and Entrepreneurship Research, 3(1), 1–13. https://doi.org/10.34001/jmer.2022.6.03.1-24
- Paradero, E., Te, J., and Casinillo, L. (2022). On determinants of cooperatives’ perceived effectiveness in terms of financial and social performance. Philippine Social Science Journal, 5(3), 145–155. https://philssj.org/index.php/main/article/view/492
- Pratono, A. H. (2021). Reinterpreting excellence for sustainable competitive advantage: The role of entrepreneurial culture under information technological turbulence. MeasuringBusiness Excellence. https://doi.org/10.1108/MBE-04-2021-0056
- Puri, D. L., and Sujarittanonta, L. (2016). Good governance in cooperatives of Nepal: Relationship between participation and performance. Journal of Education and Vocational Research, 7(2), 19–26.
- Rahmi, Y., Latifannisa, N., Wardiman, J., Yulhendri, Y., Cerya, E., and Nofriansyah, N. (2024). Struktur organisasi dan efektivitas manajemen koperasi pembangunan usaha Sumatera Barat. Eqien – Jurnal Ekonomi dan Bisnis, 13(3), 457–468. https://doi.org/10.34308/eqien.v13i03.1832
- Rashid, U. (2018). Entrepreneurial management, entrepreneurial orientation, and women-owned SMEs business performance: A conceptual framework. Journal for Studies in Management and Planning, 4(Special Issue–13).
- Ribas, J. R., Silva, R. S., and Guimarães, L. S. (2022). Cooperative organization and its characteristics in economic and social development (1995–2020). Sustainability, 14(14), 8470. https://doi.org/10.3390/su14148470
- Rofiaty, R. (2023). Exploring entrepreneurial orientation’s impact on innovation and academic performance in Malang City’s consumer cooperatives. Jurnal Ilmiah Manajemen dan Bisnis, 8(2), 249–266. https://doi.org/10.38043/jimb.v8i2.4637
- Rydehell, H., Isaksson, A., and Löfsten, H. (2019). Business networks and localization effects for new Swedish technology-based firms’ innovation performance. The Journal of Technology Transfer, 44(5), 1547–1576. https://doi.org/10.1007/s10961-018-9668-2
- Sarsale, M. S. (2019). Creating a financial viability model among cooperatives using management practices as predictors. Journal of Education and Human Research Development, 7, 14–23.
- Shamsuddin, Z., Mahmood, S., Ghazali, P. L., Salleh, F., and Nawi, F. A. M. (2018). Indicators for cooperative performance measurement. International Journal of Academic Research in Business and Social Sciences, 8(12), 577–585.
- Sofoluwe, N. (2020). Relevance of entrepreneurial orientation strategy to cooperative business organizations in Nigeria. Izvestiya Journal of the University of Economics – Varna, 64(4), 415–429. https://doi.org/10.36997/ijuev2020.64.4.415
- Stevenson, H. H. (1983). A perspective on entrepreneurship (HBS Background Note No. 384-131). Harvard Business School Publishing. (Revised April 2006). https://hbsp.harvard.edu/product/384131-PDF-ENG
- Tabachnick, B. G., and Fidell, L. S. (2019). Using multivariate statistics (7th ed.). Pearson. https://www.pearsonhighered.com/assets/preface/0/1/3/4/0134790545.pdf
- Williams, M. N., Grajales, C. A., and Kurkiewicz, D. (2013). Assumptions of multiple regression: Correcting two misconceptions. Practical Assessment, Research, and Evaluation, 18(1), Article 11. https://doi.org/10.7275/55hnwk47
- Wuryani, E., and Harti, H. (2020). Cooperative management through standard operational management and standard operating procedures to improve performance. Advances in Economics, Business and Management Research, 115, 183–186. https://doi.org/10.2991/aebmr.k.200127.037.
- Yuslem, N., Sugianto, S., and Ichsan, R. N. (2022). The human resource development strategies in improving employee performance in cooperatives. Jurnal Akta, 9(3), 270. https://doi.org/10.30659/akta.v9i3.25745
ISSN 2984-7125 (Online)
ISSN 2244-4432 (Print)