A Study Of Taiwanese SME Entrepreneurship And Business Performance

Small and medium enterprises have been the key players in the Taiwanese economic development over the past five decades. With their entrepreneur spirit, flexibility, and hard work, these enterprises have successfully created their wealth and transformed the island's backward economy into the modern one. Yesterday's success, however, does not guarantee in the future. As the global economic environment rapidly alters, these businesses are facing an un-precedent challenge. Their established competitive advantages, which are based on flexible production and low costs, are rapidly vanished. As such, rebuilding the competitive strength under such global economic conditions becomes critical for these enterprises.The main objective of the present study is therefore to examine Taiwanese SME entrepreneurship and its impact on business performance. To attain this goal, the study first explores the related literature and constructs a research model and hypotheses. Data are then collected via a large scale of questionnaire surveys to substantiate the hypothesized relationship.The research outcomes suggest a direct and positive relationship between entrepreneurship and business performance. Businesses that have a higher level of entrepreneurship tend to attain a better competitive advantage in innovations and business performance.