The Growth Of Entrepreneurial Firms

Entrepreneurial activities in China have been increasing, especially since the Growth Enterprises Market launched, which greatly stimulated the development of the Chinese new ventures. Core resources of new ventures are limited. Faced with the ever changing global market and consumption needs and high development of technology, new ventures firms are trying to find an effective way to survival. We focus on the growth of entrepreneurial firms; try to explore how the fit of organization learning (i.e., exploratory learning, exploitative learning), organizational ambidexterity (i.e. balanced ambidexterity, combined ambidexterity), and diversity (i.e., technological diversity, market diversity) effect on financial performance and innovation performance of new ventures.Analysis of134new ventures supports my results. First, the fit of organization learning (i.e., exploratory learning, exploitative learning) and diversity (i.e., technological diversity, market diversity) has positive effects on financial performance and innovation performance. Second, organizational ambidexterity (i.e., balanced ambidexterity, combined ambidexterity) has positive effects on financial performance and innovation performance. Third, the fit of organizational ambidexterity (i.e., balanced ambidexterity, combined ambidexterity) and diversity (i.e., technological diversity, market diversity) has positive effects on financial performance and innovation performance. These results have important implications for research and practice.