The Influence of Entrepreneurial Orientation on Business Performance by the Mediation Process of Knowledge Creation

Both "entrepreneurial orientation" and "knowledge management" are two notions in modern management having important effect on business performance.
The main purpose of this study was to investigate the influence of entrepreneurial orientation on the performance of small and medium businesses by the mediation process of knowledge creation.
The statistical population of this research contained 392managers of small and medium businesses of Qazvin. A sample of 196 Managers was selected with Cochran formula and 230questionnaireswere distributedrandomlyand201questionnaireswere collected. Three types of standard questionnaires of knowledge creation, entrepreneurial orientation and performance were used. The collected data were analyzed using SPSS and LISREL software.
The results show the mediating role of knowledge creation (socialization, externalization, combination and internalization of knowledge) in the impact of entrepreneurial orientation component "in novation, risk-taking, leadership, new business, strategic modernization" on performance (growth, productivity and profitability) in businesses.
The important conclusion of this study was that entrepreneurial orientation and knowledge creation have fundamental role in business and educational policy.