Beyond Excessive Risk-Taking Behavior in Village- Owned Enterprises

DOI

10.2991/assehr.k.200529.214How to use a DOI?

Keywords

excessive risk-taking behavior, goal setting, environmental uncertainty, commitment, creativity

Abstract

Without adequate capital to be a reserved fund for the failure of a business, a risk-taking entrepreneur might fall into bankruptcy and suffer trauma to restart the business. Unfortunately, literature sees that risk-taking behavior is a positive characteristic of an entrepreneur and makes it a linear variable in which the higher the risk is taken, the better the entrepreneur’s orientation is. This research aims to explore the entrepreneurs’ excessive risk-taking behavior from the goal-setting perspective to have a better understanding of entrepreneurs’ reactions to the environment. To achieve the goal, we collected data from 383 Village-Owned Enterprises (BUMDes) leaders in Central Java. The quantitative analysis reveals that risk-taking behaviors vary based on environmental uncertainty, organizational commitment, and entrepreneurs’ creativity. This shows that consideration should be given to the environment factor (environmental uncertainty) and individual factors (commitment and creativity) related to excessive risk-taking in designing village business strategy.

Copyright

© 2020, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - M Elfan Kaukab
AU  - Romandhon
AU  - Agus Putranto
AU  - Susanti
PY  - 2020
DA  - 2020/05/04
TI  - Beyond Excessive Risk-Taking Behavior in Village- Owned Enterprises
BT  - Proceedings of the 1st Borobudur International Symposium on Humanities, Economics and Social Sciences (BIS-HESS 2019)
PB  - Atlantis Press
SP  - 1020
EP  - 1025
SN  - 2352-5398
UR  - https://doi.org/10.2991/assehr.k.200529.214
DO  - 10.2991/assehr.k.200529.214
ID  - Kaukab2020
ER  -