Management Journal for Advanced Research

1. Introduction

Background of the Study

A significant portion of Zambians works in the agricultural sector, which accounts for 70% of the workforce in the nation. Nevertheless, agriculture’s contribution to the economy continues to average less than 3% of the country’s GDP, and in 2019, the proportion of agriculture in Zambia's gross domestic product was 2. 74%, while industry contributed roughly 42. 12%, and the services sector made up about 50. 03% (O'Neill, 2021). With cooperatives producing around 12% of agricultural GDP (Yaluma, 2018), this suggests that something is either lacking or not functioning properly. Cooperatives have been regarded as vital catalysts for rural industrialization and the development of rural areas, a priority reflected in the 7th NDP and, more recently, the 8th NDP, which leaves no ambiguity about the Government’s intentions and vision.

Cooperatives are recognized for their significant impact on global economy (Munyenyembe, 2015; Yaluma, 2018; Kabwe, 2021). These enterprises are owned collectively and managed democratically by a group of members (Benos and Kalogeras, 2016). The International Cooperative Alliance (ICA) defines them as autonomous associations formed voluntarily by individuals to meet shared economic, social, and cultural needs and aspirations through a jointly owned and democratically controlled entity (ibid). Cooperatives across various regions have seen achievements and developments that can be attributed to several factors. The constantly changing environment and market conditions have allowed some cooperatives to succeed, while others have struggled to remain operational or exist only on paper. In Africa, cooperatives in Kenya are responsible for contributing 40% to country's GDP (O'Neill, 2021). This clearly illustrates that cooperative model, in a suitable environment and with adequate support, can succeed. In Zambia, cooperatives that began in 1914 by European settler farmers as a means of marketing agricultural products to newly opened copper mines in Southern Zaire's Katanga and Northern Zambia's Copperbelt (Munyenyembe, 2025; Nkandu and Habazoka, 2023). With Government's will and assistance, cooperative sector expanded to become third largest employer after Government and mining sectors (Ibid).

Historical evidence shows that cooperatives have the potential to become leading figures in the business landscape, as evidenced by cooperatives worldwide. OECD countries have recognized the necessity for targeted interventions and collaborations.

The concept of entrepreneurship is increasingly being integrated into business initiatives targeting SMEs in the effort to promote sustainable development within business enterprises and rural economies. It has thus become essential to elevate the focus on entrepreneurial orientation in the development and encouragement of cooperative businesses (Bijman, 2012).

In the fields of entrepreneurship and strategic management research, it has been established that entrepreneurial orientation positively influences firm performance (ibid). It was noted that firms exhibiting high levels of entrepreneurial orientation tend to consistently scan and assess their operational environment to identify new opportunities and enhance their competitive standing (ibid). It is in light of this context that this research has been formulated to explore the impact of entrepreneurial orientation on the performance of agricultural cooperatives in the Southern province of Zambia.

Statement of the Problem

The Solar Powered Milling Plants Project, a central part of Zambia’s Presidential Milling Initiative, was designed to strengthen the national economy and improve the livelihoods of rural communities (Yaluma, 2018). Despite significant investments from the government,   donors, and stakeholders, agricultural cooperatives in Southern Province continue to face business performance challenges, limiting economic growth and rural development(Mason, Jayne, & Mofya-Mukuka, 2013). This was particularly concerning given agriculture’s importance to Zambia’s economy, contributing only 2.74% to national GDP (O'Neill, 2021), with cooperatives accounting for about 12% of the agricultural GDP (Yaluma, 2018). This figure remains below the 10% target set by the Maputo Declaration.

The Maputo Declaration (2003) committed African Union member states to allocate at least 10% of their national budgets to agriculture and rural development,

3. How does the internal and external business environment impact the business performance of solar milling cooperatives in the Southern Province?

Justification for the Study

Agriculture is a vital sector in Zambia's economy, accounting for 2.74% of the national GDP. Cooperatives play a crucial role in supporting smallholder farmers, contributing 12% to agricultural GDP. However, they face challenges in management, productivity, and financial performance. Enhancing cooperative performance is essential for achieving the African Union's Maputo Declaration (2003) and Malabo Declaration (2014) goals, which emphasize accelerating agricultural growth, improving productivity, and enhancing food security. In line with the Malabo Declaration's focus on sustainable agricultural transformation, solar milling plants offer a renewable energy solution. Investigating their performance through entrepreneurial orientation can provide insights into integrating sustainable practices into traditional farming methods, promoting environmental sustainability. Entrepreneurial orientation encompasses innovation, pro-activeness, and risk-taking, essential for cooperatives to improve operational efficiency and competitiveness. The findings inform policymakers on critical aspects requiring support to boost agricultural cooperative performance. This can lead to policies encouraging entrepreneurial activities and sustainable technology adoption, aligning with the Maputo Declaration's commitment to allocating 10% of national budgets to agriculture. Enhancing cooperative performance through entrepreneurial orientation improves farmers' resilience and livelihoods. This includes better market access, pricing, and supply chains. The study further, contributes to academic discourse on entrepreneurial orientation in agriculture, providing empirical evidence and a foundation for further research.

Significance of the Study

The significance for this study was grounded in the important role that cooperatives play in Zambia’s agricultural sector, contributing 12% to agricultural GDP. Improving cooperative business performance was crucial for driving economic growth, advancing rural development, and enhancing livelihoods, aligning with the African Union’s Maputo Declaration (2003) and Malabo Declaration (2014),

and is first to come up with “proactive” innovations, beating competitors to the punch’ (1983, p 771). Consequently, non-entrepreneurial firms are defined in opposite terms: ‘A nonentrepreneurial firm is one that innovates very little, is highly risk averse, and imitates the moves of competitors instead of leading the way’. Entrepreneurial management (EM), on the other hand, posits that entrepreneurial firms are driven by opportunities, seize them regardless of available resources, and are willing to rent these resources if necessary (Guulruh & Sinem, 2009). However, Cools and Van den Broeck (2007/2008) postulate that entrepreneurial orientation (EO) refers to the top management’s strategy in relation to innovativeness, pro-activeness, and risk taking. Firms develop supporting mechanisms such as organizational structure, culture, and people to achieve these objectives. The dimensions of EM include strategic orientation, commitment to opportunity and resources, control of resources, management structure, reward philosophy, growth orientation, and entrepreneurial culture (Guulruh & Sinem, 2009).

The relationship between EO, EM, and firm performance has been a focal point in previous studies that highlight the positive implications of entrepreneurial processes on firm growth (Bijman, 2012). Miller (2011) notes that majority of entrepreneurial orientation research (EO) is directed to examine the performance of an organisation. However, research on entrepreneurship in developing countries like Zambia has predominantly focused on small firms or individual entrepreneurship (Benos & Kalogeras, 2016). It is important to recognize that large firms face distinct challenges compared to small firms due to their different organizational designs and management styles (Benos & Kalogeras, 2016).

Most researchers have focused on measuring different entrepreneurial dimensions as can be observed in table according to Solikahan and Mohammad (2019). These dimensions particularly innovativeness, risk-taking and pro-activeness have been widely utilised in research to measure and analyse entrepreneurial orientation and its impact on business performance, as they collectively describe an organization’s overall entrepreneurial posture. The table further, provides input on dimension measurements frequently analysed and highlighted by different authors or researchers.

Factors such as access to technology, infrastructure, and skilled labour can have a big impact on the performance of solar milling cooperatives. In some regions, lack of proper equipment or technical know-how can hinder the efficiency of these cooperatives, while in others, poor infrastructure can make it difficult to transport goods to market. The performance of solar milling plants heavily depends on the quality and reliability of the technology used. Maintenance and availability of spare parts are also critical (IRENA, 2015) At the local level, the success of solar milling cooperatives often comes down to the strength of the cooperative itself. Strong leadership, effective management, and a clear vision are all crucial for ensuring that the cooperative can thrive in a competitive market. Effective leadership and transparent governance within cooperatives enhance decision-making and member participation (Birchall, 2003). Additionally, building strong relationships with local farmers and consumers is key to building a loyal customer base. Active community involvement and positive social outcomes, such as job creation and food security, are important for the sustainability of cooperatives (ILO, 2015).

Zakaria and Rahim (2020) discussed various factors such as intellectual capital, reputation, operating profit margin, and social and human capital in relation to governance practices. It also explores individual and situational factors, including members' participation and environmental considerations like climate change. Policy instruments like government incentives are also revealed to be key factors impacting business performance of solar milling cooperatives Chisi, (2024) conducted a study on the accessibility of economical maize meal through the inception of the Solar Powered Milling Plants (SMPs) Project. The study aimed to establish the technical and economic performance of the milling plants installed by the Zambia Cooperative Federation. To achieve this, the study sought to: (1) establish the technical operational characteristics of the installed SMPS; (2) establish the factors that influenced the sitting of the plants; (3) determine the economic benefits of the SMPs; and (4) benchmark the technical operating conditions of the installed SMPs. The study employed a mixed methods approach, where benchmarking observations and semi-structured questionnaires were used as data collection instruments.

The result revealed that risk-taking, innovativeness and pro-activeness were significant on business performance. Previous researches examining the effect of entrepreneurial orientation on firm performance provides mix findings. Most of the studies reviewed measured entrepreneurial orientation using three dimensions (innovativeness, risk-taking, pro-activeness). Therefore, this study examined the effect of entrepreneurial orientation using EO dimensions, business development, information acquisition and utilization, internal and external environment.

Munenyembe (2015), assessed the economic impact of the solar milling plants to the local people in Katete District, Zambia. The specific objectives were to assess the performance of the solar milling plans, the effect of solar milling plants on mealie meal prices on the local market, the effect of solar milling plants on job creation in the district, and to find out challenges that co-operators are facing in managing the solar milling plants in the district for economic development, suggesting measures to be put in place to see to it that the program was sustainable. The research employed a qualitative research design, and extensive literature reviews were conducted in order to have a broader understanding of the research.

The data was collected using the structured questionnaires and interview guide. The main findings of the research were that the hypothesis was rejected because there were no immediate economic benefits of the solar milling plants to the local people of Katete District. The study results revealed that the solar milling plants were underperforming and underutilized in the district. Solar milling plants had no effect on the price of mealie meals in the district. Solar milling plants had a 40% effect on job creation in the district, and the study concluded that there were no immediate economic benefits brought about by solar milling plants in the district at the time of the study. Supportive policies and a conducive regulatory environment facilitate the growth of renewable energy projects and cooperative businesses (REN21, 2020). Efficient supply chain management, from sourcing raw materials to distributing finished products, is crucial (Gereffi & Fernandez-Stark, 2016). Factors that are essential for success are availability of roads, storage facilities, and reliable solar energy infrastructure support the operations of solar milling plants (IEA, 2017).

One of the key findings of our review was that there is an indirect relationship between EO and IP, independent of the direct relationship between these two constructs. Additionally, we find that different combinations of EO dimensionality and IP measurement can result in a diverse and complex relationship between entrepreneurial orientation and international performance. Finally, contributions, limitations, and directions for future research are provided.

Previous research has conceptualised EO in two ways: unidimensional and multidimensional. The unidimensional view of EO is “focusing on what is common among entrepreneurial firms” (Covin & Wales, 2019, p. 4). Researchers following this view operationalise EO by aggregating innovativeness, risk-taking, and pro-activeness as one construct. For example, in a systematic review of 51 studies, Rauch et al. (2009) found that the unidimensional EO is significantly related to firm performance. By contrast, the multidimensional view of EO is “focusing on ‘how entrepreneurial firms can be different’” (Covin & Wales, 2019). Researchers with this view examine the three EO dimensions separately. For example, Kreiser et al. (2013) found that the three EO dimensions have differential impacts on firm performance. Both unidimensional and multidimensional views are legitimate because they emphasise different phenomena (Covin & Wales, 2019; Gupta & Wales, 2017).

In recent years, increasing research has called for studies to examine EO from a configurational perspective (Wales, 2016; Covin & Wales, 2019). One reason is that entrepreneurial activities are resource-intensive (Lumpkin & Dess, 1996), meaning resource-constrained firms might not be able to pursue all three activities simultaneously. In other words, they may need to strategically configure firms’ entrepreneurial activities to avoid over-stretching the limited resources they have. Another reason is that the entrepreneurial activities may act in combinations to impact organisations. For example, innovation outcomes depend on how fast (e.g., pro-activeness) the new products or services are launched into the market (Evanschitzky et al.,2012; Cankurtaran et al., 2013). Indeed, evidence suggests that innovativeness and pro-activeness have shared effects on firm performance (Lomberg et al., 2016). Therefore, in addition to examining the shared effects (unidimensional EO) or the independent effects of innovativeness,

Specifically, according to the EO-as-experimentation view proposed by Wiklund and Shepherd (2011), EO will likely lead to performance variation, including both success and failure. In other words, EO has a double-edged sword effect resulting in both high performance and low performance. For example, Patel et al. (2015) find that EO can lead to variability in innovation outcomes. Since innovativeness, risk-taking, and pro-activeness are, in essence, exploratory that entails uncertain returns (March 1991), we argue that the configurations of the three dimensions can produce both high and low performance. In the next section, we discuss how each EO dimension might enhance and impede firm performance in turn. 2.2. EO and its double-edged effect on firm performance We argue that innovativeness, risk-taking, and pro-activeness may enhance as well as impede firm performance because they all entail costs and uncertainties (Kreiser et al., 2013; Dai et al., 2014; Rodrigo-Alarc´on et al., 2018). Innovativeness represents firms’ propensity “to engage in and support new ideas, novelty, experimentation, and creative processes that may result in new products, services, or technological processes” (Lumpkin & Dess, 1996, p. 142). On the one hand, innovativeness provides firms with the opportunity to differentiate themselves from competitors (Qian & Li, 2003) and obtain better profits (Gatignon & Xuereb, 1997; Ardito et al., 2015; Linton & Kask, 2017). Indeed, innovativeness allows firms to address changing customer demands and thus achieve superior performance (Howell et al., 2005; Wiklund et al., 2009; Cheng et al., 2013). On the other hand, innovativeness may negatively impact SMEs because they often lack resources, capabilities, and experiences in performing innovation activities (Van de Vrande et al., 2009; Nicholas et al., 2011). As such, pursuing high levels of innovativeness may “compromise the ability of SMEs to meet short-term financial obligations” due to the up-front investments required for developing firm-specific innovation capabilities (Kreiser et al., 2013, p. 276). Furthermore, the innovation process entails uncertainties (Schnaars, 2002; Zhou, 2006), meaning not all innovation activities can yield positive outcomes. Similarly, risk-taking may enhance as well as reduce firm performance. SMEs may need to embrace risk-taking to capitalise on potential new market opportunities (Frishammar & H¨orte, 2007; Dai et al., 2014).

Transparent decision-making processes, effective financial management, a culture of collaboration and partnerships with stakeholders are essential for the success of these cooperatives. The future of solar cooperatives looks promising, with increasing interest from various sectors in scaling up solar milling technology, expanding access to services, and enhancing cooperative capacity. The concept that was developed around the solar milling plants under ZCF was to establish Rural Enterprise Hubs (REHs) or Growth centres that supported activities such as clean water sanitation, house lighting, production of irrigated crops, small livestock and poultry production, small business for inputs and business services. A goal which could not immediately be realise due change of scope and ownership of the project as government took over the project and ZCF became a implementing Designed Agent.

Challenges such as limited access to finance, technical expertise, and market linkages need to be addressed to ensure the long-term sustainability of solar cooperatives. Collaboration among stakeholders is vital to maximizing the social, economic, and environmental benefits of solar cooperatives. By addressing internal factors and embracing innovations, solar cooperatives can continue to promote renewable energy solutions and support rural. There are several challenges faced by the cooperative federation which are similar to the ones in social security sectors. All of them have one thing in common that is to do with collections of contributions, loans, pension funds and medical insurance schemes. This challenge is similar to federation challenges on loan recoveries. The second report of the Committee on co-operative development indicated that delayed remittance of loans and payment was one of the challenges faced by institutions mandated by law in Zambia, especially public institutions.

Okundi (2011) conducted descriptive research in Kenya on the SACCO cooperative group and the study comprised of all general membership in Nairobi, registered in the role of co-operatives. The data was collected through the use of Questionnaires which were circulated to the treasurers or managers of the SACCOs sampled. The study concluded that SACCO suffered challenges in meeting loan requests by the members partly due to the long-term investments they engage in.

Akpoviroro, (2018) examined the impact of external business environment on organizational performance of frozen fish companies in Nigeria. It also reveals literature on business environment, organizational performance and Nigeria business environment. Secondly a questionnaire was developed to collect information from the respondents based on a sample of 3 companies with 120 sample sizes. Data collected were analysed using multiple regression analysis. The study concluded that the external business environment political, economic, and technological and socio cultural etc have impact on organizational performance. Thus, organization should understand the implications of organizational performance of their business activities in order to identify, opportunities and threats to their business and organization.

3. Theoretical Framework

This study's theoretical and conceptual framework provides a foundation for understanding the impact of entrepreneurial orientation on cooperative performance, integrating Resource-Based Theory, Dynamic Capabilities Theory, and Entrepreneurship Theory. The framework is grounded in existing theories and research, including the work of Donald Kuratko and the concept of entrepreneurial orientation introduced by Miller in 1983.

Dynamic Capabilities Theory (DCT)

Dynamic capability is about organizational competitive survival rather resource based view’s achievement of sustainable competitive advantage (Teece et al., 1994). Dynamic capability theory explains the capacity of an organization to purposefully create, extend or modify its resource base which refers to the choice of strategy an organization adopts to achieve its goals

Dynamic Capabilities Theory (DCT) complements Resource Base Theory (RBT) that focuses on internal resources and capabilities by emphasizing the importance of adaptability and flexibility in dynamic environments (Ibid). Cooperatives operating in rapidly changing markets must develop dynamic capabilities such as absorptive capacity, innovation, and learning to stay competitive. DCT helps explain how EO enables cooperatives to reconfigure resources and capabilities to respond to environmental shifts.

This study's conceptual framework aims to help solar milling cooperatives in Zambia's Southern Province adopt strategies to increase market share and grow into viable businesses. The framework addresses issues such as cooperative failure, social and economic impact, and lack of strategies. It illustrates the relationship between independent variables (entrepreneurial orientation dimensions) and dependent variables (business performance perspectives), providing a model to answer research questions (Bogdan & Biklen, 2003; Sekaran, 2009).

Research Gaps

Research on the impact of Entrepreneurial Orientation (EO) on agricultural cooperative performance in Sub-Saharan Africa, specifically Zambia, is limited. Existing studies lack theoretical integration, contextual understanding, and empirical evidence on the relationship between EO and cooperative performance.

Gaps also exist in methodology, geography, and conceptual clarity, highlighting the need for longitudinal, mixed-methods studies and context-specific EO frameworks. Addressing these gaps can provide valuable insights into enhancing the performance of agricultural cooperatives, such as solar milling plant cooperatives, in Southern Province, Zambia.

5. Research Methodology

Research Design

This study will adopt the philosophy of pragmatist. Pragmatism offered flexibility in research design and methods, enabling researcher to adapt to the complex and dynamic nature of agriculture cooperatives. Pragmatism values multiple perspectives, enabling the researcher to consider various stakeholders' views, such as farmers, cooperative managers, and policymakers.

Pragmatism accommodates mixed-methods research, allowing researcher to combine quantitative and qualitative data to gain a comprehensive understanding of the research topic. By adopting a pragmatic philosophy, the study was able to provide valuable insights and practical recommendations for enhancing the performance of agriculture cooperatives in Southern Zambia, ultimately contributing to the improvement of the agricultural sector in the region.

The determination of the sample size using Yamane sample determination Model was done as follows;

Where

n  required sample size

N  the total population

e  margin of error used was estimated at 5% or 0.05

Where:

N =3990

n =?

e =5%

Calculations below give both the targeted populations and their associated sample sizes based on Yamane Formula. Yamane Formula Model can generate a sample size for any size of the population which could be in form of even or old number though it uses a fixed margin of error which was 5%.

n =364 sample size

Types of Data

Primary Data

For this research, primary data was collected using field work. Key informants were interviewed, and questioners administered. Besides that, the Research did field observation and collected the data in a form of note about situation and case around the object of the research. Photographs were also collected. An interview guide was used to collect data through interviews and focus group. First information was collected from the sampled participants hence improving the validity of the research.

6. Results

Demographic Characteristics of Respondents

This chapter presents findings of study on impact of entrepreneurial orientation on performance of agriculture cooperatives in Southern Province, Zambia. The results are based on analysis of data collected from 364 respondents through a survey and 308 respondents through semi-structured interviews. The chapter outlines demographic characteristics of respondents, levels of entrepreneurial orientation among cooperatives, and relationship between entrepreneurial orientation and cooperative performance. The findings provide insights into role of entrepreneurial orientation in enhancing performance of agriculture cooperatives in Zambia. This section had question that enabled researcher to obtain background information of farmers and key informants who participated in research. The variables looked at include gender, Location and position in their respective cooperatives. Demogra. information of respondents was meant to give strength to research findings.

Gender Distribution

A total of 308 respondents, it was revealed that 70.5% majority of respondents in this research were female and 25.3%, whilst 4.2% chose not to say. This implies that this study was female dominated research. This is true looking at population cooperative membership in communities, so this study in concomitant with actual situation on ground.

Figure 2: Gender distribution of the respondent

Distribution of Respondents by Location

The study revealed that majority of respondents 36.7% were from kalomo, 20.1% from Kazungula, 8.10% from Gweembe, 16.20% from Namwala, 8.10% from Monze, 10% from Choma, 0.30% from Zimba district.

The study found a significant relationship between Entrepreneurial Orientation (EO) and the performance of solar milling enterprises in Southern Province, Zambia. While respondents disagreed on rising sales revenue (mode=1, mean=2) and commercial milling activities (mode=1, mean=2), they agreed on increasing customer demand (mode=4, mean=4), growing market share (mode=4, mean=4), and enhanced maize grain mobilization capacity (mode=4, mean=4). These findings suggest that EO dimensions, such as innovation and pro-activeness, positively impact solar milling cooperative performance, particularly in terms of market growth and operational capacity. Overall, the results indicate that EO contributes significantly to the success of solar milling enterprises in the region.

Relationship between the Internal Business Environment and the Performance of Solar Milling Cooperatives in the Southern Province

The study results have revealed that that gender, Education, Internal Factors, External factors, EO Dimensions (Autonomy, risk taking, innovation, growth orientation, completeness) have a significant relationship with the performance of solar milling cooperative enterprises.

The results were significant at (p< 0.05). This implies that gender, Education, Internal Factors, External factors, EO Dimensions (Autonomy, risk taking, innovation, growth orientation, competitiveness) are directly associated with the performance of solar milling cooperative enterprises. Correlation analysis revealed that: EO positively correlated with cooperative performance (r = 0.65, p < 0.01), on the other hand regression analysis: EO dimensions (autonomy, innovativeness, risk-taking, pro-activeness) significantly predicted cooperative performance (R² = 0.53, F(4, 115) = 24.11, p < 0.01).

Qualitative Responses

The insights from key informant participants provided a deeper understanding regarding the effect of entrepreneurial orientation on the business performance of agriculture cooperatives in Zambia's Southern Province. Their diverse perspectives shed light on how these themes interact to shape the overall performance and sustainability of cooperatives. The responses were grouped into three broad categories for clarity and analysis.

Risk-Taking

One of the participants, the Chairperson, noted that risk-taking was necessary for growth, emphasizing the cooperative's bold investment in solar milling technology despite its upfront costs.

One of the participants, the committee member, noted that risk-taking was critical, warning that hesitation can lead to missed opportunities that competitors may quickly exploit. One of the participants, the Technical Consultant, noted that embracing solar technology was key to sustainable competitiveness, advocating for investments in this area.

Pro-Activeness

One of the participants, the Chairperson, noted that being proactive has allowed the cooperative to stay ahead of competitors, involving anticipating customer needs and expanding services accordingly.

Similarly other participants noted that, aligning milling operations with seasonal crop cycles ensures operational continuity, highlighting the importance of pro-activeness and additionally it was also suggested that pro-activeness has secured the cooperative's competitive edge, citing expansion into untapped markets as an example.

Competitiveness

Participants 3, the Chairperson, noted that the, cooperative's competitiveness was moderate, urging improvements in marketing strategies to enhance competitiveness. Participants 2, the Treasurer, noted that competitiveness was limited by financial constraints, emphasizing the need for increased financial resources, it was also noted that competitiveness was crucial for growth and relevance, pushing for aggressive marketing strategies to enhance competitiveness.

Adaptability

Adaptability was identified as a key trait in navigating challenges and identifying opportunities for diversification.

Participant 6: Alluded that, “Our cooperative’s greatest strength lies in adaptability,” citing their diversification into sorghum and millet milling during maize shortages. However, others noted that the supply inconsistencies pose barriers to adaptability.

One of the Technical Consultant from ZCF highlighted the role of advanced technologies and innovative services in shaping the cooperative's market strategy. While the market share has not yet expanded, these efforts have positioned the cooperative to capitalize on future growth opportunities.

Challenges and Opportunities Themes

Challenges

This section outlines the hurdles faced by solar milling cooperatives and the potential opportunities that could help them overcome these challenges. Participants highlighted pressing issues like raw material shortages and financial constraints while identifying areas for growth such as diversification and inclusivity.

Participant 1 (Chair Person) cited “rising operational costs and shortages of raw materials” as the cooperative’s biggest hurdles.

Participant 3 (Committee member) pointed to restrictive government policies as another major constraint.

According to the Chairperson, two of the major issues confronting cooperatives are rising operational costs and raw material shortages. These challenges can severely impact the cooperatives' ability to operate efficiently and effectively, ultimately affecting their bottom line. Furthermore, the Policymaker pointed out that restrictive government policies and limited access to funding are significant barriers that cooperatives must navigate. These external factors can hinder cooperatives' growth and development, making it essential for policymakers to create a more conducive environment. All in all, Rising operational costs and limited resources were consistently raised as significant barriers.

Opportunities

Despite the challenges, participants identified several opportunities that cooperatives can leverage to drive future success;

Participant 1 (Manager) noted that; “Diversifying into sorghum and millet milling” has strengthened operational resilience and opened new markets.

Participant 5 (Gender Advocate) advocated for, “empowering women through targeted training programs” to drive inclusivity and foster innovation.

The study found that these dimensions are critical drivers of success, with respondents highlighting increasing customer engagement, expanding market share, and enhanced capacity to mobilize raw materials as key performance indicators influenced by EO dimensions (Felício et al., 2012; Mason et al., 2015). The interplay between internal and external business environments profoundly affects cooperative performance, with internal factors such as operational costs and leadership skills exhibiting a strong positive correlation with business performance (P-value < 0.01, coefficient: 0.482), and external factors such as government policies and market access posing challenges (P-value < 0.05, coefficient: -0.042). The study's findings have practical implications for cooperative managers, policymakers, and stakeholders. By addressing both internal and external environmental factors and fostering a culture of entrepreneurial orientation, solar milling cooperatives can improve their competitiveness, adaptability, and overall sustainability (Anderson and Eshima, 2013; Covin and Slevin, 1989; Wiklund and Shepherd, 2005). Practical strategies may include investing in employee training, enhancing market access, and developing innovative approaches to overcome operational and environmental constraints. The study's limitations include not investigating the potential mediating role of organisational learning, primarily examining the effect of entrepreneurial orientation on business performance within the agricultural sector, and using a cross-sectional design.

8. Conclusion

This study investigated the effects of Entrepreneurial Orientation (EO) on the business performance of solar milling cooperatives in Zambia's Southern Province. The study concluded that EO dimensions, such as innovation, pro-activeness, and risk-taking, significantly enhance cooperative performance. Additionally, internal factors like operational costs and external factors like government policies and market access influence performance. The study also highlighted the importance of gender, education, and experience in shaping EO and cooperative performance. These results are consistent with existing literature on the positive effects of EO on organizational performance.

Author Contributions: Conceptualization, methodology writing review and editing and analysis (GM) The author has decided to published this version of the review article, Editing the article (Dr. H.Daka).

Funding: Funding for this research was not provided. The authors have no other relevant affiliations or financial involvement with any organization or entity with a financial interest in or financial conflict with the subject matter or materials discussed in the manuscript apart from those disclosed. No writing assistance was utilized in the production of this manuscript.

Institutional Review Board Statement: This study was approved by the University of Zambia Humanities and Social Sciences Ethics Committee.

Informed Consent Statement: Not applicable.

Data Availability Statement: The datasets used during the current study are available from the corresponding author on rational request.

Acknowledgements: I, am grateful Dr. H. Daka for his unreserved support and supervision both during the preparation of the proposal and the write up of this dissertation. I remain sincere, grateful and indebted to My Wife, my mother and children sisters and brothers not forgetting all colleagues, whose words of encouragement, affection and prayers served me as a source of strength and inspiration throughout my academic journey.

Last but not least, I thank my Lord God Almighty for the rare opportunity given to me to accomplish my dream of acquiring the Degree of Master of Science in Entrepreneurship and Innovation Management of University of Zambia.

Conflicts of Interest: The authors declare no conflict of interest.

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