Abstract:
In this study, it is aimed to show the interaction between financial performance and corporate entrepreneurship which can be identified as whole activities of new product, process, market, technology, strategy and improving management technique. In this respect, alternative two models to explain the interaction which is mentioned above were tested in an empirical research on 140 industrial manufacturing firms which are publicly trading in Istanbul Stock Exchange (ISE). Developed models and hypothesis are analysed by means of the Structural Equation Modelling (SEM) using LISREL. According to research findings it was determined that original dimensions of corporate entrepreneurship which is compound of innovation, risk taking and proactiveness has
positive relation and interaction with financial performances of the firms. In addition; in the latest development in the related literature, autonomy and competitive aggressiveness variables which was added to the original dimension later on, did not show any relation with financial performances of firms.