Do financial literacy and entrepreneurial skills lead to improved performance? Evidence from Swiss Biotechnology sector

Carmen Santos
Faculty of Science, Engineering and Technology, Department of Chemistry and Biotechnology, Swinburne University of Technology, Hawthorn, Victoria, 3122 Australia.
Hélder Freire *
Faculty of Science, Engineering and Technology, Department of Chemistry and Biotechnology, Swinburne University of Technology, Hawthorn, Victoria, 3122 Australia.

DOI:https://doi.org/10.5912/jcb2082

Abstract:

The research aims to investigate the entrepreneurial skills and financial literacy’s impact on the improved performance in the biotechnology sector. Entrepreneurial skills enable the individual to manage the business through taking essential actions, and along with financial literacy the utilization of resources in an optimum way is assured as well. The decision maker would invest in development of organizational capabilities required to succeed in market. Being a high risky domain, the utilization of financial resources through financial knowledge is crucial in biotech sector. To conduct this research, the quantitative research design including survey approach has been adopted. Questionnaires were distributed followed by the statistical testing of data through SPSS. The results indicated a significant association among financial literacy and performance along with a significant association between entrepreneurial skills and performance of biotechnology firms in Swiss. The research holds greater theoretical and practical importance. This study suggests that financial learning and entrepreneurial skills pioneer the development of biotech firms by having a higher speed of innovation. Regarding its implications for public authorities, the substantial need to promote FL and ES is highlighted. Thus public policies extend entrepreneurial skills and financing knowledge by improving the decision-making process.