Small businesses are important to most economies; therefore, investigation of their
performance is a worthwhile scholarly endeavor. Consistent with previous research, we find
that EO affects small business performance. The findings of this article show that relying
solely on the main-effects-only relationships, however, provides an incomplete picture of
small business performance. A more complete understanding arises from using a configurational approach: the appropriate alignment of an EO, access to capital, and environmental
dynamism. More research needs to be conducted into configurational models, especially
those that involve EO.