The role of entrepreneurial orientation on farmer’s adoption of crop diversification under climate change: Evidence from rural Pakistan

Climatic shocks cause severe risks and uncertainties to agricultural production in developing countries. Crop diversification is an important strategy to improve farmers’ livelihoods and agricultural productivity during climate change. Existing studies have explored many factors influencing farmers’ decisions to adopt crop diversification practices. However, the role of entrepreneurship orientation (EO) in farmer’s adoption of crop diversification has not received enough attention. This study specifies EO in three dimensions (risk-taking, innovativeness, proactiveness) and first, it examines the impact of EO on farmers’ adoption of crop diversification practices, using the instrumental variable-Probit (IV-Probit) model based on the data collected from farmers in Punjab, Pakistan. The results reveal that EO significantly increases farmers’ adoption of crop diversification practices. Specifically, risk-taking and innovativeness promote farmers’ crop diversification, but proactiveness has a negative impact. We also find that market orientation mediates between EO and farmer’s crop diversification. EO enhances farmers’ market orientation which imposes a positive impact on the adoption of crop diversification. The findings underscore the importance of EO in farmers’ adaptation to climate change in agricultural production. Policymakers can better design training programs to improve farmer’s knowledge and skills from the EO perspectives.

Loại tài liệu:

Article - Bài báo

Tác giả:

Abbas, Karim

Đề mục:

Climate Risk Management

Nhà xuất bản:

Elsevier

Ngày xuất bản:

2025

Số trang/ tờ:

Định dạng:

pdf

Định danh tư liệu:

DOI: https://doi.org/10.1016/j.crm.2025.100709 | ISSN 2212-0963

Nguồn gốc:

Climate Risk Management, Volume 48, 2025, 100709

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The role of entrepreneurial orientation on farmer’s adoption of crop diversification under climate change: Evidence from rural Pakistan

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