On the compatibility of benevolence and self-interest: Philanthropy and entrepreneurial orientation

This article investigates the link between entrepreneurial orientation and philanthropic behavior in 270 Lithuanian SMEs. Findings indicate that entrepreneurship and altruistic values co-exist, with owner-managers’ philanthropy driven not only by strategy but also by psychological motivation. The study highlights that philanthropy is relatively common among SME owner-managers, challenging the view that philanthropy sequentially follows wealth generation. It provides evidence that entrepreneurially oriented firms engage in philanthropy even when moderately successful, suggesting that entrepreneurial drive, rather than just resources, correlates with philanthropic activity, particularly in a transition economy context.