Entrepreneurial orientation in Polish non-profit organizations: balancing innovation and mission-driven performance

Purpose: This study examines the role of Entrepreneurial Orientation (EO) in Polish non-profit organizations (NPOs), focusing on how EO is implemented within a mission-driven framework, its impact on financial and social performance, and the organizational mechanisms mediating this relationship. Design/methodology/approach: The study adopts a qualitative multiple-case-study approach, analyzing data from ten NPOs operating in the Greater Poland region (Poland). Data collection involved semi-structured interviews, observations, document analysis, and was supported by questionnaire with open-ended questions. Thematic coding was employed to identify patterns in EO adoption and its performance implications. Findings: The findings reveal that EO in NPOs is primarily externally induced, driven by donor expectations, funding environments, and institutional pressures rather than proactive strategic intent. EO exhibits a stronger positive impact on social performance (e.g., mission achievement, stakeholder engagement) than financial performance. Additionally, mission alignment and professionalization emerge as critical mediators, enhancing EO’s effectiveness in achieving social outcomes while mitigating financial instability. Research implications: This study contributes to EO theory by challenging traditional assumptions that EO is an inherent strategic posture. Instead, it conceptualizes EO in NPOs as an adaptive response to external pressures. The findings also extend research on institutional constraints by identifying key organizational mechanisms that shape EO effectiveness in mission-driven contexts. Practical implications: The study highlights the need for NPO managers to integrate EO with mission-driven strategies, strengthen governance and professionalization, and develop hybrid funding models. Policymakers and funders should consider providing more flexible financial support structures to encourage sustainable entrepreneurial initiatives in the non-profit sector. Originality/value: This study provides new insights into EO in NPOs, particularly in a post- transition economy. By differentiating EO’s impact on financial and social performance and identifying organizational mechanisms that enhance EO effectiveness, it advances both theoretical and practical understanding of entrepreneurial behavior in non-profits. Keywords: Entrepreneurial Orientation, Non-Profit Organizations, Social Performance, Financial Performance, Mission Alignment. Category of the paper: research paper.