The present age is the age of competition over resources and capital and obtaining innovation that leads to economic prosperity of each country depends on entrepreneurship. In fact, entrepreneurship is a concept that is always accompanied by human and plays key role on growth and development of a country. On the other hand, nowadays small and medium size enterprises play key role on social and economic growth and the development process. These enterprises due to having main role on national gross production, play crucial role on solving economic and unemployment problems. The present research examines the relationship between organizational and environmental factors and corporate entrepreneurship and its relationship on environmental, organizational factors and performance of organization. This is quantitative research that benefits from questionnaire and in this way 220 small and medium size enterprises in Sistan and Balouchestan province from the year 2012 to 2013 were examined. Moreover, in order for hypothesis test, it was benefit from structural equation model. Research findings obtained from structural equations revealed that there is significant relationship between organizational factors and environmental factors with corporate entrepreneurship; moreover, there is significant relationship between organizational factors, environmental factors and corporate entrepreneurship with organizational performance and the role mediator variable of entrepreneurship on organizational and environmental factors with performance of organization is confirmed.
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