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This paper attempts to clarify the role of religion in an informal institutional framework, and its impact on small and medium sized organisations' entrepreneurial strategic orientation. For this purpose a quantitative methodology is implemented. 117 SMEs operating in Istanbul are identified through probability and stratified random sampling. This study enhances the understanding of religion's role in institutional frameworks and consequently SMEs' entrepreneurial strategic orientation behaviour. Findings show that religion is an important component of an informal institutional framework, which influences SMEs' entrepreneurial strategic orientation behaviour. The practical implications are that SMEs operate under religious guidelines, although this is not a required but rather a voluntary alignment. This article will also highlight directions for future research.
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