Transitioning from the Cold War to the War on Terror necessitates organizational changes to make the military more effective, efficient and agile. A stronger entrepreneurial orientation can facilitate these changes. Opportunity recognition (OR) is a key part of acting entrepreneurially. In the military, entrepreneurial behavior and OR can occur at the level of the military business unit, i.e., a distinctive military unit, with its own budget and mission to provide a service or perform a function.

Military opportunities exist to increase benefits or reduce costs through greater added value, new products or services or technology exploitation. Military opportunities involve meeting mission needs through creative combinations of resources to deliver more effective mission performance and/or more efficient delivery. Our key research question is, “How does OR in military business units influence their organizational performance?”