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1 – 10 of over 26000Ibrahim Alnawas and Allam Abu Farha
This study aims to: first, examine the effect of interaction orientation (IO) and brand orientation (BO) on marketing capabilities and small and medium enterprises' (SMEs'…
Abstract
Purpose
This study aims to: first, examine the effect of interaction orientation (IO) and brand orientation (BO) on marketing capabilities and small and medium enterprises' (SMEs') performance, and second, assess the complementarity effect of IO and BO on marketing capabilities and SMEs' performance.
Design/methodology/approach
A model was developed and tested using a survey methodology. Data were collected from 538 SMEs located in Qatar and analysed by structural equation modelling with AMOS.
Findings
First, IO affects SMEs' performance only indirectly via marketing capabilities, whereas BO affects SMEs' performance both directly and indirectly. Second, contrary to expectations, the complementarity between IO and BO produced a destructive/suppressive effect, rather than a synergistic effect, on both marketing capabilities and SMEs' performance, reflecting the importance of a trade-off to enhance both marketing capabilities and SMEs' performance.
Originality/value
To the authors' knowledge, this is the first paper to examine the complementary effect of BO and IO on marketing capabilities and performance.
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Perengki Susanto, Mohammad Enamul Hoque, Najeeb Ullah Shah, Andel Hopi Candra, Nik Mohd Hazrul Nik Hashim and Nor Liza Abdullah
Small and medium-sized enterprises (SMEs) are an important contributor to emerging countries’ economic growth. However, SMEs have been struggling to sustain their performance in a…
Abstract
Purpose
Small and medium-sized enterprises (SMEs) are an important contributor to emerging countries’ economic growth. However, SMEs have been struggling to sustain their performance in a highly competitive environment. Thus, this study aims to re-examine the effect of SMEs’ entrepreneurial orientation (EO) on firms’ performance during the COVID-19. This study has also studied the moderating role of social media usage and the mediating role of marketing capabilities and social media usage.
Design/methodology/approach
This study used a structured questionnaire for data collection, where the unit of analysis was the manager or owner of SMEs. The data were analyzed using partial least square-structural equation modeling.
Findings
The findings show that an EO has a significant and positive effect on an SME’s performance, but the outcomes are conditional on the role of social media and marketing capabilities. The empirical results reveal that marketing capabilities significantly mediate the relationship between EO and SME performance. In addition, social media usage moderates the relationship between EO and SME performance and it also partially mediates the EO-performance nexus of SMEs. Finally, this study discovers that the EO-Performance nexus of SMEs is serially mediated by social media usage and marketing capabilities.
Research limitations/implications
This study has important implications for SMEs that are seeking to gain a competitive advantage. For example, an SME should deploy market activities through social media channels. In situations such as a pandemic and uncertainty, this could be the most effective tool.
Originality/value
This study builds a theory-based mediation-moderation model to explain the link between EO and SME performance. In explaining mediation-moderation effects, the current study provides insight into EO-performance relationships. Moreover, the current model facilitates exploring whether serial mediation passes through social media usage and market capabilities. Therefore, with new findings, the study extends the literature on serial mediation in the EO-performance of SMEs. Additionally, this study extends the literature on the moderating role of social media on SMEs in Indonesia, which has not been investigated. Besides, the current study adds new insight into the EO-performance of SME in COVID-19 condition.
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Kwabena Abrokwah-Larbi and Yaw Awuku-Larbi
The purpose of this study is to empirically examine the effect of marketing modification on business performance from the perspective of marketing capabilities theory.
Abstract
Purpose
The purpose of this study is to empirically examine the effect of marketing modification on business performance from the perspective of marketing capabilities theory.
Design/methodology/approach
This study employed a survey method to collect data from 225 food processing small- and medium-sized enterprises (SMEs) on the Ghana Enterprise Agency (GEA) registered list in the Eastern Region of Ghana. The effect of marketing modification on the performance of SMEs in the food processing industry was evaluated using a structural equation modeling (SEM) – path analysis.
Findings
According to the study’s findings, marketing modification has a positive and significant impact on the financial performance (FP), customer performance (CP), internal business process performance (IBPP) and learning and growth performance (LGP) of Ghanaian SMEs engaged in food processing. The results of this study also demonstrated the importance of marketing modification determinants, such as marketing resources (MR), cross-functional and interenterprise collaboration (CFIEC), architectural marketing capability (AMC) and marketing strategy decision implementation (MSDI), in achieving food processing SME performance in Ghana.
Research limitations/implications
This current research has its limitation, even though its importance has been mentioned earlier. First, the study can be improved by expanding the sample size through the inclusion of other SMEs from other industries since it is industry specific (i.e. food processing SME). Second, this current study was conducted in Ghana. To compare results, the current study may be replicated in other emerging countries. Third, future research studies may consider how business environmental factors such as technological change (e.g. use of artificial intelligence and machine learning) moderate the relationship between marketing modification and SME performance.
Practical implications
The outcomes of this research study are anticipated to give profitable implications to both academicians and practitioners. For the academic aspect, this study provides an important contribution to marketing modification and performance literature by examining the impact of innovative marketing on the performance of food processing SMEs in Ghana. For practitioners, this study indicates that food processing SME owners/managers must focus on marketing modification to develop their performance. The increase in marketing modification application through marketing capabilities such as MR and CFIEC will enable owners/managers to achieve performance targets.
Social implications
The application of marketing modification among food processing SMEs in Ghana will contribute greatly to their profitability, survival and growth. The growth and survival of food processing SMEs (not limited to food processing SMEs) in Ghana will help in the control of unemployment, which is a major social issue in Ghana.
Originality/value
The study’s findings provide solid support for the marketing capabilities theory. This study also supports the notion that food processing SMEs should perceive marketing modification and its determinants (i.e. MR, CFIEC, AMC and MSDI) as a critical strategic capacity to enhance their performance (i.e. FP, CF, IBPP and LGP). In terms of contribution, this study adds to the body of knowledge already available on marketing modification and business performance, particularly in the setting of an emerging economy.
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Jeffrey Cheah, Sweet Ying Leong and Yudi Fernando
Not all innovative ideas or approaches commonly implemented by larger companies apply to smaller firms in all regions. Innovation that does not imply company achievements might…
Abstract
Purpose
Not all innovative ideas or approaches commonly implemented by larger companies apply to smaller firms in all regions. Innovation that does not imply company achievements might exhaust their limited resources and cause the market to be uncompetitive. This paper aims to answer two research questions: (1) Do innovation strategies, such as process, marketing and social innovation, affect the performance of small- and medium-sized enterprises (SMEs)? (2) Does company size moderate the relationship between social and marketing innovations with SMEs' performance?
Design/methodology/approach
This paper proposed three innovation strategies (i.e. social, marketing and process innovations) influencing Malaysian SMEs' performance. There were 123 valid respondents from SMEs, and the data were analysed using a structural equation modelling partial least square (SEM-PLS) technique.
Findings
The research findings advocate that process innovation directly impacts SMEs' performance, not marketing innovation. Interestingly, the influence of social innovation on organisation performance is only significant when the company size becomes more prominent. Companies can provide consistent and continuous social enhancement that arouses public trust and reputation with more resources and capabilities. Also, smaller companies might concentrate their scarce resources on process innovation with instant beneficial potential instead of a sophisticated marketing strategy.
Originality/value
There is limited empirical research examining how different innovation strategies, especially social innovation, affect SMEs' performance in developing countries. Furthermore, the second-generation analysis (PLS-SEM) technique provides more systematic and comprehensive results.
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Ismail Abdi Changalima, Baraka Israel, David Amani, Faustine Peter Panga, Shadrack Samwel Mwaiseje, Alban Dismas Mchopa, Isaac Kazungu and Ismail Juma Ismail
This study aims to examine the influence of procedural capabilities for public procurement participation on small and medium enterprises’ (SMEs) sales performance in Tanzania…
Abstract
Purpose
This study aims to examine the influence of procedural capabilities for public procurement participation on small and medium enterprises’ (SMEs) sales performance in Tanzania. Also, the study establishes the interaction effect of internet marketing capabilities on the relationship between procedural capabilities and sales performance.
Design/methodology/approach
The authors conducted confirmatory factor analysis and PROCESS macro for simple interaction analysis to analyse cross-sectional data that were obtained through questionnaire from surveyed SMEs’ managers. The included SMEs are those that are involved in supplying goods, services and works to public entities in Dodoma, Tanzania.
Findings
The findings reveal that procedural capabilities for participation in public procurement enhance SMEs to improve sales performance. Also, there is a significant and positive relationship between internet marketing capabilities and sales performance. Lastly, internet marketing capabilities strengthen the relationship between procedural capabilities and sales performance.
Social implications
This study is a wake-up call to SMEs to better comprehend public procurement procedures and e-business practices to use the available public procurement opportunities. It is argued that SMEs should invest in technology to market their businesses through social media and online platforms. According to the study, SMEs may benefit from improving their sales performance by fully utilising their internet marketing capabilities and participating in public procurement opportunities.
Originality/value
This study adds to the two main streams of literature that emphasise harnessing public procurement opportunities for SMEs (through public procurement participation) and leveraging internet marketing capabilities for SMEs to improve their sales performance.
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Wisdom Apedo Deku, Jiuhe Wang and Narain Das
Small and medium enterprises (SMEs) do not need only traditional marketing strategies in the dynamic business environment of the manufacturing sector. Entrepreneurial marketing…
Abstract
Purpose
Small and medium enterprises (SMEs) do not need only traditional marketing strategies in the dynamic business environment of the manufacturing sector. Entrepreneurial marketing dimension (EMD) is an alternative marketing approach for SMEs. Therefore, this paper aims to investigate whether EMD innovation has a positive and significant effect on SMEs performance on Ghanaian Halal food and beverages.
Design/methodology/approach
Correlative descriptive research method was used and 432 questionnaires with five-point Likert scale were distributed among owners-managers of manufacturing sectors of Ghanaian Halal food and beverages SMEs producers were chosen by a simple random sampling method. Structural equations modelling structural equations modelling techniques was used to analyse data.
Findings
The result of data analysis indicates a positive and significant effect of EMD on manufacturing SMEs performances of Halal food. Nevertheless, the effect of EMD on the production performance of the aforementioned companies is confirmed positive. The findings also show that production performances of Halal food SMEs result in their financial performance.
Research limitations/implications
The study’s sample is limited to Halal food SMEs manufacturing in Ghana. More research can be done investigating this relationship from different sectors and in Islamic and non-Islamic countries.
Practical implications
This research implies that Halal food SMEs manufacturing producers in a country is imperative in Muslim-minority countries. This study gives a benchmark for the non-Muslim-majority countries which endeavour to embark on the Halal SMEs manufacturing food. Muslim-minority countries that envision to succeed in the global Halal market could emulate Ghana’s approach in branding itself as a recognised non-Muslim-majority country in producing Halal foods. This can be done by implementing innovative, proactive, opportunist, risk-taking and customer-oriented initiatives to achieve better market and innovative performances and higher profits.
Originality/value
This paper fills a knowledge gap by presenting the first comprehensive overview of Halal food SMEs manufacturing performance research that enhances the ongoing discussion in hospitality, entrepreneurship and marketing fields in Islamic and non-Islamic contexts.
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Vera Butkouskaya, Joan Llonch-Andreu and María-del-Carmen Alarcón-del-Amo
Taking the customer-centric nature of integrated marketing communications (IMC), this article investigates the specific role of customer performance in IMC effectiveness in…
Abstract
Purpose
Taking the customer-centric nature of integrated marketing communications (IMC), this article investigates the specific role of customer performance in IMC effectiveness in various size companies applying inter-country context.
Design/methodology/approach
The sample consists of the primary data from developed (Spain) and developing (Belarus) economies. A total of 540 manager respondents participated in the survey. The article uses structural equation modeling and multi-group analysis for analysis.
Findings
When taking into consideration, customer performance affects the IMC outcome on the market and financial performance. The customer performance role varies in firms of various sizes and small- and medium -sized enterprises (SMEs) operating both in developed and developing economies.
Research limitations/implications
The research underlines the significant role of customer performance in IMC implementation, which stimulates further investigation on the topic. It also closes the gap in the IMC outcomes analysis in SMEs operating in developed and developing economies.
Practical implications
Customer evaluation plays a vital role in the IMC outcomes for market growth and financial returns. SMEs and larger companies implement IMC with different levels of effectiveness. SMEs with IMC implementation can gain an advantage over larger rivals and improve their market position. Moreover, the study generalizes the results by applying inter-country context.
Originality/value
This is a pioneering study of the complex IMC outcomes model under firms' size moderate conditions. The research applies an inter-country context.
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Roseline Barbara Easmon, Adelaide Naa Amerley Kastner, Charles Blankson and Mahmoud Abdulai Mahmoud
The purpose of this paper is to understand the direct impact of social capital and the influence of market-based capabilities as intervening variables on the export performance of…
Abstract
Purpose
The purpose of this paper is to understand the direct impact of social capital and the influence of market-based capabilities as intervening variables on the export performance of small and medium-sized enterprises (SMEs) in Ghana.
Design/methodology/approach
Questionnaire-based survey was used to collect data from top executives and senior managers of exporting companies in Ghana. Data obtained were analysed using the structural equation modelling.
Findings
The findings revealed that social capital of SMEs exert the greatest influence on their export performance. Innovation and marketing capabilities are also key drivers of export performance among SMEs as they fully mediate the social capital–export performance relationship. Notwithstanding, marketing capabilities appear to exert a greater influence than innovation capabilities on the export performance of SMEs.
Research limitations/implications
The study used perceptual measures of international performance by managers of SMEs in the Ghanaian exporting sector making it difficult to determine respondent bias.
Practical implications
Managers of exporting firms should build stronger relationships with their customers and suppliers who contribute significantly to their export performance. SMEs would also have to hone their innovation and marketing skills as strategic components in enhancing their export performance.
Social implications
Market-based resources such as marketing and innovation should not be taken for granted by SMEs in the export business.
Originality/value
The study offers some lessons on how small firms can sharpen their marketing and innovation capabilities to derive export performance benefits from social capital. Theoretically, while the findings offer strong evidence reinforcing the DC theory, an exploration of the nexus of the theories brings to the fore the need to reassess the resource-based view and SC theories.
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Mohammad Iqbal, Mukhammad Kholid Mawardi, Brillyanes Sanawiri, Rizal Alfisyahr and Ina Syarifah
This study aims to investigate the ways that human capital influences the strategic orientation variables entrepreneurial orientation (EO) and market orientation (MO), which…
Abstract
Purpose
This study aims to investigate the ways that human capital influences the strategic orientation variables entrepreneurial orientation (EO) and market orientation (MO), which ultimately leverage the firm performance of small and medium enterprises (SMEs) in Indonesia.
Design/methodology/approach
This study used a quantitative method with a total of 274 SMEs in the Regency of Gresik, East Java, Indonesia, as the observable population. Furthermore, the identified samples obtained through the random sampling technique were determined using the Slovin formula with 163 SMEs used for analysis. As the means of analysis, this study used a statistical approach by using PLS-SEM statistics from SmartPLS software. This analytical tool has been proven to be a robust statistical tool that has been used in many marketing studies.
Findings
This study found that human capital is a key determinant of EO and MO as strategic orientations of SMEs. Furthermore, this study highlighted that SMEs’ strategic orientations (i.e. EO and MO) provide a valuable thrust that leverages firm performance. Moreover, the role of human capital in leveraging firm performance was found to be significant with the role of the joint effect of EO and MO as mediator. This implies that human capital is not solely a single determinant that leverages SMEs’ performance.
Research limitations/implications
There are few aspects of limitations in this research that could be enhanced by other scholars in the discipline of entrepreneurship. First, the strategic orientation concept being indicated by EO and MO had yet to provide a comprehensive view of strategic orientation. Second, this research used samples that represent the traditional furniture cluster in East Java and had yet to explore other clusters such as food processing and services cluster which may be relevant to the context of SMEs in Indonesia.
Practical implications
As a practical implication, this study would benefit policymakers in Indonesia, such as the Ministry for Cooperatives and SMEs to provide assistance to SMEs to progressively nurture capacity-building through formal and informal education to leverage human capital. Moreover, it could benefit other relevant businesses, such as national banks in Indonesia whose interests are significant, especially in providing financial access to SMEs in Indonesia.
Social implications
The social implication of this research lay the focus on the suggestion by which SMEs must be able to optimize their capabilities by enhancing levels of human capital particularly for traditionally managed SMEs. The ability to survive external pressures for would be able to contribute to the social well-being of their society as many people are dependent heavily in the operation of the SMEs.
Originality/value
The significance of this study is twofold. Although the use of human capital as a determinant of firm performance has been discussed in the literature, few studies to date has sought to predict human capital with EO and MO as mediators of firm performance. Furthermore, the joint impact of EO and MO as a strategic orientation needs to be holistically explored and explained, particularly in an emerging economy context.
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Kamal Hossain, Ahmad Sufian Che Abdullah, Mohd Abd Wahab Fatoni Mohd Balwi, Asmuliadi Lubis, Noor Azlinna Azizan, Mohammad Nurul Alam and Azni Zarina Taha
This study aims to examine the effect of entrepreneurial orientation (EO) on the export performance of apparel small- and medium-sized enterprises (SMEs) and the role of multiple…
Abstract
Purpose
This study aims to examine the effect of entrepreneurial orientation (EO) on the export performance of apparel small- and medium-sized enterprises (SMEs) and the role of multiple differentiation strategy as a mediation effect between their relationships. It has also investigated the moderation impact of export market category between EO and performance relationship. The multiple differentiation strategy comprises the product (PDD), customer (CTD), service (SVD) and brand (BDD) differentiations.
Design/methodology/approach
A cross-sectional survey was carried out by providing a questionnaire to senior managers and owners of the apparel SMEs from the developed and developing markets exporters. The primary data of 550 was treated by the partial least squares-structural equation modelling) technique for final analysis.
Findings
The study revealed EO’s positive and significant effect on SMEs’ export performance. The study has found the mediation effect of product, customer and brand differentiation strategies between EO and export performance relationships from the mediation analysis. In contrast, service differentiation has found no mediation effect. However, the moderation effect (export market category) has revealed an insignificant effect between EO and performance association.
Research limitations/implications
The findings of this study are based on one country data analysis. This study has been conducted in the SMEs of the apparel industry in Bangladesh, considering only owners and senior-level managers of the firms.
Originality/value
This research has drawn the attention of managers/owners to EO and multiple differentiation strategies enhancing export performance from the developing country context, such as Bangladesh. Multiple differentiation as a competitive strategy is the pioneer application of mediating effect between EO and export performance relationships. Moreover, this research has investigated the effect of the export market category as a moderator. Dearth research has applied the export market category to investigate the moderation effect between EO-performance models. Therefore, current research has theoretical and practical contributions to the international entrepreneurship and strategic management literature.
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