Entrepreneurial Orientation, MSME Growth and the Mediating Role of Firm Strategic Capabilities in the Manufacturing Sector in Nairobi County, Kenya

2021 ◽  
Vol 9 (02) ◽  
pp. 07-29
Author(s):  
John K. Mosonik ◽  
Loice C. Maru ◽  
Joyce K. Komen
Keyword(s):  
Entrepreneurial Orientation ◽  
Firm Growth ◽  
Developing Economies ◽  
Manufacturing Sector ◽  
Pearson Correlation ◽  
Target Population ◽  
Mediating Effect ◽  
Cross Sectional ◽  
Strategic Capabilities ◽  
The Relationship

Growth among Micro, Small and Medium-sized Enterprises (MSME) is of eminence to economic progression in both developed and developing economies, credited for employment creation, driving innovation and contribution to Gross Domestic Product (GDP) in both contexts. Whereas entrepreneurial orientation has been identified to underpin MSME growth, several studies on entrepreneurial orientation -growth nexus have provided mixed results based on the aggregated one-dimensional measure of entrepreneurial orientation. While some report a significant association, some report no significance. The mixed findings imply that the relationship between entrepreneurial orientation and growth is not linear, pointing to other causal factors either internal or external to the enterprise. against this backdrop, this study set out to assess the mediating effect of firm strategic capabilities on the relationship between entrepreneurial orientation and growth of manufacturing sector MSMEs in Kenya. Anchored on the contingency fit view, the resource-based view and the life-cycle theory, the study adopted a positivist approach, employing the explanatory research design of a cross sectional nature. With a target population of 98,607, a stratified sample of 384 MSMEs from the manufacturing sector in Nairobi County was drawn. Data was collected by use of structured questionnaires and analyzed by both descriptive and inferential statistics including Pearson correlation and regression analyses. The study controlled for both age and sub-sector, as they have been previously found to affect firm growth. Results indicate that entrepreneurial orientation has a significant effect on firm strategic capabilities (β = .276, p = .000<.05). The study also found that firm strategic capabilities have a significant effect on MSME growth at 95% confidence level (β = .124, p = .026<.05). Firm strategic capabilities did not however have a significant mediating effect on the relationship between entrepreneurial orientation and MSME Growth (β = .0617, p = 111>.05; LLCI=-.0020; ULCI=.0273). The study concludes that among MSMEs in the manufacturing sector in Kenya, innovative, risk tolerant and proactive owners/managers are likely to achieve growth, regardless of their strategic capabilities. It is recommended that MSME owners/managers innovate, take risks and stay proactive in their businesses in order to grow. It is also recommended that strategic policy decisions of MSMEs should focus on enhancing their positions in respect of innovativeness, proactiveness and risk propensity.

Financial service outreach correlates

2015 ◽  
Vol 42 (4) ◽  
pp. 404-420 ◽  
Author(s):  
Stephen Korutaro Nkundabanyanga ◽  
Julius Opiso ◽  
Waswa Balunywa ◽  
Isaac Nabeeta Nkote
Keyword(s):  
Risk Taking ◽  
Pearson Correlation ◽  
Financial Service ◽  
Mediating Effect ◽  
Mediation Effect ◽  
Microfinance Institutions ◽  
Cross Sectional ◽  
Content Type ◽  
Managerial Competence ◽  
The Relationship

Purpose – The purpose of this paper is to establish the relationship between managerial competence, managerial risk-taking behaviour and financial service outreach of microfinance institutions (MFIs). Design/methodology/approach – In this cross-sectional and correlational study, the authors surveyed 52 branches of MFIs from a population of 60 branches of 20 MFIs in eastern Uganda. Two respondents, a branch manager and a senior loan officer, were the units of enquiry for each branch. The authors put forward and tested four hypotheses relating to the significance of the relationship between perceived managerial competence, risk-taking behaviour and financial service outreach using SPSS version 20. The authors established the hypothesized relationships using Pearson correlation coefficients and obtain a mediating effect of risk-taking behaviour using partial corrections and regression analysis. Findings – The results suggest positive and significant relationships between perceived managerial competence, risk-taking behaviour and financial service outreach. However, while the direct relationship between managerial competence and financial service outreach without the mediation effect of risk-taking behaviour of managers was found to be significant, its magnitude reduces when mediation of risk-taking behaviour is allowed. Thus the entire effect does not only go through managerial competence but majorly also, through risk-taking behaviour of managers. Research limitations/implications – This study did not control for environmental factors such as laws and regulations. As such the model may have been under fitted. Nevertheless, the study has introduced a clearer understanding that outreach performance in MFIs rests with competent managers in strategic positions operating in synergy with their risk-taking behaviour. The study informs policy makers that outreach performance of the MFIs depends on the quality of the competence managers have in addition to their risk-taking propensities. Practical implications – Efforts by the stakeholders to improve financial service outreach must be matched with appropriate competences and risk-taking behaviour of managers. Originality/value – The results contribute to extant literature by investigating two explanatory variables for financial service outreach and provide initial evidence of the mediating effect of intrinsic high risk-taking behaviour of managers. Results add to the conceptual improvement in risk-taking behaviour and lend considerable support for the behavioural perspective in the study of financial service outreach of MFIs.

The Effect of Microfinance on Poverty Reduction in Developing Economies

2019 ◽  
pp. 575-591
Author(s):  
Christopher Boachie
Keyword(s):  
Poverty Reduction ◽  
Developing Economies ◽  
Positive Impact ◽  
Target Population ◽  
Cross Sectional Survey ◽  
Cross Sectional ◽  
Credit Access ◽  
Access To Credit ◽  
Microfinance Institution ◽  
The Relationship

The study explores the contributions of microfinance to poverty reduction. The study used a descriptive design to establish the relationship between sales performance and access to credit in the SME sector in Ghana. Cross sectional survey was used to gather relevant data. The target population was the micro businesses in Madina in Ghana with a sample size of 200. The study reveals that microfinance has a positive impact on micro businesses. There exist a significant relationship between microfinance and sales. It was also found out that, the dependency burdens on micro entrepreneurs coupled with the low credit access from the microfinance institution for productive activities lead them to deploy the credit to meet the demand of both the business and household.

The Effect of Microfinance on Poverty Reduction in Developing Economies

2016 ◽  
pp. 240-256 ◽  
Author(s):  
Christopher Boachie
Keyword(s):  
Poverty Reduction ◽  
Developing Economies ◽  
Positive Impact ◽  
Target Population ◽  
Cross Sectional Survey ◽  
Cross Sectional ◽  
Credit Access ◽  
Access To Credit ◽  
Microfinance Institution ◽  
The Relationship

The study explores the contributions of microfinance to poverty reduction. The study used a descriptive design to establish the relationship between sales performance and access to credit in the SME sector in Ghana. Cross sectional survey was used to gather relevant data. The target population was the micro businesses in Madina in Ghana with a sample size of 200. The study reveals that microfinance has a positive impact on micro businesses. There exist a significant relationship between microfinance and sales. It was also found out that, the dependency burdens on micro entrepreneurs coupled with the low credit access from the microfinance institution for productive activities lead them to deploy the credit to meet the demand of both the business and household.

scholarly journals Does employee perceptions of fit to job, fit to organisation and fit to community influence job performance? The case of Zimbabwe’s manufacturing sector

2013 ◽  
Vol 11 (1) ◽  
Author(s):  
Richard Chinomona ◽  
Manilall Dhurup ◽  
Elizabeth Chinomona
Keyword(s):  
Job Performance ◽  
Survey Design ◽  
Manufacturing Sector ◽  
Target Population ◽  
Cross Sectional Study ◽  
Job Embeddedness ◽  
Job Fit ◽  
Cross Sectional ◽  
Managerial Implications ◽  
The Relationship

Orientation: The influence of the fit components of job embeddedness (fit to job, fit to organization and fit to community) on job performance has not been extensively researched and the relationship is largely unknown.Research purpose: This study investigated the influence of the fit components of job embeddedness (employee fit to job, fit to organization and fit to community) on employees’ job performance.Motivation for the study: There is a dearth of studies on the fit components of job embeddedness and the relationship with job performance in developing countries especially in Southern Africa.Research design, approach and method: This cross-sectional study made use of a quantitative survey design. The target population comprised employees working in Zimbabwe’s manufacturing sector (n = 452).Main findings: The results revealed that employee fit to job, fit to organization and fit to community positively influences employees’ job performance.Practical/managerial implications: The findings have implications for human resource managers in Zimbabwe’s manufacturing sector, who are encouraged to consider the three fit factors of job embeddedness during the job applicants interviewing process as they have a significant potential to influence job performance.Contribution/value-addition: The research is one of the primary research papers to investigate the direct effects of the fit components of job embeddedness on employee job performance within the Zimbabwean context. It provides a rich platform for further studies and replication in other industry sectors especially within the African context.

scholarly journals Effect of ethical leadership on employee performance in uganda

2014 ◽  
Vol 1 (4) ◽  
pp. 245-263
Author(s):  
Peter Adoko Obicci
Keyword(s):  
Public Sector ◽  
Ethical Leadership ◽  
Employee Performance ◽  
Practical Implication ◽  
Pearson Correlation ◽  
Target Population ◽  
Cross Sectional ◽  
The Public ◽  
Data Regression ◽  
The Relationship

This study investigated the effects of ethical leadership on employee performance in the public sector in Uganda. A target population of 160 employees was surveyed. A structured questionnaire was self-administered to the employees to collect the data. Regression analysis and Pearson correlation coefficient were used to explain the nature of the relationship between ethical leadership and employee performance and the effects thereof. Results of the study reveal thatemployee performance is greatly influenced by ethical leadership. These have both policy and managerial policy which is discussed here. This study is limited by being cross-sectional in nature and considered only one sector in one country and therefore cannot be generalized to other sectors and countries. Practical implication is that ethical leadership in public sector needs to be promoted at a top level and leaders have to behave ethically. This is the first study of this nature conducted in Uganda focusing on the effects of ethical leadership on employee performance.

scholarly journals THE MEDIATING EFFECT OF FINANCE ON THE RELATIONSHIP BETWEEN SMES' INTERNAL GROWTH STRATEGY AND EXPORT PERFORMANCE

2021 ◽  
Vol 3 (9) ◽  
pp. 288-312
Author(s):  
Tajudeen Shehu Adebayo ◽  
Jubril Salaudeen
Keyword(s):  
Developing Economies ◽  
Export Performance ◽  
Foreign Market ◽  
Growth Strategy ◽  
Mediating Effect ◽  
Mediation Effect ◽  
Growth Strategies ◽  
Cross Sectional ◽  
The Relationship ◽  
Productivity Enhancement

Research on the role of small and medium enterprises (SMEs) in economic growth and development has focused more in recent times on determinants of SMEs’ export performance (EP). However, as much attention is being given to investigating the effect of finance on SMEs’ performance, its impact as a mediating factor in the relationship between firms’ internal growth strategies and export performance indicators, has not been sufficiently established in most developing economies including Nigeria. The present study thus examines this gap in a multi-stage, cross-sectional and purposive survey of 285 owners/managers of SME firms in Lagos, Oyo, and Osun with the highest numbers of SMEs in Nigeria. The empirical data collected were processed and analysed with multiple regression and correlation methods on PASW Statistics 18. The result shows internal growth strategy impacting positively and significantly on EP through entrepreneurial orientation, employees’ productivity enhancement programs, marketing philosophy, resources, and export risk management. Similarly, positive and significant effects of finance on EP were established through firms’ access to credits and start-up capital, terms of loans, and financing mechanisms for export facilitation. Essentially, the study detected evidence of the mediation effect of finance as a significant factor in the relationship between SMEs’ internal growth strategy and export performance in southwest Nigeria. The three hypotheses tested were thus, rejected and recommendations made to SMEs’ stakeholders & government to strengthen entrepreneurial ingenuity, employees’ productivity enhancement, SMEs’ financial inclusion, and long-term strategic management in the areas of SMEs’ competitive advantage and positioning strategies in the foreign market.

scholarly journals Serial-Multiple Mediation of Job Burnout and Fatigue in the Relationship Between Sickness Presenteeism and Productivity Loss in Nurses: A Multicenter Cross-Sectional Study

2022 ◽  
Vol 9 ◽  
Author(s):  
Yuxin Li ◽  
Bingmei Guo ◽  
Yongchao Wang ◽  
Xiaoyan Lv ◽  
Rong Li ◽  
...  
Keyword(s):  
Pearson Correlation ◽  
Productivity Loss ◽  
Maslach Burnout Inventory ◽  
Job Burnout ◽  
Mediating Effect ◽  
Average Score ◽  
Cross Sectional ◽  
Sickness Presenteeism ◽  
Health Related ◽  
The Relationship

Background:In China, sickness presenteeism, job burnout, and fatigue are common among nurses during the COVID-19 pandemic. We propose the prevalence of sickness presenteeism can adversely affect nurses' physical and mental health, negatively impact their work productivity and quality, and pose a threat to patients' safety. Therefore, this study examines the mechanism of productivity loss caused by sickness presenteeism, fatigue, and job burnout.Objectives:To investigate the serial-multiple mediating effect of job burnout and fatigue in the relationship between sickness presenteeism and productivity loss among nurses.Methods:A multicenter cross-sectional survey was undertaken by administering an online questionnaire from December 2020 to May 2021. Stratified cluster sampling was used to include 3,491 nurses from 14 hospitals in Shandong Province, China. Variables were measured using the Sickness Presenteeism Questionnaire, Stanford Presenteeism Scale, Chalder Fatigue Scale, and Maslach Burnout Inventory. Data analyses were carried out using descriptive statistics, one-way analysis of variance, independent-samples t-test, Pearson correlation analysis, hierarchical regression, and bootstrapping method.Results:From the 3,491 nurses who volunteered in this online survey, only 2,968 valid questionnaires were returned. Sickness presenteeism exhibited a prevalence of 70.6% during the COVID-19 pandemic. The average score of health-related productivity loss was 15.05 ± 4.52, fatigue was 8.48 ± 3.40, and job burnout was 39.14 ± 19.64. Sickness presenteeism was positively associated with fatigue and job burnout while job burnout was positively associated with nurse fatigue. Sickness presenteeism, fatigue, and job burnout were also positively correlated with health-related productivity loss. Statistically significant paths via the single mediation of fatigue and job burnout were established. A statistically significant serial-multiple mediating effect of fatigue and job burnout on the association between sickness presenteeism and productivity loss accounted for 35.12% of the total effect size.Conclusions:There was a high incidence of sickness presenteeism and job burnout among Chinese nurses. High-frequency sickness presenteeism may result in increased productivity loss through the two mediating effects of fatigue and job burnout. Sickness presenteeism may increase fatigue, promote job burnout, and result in increased productivity loss among Chinese nurses during the COVID-19 pandemic.

Structural Mediation Model of Information System and Sustainable Performance of UAE Manufacturing Sector

2020 ◽  
Vol 11 (2) ◽  
Author(s):  
Mohamed Ahmed Darwish Abdulla Larii ◽  
◽  
Fatma Ahmed Lari ◽  
Mohamed Ahmed Darwish Abdulla Lari ◽  
◽  
...  
Keyword(s):  
Information System ◽  
Manufacturing Sector ◽  
Organisational Culture ◽  
The Body ◽  
Mediating Effect ◽  
Operational Performance ◽  
Manufacturing Companies ◽  
Mediation Model ◽  
Sustainable Performance ◽  
The Relationship

This study intends to find out the mediating effect of organisational culture on the relationship between information system and sustainable performance of manufacturing sector in UAE. This study used AMOS-SEM software to develop mediation model that linking the mediating relationships between Information System, Organisational Culture and Sustainable operation Performance. Data was collected through questionnaire survey among the operation staff of Abu Dhabi manufacturing companies. A total 250 questionnaires were distributed however 205 were returned and only 200 are valid which indicates a response rate of 80%. The analysis found that TPS has positive but not significant effect to SP; OIS has positive but not significant effect to SP; FMW has a positive and significant effect on SP; SDS has a negative and not significant effect to SP and SP has positive but not significant effect OC. For the path relationship between the four exogenous variables (TPS, OIS, SDS, and FMW) and the mediator variable (OC), the results are TPS has positive and significant effect to OC; OIS has positive but not significant effect to OC; FMW has positive and significant effect to OC and SDS has positive and not significant effect to OC. Collectively, the five exogenous constructs (TPS, OIS, SDS, FMW and OC) explained 89% variation in operational performance and 86% of the variation in organisational culture. However, for a mediator, it was found that OC has no significant mediating effect on the relationship between TPS and SP; OC has no significant mediating effect on the relationship between OIS and SP; OC has no significant mediating effect on the relationship between SDS and SP and OC has no significant mediating effect on the relationship between FMW and SP. it can be concluded that there is a positive relationship between information system dimensions and operational performance. However organizational culture has no contributing any mediating effect to the relationship. These findings have contributed to the body of knowledge and could be shared among the UAE manufacturing practitioners.

Leader positive humor and organizational cynicism: LMX as a mediator

2014 ◽  
Vol 35 (4) ◽  
pp. 305-315 ◽  
Author(s):  
Panagiotis Gkorezis ◽  
Eugenia Petridou ◽  
Panteleimon Xanthiakos
Keyword(s):  
Mediating Effect ◽  
Hierarchical Regression ◽  
Public Employees ◽  
Cross Sectional ◽  
Content Type ◽  
Organizational Cynicism ◽  
Member Exchange ◽  
Sectional Analysis ◽  
The Impact ◽  
The Relationship

Purpose – Leader-member exchange (LMX) has been proposed as a core mechanism which accounts for the impact of various antecedents on employee outcomes. As such, the purpose of this paper is to examine the mediating effect of LMX regarding the relationship between leader positive humor and employees’ perceptions of organizational cynicism. Design/methodology/approach – Data were collected from 114 public employees. In order to examine the authors’ hypotheses hierarchical regression analysis was conducted. Findings – As hypothesized, results demonstrated that LMX mediates the relationship between leader positive humor and organizational cynicism. Research limitations/implications – Data were drawn from public employees and, therefore, this may constrain the generalizability of the results. Also, the cross-sectional analysis of the data cannot directly assess causality. Originality/value – This is the first empirical study to examine the mediating effect of LMX in the relationship between leader humor and employees’ perceptions of organizational cynicism.

Property rights and investment: the mediating effect of contract enforcement

2017 ◽  
Vol 59 (1) ◽  
pp. 21-34
Author(s):  
Ziade Hailu ◽  
Isaac N. Nkote ◽  
John C. Munene
Keyword(s):  
Property Rights ◽  
Goodness Of Fit ◽  
Addis Ababa ◽  
Mediating Effect ◽  
Mediation Effect ◽  
Contract Enforcement ◽  
Design Data ◽  
Cross Sectional ◽  
Content Type ◽  
The Relationship

Purpose The purpose of this paper is to empirically test whether enforceability mediates the relationship between property rights and investment in housing, using data from land formalization project in Addis Ababa, Ethiopia. Design/methodology/approach The study was cross-sectional in design; data were collected from a sample of 210 households that benefited from the recent Addis Ababa city land and buildings formalization project. Confirmatory factor analysis was used to assess the goodness-of-fit of the latent structures underlying the constructs. Mediation was tested using the Baron and Kenny steps, combined with bootstrapping technique. Robustness of results was checked. Findings The results indicate statistically significant mediation effect of contract enforcement. However, the mediation is partial, there is still a substantial direct effect of security of property rights on investment. Practical implications Any initiative to land formalization projects needs to consider contract enforcement environment, as presence and size of property rights effects largely depend on whether those rights are properly enforced. Originality/value This is the first study that conceptualizes the mediating effect of contract enforcement on the relationship between property rights and investment from an African country perspective.

Sign in / Sign up

Export Citation Format

Share Document