The Role of Dynamic Capability in Mediating The Effects of Environmental Dynamism and Managerial Capabilities on Firm Performance: a Preliminary Study

2020 ◽  
Vol 1 (2) ◽  
pp. 70
Author(s):  
Adrian Permana ◽  
Lena Ellitan
Keyword(s):  
Firm Performance ◽  
Significant Influence ◽  
Dynamic Capabilities ◽  
Small And Medium Enterprises ◽  
Sem Analysis ◽  
Product Knowledge ◽  
Environmental Dynamism ◽  
Technology Advancement ◽  
Medium Enterprises ◽  
Managerial Capabilities

Small and Medium Enterprises (SMEs) face many challenges from the coming rapid changes such as technology advancement, competitions, limitations and supports from government regulations, and limitations in terms of capital supply, product knowledge, and company management. Building and maintaining the firm performance of SMEs can be achieved through external factors (environmental dynamism) and internal factors (managerial capabilities). By using the dynamic capabilities as an intervening variable, it is expected to have an impact on firm performance by measuring the perceptive from owners or managers of SMEs. By using PLS-SEM analysis, the selected samples in this study consisted of 30 owners or managers of SMEs from Surabaya, Indonesia. The results indicated that the environmental dynamism and managerial capabilities have a significant influence on firm performance with dynamic capabilities as the intervening variables. Environmental dynamism also has a significant influence on firm performance. Meanwhile, managerial capabilities do not have a significant influence on firm performance.

Strategic flexibility and SME performance in an emerging economy

2014 ◽  
Vol 27 (2) ◽  
pp. 273-298 ◽  
Author(s):  
Hai Guo ◽  
Zhi Cao
Keyword(s):  
Firm Performance ◽  
Emerging Economies ◽  
Dynamic Capabilities ◽  
Small And Medium Enterprises ◽  
Strategic Flexibility ◽  
Content Type ◽  
Managerial Ties ◽  
Contingency View ◽  
Medium Enterprises ◽  
Dynamic Capabilities Perspective

Purpose – This study aims to address the following question: when strategic flexibility can be most beneficial to small and medium enterprises (SMEs) in the context of emerging economies. Design/methodology/approach – Drawing on dynamic capabilities perspective, this study builds a contingency model and examines it with survey data collected from 166 SMEs in China. Findings – This study finds that the relationship between strategic flexibility and firm performance is extensively moderated by external (competitive intensity and environmental munificence), internal (resource combination activities), as well as bridging factors (managerial ties). Originality/value – The findings contribute to the contingency view of strategic flexibility and firm performance research by incorporating insights from the dynamic capabilities perspective and by expanding the scope of existing research to emerging economies.

scholarly journals An effect of credit to entrepreneurship and micro small and medium enterprises performance in Jambi Province

2021 ◽  
Vol 9 (5) ◽  
pp. 433-446
Author(s):  
Etik Umiyati ◽  
Zulfanetti Zulfanetti
Keyword(s):  
Significant Influence ◽  
Indirect Effect ◽  
Random Sampling ◽  
Small And Medium Enterprises ◽  
Positive Influence ◽  
Business Owners ◽  
Sem Analysis ◽  
Medium Enterprises

This research aimed at analyzing 1) an effect of micro small and medium enterprises on entrepreneurship activity, 2) an effect of micro small and medium enterprises on its performance, 3) an effect of entrepreneurship on micro small and medium enterprises performance, 4) an indirect effect of micro small and medium enterprises credit to micro small and medium enterprises through Jambi Province. This research is conducted in Jambi Province by sampling approximately 276 business owners selected according to regional representatives with purposive random sampling. PLS-SEM analysis is used in this research in which the results are 1) micro small and medium enterprises credit has a positive and significant influence on entrepreneurship, 2) micro small and medium enterprises credit has a positive and significant to micro small and medium enterprises performance, 3) micro small and medium enterprises credit has significantly positive influence to micro small and medium enterprises performance, 4) the effect of entrepreneurship to micro small and medium enterprises performance are significantly positive.

scholarly journals Small and Medium Enterprises in Mexico and the Craft Beer Sector in Baja California: Dynamic Capabilities, Culture, and Innovation

2022 ◽  
Vol 7 (1) ◽  
pp. 166-203
Author(s):  
Araceli Almaraz
Keyword(s):  
Knowledge Management ◽  
Dynamic Capabilities ◽  
Baja California ◽  
Small And Medium Enterprises ◽  
Symbolic Capital ◽  
Business Environment ◽  
Capabilities Approach ◽  
Theoretical Frameworks ◽  
Craft Beer ◽  
Medium Enterprises

This article studies how Small and Medium Enterprises (SMEs) operating in emerging economies implement adaptative strategies to respond to constant changes in demand and global uncertainties, such as those stemming from the current SARS-COV2 pandemic. In this study the knowledge management capabilities used by SMEs in the craft beer sector in a region of northern Mexico are the focus of analysis. The objective is to present the competitive capabilities that craft beer sector has demonstrated in Baja California region and how small companies compete with the national industrial brewery and survive. Sources are data from a sample of companies and interviews with brewery owners, with which the analysis approaches, also, the Baja California business environment. The article highlights the routes of creativity, innovation, and symbolic capital of the companies in the region, and uses ideas from dynamic capabilities and knowledge management theoretical frameworks, to understand the craft brewery milieu. The conclusions in this article include the confirmation about the usefulness of these analytical frameworks based in the capabilities approach and the territorial knowledge. Also, the description of the existence of a complex Baja Californian milieu, where a multimodal scheme of craft beer characterized by different places of distribution and types of beer container, food-districts, at Mexicali, Tijuana, and Ensenada and a second generation of entrepreneur groups leading local business, is identified.

scholarly journals Access to Finance, Financial Development and Firm Performance – Evidence from Pakistan

2020 ◽  
pp. 49-68
Author(s):  
Waqas Ahmad ◽  
Zaheer Abbas ◽  
Zulfiqar Ali Shah
Keyword(s):  
Firm Performance ◽  
Financial Development ◽  
Financial Constraints ◽  
Small And Medium Enterprises ◽  
Labour Productivity ◽  
Fixed Effect Model ◽  
Access To Finance ◽  
Medium Enterprises ◽  
The Impact

Purpose- The aim of the study is to investigate the impact of financial constraints on firm performance. The role of financial development in reducing financial constraints is also investigated. Design/methodology/approach- Data from two waves of World Bank Enterprise Surveys from 2007 to 2013 was used to construct the required variables. A balanced sample of 427 firms was selected and a fixed-effect model was used for empirical estimations. Findings- The findings indicate the significance of access to finance in terms of explaining firm performance. Improvement in access to finance led to subsequent improvement in firm performance as measured by labour productivity. The role of financial development in reducing credit constraints is not as expected. The concentration of lending to the private sector in the hands of large corporations at the expense of small and medium enterprises could be the reason for such a result. Originality/value – Most of the work in this area is focused on large listed firms. The present study focused primarily on small and medium-sized enterprises in Pakistan. Multiple measures of financial constraints and firm performance were used for robustness. The investigation also covers the role of financial development and its microeconomic implications at the level of an enterprise.

scholarly journals Analysis of Influence of Micro Small and Medium Enterprises (MSMEs) Development as a Competitive Advantage to Creative Economic Development

2018 ◽  
Author(s):  
Bunga Aditi ◽  
SOPI PENTANA
Keyword(s):  
Economic Development ◽  
Data Analysis ◽  
Competitive Advantage ◽  
Path Analysis ◽  
Significant Influence ◽  
Small And Medium Enterprises ◽  
Creative Economy ◽  
Analysis Method ◽  
Research Results ◽  
Medium Enterprises

The purpose of this research is to analyze the influence of MSME development as competitive advantage toward creative economic development in Medan city. Data analysis method used in research is path analysis. Simultaneously, the research results of MSME Development and Competitive Advantage have a positive and significant effect on creative economy. Partially, the Influence of MSME Development has positive and significant influence to creative economy. Partially Competitive advantage positively and significantly influences the creative economy. The development of MSME has a positive and significant impact on competitive advantage. Indirectly MSME development positively affects the creative economy through competitive advantage

CROWDFUNDING AS AN ALTERNATIVE FINANCING FOR SMES AND START-UPS IN MALAYSIA: AN INTRODUCTORY NOTE FROM THE LEGAL PERSPECTIVE

2021 ◽  
Vol 29 (2) ◽  
pp. 221-269
Author(s):  
Tan Wai Kit
Keyword(s):  
Small And Medium Enterprises ◽  
Alternative Source ◽  
High Expectations ◽  
Technology Advancement ◽  
Legal Perspective ◽  
Introductory Note ◽  
External Sources ◽  
Digital Disruption ◽  
Medium Enterprises ◽  
Start Ups

Small and Medium Enterprises (SMEs) and start-ups have consistently contributed to a country’s tax revenue, technology advancement, and innovation, job creation as well as economic outputs. However, they are facing great challenges or setbacks in securing funding from external sources. To overcome the fundraising issues or financing lacuna, many entrepreneurs have resorted to crowdfunding as an alternative source of their equity or debt financing. Crowdfunding, being a significant aspect of the recent fintech innovation and digital disruption, has been put under the spotlight and received high expectations from all stakeholders to be an effective solution to SMEs and start-ups. This article would be focusing on crowdfunding with financial returns, namely, equity crowdfunding (ECF) and crowdlending/peer-to-peer lending (P2P). The research methodology employed by this article is primarily based on the literature review of various legislations, scholarly articles, research papers, government policies, books, and other publications concerning the ECF and P2P from different disciplines. At the end of this article, the author opined that crowdfunding could be a useful alternative financing method for SMEs and start-ups in Malaysia as it helps the capital formation and bridges the financing gaps for them. Countless benefits could also be offered to the society and economy at large with the proper crowdfunding regulations in place. Upon reviewing the Guidelines on Recognised Markets issued by the Securities Commission Malaysia (Guidelines), the author argues that the Guidelines is a carefully crafted and balanced regulation, albeit there is room for improvement.

scholarly journals Innovation and Firm Performance: The Moderating and Mediating Roles of Firm Size and Small and Medium Enterprise Finance

2020 ◽  
Vol 13 (5) ◽  
pp. 97 ◽  
Author(s):  
Ploypailin Kijkasiwat ◽  
Pongsutti Phuensane
Keyword(s):  
Firm Performance ◽  
Firm Size ◽  
Structural Equation ◽  
Small And Medium Enterprises ◽  
Partial Least Square ◽  
Least Square ◽  
Financial Capital ◽  
Medium Enterprise ◽  
Medium Enterprises ◽  
The Impact

This study examines the moderating effect of firm size on the relationship between innovation and firm performance of small and medium enterprises in 29 countries in Eastern European and Central Asia. The study also investigates whether the impact of innovation in products and processes on firm performance is affected by financial capital. The method applied is partial least square structural equation modelling. The findings indicate that firm size and the financial capital both moderate and mediate the impact of innovation on firm performance, positively or negatively. The findings have implications for decision makers by highlighting the significance of firm size and financial sources when planning to introduce innovations to enhance firm performance.

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