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Is entrepreneurship enough to achieve superior performance in SMEs in emerging countries? Multiple mediation of market orientation and marketing capabilities

Authors

Cruz Rincon, Martha Lucia , Agredo Diaz, Martha Lucia , PUENTE CASTRO, RAQUEL

External publication

No

Means

J. Entrep. Emerg. Econ.

Scope

Article

Nature

Científica

JCR Quartile

SJR Quartile

SJR Impact

0.811

Publication date

31/10/2023

ISI

000751533600001

Abstract

Purpose The purpose of this paper is to analyze the multiple mediation role of both market orientation (MO) and marketing capabilities (MC) in the relationship between entrepreneurial orientation (EO) and performance (OP), given that the results of previous studies are not conclusive. Consequently, this relationship can be more complex than a direct relationship. Design/methodology/approach Using structural equation models, the proposed conceptual model is tested with data from 154 small and medium-sized enterprises (SMEs) in the low-tech manufacturing sector of an emerging Latin American country. Data analysis was performed using structural equations. Findings The results confirm that the relationship between EO and OP is not significant. Likewise, the roles of individual and sequential mediation of MO and MC in the relationship between EO and OP are confirmed. Research limitations/implications The cross-sectional nature of the study. A longitudinal study could provide additional insights regarding the relationships among these variables and their effect on performance. Practical implications Guidelines help businesses in emerging markets to consider the importance of developing entrepreneurs' MC and MO to optimize the impact of EO on OP. Social implications Guidelines help public policymakers in emerging markets to consider the importance of developing entrepreneurs' MC and MO to optimize the impact of EO on OP. Originality/value This paper contributes to understanding the complex relationship between EO and OP, which remains relatively underexplored in SMEs in developing countries (Buli, 2017), by analyzing the key role of OM and MC in a multiple mediation model not considered in previous empirical evidence.

Keywords

Entrepreneurial orientation; Marketing capabilities; Market orientation; Performance; SMEs

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