STRATEGIC ORIENTATIONS AND SME PERFORMANCE; MODERATING EFFECT OF ABSORPTIVE CAPACITY: A RESEARCH MODEL OF FIRM PERFORMANCE

Authors

  • H.M.A. Herath Wayamba University of Sri Lanka
  • R. Mahmood University Utara Malaysia

Abstract

Small and medium sized Enterprises (SME) performance has been considered as one of the most important driving forces behind economies of both developed and developing countries due to their multiple contributions. In most of the developing countries, the performance of the SMEs is a key issue today. Purpose of this study is to propose a research model of SME performance based on strategic orientations and absorptive capacity. The model presents complex interactions among strategic orientations, absorptive capacity and SME performance. Entrepreneurial orientation, market orientation and learning orientation have been incorporated into the model as independent variables. Firm level absorptive capacity is supposed to strengthen the relationship between strategic orientations and SME performance with a significant moderating effect.

 

Keywords: SME Performance, Strategic Orientations, Absorptive Capacity

For full Paper: fmscresearch@sjp.ac.lk

Published

2013-08-24

Issue

Vol. 9 (2012): Proceedings of the 9th International Conference on Business Management - 2012

Section

Articles