Small business performance in Thailand: key success factors

2017 ◽  
Vol 19 (2) ◽  
pp. 161-181 ◽  
Author(s):  
Rujirutana Mandhachitara ◽  
Siriporn (NaPombhejara) Allapach
Keyword(s):  
Small Business ◽  
Market Orientation ◽  
Small Businesses ◽  
Business Performance ◽  
Success Factors ◽  
Cross Sectional ◽  
Marketing Metrics ◽  
Content Type ◽  
Marketing Intelligence ◽  
Small Business Performance

Purpose This paper investigates how affirmative leadership management styles, market orientation and marketing intelligence drive the performance of small business enterprises in Bangkok, Thailand. Design/methodology/approach Small business performance is a formative measurement consisting of financial and marketing metrics. Other constructs are reflective. Some 200 manager-owners of small businesses were interviewed. The authors use structural modeling, partial least squares (PLS). Research limitations/implications The data were collected from two of 50 districts in Bangkok. The study is cross-sectional. Performance measures were self-reported. Practical implications Building and exercising affirmative leadership skills and behaviors in small business operations is crucial. Small businesses should focus their recruitment on this quality. Affirmative leaders must create and promote a systematic approach to gathering and analyzing market intelligence on customers and competitors and utilize this strategically. Originality/value This empirical paper establishes two important mediating roles of market orientation. First, affirmative leadership is necessary to motivate a market-oriented enterprise in its successful performance. Second, marketing intelligence contributes to business performance when it is driven by market orientation.

scholarly journals How market orientation induces small business performance: The role of strategic fits

2021 ◽  
Vol 23 (1) ◽  
pp. 55
Author(s):  
Quang-Huy Ngo
Keyword(s):  
Small Business ◽  
Strategic Management ◽  
Market Orientation ◽  
Small Businesses ◽  
Business Performance ◽  
Mediating Effects ◽  
Management Literature ◽  
Theory Of Organization ◽  
Small Business Performance

The purpose of this study is to shed light on how strategic fits between market orientation and the prospector strategy leads to higher performance of small businesses in Vietnam. This study draws from the contingency theory of organization to propose that strategic fits in small businesses represent by prospector strategy's mediating effects on the link between market orientation and these small businesses' performance. Data collected from 161 small businesses in Vietnam was examined. PLS-SEM was used to assess the research framework. The results reveal that the fit between market orientation and the prospector strategy, represented by the full mediating effects of this strategy, is essential to determine the performance improvement of small businesses in Vietnam. For the findings, this study provides some practical implications for small business owners in Vietnam. This study also contributes to the strategic management literature by providing empirical evidence, which suggests the strategic fits between prospector strategy and market orientation induces performance. This study also overcomes the limitations relating to the proposals of the analytic framework to assess strategic fits. Lastly, this study extends to strategic management literature by examining the role of strategic fit in small businesses' contexts.

scholarly journals The Assessment of Dimension Absorptive Capacity on Innovation Performance and Small Business Performance

2016 ◽  
Vol 15 (2) ◽  
pp. 127-140
Author(s):  
Gunarso Wiwoho
Keyword(s):  
Small Business ◽  
Absorptive Capacity ◽  
Small Businesses ◽  
Business Performance ◽  
Positive Influence ◽  
Innovation Performance ◽  
Capacity Dimension ◽  
Spss Software ◽  
Small Business Performance

This study aims to examine the role of the absorptive capacity dimension in improving innovation performance and small business performance. The sample used as many as 35 businesses in the business sector of handy crafts. The collected data were analyzed using path analysis and processed with SPSS software version 24.0. The results showed that all hypotheses were accepted. The absorptive capacity dimension consists of potential absorptive capacity and absorptive capacity, both of which are able to have a positive influence on the performance of innovation and the performance of small businesses. But realized absorptive capacity can have a greater influence on innovation and small business performance than potential absorptive capacity.

Impact of network capability on small business performance

2015 ◽  
Vol 53 (1) ◽  
pp. 2-23 ◽  
Author(s):  
Robert Zacca ◽  
Mumin Dayan ◽  
Thomas Ahrens
Keyword(s):  
Small Business ◽  
Knowledge Creation ◽  
Business Performance ◽  
Two Dimensions ◽  
Content Type ◽  
Competitive Aggressiveness ◽  
Small Business Performance ◽  
Network Capability ◽  
The Impact ◽  
Practical Implications

Purpose – The purpose of this paper is to measure the impact of network capability (NC) on small enterprise performance via knowledge creation, and two dimensions of entrepreneurial orientation (EO): competitive aggressiveness and innovativeness. Design/methodology/approach – The authors propose a theoretical model that was tested using a survey instrument administered to owners and managers of small-sized enterprises within the United Arab Emirates. Theory development was assisted by semi-structured interviews with an independent sample of owners and managers of small enterprises. Findings – The results show that NC is positively related to knowledge creation and that competitive aggressiveness and innovativeness are key mediators between knowledge creation and firm performance. Research limitations/implications – The study contributes to theoretical development by integrating the domains of NC and knowledge creation to EO and small business performance. The authors show that the conversion from NC to small business performance is mediated by knowledge creation and the two dimensions of EO: innovativeness and competitive aggressiveness. Practical implications – The study findings present interesting practical implications for small business owners seeking to shift their firm’s orientation toward being more entrepreneurial. Originality/value – The study highlights the crucial role innovativeness and competitive aggressiveness play as mediators when the relation between knowledge creation and small business performance is examined.

Entrepreneurial orientation, market orientation and performance of SMEs in the manufacturing industry

2017 ◽  
Vol 40 (3) ◽  
pp. 292-309 ◽  
Author(s):  
Bereket Mamo Buli
Keyword(s):  
Market Orientation ◽  
Entrepreneurial Orientation ◽  
Small Businesses ◽  
Business Performance ◽  
Manufacturing Industry ◽  
Developing Economies ◽  
Positive Influence ◽  
Sustainable Growth ◽  
Superior Performance ◽  
Content Type

Purpose The Purpose of this paper is to examine the difference in the performance of Small Business using Entrepreneurial and market orientation. There is solid empirical evidence confirming the importance of small and medium-sized enterprises (SMEs) in economic development. Using entrepreneurial and market orientations, this paper investigates the extent to which this strategic orientation contributes to the superior performance of manufacturing SMEs. Design/methodology/approach A total of 171 SME managers participated in the survey research. Multiple and linear multiple regression were applied to test the hypotheses. Findings The empirical result reveals that integrating entrepreneurial and market orientations into the operation of SMEs contributes to superior performance, which in turn enables them to thrive in institutionally complex and economically turbulent environments. Except for innovativeness, each dimension of entrepreneurial orientation along with market orientation has a positive influence on business performance of small businesses. Practical implications Developing economies see SMEs as a path out of poverty, thereby realizing industrialization and sustainable growth. There is a keen interest to adopt proactive policies so as to create competitive domestic industries. Conversely, this can only be realized if states develop policy measures that prioritize or at least emphasize on highly growing SMEs rather than creating jobs that are neither productive nor decent. Originality/value The present paper confirms previous findings and contributes additional evidence that suggests working on entrepreneurial and market orientations of SMEs will improve performance and compensate the multi-dimensional constraints imposed by the existing market in developing economies. The finding of this study offers important insights for managers and policymakers.

scholarly journals Using a large sample analysis of Thai listed firms, we address an important question. Do board diversity and network add value to firms? This article extends the debate on the benefits and costs of board diversity and network and their effect on the broad

2013 ◽  
Vol 29 (6) ◽  
pp. 1883 ◽  
Author(s):  
Richard Chinomona
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Business Performance ◽  
Skills Training ◽  
Business Owners ◽  
Future Research ◽  
Small Business Owners ◽  
Board Diversity ◽  
Managerial Implications ◽  
Small Business Performance

While researches on small businesses have grown substantially, there seem to be a paucity of researches that specifically investigate the effects of small business owners expertise on employees skills training and small business performance. In order to fill this void the current study examined the direct effects of small business owner expertise on small business performance and the mediating influence of employee skills training in this relationship. To empirically test the three (3) posited hypotheses, a sample data of 221 was collected from small business employees in Zimbabwe. The results indicate that small business owners expertise positively influence employees skills training and small business performance in a significant way. Managerial implications of the findings are discussed and limitations and future research directions are indicated.

Market orientation, learning orientation and business performance

2016 ◽  
Vol 34 (5) ◽  
pp. 623-648 ◽  
Author(s):  
Mahmoud Abdulai Mahmoud ◽  
Charles Blankson ◽  
Nana Owusu-Frimpong ◽  
Sonny Nwankwo ◽  
Tran P. Trang
Keyword(s):  
Developing Countries ◽  
Organizational Learning ◽  
Market Orientation ◽  
Business Performance ◽  
Linear Regression Analysis ◽  
Learning Processes ◽  
Learning Orientation ◽  
Cross Sectional ◽  
Content Type ◽  
The Relationship

Purpose – The purpose of this paper is to examine the relationship between market orientation, learning orientation and innovation; and second, assesses the role of innovation, market orientation and learning orientation on firms’ business performance using a developing country (i.e. the Ghanaian banking domain) as a study context. Design/methodology/approach – Following a nation-wide survey among senior managers of 28 banks in Ghana, five research propositions were tested using multiple linear regression analysis. Findings – Results demonstrate that market orientation has significant association with innovation while learning orientation has significant impact on innovation. Moreover, innovation mediates the relationship between market orientation and business performance. Research limitations/implications – This study adopt the cross-sectional research design and as such acknowledge the same limitations as other cross-sectional studies. Practical implications – The research will help bank executives especially in Ghana and other developing countries to appreciate these marketing variables. Social implications – Banks innovation efforts, concurrently with the development of market orientation culture and improvement in organizational learning processes must benefit bank customers and stakeholders as a whole. Originality/value – The research will help banks in Ghana and other developing countries to appreciate that their innovation efforts should concurrently be in sync with the development of market orientation culture and improvement in organizational learning processes.

Mediating effect of innovation with market orientation and performance relationship

2019 ◽  
Vol 17 (2) ◽  
pp. 152-167
Author(s):  
Seemant Kumar Yadav ◽  
Vikas Tripathi ◽  
Geetika Goel
Keyword(s):  
Market Orientation ◽  
Business Performance ◽  
Developing Economies ◽  
Small And Medium Enterprises ◽  
Mediating Effect ◽  
Incremental Innovation ◽  
Cross Sectional ◽  
Content Type ◽  
And Performance ◽  
Medium Enterprises

Purpose The purpose of this study is to examine the effect of market orientation on performance and to figure out the mediator effect of incremental innovation on this relationship with an implementation on Indian small and medium enterprises (SMEs). Design/methodology/approach Following a survey among 333 owners/managers of SMEs in Indian, six research propositions were framed. Confirmatory factor analysis (CFA) and regression analysis was used for the purpose of data analysis. Findings The outcome of the study demonstrates a significant effect of market orientation on SMEs performance. In addition, the mediating effect of innovation between market orientation and business performance was not supported in the context. Research limitations/implications This study uses cross-sectional research, which limits the ability to test the causality; hence, such studies should be replicated in other settings also to get more evidences about the relationship. Practical implications The research will help managers especially in manufacturing SMEs of developing countries to understand benefits of being market-oriented to improve performance. Originality/value The study attempts to enrich the market orientation literature especially in developing economies. It identifies the significant effect of interfunctional coordination on performance of small and medium enterprises working in more volatile environment. Further, the study also examines mediating role of innovation between market orientation and performance linkage.

Antecedents of small business performance

2000 ◽  
Vol 3 (2) ◽  
pp. 21-33 ◽  
Author(s):  
Matthew W. Rutherford ◽  
Sharon L. Oswald
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Business Performance ◽  
Small Business Performance

This article focuses on what makes small businesses successful and whether consistent patterns of success can be identified.

scholarly journals KARAKTERISTIK KEWIRAUSAHAAN DAN PERUSAHAAN SERTA KOMPETENSI KEWIRAUSAHAAN SEBAGAI PENENTU KINERJA USAHA KECIL MENENGAH (UKM)

2015 ◽  
Vol 5 (2) ◽  
pp. 117
Author(s):  
Ernani Hadiyati
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Business Performance ◽  
Firm Characteristics ◽  
Entrepreneurial Characteristics ◽  
Entrepreneurial Competencies ◽  
Small Business Performance ◽  
The Relationship

This project was intended to identify and analyze the simultaneous and partial influence of three observed variables, namely entrepreneurial characteristics, company characteristics, and entrepreneurial competencies, toward business performance. Further, this article explored the aspects contained in entrepreneurial characteristics, company characteristics, and competencies of entrepreneurs and small business performance which eventually resulted in the presentation of data regarding the relationship between the variables studied. The investigation demonstrated two important findings: first, entrepreneurial characteristics, firm characteristics, and entrepreneurial competencies had significant effect on the performance of small businesses simultaneously and partially; second, entrepreneurial competence was recognized as the most influential variables on the small businesses performance.

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