Digital transformation capabilities moderate the effects of entrepreneurial resources on MSMEs performance: A multigroup analysis in Makassar city, Indonesia

This research aims to analyze the influence of orientation, competence and entrepreneurial strategy on the performance of Muria coffee MSMEs by mediating competitive advantage in the Muria Kudus Coffee Cluster. This research is descriptive statistics by testing hypotheses. The sample was 150 business actors. The sampling technique used Purposive Sampling. Data collection used in this research was the questionnaire method. Instrument testing uses validity tests, reliability tests and normality tests. Analysis of the data used (SEM) Structual Equation Modeling which is operated through the AMOS program. Based on the results of hypothesis testing in this study, it shows that (1) entrepreneurial orientation has no effect on the performance of MSMEs (2) entrepreneurial competence has an effect on the performance of MSMEs, (3) entrepreneurial strategy has an effect on the performance of MSMEs, (4) orientation has an effect on competitive advantage, ( 5) entrepreneurial competence influences competitive advantage, (6) entrepreneurial strategy influences competitive advantage, (7) MSME performance influences competitive advantage. Competitive advantage is able to mediate entrepreneurial orientation on MSME performance but its influence is weak, competitive advantage is able to mediate entrepreneurial competence on MSME performance but its influence is weak and competitive advantage is able to mediate entrepreneurial strategy on MSME performance but its influence is weak

This study empirically examined how entrepreneurial preparation, digital transformation, and government support influence business performance through entrepreneurial orientation (EO) among Korean micro-enterprises. In addition, it analyzed the moderating effect of managerial difficulties and the group differences by age. Using 12,666 valid responses from the 2023 National Survey on Micro-Enterprises conducted by the Ministry of SMEs and Startups, the data were analyzed through Partial Least Squares Structural Equation Modeling (PLS-SEM). The results revealed four key findings. First, entrepreneurial preparation, digital transformation, and government support all had positive effects on EO, with entrepreneurial preparation exerting the strongest influence. Second, EO significantly improved business performance and served as a mediating mechanism linking the three antecedents to performance outcomes. Third, managerial difficulties negatively moderated the relationship between EO and performance, suggesting that environmental constraints weaken the impact of entrepreneurial orientation. Fourth, the multi-group analysis (PLS-MGA) showed statistically significant differences between entrepreneurs under 40 and those aged 50 or older in three paths—entrepreneurial preparation, digital transformation, and managerial difficulty. Younger entrepreneurs were more likely to leverage digital technologies and structured preparation to strengthen EO, while older entrepreneurs were more affected by managerial obstacles. These findings contribute theoretically by validating an integrated model of EO and performance in micro-enterprises, and practically by emphasizing the need for policy interventions that enhance pre-startup education, digital capability, and managerial environment improvement.

PurposeThe purpose of this study is to examine the moderating influence of the external environment on the relationship between entrepreneurial competencies, entrepreneurial orientation, entrepreneurial network, government business support and SMEs performance. The objectives of the study are achieved using the resource-based view and dynamic capability theory.Design/methodology/approachThe survey method of research was used by personally administering questionnaires to the respondents. Multistage sampling techniques are used in selecting 470 SMEs owners/managers that participated in the survey. SPSS 24 and PLS-SEM 3.0 were used in the analysis of the data.FindingsIn the Nigerian context, the findings indicated that EC, EO and GBS directly influence the SMEs performance. Surprisingly, SMEs performance is not influenced by EN. Similarly, EE significantly moderated the relationship between EC, GBS and SMEs performance. On the contrary, EE does not have any moderating influence on the relationship between EO, EN and SMEs performance.Research limitations/implicationsThe study is limited to northeastern Nigeria. The study is limited to the EC, EO, EN GBS EE and SMEs performance and the use of cross-sectional data. The findings imply that SMEs owners/managers need a high level of entrepreneurial competencies and government business support to achieve a better performance especially in an external environment that is characterised by dynamism, diversity, complexity and hostility. Hence, providing support for both RBV and DCT.Practical implicationsThus, the study offers additional empirical evidence from Nigeria and also expands knowledge and understanding in this field. The findings offer owners/managers, government agencies, financial institutions and other stakeholders of SMEs strategies EC, EO, GBS and EE to achieve a better SMEs performance.Originality/valueThe conceptual framework of the study is unique, and the study was conducted in northeastern Nigeria which is grossly underrepresented in the literature. It also provided understanding on the moderating influence of EE on the framework.

PurposeEnvironmental dynamics affect all sectors, and retailing is no exception. Scholarships reveal that, in such turbulent times, entrepreneurial characteristics are essential for business. In academic research, entrepreneurial characteristics like entrepreneurial orientation (EO) and entrepreneurial competence (EC) are seldom evaluated for retailers. This study aims to decode the impact of small retailers’ EO and EC on firm business performance (BP). It also traces the mediation effect of EC in the relationship between EO and BP.Design/methodology/approachThe study executed among 740 small retailers is a pioneering work to trace EO’s efficacy via EC on the retailer’s BP. The present research is a primal work in the Indian context. This work redesigns the EC scale to suit the retail context and evaluate its mediation role in the EO and BP relationship.FindingsExamining the mediation model through structural equation modelling (SEM) adds empirical evidence to entrepreneurial value creation (EVC) theory and throws light on the indispensable qualities required for small business retailers. The outcomes of the SEM model portray that there is an association between the EO, EC and BP.Research limitations/implicationsThis study, though carried out methodically, it is constrained by the ensuing intricacies. The investigation was limited to the small- and medium-retailers engaged in retailing with a floor space from 500 to 5,000 square feet. All three constructs used in the study are measured using the self-reported perceptual scale, which infuses the subjectivity in the data. Exploring the EO and EC of widely dispersed retailers, examining the entrepreneurial character of large-format independent retailers and evaluating financial performance measures through retailers will add value to the study in future.Originality/valueThe study verified the central role of EC in the intangible resource-reward relationship. Among the five pillars of EVC theory, the role of intention and external finance are not considered in this work. The present work explored the EO and EC of existing retailers, and hence intention is excluded. The study concentrates on small retailers, and the role of external financing is not explored. Mishra and Zachary (2014b) opined that the EVC process should be studied in different context and listed out several prepositions. Considering the role of intention and external financing and studying several prepositions spelt out in the theory in varying contexts will throw more lights on the EVC process.

Digital transformation (DT) fundamentally disrupts enterprise operations presenting both unprecedented opportunities and complex challenges for organisational leadership. Drawing upon dynamic capability theory, we develop a model exploring the dynamics of digital transformational leadership (DTL) and its effects on DT within small- and medium-sized enterprises (SMEs). Specifically, we investigate the mediating roles of digital capabilities and digital strategies. Data from 256 SMEs in Ghana were analysed using structural equation modelling techniques to test hypotheses. The findings reveal a positive relationship between DTL and DT, demonstrating that the former positively influences digital IT capabilities (ITDC), employee digital capabilities, and digital strategies. ITDC and employee digital capabilities partially mediate the relationship between leadership and DT, while digital strategy shows a weaker mediating effect. The findings enhance understanding of how transformational leadership influences DT in SMEs, emphasising the role of digital capabilities and the nuanced impact of digital strategies.

MSMEs play a crucial role in Indonesia's economy, contributing to the reduction of unemployment and supporting various aspects such as exports, investment, and the formation of Gross Domestic Product (GDP). This study seeks to examine the impact of entrepreneurial competence and entrepreneurial orientation on the performance of MSMEs. The research methodology involves a literature review and empirical studies from a range of previous research journals, utilizing the Garuda Ministry of Education and Culture database to select 4090 journals, with 15 chosen as references for this research. The findings indicate that entrepreneurial competence and entrepreneurial orientation both have a significant influence on MSME performance, highlighting the importance of these variables in shaping business performance in MSMEs. Future research could explore the addition of moderator or mediating variables relevant to the current era.

This study aimed to determine the role of entrepreneurial competence in the effect of entrepreneurial orientation on MSME performance. This study uses a quantitative approach. The data used in this study is primary data based on questionnaires given to 100 business actors as respondents. The analyzer uses Smart PLS. The results of this study are that the entrepreneurial orientation variable influences the performance of MSME. There is no influence of the knowledge management variable on the performance of MSME. Then entrepreneurial orientation and knowledge management directly show an effect on entrepreneurial competence. Furthermore, the competency variable has a positive and significant influence as a mediating variable on the entrepreneurial orientation variable on MSME performance. As well as the competence variable has a positive and considerable influence as a mediating variable on the knowledge management variable on MSME performance.

Purpose: This study conceptualizes Competitive Intelligence (CI) as an intelligence-based decision governance capability that structures how organizations select, sequence, and govern digital transformation initiatives under conditions of competitive and sustainability uncertainty. Rather than modeling CI as a technological antecedent, the article positions CI as the decisional infrastructure through which digital transformation contributes to sustainable optimization outcomes. Methodology/approach: Drawing on Dynamic Capabilities Theory and the Resource-Based View, the study develops an intelligence-centered CI–DT–SOO framework and tests it using survey data from 200 firms in China and Spain. Partial Least Squares Structural Equation Modeling (PLS-SEM) and multi-group analysis are employed to examine intelligence-driven decision pathways across institutional contexts. Originality/Relevance: Responding directly to the epistemological standards of the Journal of Sustainable Competitive Intelligence, this study advances CI as a structured intelligence system that reduces information asymmetry and governs executive decision-making. It moves beyond techno-causal models by empirically demonstrating CI’s role as a strategic decision architecture rather than a descriptive scanning activity. Key findings: Results show that CI significantly structures digital transformation decisions, which in turn enable sustainable optimization outcomes. Digital transformation operates as a governed execution mechanism rather than an autonomous driver. Stronger intelligence-to-decision effects are observed in Chinese firms, highlighting institutional differences in intelligence utilization regimes. Theoretical/methodological contributions: The study integrates RBV and DCT perspectives to demonstrate that sustainable competitiveness emerges from the joint development of intelligence and digital capabilities. It contributes to theory and practice by presenting a sustainable optimization model applicable across different economic contexts and offering managerial implications for integrating CI into digital strategies and aligning DT with economic, environmental, and social goals.

Purpose This study aims to assess the effect of entrepreneurial orientation on supply chain performance both directly and indirectly through entrepreneurial competence, as well as the moderating role of local community networking in these relationships, within the context of institutional voids in Ghana. Design/methodology/approach The study utilized a cross-sectional survey data from 225 small and medium sized enterprises (SMEs) in order to test the hypotheses. The data analysis was conducted using partial least squares structural equation modelling techniques. Findings The results revealed that entrepreneurial orientation is a significant positive predictor of both entrepreneurial competence and supply chain performance. Similarly, entrepreneurial competence was shown to positively predict supply chain performance, both directly and as a mediator between entrepreneurial orientation and supply chain performance. Local community networking, however, positively moderated the relationship between entrepreneurial orientation and entrepreneurial competence but not the relationship between entrepreneurial orientation and supply chain performance. Originality/value This study contributes to literature by looking at the relationship between entrepreneurial orientation, entrepreneurial competence, local community networking and supply chain performance within the context of an emerging economy with institutional voids. The study shows the importance of an entrepreneurial mindset in developing the necessary skills, competences and abilities needed to survive in the turbulent business environment.

This research aims to analyze and develop a theoretical framework, built with a performance model influenced by the work environment and entrepreneurial orientation, and mediated by organizational commitment. This research used a quantitative approach as the methodology. The survey was distributed using a questionnaire instrument. The population in this study were 6,708 MSME owners in Brebes Regency, Central Java, Indonesia, and the sample in this study were 377 MSME owners, which was determined using the Slovin formula. The sampling technique in this research used a non-random sampling with proportional sampling. Simultaneously, the statistical method used to test the hypotheses in this study is a multivariate Structural Equation Modelling (SEM). Based on the results of statistical tests, it can be known partially that 1) Work environment has a significant effect on the performance of MSMEs, 2) Entrepreneurial orientation has a significant effect on the performance of MSMEs, 3) Organizational commitment has a significant effect on the performance of MSMEs. 4) Work environment has a significant effect on organizational commitment, 5) Entrepreneurial orientation has a significant effect on organizational commitment, 6) Work environment has a significant effect on the performance of MSMEs through organizational commitment, and 7) Entrepreneurial orientation has a significant effect on the performance of MSMEs through organizational commitment. The novelty in this study is that the empirically constructed model of organizational commitment has proven to be significant as a mediation of the work environment and entrepreneurial orientation towards performance. with the strongest influence of work environment and entrepreneurial orientation on organizational commitment.

This study aims to examine the effect of organizational culture, knowledge management, and entrepreneurial orientation according to the performance of MSMEs; mediated by innovation capabilities. The sample in the study was 265 food and beverage MSMEs in Malang City, East Java Province. The analysis tool used in this study is Structural Equation Modeling (SEM). The results of the study explain entrepreneurial orientation, organizational culture, knowledge management that influence the innovation ability and the performance of food and beverage MSMEs. The ability of innovation affects the performance of MSMEs. The impact of entrepreneurial orientation, organisational culture, and knowledge management on MSME performance can be moderated by an organization's capacity for innovation. The implications of the results of this study for the development of the Resource Base View theory, that the performance of food and beverage MSMEs in Malang City will increase if MSME actors make maximum use of intangible resources through entrepreneurial orientation as shown by being proactive, carrying out an organizational culture such as consistency and using management. Good knowledge is shown by the ability of MSME actors to utilize knowledge, this condition increases innovation capabilities, especially product innovation and has an impact on improving MSME performance through product performance.

This study aims to analyze the effect of entrepreneurial orientation, entrepreneurial competence, and market orientation on the business performance of Batik MSMEs in Magelang Regency. The research method used is quantitative with a multiple linear regression approach. Data were obtained through a survey of 100 Batik MSME entrepreneurs in Magelang Regency. The results showed that entrepreneurial orientation has a positive and significant effect on business performance. Entrepreneurial competence also has a positive and significant effect, indicating that increased entrepreneurial skills and knowledge can enhance business sustainability. Additionally, market orientation was found to have a positive and significant effect, suggesting that understanding consumer needs and market trends is crucial for increasing the competitiveness of MSMEs. The implication of this research is the need for increased entrepreneurship training and market-oriented marketing strategies to support the growth of Batik MSMEs in Magelang Regency.

In order to create an entrepreneurial ecosystem at the national level, this study aims to examine the mediating role of entrepreneurial orientation between entrepreneurial resources and startup activities. Our empirical results based on samples from the Adult Population Survey (APS) and Global Entrepreneurship Monitor (GEM) data revealed that entrepreneurial resources have a positive impact on startup activation and entrepreneurial orientation plays a significant role as a mediator in the entrepreneurial resource-startup activation relationship. Our results suggest that in a business ecosystem where entrepreneurial resources persistently exist, individuals are more likely to participate in startup activation, and entrepreneurial orientation can promote startup activity not only in countries rich in entrepreneurial resources but also in emerging countries where they are scarce. Therefore, this study emphasizes the need for efforts to increase entrepreneurial orientation as well as entrepreneurial resources to create an entrepreneurial ecosystem where startups actively appear.

Purpose This study aims to examine the effect of entrepreneurial skills, market orientation, sales orientations and networking on entrepreneurial competency and performance of micro-enterprises in Kelantan, Malaysia. Design/methodology/approach Adopting a cross-sectional design, this paper collected data through structured interviews from 403 micro-entrepreneurs from “Majlis Amanah Rakyat,” Kelantan and “Majlis Agama Islam dan Adat Istiadat,” Kelantan. Findings The findings reveal that entrepreneurial skills, market orientation and networking have a positive effect on entrepreneurial competency. Then, entrepreneurial competency, entrepreneurial skills and networking have a positive effect on enterprise performance. The findings show a significant mediation effect of entrepreneurial competency on the relationships between entrepreneurial skills, market orientation and networking and enterprise performance. Originality/value Addressing the understudied “human factor” in entrepreneurship, this paper extends the resource-based view and enriches the existing entrepreneurship literature in Malaysia. It provides useful insights into the improvement of micro-enterprise performance, which is crucial for promoting entrepreneurial activities and for enhancing socio-economic conditions among low-income households in Malaysia. Thus, the government and developmental organizations should focus on the development of entrepreneurial skills, market-oriented approach, networking traits and entrepreneurial competencies and subsequently encourage poor households to perform entrepreneurial activities.

Purpose With the emergence of the digital era, the role of digital leaders in developing digital capabilities and driving their firms towards digital transformation has gained significant attention. Digital dynamic capabilities involve continuous engagement of leaders in sensing, seizing, and transforming activities needed to digitally transform their firms. However, little attention is given toward the role of digital leadership in developing digital dynamic capabilities. We seek to develop an understanding of the role of digital leadership in building digital dynamic capabilities for successful digital transformation. Design/methodology/approach We conducted a systematic literature review and looked at relevant articles using Google Scholar, ScienceDirect, and Scopus databases with key search items being “digital leadership”, “dynamic capabilities”, “digital dynamic capabilities,”. We used AND, OR operators in between the key terms to search for the relevant articles. Findings Our conceptual framework and propositions demonstrate the digital leader's role in building three core dynamic capabilities: digital sensing (technological trends, digital scouting, digital vision, future interpretation, and digital strategies), digital seizing (organizational agility and digital portfolio), and transforming (redesigning internal structures and ecosystem partnerships) for successful digital transformation. Originality/value This study pioneers an integrated framework that elucidates the role of digital leadership in fostering digital dynamic capabilities essential for successful digital transformation. While previous research has examined digital leadership and transformation in separate silos, our work bridges this gap by defining and dissecting three core capabilities—digital sensing, digital seizing, and transforming. By doing so, we offer both academic and practical communities a nuanced understanding of how digital leadership shapes dynamic capabilities. The study serves as a foundational roadmap for future research and offers actionable insights for organizations striving to navigate the complex landscape of digital transformation.