Abstract

Abstract The purpose of the study was to analyze the effects of supply chain management and business innovation on business competitiveness and performance. Preliminary notes expose a deep historical review of the theoretical and empirical research addressing the relationships between the variables that are being subject of study. The empirical study was conducted in 230 manufacturing SMEs located in Mexico and data analysis was performed using Structural Equation Modeling (SEM). For the assessment of the reliability and validity a Confirmatory Factor Analysis (CFA) was applied, using the maximum likelihood estimation (MLE) with the support of the EQS 6. Main findings conclude that implementing supply chain management and business innovation strategies are vital for business competitiveness and performance. At the final part of this paper, conclusions address the main implications of current research findings for enterprises and government. JEL classification numbers: M11, O32. Keywords: Business Performance, Competitiveness, Innovation, Supply Chain Management, Mexico.

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