The Mediating Role of Sustainable Dynamic Capabilities in the Effect of Social Customer Relationship Management on Sustainable Competitive Advantage: A Study on SMEs in Saudi Arabia

Abstract

This study aims at investigating the mediating role of sustainable dynamic capabilities in the effect of social customer relationship management on sustainable competitive advantage using data gathered from a convenience sample consisted of 243 managers of SMEs in Saudi Arabia via an electronic questionnaire. Using structural equation modeling by SmartPLS3.0, the study pointed out social customer relationship management is positively related to both sustainable competitive advantage and sustainable dynamic capabilities. The latter is positively associated to sustainable competitive advantage and hence, significantly mediated the effect of social customer relationship management on sustainable competitive advantage. The study contributes to the literature through filling a research gap as research on the relationship between s-CRM and dynamic capabilities in Saudi Arabia is still scarce, confirming the importance of social customer relationship management in sustaining both dynamic capabilities and competitive advantage. SMEs are required to invest in CRM and build sustainable resources and capabilities to elevate sustainable competitive advantage.