Abstract

This study examines the mediating role of proactiveness between organizational-stakeholders relationship and performance of small and medium enterprises (SMEs). Cluster sampling method and questionnaire were used to collect data from 150 SMEs in Tehran. SmartPLS 3.0 was utilized to analyze the measurement and structural model. The survey outcomes revealed that organizational-stakeholders relationship had an indirect effect on performance through proactiveness. The results also indicated a positive links for organizational-stakeholders relationship and proactiveness. This research is one of the few attempts that have addressed the importance of proactiveness as the key mechanisms to transform the advantages of organization-stakeholder relationship to enhance performance.Scope: This research is beneficial for entrepreneurs who wish to learn about the specific resources significant for venture growth, to devise effective strategies to expand their relationship with stakeholders. It can be concluded that accessing the full range of resources via stakeholders is the key success factor for proactivness and firm performance.

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