Business Performance Research Articles

The Influence of the Background and Characteristics of the Chief Executive Officer on Company Performance

This study aims to analyze the influence of CEO background and characteristics on company performance. Purposive sampling is the method of sampling that is employed, using information gathered from 83 financial firms that were listed between 2020 and 2022 on the Indonesia Stock Exchange. According to data analysis using multiple regression, the background characteristics of the CEO including gender, tenure, education, and experience significantly improve the performance of the business. As for CEO characteristics, duality, citizenship, stock ownership, and turnover also significantly improve business performance. These results demonstrate that according to agency theory, CEO characteristics, and background are crucial in reducing agency conflicts and enhancing company performance. CEOs with sufficient educational background, experience, and tenure are typically more successful in reaching judgments that are in line with the objectives of shareholders. Characteristics such as duality, citizenship, and stock ownership by the CEO provide greater motivation to enhance company value, while strategic turnover can bring the necessary innovation and change.

The Determinants of Entrepreneurs’ Business Performance in Rural South Jordan: Under the Mediating Role of Demographic Factors

The Determinants of Entrepreneurs’ Business Performance in Rural South Jordan: Under the Mediating Role of Demographic Factors

Innovative Project Management Practices for Enhanced Business Performance: Case Insights

We conducted the research as a case study in a selected company. The Slovenian company employs between 300 and 350 employees, of which 100 work in management. The first significant step in the Automotive industry occurred at the beginning of 2018 when the first important project was acquired, representing 1/3 of the annual turnover of EUR 30,000,000. Constant growth and, as a result, an ever-increasing number of new projects demanded the reorganisation of the company and the formation of a separate and independent project office for the needs of the Automotive industry. As part of the research, we explore the research problem: effective management of projects or project resources from the point of view of the company's business performance. Through systematic work and the vision of the company’s management, we showed the increase in efficiency of the project team's reduction of costs, which means better competitiveness in the global market for the future.

Sustainable Business Practices in the UK: Benefits and Challenges

In this paper, the advantages and the disadvantages of sustainable business in the UK are explored through its environmental, economic and social impacts. Examples from companies such as Marks & Spencer and Unilever are cited to show how sustainably will enhance the brand reputation, operational efficiency, social responsibility and the overall business performance. But the financial barriers, the regulatory barriers and the cultural barriers to the adoption of entrepreneurship will make adoption widespread, particularly among small and medium sized enterprises. Sustainability has many benefits to offer, but this study finds that the tradeoff between the benefits and the challenges could present impediments to the widespread implementation of sustainability. For sustainable progress to be driven across UK industries there needs to be collaboration between government, business and consumers.

Digital Marketing Analysis on UMKM Snacks

This study aims to analyze the application of digital marketing in micro, small, and medium enterprises (MSMEs) within the snack food sector, and its impact on business performance. Using a qualitative method with in-depth interviews, observations, and documentation study, this research explores the digital marketing strategies implemented by five MSME snack business owners, along with the challenges and outcomes they experienced. The results show that most MSME snack businesses have utilized digital platforms, particularly social media like Instagram and Facebook, as well as e-commerce platforms like Tokopedia and Shopee, to promote their products. Strategies include the use of engaging visual content, discounts, and partnerships with micro-influencers. Despite challenges such as limited knowledge, budget, and time, the impact of digital marketing has proven significant, especially in increasing product visibility, sales, and customer loyalty. Therefore, digital marketing offers great potential for MSMEs to expand their market reach and enhance business performance. The study also recommends improving digital literacy and leveraging advanced marketing features to maximize the potential of digital marketing for MSMEs.

Exploring the Impact of Islamic Finance Principles on Micro and Small Enterprise Performance: A Literature Review

Both micro and small enterprises (MSEs) can drive economies to growth and eradicate poverty, but numerous challenges challenge their finances. The principles of Islamic finance, with other-centered equity, ethical quality, and risk-sharing, have the potential to considerably benefit MSE development and commercialization as compared to conventional systems. This review systematically analyzes existing literature relating Islamic finance principles to MSE performance based on the synthesis of work conducted in Uganda, Oman, Indonesia, and Nigeria with an objective of identifying the gaps to be covered by the preceding empirical study using a qualitative approach. The findings show a positive relationship between the application of mechanisms of Islamic finance, including profit-sharing, interest-free financing, and partnership-based models, and the business performance indicators of profitability, revenue growth, and sustainability. However, the review pinpointed major gaps in available research, including a constricted geographical cover, a small sample size of enterprises, and inadequate gender-dimensional exploration. Further, some inherent methodological inconsistencies, such as ambiguous performance indicators and sampling biases, additionally hamper the generalization of findings. To overcome such gaps, this study suggests that research should be extended into the rural and less-represented regions, should explore gender issues, and should use more solid methodological approaches. This would enable researchers, policy-makers, and financing bodies to appreciate and utilize the very full potential of the principles of Islamic finance in empowering MSEs to promote inclusive economic development.

Inland water transportation attributes and marketing performance of micro-businesses

The study explored inland water transportation attributes (cost, safety, security, multiple taxation, and climate change) and marketing performance of micro agricultural businesses in Cross River State. Cross-sectional survey research design and structured questionnaire were used for the study. The population of the study was micro agricultural businesses and 160 owners of micro agricultural businesses constituted the sample size. Multiple linear regression analysis was used to test the hypotheses of the study. The findings revealed that transportation cost, safety, security and climate change had significant positive effects on the marketing performance of micro agricultural businesses, while multiple taxation was significantly negative. Therefore, the study recommended that regulators of inland water transportation channels should make transportation fares more affordable, provide more safety accessories, security architecture in the waterways to be consistently reviewed and improved in order to guard against and eliminate potential threats, multiple and disproportional tax rates levied on micro agricultural businesses should be made fairer and more closely proportional to the volume of merchandise they carry in order to shore up the performance of these businesses.

A person-centered perspective on entrepreneurial success: combining proactive behavioral strategies across various life domains

PurposeThis study adopts a person-centered perspective to explore how entrepreneurs combine multiple proactive behavioral strategies across the business, personal and business-environment domains. We research whether certain combinations of proactive behavioral strategies (i.e. seeking resources, optimizing demands, seeking challenges, idea generation, environmental exploration, network crafting, self-insight and boundary management) relate to well-being and business performance. Moreover, we investigate whether entrepreneurs’ daily use of these strategies aligns with their general profiles.Design/methodology/approachA sample of 286 Dutch entrepreneurs participated in a general survey study. Moreover, 49 of these entrepreneurs also participated in a six-day diary study (N = 255). Latent profile analysis was used to find specific profiles and multilevel regression to understand the daily patterns.FindingsWe uncovered four meaningful profiles: the minimum business effort entrepreneurs, the solid and self-caring entrepreneurs, the needy and self-ignorant entrepreneurs and the proactive business entrepreneurs, each with different outcomes in business performance and well-being. Daily proactive behavior showed stability, suggesting a foundation deeply rooted in their general proactive behavior.Originality/valueThe study highlights the value of proactive strategies across all life domains, as profiles encompassing this combination show greater entrepreneurial success.

The Impact of Corporate Sustainability Reporting Regulation on Business and Financial Performances of Companies in Bosnia and Herzegovina

Given the global trends and initiatives for environmental preservation and transition to sustainable development, the corporate sector has been facing a turning point in corporate reporting. The sustainable business requirements also initiate a series of new challenges in the financial and accounting sector related to the development of accounting solutions for integrating sustainability issues into financial statements. In addressing the green transition problems, the EU has adopted the Corporate Sustainability Reporting Directive (CSRD), which modernizes and strengthens the rules concerning the social and environmental information companies must report in their financial statements. The research was carried out by conducting a survey among the population interested in corporate finances, especially accountants. The main goal of the research is to analyse the impact of sustainable reporting regulation on the corporate sector’s financial performance and companies’ operations in Bosnia and Herzegovina. The results show that EU CSRD will significantly impact doing business and performances of companies and that the companies that adapt to new sustainability reporting regulations will have higher chances of obtaining positive financial performances and adequately addressing the increasing demand of stakeholders for more comprehensive business reporting.

Employee Intrapreneurial Orientation and Small Enterprise Performance

Purpose: This research examines the influence of employee intrapreneurial orientation on the performance of small businesses in Ghana, explicitly emphasising the moderating effect of social networks. Design/Methodology/Approach: This research employed a quantitative approach, employing a cross-sectional survey to gather data from 571 key informants in small enterprises in the regions of Greater Accra, Ashanti, and Bono in Ghana. SmartPLS structural equation modelling and Hayes' PROCESS techniques were utilised to examine the relationships among the variables. Findings: The analysis indicated that employee proactiveness and competitive aggressiveness significantly enhance small enterprise performance, while employee innovativeness and risk-taking propensity showed no direct effect. On the other hand, employee autonomy demonstrated a negative correlation. Furthermore, social network ties positively moderated the association between employee intrapreneurial orientation and small enterprise performance. Research Limitation: The cross-sectional design used in the study restricts the capacity to determine definitive causal relations, and findings may not be generalisable beyond the Ghanaian context. Practical Implication: Managers should foster a culture that promotes proactivity and competitive behaviour among employees while encouraging strong social networks to optimise firm performance. Social Implication: Enhancing social networks within small enterprises can improve economic outcomes, supporting broader economic growth and job creation in developing regions. Originality: This research advances the body of research by indicating how different aspects of intrapreneurial orientation have different effects and emphasising how important social networks are for improving small businesses' performance in underdeveloped economies.

Role of Service Innovation, Customer Satisfaction, Brand Loyalty, and Word-of-Mouth Marketing on Business Growth of MSMEs

This study explores the impact of service innovation, customer satisfaction, brand loyalty, and word-of-mouth (WOM) marketing on the business growth of Micro, Small, and Medium Enterprises (MSMEs). Using data collected from 300 MSME owners and managers, the research employs descriptive statistics, correlation analysis, and multiple regression to examine the relationships between the key variables. The findings reveal that customer satisfaction is the most significant predictor of business growth, followed by brand loyalty, WOM marketing, and service innovation. The study also highlights the interconnectedness of these factors, suggesting that a holistic approach integrating service innovation, customer satisfaction, brand loyalty, and WOM marketing is crucial for MSMEs to sustain growth and remain competitive. Practical recommendations are provided for MSME owners and managers to enhance business performance through customer-centric strategies, innovation, and brand-building efforts.

The Influence of Social Media Marketing on Business Performance: An Empirical Investigation of the Supermarket Industry in Tanzania

This study aimed at examining the influence of social media marketing on the performance of businesses, with a specific focus on supermarkets in Dar es Salaam. The research employed an explanatory research design and a sample of 200 respondents was selected through purposive sampling. Data analysis was conducted using multiple regression analysis with the aid of Statistical Package for Social Sciences (SPSS). The findings revealed that social media performance, analytics and an active presence have a positive and significant influence on the business performance of supermarkets in Dar es Salaam. The study concluded that social media marketing contributes significantly to enhancing the overall business performance of supermarkets. This underscores the pivotal role of social media marketing in driving the success of supermarkets in Dar es Salaam region. It is recommended that, first, future research can use objective data on financial performance metrics. Second, future studies might consider other industries in which the link between social media marketing and business performance can be of interest for example airlines and tourism industries.

Online Sales Channels and its Impact on Business Performance

Online Sales Channels and its Impact on Business Performance

Psychic distance and inter-organizational relationships: theoretical foundations, methodological approaches, and future research directions

PurposeThis paper presents a comprehensive and integrated review of the literature on the role of psychic distance in shaping inter-organizational relationships, by uncovering the theoretical, methodological, and thematic foundations of this research domain.Design/methodology/approachLeveraging a systematic literature review in combination of text mining techniques using Leximancer, the study identified 62 relevant articles published between 1980 and 2024. The analysis revealed four key areas of focus: (1) interfirm business relationships, (2) relational governance and performance, (3) relationship quality, and (4) relationship violation.FindingsThe findings indicate that this body of research is grounded in well-established theoretical frameworks, with social exchange theory, transaction cost analysis, relational exchange theory, and the resource-based view being the most frequently employed. The literature predominantly emphasizes the role of psychic distance in the formation and maintenance of interfirm business relationships, while the other three areas remain comparatively underexplored.Originality/valueBy offering a more robust framework and a holistic understanding of psychic distance in inter-organizational relationships context, this study paves the way for further theory-driven studies, which is a theoretical contribution towards advancing this research area

Tantangan Industri di Indonesia dan Strategi Penjualan melalui Diferensiasi dan Advertensi

This research aims to analyze the industrial challenges faced by small and medium enterprises (SMEs) in Indonesia and explore sales strategies through differentiation and advertising to improve business performance. Using quantitative methods, this research involved 100 respondents consisting of SME entrepreneurs in various industrial sectors in Indonesia. Data was collected through questionnaires and analyzed using regression analysis techniques to test the influence of these variables on sales performance. The research results show that industrial challenges such as limited access to technology and capital have a negative effect on SME performance, while product differentiation and digital advertising strategies are proven to increase the competitiveness and sales performance of SMEs. This research also contributes to the understanding of the importance of innovation in products and effective marketing to face competitive market challenges. The practical implication of this research is the need to increase investment in product innovation and digital marketing to strengthen the position of SMEs in the market. This research also provides recommendations to the government to provide support in the form of policies that facilitate access to technology and capital for SMEs.

Digital Marketing Strategies for Small Businesses

Digitalization has transformed business operations, prompting startups to develop innovative services that help customers enhance their businesses. However, the rise of technology and customer awareness necessitates that firms understand customer expectations before creating value. This study highlights the pivotal role of digital marketing in driving small business effectiveness and digital transformation, leading to stronger economic outcomes and expanded market presence. Engaging customers on digital channels enables businesses to understand preferences, create better experiences, and adopt smarter selling practices. Digital marketing is recognized as an effective tool for acquiring, sustaining, and building customer relationships, with platforms such as websites, industry-specific outlets, and forums being particularly beneficial for startups. The study concludes that dynamic environmental factors do not moderate the relationship between digital marketing strategies and small business performance, underscoring the importance of strategic utilization by entrepreneurs to achieve growth and success.

The Mediating Effect of Service Quality on the Relationship between Ride-Hailing Driver Characteristics and Customer Satisfaction

Purpose: This study explored the relationship between the ride-hailing transport system, service quality, customer satisfaction, and driver characteristics among university and college students in major cities in Ghana. Design/Methodology/Approach: Using a quantitative approach, data were collected from a sample of 436 ride-hailing users through the simple random sampling technique. A cross-sectional research design was employed for data gathering, and Partial Least Square Structural Equation Modeling (SEM) version 4.0 was utilised for data analysis. Findings: The findings indicated that the ride-hailing transport system significantly influenced service quality and overall customer satisfaction. Additionally, driver characteristics such as skills, punctuality, and age impacted customer satisfaction. The study also established a positive relationship between service quality and customer satisfaction. Research Limitation: Research within specific geographical areas or demographics restricts the findings' applicability to other cultural or economic contexts. Practical Implications: The results highlight the necessity for transportation network companies (TNCs) to improve driver training and service quality to boost customer satisfaction, foster loyalty, and enhance business performance. Social Implications: The study's insights on the mediating effect of service quality will guide policymakers in identifying key factors influencing consumer satisfaction in the ride-hailing industry. By understanding these dynamics, policymakers can develop regulations that enhance service standards, benefiting drivers and passengers through improved operational frameworks. Originality/ Value: This research contributes to the existing literature on ride-hailing transport systems by emphasising the critical roles of service quality and driver characteristics in enhancing customer satisfaction.

The Effect of Business Capital and Product Innovation on Business Performance in Human Resource Management

Business capital and product innovation are key factors influencing business performance, especially within the scope of human resource management. However, businesses often face challenges in optimizing both simultaneously. This study aims to analyze the effect of business capital and product innovation on business performance through human resource management approaches. The study employs a quantitative method with an explanatory research design. Data were collected from 69 small and medium-sized enterprises (SMEs) in Indonesia using structured questionnaires. Data analysis was conducted using Partial Least Squares-Structural Equation Modeling (PLS-SEM). Business capital and product innovation significantly influence business performance. Business capital also strongly correlates with product innovation as a mediator. Product innovation improves business performance by 39.5%, while business capital enhances product innovation by 71%, highlighting the importance of business capital in supporting innovation. Business capital is not only a primary resource but also a driver of innovation, directly impacting business performance. Optimizing business capital and product innovation is crucial in managing human resources effectively.

Branding in an Online Selling Era: The Interaction and Performance Enhancement Effects of E‐Marketing and Branding for Commercial Farmers in China

ABSTRACTAs internet and communication technologies reshape global business, a critical question arises: to what extent do traditional marketing strategies contribute to success in the online selling era? Examining the challenges posed by e‐commerce to conventional branding, the study employs a simultaneous equation model based on the control function to explore how the interaction between branding and e‐marketing influences business performance in the agricultural sector, using a large sample of 3291 commercial farmers in China. Our results show a positive effect of e‐marketing on business performance whilst the branding effect is found to be not significant. The analysis also uncovers a significantly positive interactive relationship between branding and e‐marketing. These findings challenge previous studies that reported positive effects of branding on business performance but did not account for confounding factors, such as e‐marketing strategies. Our findings highlight the interconnectedness of branding and e‐marketing, reflecting the real‐world case that most commercial farmers in China are keen on e‐marketing while the attractiveness of branding is flatting out.

Business Performance Model: The Role of Management Abilities and Entrepreneurial Character in Penta helix Coaching Collaboration

This research aims to reveal the impact of the Penta-Helix collaborative business coaching process on entrepreneurial character, management abilities, and business performance. The study used a quantitative approach. The population in this study was 250 active members of the Tangerang MSME community. The research sample was 150 MSMEs. Data was processed using SEM PLS software. The results indicate that coaching improves entrepreneurial character and management abilities but does not directly enhance business performance. This research proves that entrepreneurial character and Management Capability mediate the influence of coaching on business performance. This research provides theoretical implications for developing corporate resource-based strategic management theory, where external parties must mobilize company resources, which are the primary key to achieving business performance. The practical implications of the findings include how they can guide MSME coaching programs. Further research should explore whether collaborative business coaching can directly improve business performance.