Performance Of Small And Medium Enterprises Research Articles

Enhancing SME performance in East Java through competency development, leadership, entrepreneurial intent, and resilience

Small and medium enterprises (SMEs) are crucial in economic growth and industrial diversification. Despite their importance, SMEs encounter challenges of intense competition, global market penetration, and rapid technological advancements. This study explores the factors affecting SME performance, focusing on entrepreneurial competence, leadership, and intention. A survey was conducted involving 400 SME respondents in East Java, Indonesia. The data were analyzed using a quantitative approach and the PLS-SEM method. The findings indicate that entrepreneurial competence and intention significantly influence entrepreneurial resilience and SME performance. Specifically, entrepreneurial competence has a path coefficient of 0.348 on entrepreneurial resilience and 0.567 on SME performance, both significant with p-value < 0.05. Entrepreneurial intention has a path coefficient of 0.649 on entrepreneurial resilience and –0.722 on SME performance, both significant with p-value < 0.05. These results highlight the necessity of enhancing entrepreneurial competencies and intentions to boost SMEs’ resilience and performance. Entrepreneurs and policymakers should focus on training and development programs to reinforce these competencies and intentions, thereby promoting an environment that supports innovation and prudent risk-taking.

Digital Transformation and its Effects on the Financial Performance of Malaysian SMEs

This study investigates the impact of digital transformation on the financial performance of Small and Medium Enterprises (SMEs) in Malaysia, a critical area given the country's ambition to become a digitally-driven economy. By integrating the Resource-Based View (RBV) and Dynamic Capabilities Theory, the research explores how the adoption of digital technologies, such as cloud computing and digital marketing, influences key financial metrics including profitability, revenue growth, and cost efficiency. The study highlights the moderating roles of firm size and industry sector, offering new insights into the conditions under which digital transformation is most effective. Through empirical analysis, the findings provide valuable guidance for SME owners, managers, and policymakers, emphasizing the importance of strategic digital adoption to enhance financial outcomes and contribute to Malaysia's broader economic goals. The research also identifies challenges such as digital skills gaps and infrastructure disparities, proposing targeted strategies to support SMEs in their digital transformation journey.

VALUE CO-CREATION IN SMEs: A FIFTEEN-YEAR BIBLIOMETRIC ANALYSIS OF EMERGING TRENDS AND RESEARCH DIRECTIONS

Objective – This study aims to conduct a bibliometric analysis of the evolution and emerging trends in value co-creation within Small and Medium Enterprises (SMEs) over the past fifteen years. Design/Methodology/Approach – A total of 529 research and review articles from the ScienceDirect database were analyzed using VOSviewer software to identify key clusters and trends in value co-creation research. Findings – The analysis identified seven significant clusters in the literature: Digital Marketing and Customer Engagement, Service Innovation and Service-Dominant Logic, Customer Experience and Loyalty, Social Capital and Stakeholder Engagement, Technology-Enabled Value Co-creation, Sustainable and Ethical Value Co-creation, and Co-creation in Emerging Markets. These clusters highlight the growing importance of integrating advanced technologies, sustainability practices, and tailored strategies for different market contexts in value co-creation. Conclusion and Implications – The findings provide actionable insights for SMEs to implement effective value co-creation strategies, emphasizing the importance of adapting to technological advancements and sustainability trends. The study also identifies research gaps, suggesting areas for future research, including the role of artificial intelligence in value co-creation and the impact of sustainable practices on SME performance.

Does customer orientation mediate the relationship between knowledge-based dynamic capability and the competitive performance of SMEs in India?

Purpose This paper aims to examine the mediating effect of customer functional and relationship customer orientation on the relationship between the knowledge-based dynamic capabilities and the competitive performance (CP) of small and medium enterprises (SMEs) operating in India. Design/methodology/approach The hypotheses proposed for this study were tested using data from the proprietors and competent authorities of 441 sample SMEs using structural equation modelling with partial least squares. Findings The results of this study indicate that knowledge-based dynamic capability (KBDC) has a significant connection with the CP of SMEs in a growing economy such as India. In addition, this study confirmed that the connection and functional customer orientation partially mediate the association between knowledge-based dynamic capabilities and the CP of SMEs. Practical implications This study’s practical contribution lies in its investigation of whether customer orientation serves as a mediator between KBDC and CP in SMEs in India. For instance, SMEs can implement strategies like customer feedback loops, loyalty programmes and customized solutions based on market insights to enhance customer orientation and ultimately improve CP. Originality/value This study analyses how SMEs can use knowledge-based dynamic capabilities and customer orientation to obtain a competitive advantage. This research contributes to the existing literature on knowledge management by expanding the notion of KBDC by integrating functional and relational customer orientation.

Social media marketing and performance of youth owned SMES in Nairobi County, Kenya

Fast technological evolution and intensity of competition oblige companies to constantly seek for new ways to differentiate and offer added value to their customers. With the increasing popularity of social media, companies have started to consider this means as a new way to communicate with their customers and increase their brand reputation. One of the most notable phenomena of new media is how it has increased and created new forms of social interaction.In Kenya, despite the critical role played by the Small and Medium Enterprises (SMEs) in the country, research has shown that 90% business startups fail in their third year and especially those owned by the youths The general purpose of the study was to establish the influence of social media marketing on performance of small and medium businesses in Nairobi’s industrial area. This study adopted a descriptive research design. Official records of AGPO as at December 2023 showed that there are 13,011 youth-owned businesses registered in the county of Nairobi with the Youth Access to Government Procurement Opportunities Program (YAGPO). The study used the 10-30% Mugenda Sampling principle to calculate the sample size of 130 SMEs. The first specific objective was to establish the extent Social Media Platforms Influence the Performance of Small and Medium Enterprises. A Pearson correlation analysis was done to establish the relationship between social media platform on performance of SMEs and the result established a significant positive relationship between social media platform used and the performance of SMEs (r=.811, p value =0.000). The second specific objective was to establish the extent bloggers influence the performance of Small and Medium Enterprises. A Pearson correlation analysis was done to establish the relationship between blogger influence on performance of SMEs and the result established a significant positive relationship between blogger influence and the performance of SMEs (r=.730, p value =0.000). The third objective was to establish the extent social media messaging factors influence the performance of Small and Medium Enterprises. A Pearson correlation analysis was done to establish the relationship between messaging factors on performance of SMEs and the result established a significant positive relationship between social media messaging factors used and the performance of SMEs (r=.359, p value =0.000). The study concluded that use of social media marketing has a positive influence on performance of SMEs and recommended that there is need for SMEs to embrace the use of social media to market their products and that the government should support SMEs by providing affordable internet services.

Assessing the impact of corporate governance principles on the Small and Medium Enterprises (SMEs)’ financial success in Kwa-Zulu Natal (KZN): Application of Stewardship theory

This study investigates how corporate governance (CG) principles affect the financial performance of Small and Medium Enterprises (SMEs) in Kwa-Zulu Natal (KZN), South Africa, using stewardship theory. Corporate governance (CG) encompasses the regulations, procedures, and mechanisms Overseeing the administration and implementation of a business. Efficient corporate governance (CG) is crucial for Small and Medium Enterprises (SMEs) to function with maximum effectiveness and optimise entrepreneurial value. The study seeks to fill this vacuum in information by investigating the impact of using stewardship theory, which prioritises the long-term interests of stakeholders, on the financial performance of small and medium-sized enterprises (SMEs) in KZN.A quantitative approach was employed and a cross-sectional design was employed to survey 217 SMEs in the Durban South area. Descriptive statistics reveal a diversified KZN SME environment, with a predominance of medium-sized businesses, balanced gender representation, and a variety of business ages and educational backgrounds among owners and managers. Inferential statistics show significant correlations between CG principles and financial success metrics of SMEs, particularly affecting returns on invested capital and assets, net profit, asset value, and sales turnover. The results are consistent with earlier studies on the beneficial effects of CG on SME performance. The study is limited to SMEs in the Durban South area and may not be generalizable to other regions. Future research might compare studies across different areas and examine the long-term effects of CG on SMEs to identify optimum practices. The study recommends prioritizing efficient CG procedures tailored to SME needs. It suggests developing business management competencies and advocating for supporting legislation to enhance SME performance.

Optimizing organizational agility through agile complexity tolerant leadership

The main objective of this paper is to explore how the use of agile complexity can enhance organizational agility and competitive advantage in Small and Medium Enterprises (SMEs) during digital transformation. Additional objectives include addressing knowledge gaps in the leadership attributes needed to drive organizational agility, evaluating the research focus and methods used, and exploring agile complexity leadership as a model to enhance organizational performance. The research method involves a literature review using Google Scholar from 2013 to 2023, using keywords such as complexity, complexity science, leadership complexity, agile, and agile leadership. After initially identifying 81 journal articles, 13 relevant journal articles and four books were selected by reviewing their abstracts to assess their correlation with the role of agile complexity leadership in enhancing organizational agility during digital transformation in SMEs through prism model analysis. The main findings from this observation include a significant knowledge gap regarding the leadership attributes needed to enhance organizational agility, research dominance based on quantitative methods with statistically non-representative samples, and a lack of attention to the concept of complexity leadership as an effective model for improving SME performance. Although this paper provides new insights into the relationship between organizational agility and leadership during digital transformation in SMEs.

Linking digital leadership and employee digital performance in SMEs in China: The chain-mediating role of high-involvement human resource management practice and employee dynamic capability

BackgroundIn the digital era, the role of digital leadership is becoming increasingly prominent. However, the exploration of the alignment between digital leadership and high-involvement human resource management practices (HI-HRMPs) in influencing employee-based resources remains an overlooked research area among current scholars. ObjectiveThis study aims to analyze the influence of these elements on the digital performance of employees. Based on the Resource-Based View (RBV) and Dynamic Capability Theory (DCT), this research focuses on Chinese Small and Medium Enterprises (SMEs) and employs purposive sampling to select four representative regions in China (Shanghai, Guangzhou, Guizhou, and Anhui). The survey targeted employees within SMEs and was conducted using questionnaire surveys. Structural equation modeling (AMOS) is utilized for analysis. ResultsThe findings indicate that: (1) digital leadership cannot directly influence employee digital performance and employee dynamic capability but can directly influence HI-HRMP; (2) HI-HRMP mediate the influence of digital leadership on employee digital performance, but employee dynamic capability cannot mediate the influence of digital leadership on employee digital performance; (3) HI-HRMP and employee dynamic capability play a chain mediating role between digital leadership and employee digital performance. ConclusionIn the digital market, digital leadership improves employee digital performance by boosting HI-HRMP and enhancing employee dynamic capabilities. The findings support studies on practical applications and link between digital leadership and employee digital performance. The uniqueness of this study lies in applying HI-HRMP and employee dynamic capabilities as chain mediating variables in the digital market. This approach extends the application of HRMPs and dynamic capability theory, providing theoretical guidance and decision support for the digital operations of SMEs.

Pelatihan dan Pengembangan Sumber Daya Manusia pada UMKM Melalui Keterampilan Digital dalam Produksi Pangan

This training aims to address human resource management (HRM) in the digital era and efforts to enhance the productivity of small and medium enterprises (SMEs). The challenges faced by SMEs, such as low productivity, added value, and product quality, are also a primary focus of this training. The activity was conducted on Saturday, May 25, 2024, at Jl Benda Permai III, Kampung Parakan Rt 06 Rw 09 Pondok Benda, Pamulang District, South Tangerang. The implementation methods included seminars, discussions, and hands-on practice. The participants consisted of 10 lecturers from STIE Ganesha and 20 business owners of Dimsum and cricket farmers. The training results indicated that HR professionals need to master strategic competencies, including understanding organizational values, talent management, leadership, and the use of digital technology. Additionally, they need to position the business strategically, build trust-based relationships, and manage various business pressures. The training also emphasized the importance of modernizing business systems and systematic policies as an alternative to increasing regional competitiveness and improving SME performance. Digital skills development, financial management, and information technology proficiency were identified as crucial needs for SME actors. This training provided valuable insights for HR professionals and SME stakeholders in understanding the importance of HRM in the digital era and enhancing SME productivity. Implementing effective strategies in HRM and productivity improvement will help achieve sustainable SME development goals and make a more significant contribution to the national economy

Social Audits: A Remedy to a Happy Workplace and an Assurance to Better Performance of SMEs in Uganda.

This research paper explores the role of social audits in promoting a happy workplace and enhancing the performance of Small and Medium Enterprises (SMEs) in Uganda. Despite the growing recognition of the importance of social responsibility in business operations, many SMEs in Uganda face challenges in implementing and maintaining ethical practices. This paper examines how social audits can serve as a remedy to address these challenges by fostering a positive work environment, improving employee well-being, enhancing productivity, and ensuring compliance with ethical standards. Through a comprehensive review of existing literature, case studies, and interviews with SME owners and stakeholders in Uganda, this paper aims to provide insights into the potential benefits of social audits for SMEs in Uganda and offer recommendations for their effective implementation.

"Interrelation of Workplace Spirituality, Organizational Trust, and Performance in Small and Medium Enterprises (SMES): A Synergistic Approach"

Purpose- This research examines the interplay between workplace spirituality and organizational performance in Indian small and medium enterprises (SMEs), with a specific focus on organizational trust as a potential mediating factor. The study also considers the implications of these relationships for the long-term sustainability of these businesses. Design/methodology/approach- The research collected information from various levels of personnel in Indian small and medium enterprises (SMEs), including owners, managers, supervisors, and employees. Questionnaires were distributed to 550 participants, with 428 fully completed responses being included in the final analysis in Delhi and NCR Region of India. To examine the data, the study employed structural equation modelling using Smart PLS 4.0 software. Findings- There is a significant direct effect on the relationships between workplace spirituality and organizational performance and this was further established that there is moderately strong partial mediation of organizational trust between workplace spirituality and organizational performance. These will be useful for the SMEs organization to improve their performance for sustainability in the present global environment flooded with smart technologies. Research limitations/Implications - To enhance organizational performance, workplace spirituality and the role of trust were examined, and this was established that SMEs must adopt workplace spirituality to increase their performance in the present dynamic global economy for their survival. This study will assist stakeholders, owners, managers, and academicians in thinking about suitable strategies for adopting and developing a culture of spirituality for their competitive advantage and for their sustainability. Originality/value - This study is unique as this contributes to understanding the role of workplace spirituality and the role of trust in the organizational performance of SMEs, which have been neglected in India.

Digitalization as a driver of European SMEs’ financial performance during COVID-19

This paper analyzes the impact of the European economy's digitalization on the financial performance of European small and medium enterprises (SMEs) during COVID-19. Using a panel data from 2017 to 2022 of 12,179 European SMEs and a European transformed digitalization index, we find that the financial performance of SMEs is significantly and negatively associated with the COVID-19 pandemic. Digitalization seems to have played a key role in helping SMEs to combat the effects of the pandemic. We find that digitalization significantly increases SMEs’ financial performance, as measured by various performance measurements and mediates the COVID-19 negative effect. Digitalization is more significant during the COVID-19 era compared to the pre-pandemic period. Our results are robust to alternative performance measures.

Impact of government support policies on entrepreneurial orientation and SME performance

Small and medium enterprises (SMEs) are often resource-constrained and motivated by necessity or opportunity. They play an essential role in national economies due to their contributions to employment, human capital development, knowledge spillovers, and social mobility in maintaining diverse entrepreneurial ecosystems. Government support policies (GSP), both financial and nonfinancial, can directly impact SME performance or indirectly by developing an entrepreneurial orientation (EO). Few studies have investigated the important question of how GSP simultaneously may impact both the EO and the performance of an SME. Thus, this paper aims to identify the current understanding of how different forms of GSPs relate to and impact the EO and the performance of SMEs. A systematic literature review was conducted using the PRISMA methodology to synthesize this understanding, resulting in 65 relevant articles from the ABI/INFORM, ScienceDirect, Scopus and Web of Science databases. The relationships between the constructs were analyzed using thematic and semantic analyses, employing computer-assisted data analysis software (NVivo 12 and Leximancer 4.5). This resulted in the categorization of GSPs as direct and indirect support policies, with financial and nonfinancial-subcategories, and depicted their pathways of influence on SMEs’ EO and performance. The study found that GSPs have four different pathways by which they can impact performance. Both direct and indirect policies have moderating effects that can magnify the impact of EO on performance. The review established that the direct effect of GSP on EO varies by sector, SME growth-intention, and type of GSP. Based on the findings, we recommend policymakers develop support policies tailored to SMEs’ specific sector and its intentions to enhance performance.

FINANCIAL REPORTING AND PERFORMANCE OF SMALL AND MEDIUM ENTERPRISES IN LAGOS STATE, NIGERIA: THE CRUCIAL ROLE OF FINANCIAL REPORTING EDUCATION

This study investigates the impact of adopting International Financial Reporting Standards (IFRS), financial reporting quality, and financial reporting education on the performance of listed Small and Medium Enterprises (SMEs) in Lagos State, Nigeria.A primary data were used for this study. The research design was a survey research design, and a well structured questionnaire was employed to gather the data.The findings reveal significant positive impacts. IFRS adoption positively influences SMEs performance in Lagos State (β = 2.027; p < .05). and there exists a significant positive relationship between financial reporting quality and SMEs performance (β = 1.991; p < .05). Additionally, the current level of financial reporting education among SME owners significantly impacts their business performance (β = 2.159; p < .05).The study recommends proactive measures such as promoting IFRS adoption and implementing financial reporting education programs tailored for SME owners.These initiatives are anticipated to enhance transparency, facilitate informed decision-making, and improve overall business performance.

GOVERNMENT SUPPORT AND FINANCIAL PERFORMANCE POST-COVID-19: EVIDENCE FROM SMALL AND MEDIUM ENTERPRISES

Small and medium enterprises (SMEs) are vulnerable during the Covid-19 pandemic because they have limited resources. To prevent SMEs from going bankrupt after the Covid-19 pandemic, the government needs reasonable support policies for SMEs. This paper examines the impact of government support, including interest rate, tax, training, and consulting support, on the performance of SMEs post-COVID-19. We use Return on Assets (ROA), Return on Sales (ROS) and profit to represent the performance of SMEs. We have reviewed previous studies to propose a research model and questionnaire. Based on the questionnaire, we collected data from 355 SMEs in Vietnam by surveying in 2022. The OLS regression model was used to test the hypotheses in the research model. The results show that government support positively affects ROA, ROS and profit. Besides, SMEs that invest in new technologies, equipment or software have higher ROA and ROS and SMEs that obtain quality management system certificates such as ISO 9001 have better profits. Based on the research results, we have proposed solutions to support SMEs in overcoming crises like COVID-19. This result is crucial for policy-makers who want to allocate the government's limited budget to stimulate economic development.

Effect of reputation and social media on the financial performance of SMEs – a comparison between selected business sectors

Research background: The growing popularity of social media increased its significance as a tool for enhancing corporate reputation. However, SMEs are less engaged in social media than large companies. For this reason, numerous SMEs miss the benefits they could derive from using the potential of social media and fail to optimize their reputation management strategies. Furthermore, substantial diversity among SMEs in their social media engagement practices is evident. Consequently, it is crucial to investigate this problem and identify SME owners' and managers’ perceptions of reputation and social media in specific business sectors. Purpose of the article: The aim of this study is to examine and quantify the effect of the importance of corporate reputations and social media on financial performance. Methods: The questionnaire was completed by 864 SMEs engaged in business activities within one of the following sectors: manufacturing, trade, services, and construction. Subjective perceptions of owners and managers of small and medium enterprises (SMEs) were analyzed. Data collection was conducted in the four Central European countries in the years 2022-2023. The statistical hypotheses were verified using correlation analysis and linear regression modelling. Analytical software IBM SPSS Statistics no. 28 was used in the statistical evaluation of the research data set. Findings & Value added: The corporate reputation of companies is a significant factor, which has a positive effect on the acceptable profit of a company in the business sector of manufacturing, trade, construction, and services. The strongest effect is present in the sector of construction. Social media is an important factor with a positive effect on the perception of a sufficient profit of a company by each business sector except construction. The strongest effect is present in the sector of manufacturing. Corporate reputation was found to be insignificant for the perception of the ability to pay obligations (solvency) in the manufacturing sector. This effect is stronger in the construction sector in comparison to the trade and services sectors.

THE EFFECT OF MICROFINANCE BANK LOAN ON PERFORMANCE OF SMALL AND MEDIUM ENTERPRISES IN NIGERIA

This paper evaluates the impact of microfinance bank loans on small and medium enterprises (SMEs) in Osun State, Nigeria. The SMEs encounter major difficulties when trying to obtain financing, which hampers their growth and contributions to the economy. Microfinance banks are crucial as they provide essential financial services tailored for SMEs, facilitating economic growth. A descriptive survey design was used so as to collect data from 150 randomly selected SME operators across various sectors in the Osun State. The findings show that microfinance loans significantly enhance SME performance leading to increased productivity, employment, and business expansion. However, high-interest rates & stringent loan conditions present substantial challenges that hinder optimal loan utilization. Study concludes that while microfinance bank loans positively influence SME growth, addressing these barriers could improve effectiveness & sustainability in SMEs. Enhancing loan terms could boost microfinance banks role in fostering long-term economic improvement in the region. This study empirically links the microfinance bank loans to SME performance, contributing to the literature on SME financing and economic development in Nigeria.

Innovation, Capabilities and Networking: An Approach to SMEs Marketing Performance

This research describes innovation capabilities, networking and marketing performance in small and medium enterprises (SMEs) in the Lamongan district. The research was conducted on food and beverage SMEs in Lamongan Regency because one of the development priorities in the 2005-2025 Regional long-term development plan (RPJPD) of Lamongan Regency is to develop and increase the competitiveness of SMEs as drivers of the local economic life of Lamongan Regency residents. This research is survey research using structured questions, and then all answers are obtained, recorded, processed and analyzed. The research population was 182 SMEs food and beverage actors in Lamongan Regency in 27 sub-districts. Meanwhile, the sample for this research was 182 SMEs. The research results show that the ability of SMEs to innovate is determined by product, process, and marketing innovation. The most significant contribution from SMEs is in product innovation, with the resulting products being attractive, with unique packaging and safety. Relationship expertise, relationship skills, network characteristics, and network orientation determine the networking of SME actors. The most significant contribution of SME players is in the formation of networking with network characteristics, such as SMEs supporting each other's success with partners and carrying out initial evaluations of potential partners to build profitable relationships. Furthermore, the marketing performance of SMEs is determined by sales growth, customer growth, and market share growth. It creates marketing performance by selling products that align with sales targets so that sales growth increases yearly. The contribution of this research can provide input for the Lamongan Regency Cooperatives and Micro Enterprises department as a consideration for making strategies to improve performance marketing and input for me about the importance of improving marketing performance through innovation and networking capabilities.

Impact of Organisational Leadership Style on Company Culture-An analysis of SMEs from the Middle East in Bahrain and the UAE

This research investigates leadership styles and organisational cultures in Small and Medium Enterprises (SMEs) in Bahrain and the United Arab Emirates (UAE). Through a pre-designed semi-structured survey questionnaire, 200 participants from various disciplines in Bahrain and the UAE (each) provided data. The questionnaire addressed six leadership and four cultural and organisational contexts, exploring two key questions – 1) leadership style and 2) organisational culture in the organisation and demographics. Data analysis tools used in this research included Excel countifs, sum and data analytics available to Microsoft 365 users. The results showed that leadership styles and organisational culture vary across Bahrain and UAE SMEs. Results also evidenced that organisational culture does not affect the performance of SMEs in Bahrain and the UAE. Additionally, results showed that the relationship between leadership style and organisational culture in SMEs in Bahrain and the UAE exists but is not consistently significant.

Enhancing E-Commerce SME Performance through Human Capital, Organizational Culture, and Product Innovation: The Mediating Role of Employee Performance

This study investigates the impact of human capital, organizational culture, and product innovation on entrepreneurial performance in e-commerce small and medium enterprises (SMEs) in Shanghai, hypothesizing that these factors positively influence entrepreneurial performance with employee performance as a mediating variable. Approximately 375 entrepreneurs and staff from e-commerce SMEs participated, providing pertinent data through validated questionnaires rated on a 5-point Likert scale. Utilizing a quantitative research design, the study employed SEM-PLS analysis to examine relationships among human capital, organizational culture, product innovation, employee performance, and entrepreneurial performance. The findings indicate that human capital, organizational culture, and product innovation significantly impact entrepreneurial performance, with human capital having the most substantial effect, followed by product innovation. Employee performance was found to mediate these relationships, enhancing organizational competitiveness. Effect sizes and confidence intervals demonstrated strong content validity and statistical significance. The study concludes that strategic management of human capital, fostering a supportive organizational culture, and encouraging product innovation are crucial for improving entrepreneurial performance in e-commerce SMEs. These results suggest that SMEs should invest in human capital development, create an innovation-friendly environment, and emphasize effective leadership and ethical behavior. The implications highlight the importance of these factors in achieving success in the competitive e-commerce market, emphasizing the need for strategic management practices that prioritize human capital and organizational development to drive performance outcomes. This research provides actionable insights for SMEs seeking to enhance their competitiveness and sustainability in the rapidly evolving e-commerce landscape, underscoring the critical role of human capital and innovative organizational practices.