Entrepreneurial orientation and small and medium enterprises performance in Nigeria: role of organizational culture
摘要
SMEs have been identified as a major source of growth for the Nigerian economy; however, they face challenges that undermine their capacity to realise this potential. Many studies have investigated the impact of entrepreneurial orientation on SMEs performance and have produced varying results.The study assessed the mediating role of organizational culture on the relationship between entrepreneurial orientation and selected SMEs performance in Abuja, Nigeria. A descriptive research survey method was employed in this study. The study first determined the appropriate sample size using the Krejcie and Morgan (1970) formula, which indicated a sample of 357 was required for a population of 5,690 SMEs. Subsequently, participants were selected using a simple random sampling technique. Data were analysed using SPSS and Smart PLS. The study found that key dimensions of entrepreneurial orientation, such as innovation (β = 0.298, p < 0.05) and proactivity (β = 0.238, p < 0.05), have a significant positive impact on SME performance. The finding also shows that organizational culture significantly mediates the effect of both innovation (β = 0.184, T = 3.91) and proactivity (β = 0.238, T = 3.911) on SME performance, highlighting its crucial indirect role. The findings emphasize that for managers, entrepreneurs, and policymakers seeking to maintain a competitive advantage, it is essential to prioritize organizational culture, as it plays a pivotal role in driving direct and indirect performance improvements. The study also addresses notable limitations, provides actionable insights for practitioners, and offers recommendations for future research to further explore this critical relationship.