Original Research - Special Collection: Managerial Practices

Unleashing Entrepreneurial Orientation: A Dynamic Exploration of Firm Performance through Knowledge, Social Media, and Customer Relationship Management-Based Capabilities in the Face of Environmental Dynamism

Faiza Siddiqui, Kong Yusheng, Rafael Ravina-Ripoll, Abdiaziz S. Aden
South African Journal of Business Management | Vol 55, No 1 | a4346 | DOI: https://doi.org/10.4102/sajbm.v55i1.4346 | © 2024 Faiza Siddiqui, Kong Yusheng, Rafael Ravina-Ripoll, Abdiaziz S. Aden | This work is licensed under CC Attribution 4.0
Submitted: 02 November 2023 | Published: 08 April 2024

About the author(s)

Faiza Siddiqui, School of Finance and Economics, Faculty of Finance and Economics, Jiangsu University, Zhenjiang, China
Kong Yusheng, School of Finance and Economics, Faculty of Finance and Economics, Jiangsu University, Zhenjiang, China
Rafael Ravina-Ripoll, Department of Business Organisation, Faculty of Economics and Business Studies, University of Cadiz, Cadiz, Spain
Abdiaziz S. Aden, College of Business and Economics, Faculty of Business and Economics, Jijiga University, Jijiga, Ethiopia

Abstract

Purpose: This article establishes a connection between entrepreneurial orientation (EO) and firm performance, exploring the mediating effects of knowledge-based capabilities (KBC), social media use capabilities (SMUCs) and customer relationship management capabilities (CRMCs), with moderation by environmental dynamism (ED). Utilising the resource-based view (RBV) framework and a mediation moderation model, the research empirically explores these connections.

Design/methodology/approach: Data were gathered via a survey from 900 listed firms in Ethiopia and China, spanning manufacturing and service industries. The questionnaire underwent translation into Chinese and Amharic from English. A quantitative approach, utilising convenience sampling for survey distribution, was employed. SPSS 24 software facilitated mediation analysis, revealing no concerns related to discriminant validity.

Findings/results: The findings affirm the positive impacts of EO on KBC, SMUC and CRMC in China, while only on SMUC in Ethiopia. In addition, a positive mediation of KBC, SMUC and CRMC between EO and firm performance. Additionally, ED moderated the link between SMUC, CRMC and firm performance.

Practical implications: Our study recommends that policymakers and managers should invest in training programmes and information technology, organising workshops to educate staff on the effective use of social media tools. This investment holds substantial potential for dynamically transforming business models, processes and customer trends.

Originality/value: This study adds to the current body of knowledge by exploring EO-firm performance correlation, incorporating the mediating effects of KBC, SMUC and CRMC while considering the moderating influence of ED.


Keywords

entrepreneurial orientation; firm performance; knowledge-based dynamic capacities; customer relationship management; social media use; environmental dynamism.

JEL Codes

E30: General; O10: General; Q55: Technological Innovation

Sustainable Development Goal

Goal 9: Industry, innovation and infrastructure

Metrics

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