Francis Kamewor Tetteh, Benjamin Nyantakyi, Kwame Owusu Kwateng and Hannah Vivian Osei
This study examined the mediation-moderation role of innovation and market dynamism in the association between total quality management (TQM) practices and the performance of…
Abstract
Purpose
This study examined the mediation-moderation role of innovation and market dynamism in the association between total quality management (TQM) practices and the performance of small and medium-scale enterprises' (SMEs') performance with empirical evidence from sub-Saharan Africa.
Design/methodology/approach
Using a questionnaire, the research model developed was tested with responses from 203 owners and managers of SMEs in Ghana. The analyses were done using Statistical Package for the Social Sciences (SPSS) and Smart Partial Least Squares Structural Equation Modeling (PLS-SEM).
Findings
The innovation initiatives partially and fully mediated the relationship between TQM practices and the performance of SMEs. Also, the indirect effect of TQM practices of SMEs on performance through innovation initiatives was negatively moderated by market dynamism.
Practical implications
The study contributes to the TQM literature by validating the indirect and direct relationship between TQM practices and performance in the context of SMEs in a developing region.
Originality/value
This paper presents a novel understanding of the relationship between TQM and SMEs in developing regions of the world. The paper serves as a guide for SME owners and managers to improve the performance of their organizations through TQM practices.
Details
Keywords
George Augustus Benjamin Aggrey, Lawrence Yaw Kusi, Ebenezer Afum, Victoria Yaa Osei-Ahenkan, Christine Norman, Kenneth Boateng Boateng and Joseph Amponsah Owusu
This study empirically examines the effect of supply chain integration (SCI) on financial performance (FP) and controls for the mediating effects of supply chain agility (SCA)…
Abstract
Purpose
This study empirically examines the effect of supply chain integration (SCI) on financial performance (FP) and controls for the mediating effects of supply chain agility (SCA), supply chain (SC) innovation and operational performance (OP).
Design/methodology/approach
Through a causal research design, structured questionnaires were used for primary data collection from 217 commercial poultry farms (CPFs) operating in the Bono Region of Ghana. Structural equation modeling was reflectively configured to test the formulated hypotheses.
Findings
SCI causes a statistically significant moderate positive variance in OP in terms of cost-effectiveness, order fulfillment rate, operating cycle, inventory turns, business process innovation. SCI is an insignificant weak positive predictor of FP (growth in revenue, profit, return on investment, sales growth) of CPFs operating in Ghana. Furthermore, OP significantly and positively mediates the predictive relationship between SCI and FP. Again, SC innovation significantly mediates the predictive relationship between SCI and OP. However, SCA fails to significantly mediate the predictive relationship between SCI and OP.
Research limitations/implications
Focal firms' characteristics were ignored, although they may determine how SCI affects OP and FP in the presence of SCA and SC innovation.
Originality/value
Empirically, SCI has no direct impact on FP of CPFs but does so indirectly through the mediating role of OP.
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Keywords
Christopher Boafo, Alexis Catanzaro and Utz Dornberger
The International Labor Organization (2020) estimates that eight out of ten enterprises (i.e. own-account workers and small economic units) are informal worldwide. However, less…
Abstract
Purpose
The International Labor Organization (2020) estimates that eight out of ten enterprises (i.e. own-account workers and small economic units) are informal worldwide. However, less is known about the internationalization of informal enterprises. Here, it is argued that economic blocs, such as sub-Saharan Africa, with a greater proportion of informal enterprises, may provide broader societal legitimacy for them to operate internationally. Thus, informal firms would need to collaborate with other firms to overcome their resource constraints. Geographic colocation is one way to facilitate positive interfirm interactions that promote networking and subsequently cooperation. The purpose of this paper is, thus, to addresses two questions. Firstly, how and to what extent does interfirm marketing cooperation in geographic colocation influence the internationalization of micro and small informal manufacturing enterprises? Secondly, how do the perceived benefits of local external economies moderate this relationship?
Design/methodology/approach
The study draws evidence from 125 randomly selected informal enterprises located in two major clusters in Ghana, using a mixed-method approach.
Findings
The partial least square - structural equation modeling (PLS-SEM) analysis applied revealed two central points. Firstly, sharing marketing costs allows informal firms to upgrade their phases of export development directly. Secondly, the linkage of increasing sales activities and local external economies encourages the progress of the phases of export development and the scope of internationalization. Results confirm that the cluster benefits of interfirm cooperation and local external economies on the informal firm internationalization process complement each other in addition to their linear relationship.
Originality/value
The study contributes to understanding the nexus of the informal sector, geographic colocation and the entrepreneurial internationalization literature. The results should motivate researchers and policymakers to approach informal firm internationalization through collaborative business activities.