Market Orientation and Leadership Orientation as Drivers of Business Model Innovation and Corporate Performance: Evidence from Chinese SMEs
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Abstract
This study was investigated the relationships among market orientation (MO), leadership orientation (LO), business model innovation (BMI), and corporate performance (CP) in small and medium-sized enterprises (SMEs) in China’s manufacturing and service sectors. The target population consists of small and medium-sized enterprises (SMEs) in mainland China. As well as the sampling frame is constructed using multiple sources, minimum usable sample of 300 SMEs in quantitative approach which strand as a large sample survey analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). And with conduct approximately 20–25 interviewees in qualitative approach which strand as interview method and explanatory focus. Drawing on the Resource-Based View and Dynamic Capabilities Theory, the research proposes BMI as a key mediating mechanism through which strategic orientations influence firm performance, while LO is examined as a moderating factor. Data were collected from senior managers of Chinese SMEs and analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM).
The results indicated that MO and LO positively influence BMI, which in turn significantly enhances corporate performance. BMI partially mediates the effects of MO and LO on CP, and LO strengthens the relationship between MO and BMI.
These findings contribute to the literature on strategic orientation and business model innovation and provide practical guidance for SME managers seeking sustainable performance in turbulent environments.
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