SMEs performance in Malaysia: the role of contextual ambidexterity in innovation culture and performance
Small and medium-sized enterprises (SMEs) in both the industrial and service sectors have been identified as the drivers of Malaysia’s fast economic growth. However, SMEs are faced with an inherent issue of lack of resources and capabilities which constrains the ability of SMEs to improve performanc...
| Main Authors: | , , , , , , , |
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| Format: | Article |
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Multidisciplinary Digital Publishing Institute
2022
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| Online Access: | http://psasir.upm.edu.my/id/eprint/103220/ |
| _version_ | 1848863964064120832 |
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| author | Ramdan, Mohamad Rohieszan Abd Aziz, Nurul Ashykin Abdullah, Nor Liza Samsudin, Norsamsinar Veer Singh, Gurcharanjit Singh Zakaria, Thuraiya Mohd Fuzi, Nursyazwani Ong, Sharon Yong Yee |
| author_facet | Ramdan, Mohamad Rohieszan Abd Aziz, Nurul Ashykin Abdullah, Nor Liza Samsudin, Norsamsinar Veer Singh, Gurcharanjit Singh Zakaria, Thuraiya Mohd Fuzi, Nursyazwani Ong, Sharon Yong Yee |
| author_sort | Ramdan, Mohamad Rohieszan |
| building | UPM Institutional Repository |
| collection | Online Access |
| description | Small and medium-sized enterprises (SMEs) in both the industrial and service sectors have been identified as the drivers of Malaysia’s fast economic growth. However, SMEs are faced with an inherent issue of lack of resources and capabilities which constrains the ability of SMEs to improve performance. Due to this, it is critical for SMEs to understand and develop an important capability that supports them in facing a dynamic and competitive business environment. This study examines the mediating role of contextual ambidexterity as a dynamic capability in the relationship between innovation culture and SME performance. The online surveys were carried out starting from 5th July until 25th July 2021. A total of 277 SMEs in Selangor, Malaysia participated in this study and Covariance-Based Structural Equation modeling analysis was utilized to test the hypotheses. The findings show that in terms of direct relationships, innovation culture has a significant positive relationship with contextual ambidexterity, while innovation culture and contextual ambidexterity have a significant positive relationship with SME performance. The findings showed that contextual ambidexterity is significant as a mediator in the relationship between innovation culture and SME performance. This study makes an important contribution to the management field by highlighting the role of contextual ambidexterity, which is often the focus of large companies. These findings support the notion of dynamic capability that accentuates the importance of developing capabilities in dealing with dynamic and challenging situations. |
| first_indexed | 2025-11-15T13:41:16Z |
| format | Article |
| id | upm-103220 |
| institution | Universiti Putra Malaysia |
| institution_category | Local University |
| last_indexed | 2025-11-15T13:41:16Z |
| publishDate | 2022 |
| publisher | Multidisciplinary Digital Publishing Institute |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | upm-1032202023-11-30T07:28:27Z http://psasir.upm.edu.my/id/eprint/103220/ SMEs performance in Malaysia: the role of contextual ambidexterity in innovation culture and performance Ramdan, Mohamad Rohieszan Abd Aziz, Nurul Ashykin Abdullah, Nor Liza Samsudin, Norsamsinar Veer Singh, Gurcharanjit Singh Zakaria, Thuraiya Mohd Fuzi, Nursyazwani Ong, Sharon Yong Yee Small and medium-sized enterprises (SMEs) in both the industrial and service sectors have been identified as the drivers of Malaysia’s fast economic growth. However, SMEs are faced with an inherent issue of lack of resources and capabilities which constrains the ability of SMEs to improve performance. Due to this, it is critical for SMEs to understand and develop an important capability that supports them in facing a dynamic and competitive business environment. This study examines the mediating role of contextual ambidexterity as a dynamic capability in the relationship between innovation culture and SME performance. The online surveys were carried out starting from 5th July until 25th July 2021. A total of 277 SMEs in Selangor, Malaysia participated in this study and Covariance-Based Structural Equation modeling analysis was utilized to test the hypotheses. The findings show that in terms of direct relationships, innovation culture has a significant positive relationship with contextual ambidexterity, while innovation culture and contextual ambidexterity have a significant positive relationship with SME performance. The findings showed that contextual ambidexterity is significant as a mediator in the relationship between innovation culture and SME performance. This study makes an important contribution to the management field by highlighting the role of contextual ambidexterity, which is often the focus of large companies. These findings support the notion of dynamic capability that accentuates the importance of developing capabilities in dealing with dynamic and challenging situations. Multidisciplinary Digital Publishing Institute 2022 Article PeerReviewed Ramdan, Mohamad Rohieszan and Abd Aziz, Nurul Ashykin and Abdullah, Nor Liza and Samsudin, Norsamsinar and Veer Singh, Gurcharanjit Singh and Zakaria, Thuraiya and Mohd Fuzi, Nursyazwani and Ong, Sharon Yong Yee (2022) SMEs performance in Malaysia: the role of contextual ambidexterity in innovation culture and performance. Sustainability, 14 (3). art. no. 1679. pp. 1-18. ISSN 2071-1050 https://www.mdpi.com/2071-1050/14/3/1679 10.3390/su14031679 |
| spellingShingle | Ramdan, Mohamad Rohieszan Abd Aziz, Nurul Ashykin Abdullah, Nor Liza Samsudin, Norsamsinar Veer Singh, Gurcharanjit Singh Zakaria, Thuraiya Mohd Fuzi, Nursyazwani Ong, Sharon Yong Yee SMEs performance in Malaysia: the role of contextual ambidexterity in innovation culture and performance |
| title | SMEs performance in Malaysia: the role of contextual ambidexterity in innovation culture and performance |
| title_full | SMEs performance in Malaysia: the role of contextual ambidexterity in innovation culture and performance |
| title_fullStr | SMEs performance in Malaysia: the role of contextual ambidexterity in innovation culture and performance |
| title_full_unstemmed | SMEs performance in Malaysia: the role of contextual ambidexterity in innovation culture and performance |
| title_short | SMEs performance in Malaysia: the role of contextual ambidexterity in innovation culture and performance |
| title_sort | smes performance in malaysia: the role of contextual ambidexterity in innovation culture and performance |
| url | http://psasir.upm.edu.my/id/eprint/103220/ http://psasir.upm.edu.my/id/eprint/103220/ http://psasir.upm.edu.my/id/eprint/103220/ |