Is social media usage enough to achieve superior performance in Thai SMEs? The mediation of entrepreneurial orientation
Keywords:
Social Media Usage, Entrepreneurial Orientation, Firm Performance, SMEs, ThailandAbstract
This study aims to investigate the relationships among social media (SM) usage, entrepreneurial orientation (EO), and firm performance. Specifically, this study tests mediation effects of EO on the relationships between SM usage and firm performance. A total sample of 313 SMEs operating in several industries in Thailand responded to the survey. The results indicate that the use of SM tools affects all dimensions of EO and improves firm performance. SM usage has both direct and indirect effects on firm performance through the mediation of EO. Two dimensions of EO, namely risk-taking and proactiveness, have significant direct effects on firm performance, whereas innovativeness only has an indirect effect on firm performance through the mediation of risk-taking and proactiveness. The results lead to suggestions for best practice for SMEs, such as SM usage as a construct may not contribute to superior performance, and organizations may require organizational capabilities and resources such as entrepreneurial capabilities to achieve superior business results. This study considers the multidimensional viewpoint of SM–EO and EO–performance and EO as the mediating construct. It provides an enhanced understanding of how small firms should use and benefit from SM to become innovative and attain superior firm performance through the various elements of EO and their interrelationships.
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