[ 17th September 2022 by Jiayu Zhang 0 Comments ]

Dynamic capabilities and enterprise growth: the mediating effect of networking, Michael Omeke, Pascal Ngoboka, Isaac Nkote and Isaac Kayongo

Michael Omeke
Kyambogo University, Kampala
Email: omekemichael@gmail.com
Pascal Ngoboka
Centre of Economic Research, College of Business and Economics
University of Wisconsin-River Falls, River Falls, Wisconsin
Isaac Nabeta NkoteIsaac Kayongo
Makerere University Business School, Kampala

DOI: 10.1108/WJEMSD-05-2019-0031

Purpose: Enterprise growth drives competitiveness, innovations, employment creation, income generation and social inclusion in societies. The purpose of this paper is to examine the mediating effect of networking on the relationship between dynamic capabilities and enterprise growth of financial cooperatives.
Design/methodology/approach: This is a cross-sectional survey and quantitative study of 269 financial cooperatives based on structural equation modelling and bootstrapping techniques analysis.
Findings: The results reveal that dynamic capabilities are vital in promoting the growth of financial cooperatives. In addition, networking partially enhances the contribution of dynamic capabilities to the growth of financial cooperatives. Therefore, dynamic capabilities and networking play a key role in promoting the growth of financial cooperative enterprises.
Research limitations/implications: This was a cross-sectional survey. It did not trace the changes in behavioural and attitudinal aspects of enterprise growth over time. A longitudinal approach is recommended.
Practical implications: It is imperative that managers of financial cooperatives enhance their coordination, learning and competitive response capabilities through consultation, exchange and sharing of information among staff and other stakeholders, to increase the membership, capital and income volumes, depicting growth of financial cooperatives.
Originality/value: This study provides an insight on the mediating effect of networking on the enterprise growth of financial cooperatives in developing countries founded on networks theoretical framework. Unlike previous studies that modelled direct relationship of enterprise growth.
Keywords: Dynamic capabilities; Enterprise growth; Networking; Financial cooperatives.
Citation: Omeke, M., Ngoboka, P., Nkote, I.N. and Kayongo, I. (2021), "Dynamic capabilities and enterprise growth: the mediating effect of networking", World Journal of Entrepreneurship, Management and Sustainable Development, Vol. 17 No. 1, pp. 1-15. https://doi.org/10.1108/WJEMSD-05-2019-0031


WJEMSD V17 N1 2021 Omeke et al.pdf
WJEMSD V17 N1 2021 Omeke et al.pdf
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