The effect of technological opportunism on the performance of SMES: A dynamic capabilities perspective

Master Thesis


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In today’s fast changing business environment, small and medium-sized enterprises (SMEs) need to seize the technological opportunities that this environment provides, by developing dynamic capabilities to build and attain high performance. This dissertation looks at the effect that technological opportunism has on the performance of SMEs in Namibia. In addition, the dissertation looks at the mediating role of dynamic capabilities on the relationship between technological opportunism and SMEs. The study draws from the dynamic capabilities view for theoretical context. The literature reviewed enabled the development of a conceptual model, which further contributes to theory. Data is drawn from a random sample of 209 SMEs located in Namibia. Results from the regression analysis suggest that the effect of technological opportunism on the performance of SMEs is partially mediated by dynamic capabilities. For the three capabilities assessed, the learning and integrative capabilities have a partial mediating effect on the link between technological opportunism and performance, while the transformative capability does not mediate this relationship. The study offers important academic and business implications, and also points out future research directions. The findings serve as a guide to best improve the work done in this sector, with an emphasis on how to best develop SMEs’ capabilities with regard to new technology initiatives, aimed at improving SMEs. SME owners are encouraged to build capacity, embrace partnerships and develop capabilities that results in better performance.