Analyzing the Impact of Strategic Agility on Performance in Small and Medium-Sized Enterprises: The Mediating Role of sustainable competitive advantage and Business model innovation
Shahrokh Beigi, Tofigh Beigi, Mohammad Safari, Mahdi SohrabiRad, Gabriele Santoro
Keywords:
SMEs, Strategic Agility, Competitiveness, Business Model Innovation, Dynamic Capabilities
Abstract:
This study examines the impact of strategic agility (SA) on the performance of small and medium-sized enterprises (SMEs) and investigates the mediating roles of sustainable competitive advantage (SCA) and business model innovation (BMI). Furthermore, it explores how SA enhances SME competitiveness in dynamic and uncertain business environments. Drawing on the literature on SA, SCA, BMI, and SME competitiveness, this study adopts a quantitative research design. Data was collected through a structured questionnaire administered to 202 chief executive officers (CEOs) of SMEs in Isfahan Province, Iran. The proposed research model and hypotheses were tested using partial least squares structural equation modeling (PLS-SEM) with SmartPLS 3. The results indicate that SA has a positive and significant effect on SME performance. Furthermore, SA indirectly enhances performance through SCA and BMI, both of which serve as significant mediating mechanisms. The findings suggest that strategically agile SMEs are better positioned to develop distinctive competitive advantages, foster business model innovation, improve organizational effectiveness, and strengthen their competitiveness in highly volatile markets. This study extends the strategic agility literature by simultaneously examining the mediating roles of SCA and BMI in the relationship between SA and SME performance. Grounded in dynamic capabilities theory (DCT), the resource-based view (RBV), and entrepreneurial innovation theory, this framework offers a comprehensive explanation of how SA enhances competitiveness and organizational performance among SMEs operating in emerging economies.
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 Analyzing the Impact of Strategic Agility on Performance in Small and Medium-Sized Enterprises: The Mediating Role of sustainable competitive advantage and Business model innovation [PDF file] [Filesize: 675.58 KB]
 10.7441/joc.2026.02.12
Beigi, S.,Beigi, T., Safari, M., SohrabiRad, M., &Santoro, G. (2026). Analyzing the Impact of Strategic Agility on Performance in Small and Medium-Sized Enterprises: The Mediating Role of sustainable competitive advantage and Business model innovation. Journal of Competitiveness 18(2), 307–339. https://doi.org/10.7441/joc.2026.02.12
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