Qi Feng

KMITL Business School, King Mongkut’s Institute of Technology Ladkrabang, Bangkok 10520

Thailand

503212889@qq.com

ORCID 0009-0007-3184-4838

The impact of competitive strategy on enterprise performance: An empirical study of small and medium-sized manufacturing enterprises

Sebastian Kot

The Faculty of Management, Czestochowa University of Technology,

Poland

Faculty of Economics & Management Sciences, North-West University

South Africa

sebastian.kot@pcz.pl

ORCID 0000-0002-8272-6918

Singha Chaveesuk

KMITL Business School, King Mongkut’s Institute of Technology Ladkrabang, Bangkok 10520,

Thailand

Singha.ch@kmitl.ac.th

ORCID 0000-0002-5256-409X

Wornchanok Chaiyasoonthorn

KMITL Business School, King Mongkut’s Institute of Technology Ladkrabang, Bangkok 10520,

Thailand

wornchanok.ch@kmitl.ac.th

ORCID 0000-0001-5936-5299

Abstract. This study investigates the relationships between competitive strategy, innovation, corporate governance structure, capital structure, human capital, and enterprise performance in small and medium-sized manufacturing enterprises (SMEs). The research is based on the Competition Theory. The survey research design includes 506 valid responses from SMEs in China. Structural equation modelling was employed to analyze the responses. It revealed that competitive strategy positively impacts performance, with innovation and human capital as key mediators. Corporate governance and capital structure also mediate these relationships, supporting various strategic management theories. Additionally, the environment moderates the impact of competitive strategy on performance, highlighting the need for adaptability in dynamic markets. These findings offer theoretical substantiations and practical insights for enhancing SME performance through strategic planning. Future research should employ longitudinal approaches and integrate objective data to explore these dynamics further.

Received: August, 2023

1st Revision: May, 2024

Accepted: September, 2024

DOI: 10.14254/2071-8330.2024/17-3/1

JEL Classification: L20, L25, L60

Keywords: competitive strategy, enterprise performance, innovation, human capital, small and medium-sized enterprises