The Mediating Role of Entrepreneurial Resilience and Self-Efficacy in Enhancing SMEs Performance in Thailand

Abstract

The study examines the causal relationships between entrepreneurial traits and external environmental factors influencing the performance of small and medium-sized enterprises (SMEs). Quantitative data were collected using questionnaires administered to 512 SMEs, and hypotheses were analyzed employing structural equation modeling. The results demonstrate that entrepreneurial resilience, entrepreneurial self-efficacy, and entrepreneurial orientation have a direct positive impact on the performance of SMEs. Entrepreneurial resilience functions as a partial mediator between entrepreneurial orientation and external environmental factors, thereby influencing the performance of SMEs. Entrepreneurial self-efficacy serves as a full mediator between external environmental factors and SMEs performance. The study illustrates the significance of entrepreneurial resilience and entrepreneurial self-efficacy as key psychological mediating factors, integrating entrepreneurial orientation and contextual conditions to enhance SMEs' performance. The discoveries offer a strategic framework for enhancing SMEs performance through strengthening entrepreneurial traits and supportive external environmental conditions, emphasizing the importance of aligning internal capabilities with external opportunities to encourage growth in challenging circumstances.