The Effects of Proactive Strategic Orientation on Manufacturing SMEs’ Performance

Despite sustainability advancements in manufacturing, there is still no conclusive evidence on whether and how the interaction between technological, entrepreneurial, environmental, and learning orientations influences innovation results, and particularly business performance. Using a survey of over 400 manufacturing small and medium-sized enterprises (SMEs) from sub-Saharan Africa, we evaluate the impacts of technological, learning, entrepreneurial, and environmental orientations on organizational innovation (OI) and the mediating influence of OI on these relationships. The quality of our structural model was evaluated using Pearson’s correlation coefficient (r). OI plays a statistically significant role in the interaction between SME performance and technology, learning, and entrepreneurial orientation. Our research contributes to the literature on corporate responsibility strategies in developing economies by highlighting the critical role of innovation in businesses seeking to benefit from diverse proactive strategic orientations. Consequently, manufacturing SME s’ must be proactive, innovative, and willing to improve their performance to contribute to society, environment, and economy.