Entrepreneurial marketing and market performance implications for small-scale retailers: Organizational behavior in a developing economy

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Abstract

In an economic crisis, entrepreneurial marketing (EM) offers a natural, albeit expensive, way to boost the competitiveness of the small and medium-sized enterprises (SMEs) sector (Majovski & Davitkovska, 2017). This paper investigates whether EM dimensions have a significant effect on the market performance of Zimbabwean SMEs in the small-scale retail sector. A quantitative research methodology was conducted in Chegutu, Mashonaland West province in Zimbabwe. The study adopted a cross-sectional survey design that collected data from 260 owners/managers through self-administered, standardised questionnaires. Data were analysed using WarpPLS 7.0 software. The study ran a structural equation model (SEM) to determine the influence of opportunity vigilance, customer centricity, value creation and risk management on market performance. The study found that opportunity vigilance, risk management, customer centricity and value creation significantly contribute to the market performance of resource-constraint firms such as small-scale retailers. The study concludes that EM determines market performance in dynamic environments such as the COVID-19 pandemic. Further, the study found opportunity vigilance and value creation to have the most significant influence (β = 0.37 and β = 0.22, respectively) on market performance. Therefore, the study concludes that opportunity vigilance and value creation are the most important EM dimensions in small-scale retailers. Small-scale retailers must actively seek opportunities through continuous market sensing and orientation. Further studies could explore this topic in different contexts using actual market performance data and a large sample size.

Keywords: Customer-Centric Innovation, Entrepreneurial Marketing, Market Performance, Opportunity Vigilance, Value Creation, Risk Management, Zimbabwe

Authors’ individual contribution: Conceptualization — M.M.; Methodology — M.A.P. and M.C.; Formal Analysis — M.M. and M.C.; Investigation — M.M. and M.C.; Writing — Original Draft — M.M. and M.A.P.; Writing — Review & Editing — M.A.P. and M.C.; Visualization — M.A.P. and M.C.; Supervision — M.M. and M.A.P.; Project Administration — M.A.P.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: M1, M3, M30

Received: 04.07.2023
Accepted: 24.06.2024
Published online: 28.06.2024

How to cite this paper: Mashingaidze, M., Phiri, M. A., & Chinakidzwa, M. (2024). Entrepreneurial marketing and market performance implications for small-scale retailers: Organizational behavior in a developing economy [Special issue]. Corporate Governance and Organizational Behavior Review, 8(2), 366–376. https://doi.org/10.22495/cgobrv8i2sip11