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Multidimensional Perspective of Firms’ IT Capability Between Digital Business Strategy and Firms’ Efficiency: A Case of Chinese SMEs

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  • Zhuquan Wang
  • Memon Rafait Mahmood
  • Hafeez Ullah
  • Imran Hanif
  • Qaiser Abbas
  • Muhammad Mohsin

Abstract

In the contemporary and perpetually changing environment, firms have transformed their business models by integrating advanced digital technologies in which their capabilities contribute crucially. This has evoked competition and challenges especially for small and medium-sized enterprises (SMEs). Therefore, the research aimed to analyze the mediating effect of information technology (IT) capability between digital business strategy and firms’ efficiency. The case of Chinese SMEs was considered specifically. The research was quantitative; therefore, the sample comprised 351 participants accumulated using a survey questionnaire. The mediating effect was tested using structural equation modeling (SEM) where partial mediation of the IT capability was found only in terms of IT proactive stance. Therefore, the research has certain managerial implications specifically in terms of proactive stance as the managers need to initiate the transformation within for efficient performance.

Suggested Citation

  • Zhuquan Wang & Memon Rafait Mahmood & Hafeez Ullah & Imran Hanif & Qaiser Abbas & Muhammad Mohsin, 2020. "Multidimensional Perspective of Firms’ IT Capability Between Digital Business Strategy and Firms’ Efficiency: A Case of Chinese SMEs," SAGE Open, , vol. 10(4), pages 21582440209, December.
    • Handle: RePEc:sae:sagope:v:10:y:2020:i:4:p:2158244020970564
    DOI: 10.1177/2158244020970564
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    References listed on IDEAS

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    Cited by:

    1. Chiou-Wen Chen & Chih Huang, 2023. "Research on Economic Theory Under the Operation of Business Model 4.0," SAGE Open, , vol. 13(1), pages 21582440231, March.
    2. Ahmed Al-Omush & Munther Talal Momany & Azzam Hannoon & Muhammad Anwar, 2023. "Digitalization and Sustainable Competitive Performance in Small–Medium Enterprises: A Moderation Mediation Model," Sustainability, MDPI, vol. 15(21), pages 1-22, November.
    3. Hasnain Abbas & Lindu Zhao & Narmeen Faiz & Hafeez Ullah & Jianxia Gong & Weiying Jiang, 2022. "One belt one road influence on perishable food supply chain robustness," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(7), pages 9447-9463, July.

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