RECONFIGURATION CAPABILITY AND FIRM COMPETITIVENESS IN SMALL AND MEDIUM ENTERPRISE SECTOR IN PORT HARCOURT

Abstract

The research study investigated the associations between reconfiguration capability and firm competitiveness in small and medium-sized enterprises (SMEs) in Port Harcourt, Nigeria. Several studies have provided theoretical and empirical insights into the correlations between dynamic capabilities and business success. However, further research is required to comprehensively comprehend the systems behind dynamic capabilities and their impact on the competitiveness of small and medium-sized enterprises (SMEs). The objective of the research is to analyses the connections between reconfiguration capability and the competitiveness of small and medium-sized enterprises in Port Harcourt with measures of resourcefulness, responsiveness, and innovativeness. In order to accomplish the objectives of the study, a cross-sectional approach was selected, involving the utilization of questionnaires to gather primary data and the examination of hypotheses. The research population comprises all small and medium enterprises (SMEs) that are currently operating in Port Harcourt, Rivers State. The Small and Medium Enterprises (SMEs) included in the study are specifically listed in the Small and Medium Enterprise Development Agency of Nigeria (SMEDAN) Schedule for the year 2022. The study's effective sample size was 852. The researcher established the study's sample size of 267 using the proportionate stratified random sampling approach and the Krejcie and Morgan (1970) method for sample size estimation. The researcher depended on the supervisor's expert opinion and discernment to ensure the accuracy and soundness of the study. The reliability of the study was assessed using the Cronbach's alpha statistical method. The study's findings indicate a strong and meaningful correlation between the ability to reconfigure and firm competitiveness. Additionally, it has been proposed that managers of small and medium enterprises (SMEs) frequently allocate resources in a way that hampers their capacity to achieve objectives, particularly when these resources are short-term in nature. The consequence is a delay in delivering services, so it is crucial to establish functional innovation circles that have the ability to re-engineer work processes.