Entrepreneurial resilience in turbulent times: the role of entrepreneurial orientation and innovation in the Middle East

Khodor Shatila, Nirjhar Nigam and Sondes Mbarek

Journal of Enterprising Communities: People and Places in the Global Economy, 2025, vol. 19, issue 5, 1255-1280

Abstract: PurposeThis study aims to investigate how entrepreneurial orientation (EO) influences entrepreneurial resilience (ER) in the Middle East. Specifically, it examines the mediating role of innovation and the moderating role of crisis perception (CP) in the relationship between EO traits (risk-taking, autonomy and proactiveness) and ER, offering insights for regional small and medium-sized enterprises (SMEs) during crises.Design/methodology/approachThis study is based on data collected through structured questionnaires from 1,523 respondents across diverse sectors in the United Arab Emirates, Kingdom of Saudi Arabia, Jordan and Lebanon. Covariance-based structural equation modeling was used to test the relationships between EO traits, innovation, crisis perception and entrepreneurial resilience.FindingsThe results reveal that EO traits (risk-taking, autonomy and proactiveness) significantly enhance ER. Innovation mediates the EO−ER relationship, strengthening business adaptability, while effective crisis perception moderates this relationship, enabling firms to better leverage EO for resilience during crises.Practical implicationsPolicymakers and business leaders in the region can use these findings to design programs that promote entrepreneurial activities, foster innovation and support resilience during economic and political crises.Originality/valueThis research provides new insights into ER in the Middle East, a region often overlooked in EO and ER studies. The findings contribute to understanding how SMEs in politically and economically unstable environments can enhance their resilience through EO and innovation.

Keywords: Entrepreneurial orientation; Innovation; Crisis perception; Resilience; Decision-making (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:eme:jecpps:jec-10-2024-0211

DOI: 10.1108/JEC-10-2024-0211

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