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Strategic agility, dynamic relational capability and trust among SMEs in transitional economies

Frank Charles Nyamrunda and Susan Freeman

Journal of World Business, 2021, vol. 56, issue 3

Abstract: Rapid growth and urbanizing populations are transforming Africa, despite environmental turbulence, uncertainty and relational complexity. Research highlights how small firms rely upon trust-based buyer-supplier relationships in such contexts. Our study adopts a micro-foundational perspective and builds on dynamic capabilities literature and psychological trust theory. Our conceptual model shows how relational dimensions (i.e. communication, social bonds, and knowledge), influenced by meta-capabilities (strategic sensitivity, resource fluidity and leadership unity) embedded in micro-foundational activities build trust in small business cross-border buyer-seller relationships to support dynamic relational capability and enhance strategic agility in transitional economies.

Keywords: Transitional economies; Strategic agility; Trust; Dynamic relational capability; Small firms (search for similar items in EconPapers)
Date: 2021
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DOI: 10.1016/j.jwb.2020.101175

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