The Impact of Strategic Entrepreneurship Behaviors on Business Performance in Turkish SMES: The Role of Business Model Innovation and Competitive Intensity

Abstract

Strategic entrepreneurship behaviors enhance business performance and sustainability in Turkish SMEs by fostering innovation and leveraging competitive intensity for sustained growth. Employing strategic leadership theory, this study examines the effect of strategic entrepreneurial behaviors on business performance through the mediation role of business model innovation (BMI) and the moderation effect of competitive intensity. A quantitative approach was used, and data from 313 managers and business owners in Turkish small and medium enterprises (SMEs) were collected using a structured questionnaire. The results have shown that strategic entrepreneurial behavior significantly and positively impacts business performance and business model innovation. Business model innovation, in turn, positively affects business performance. Competitive intensity moderates the relationship between strategic entrepreneurial behavior and business model innovation, strengthening it under higher competitive pressure levels. However, competitive intensity does not moderate the direct link between strategic entrepreneurial behavior and business performance. At higher levels of competitive intensity, the conditional indirect effect of strategic entrepreneurial behavior on business performance through business model innovation becomes more prominent. The findings of this study offer actionable insights for enhancing SME performance through strategic entrepreneurship, innovative business models, and competitive strategy adaptation.