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Abstract

Many studies investigate the factors that impact small and medium-sized enterprise performance. In this dissertation, the research model suggests that customer relationship management processes are a multi-dimensional construct that can be a source of competitive advantage. The multi-dimensional construct consists of three stages, which are initiation, maintenance, and termination, which can positively or negatively impact SME performance. The study empirically tests the theoretical model by collecting data from 87 SMEs representing 12 states across many regions. The results showed that the implementation of CRM maintenance processes positively impacted SME performance. In addition, the main effect of the proactiveness sub-dimension of entrepreneurial orientation strengthens the relationship between CRM processes and SME performance. These findings have theoretical and practical implications by suggesting that the CRM maintenance processes, where firms focus on customer retention, up-selling/cross-selling, and referral management, can be a sustained source of competitive advantage that contributes to positive SME performance in terms of growth and profitability.

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