ORGANIZATIONAL AGILITY AS A PATHWAY TO ENTREPRENEURIAL RENEWAL: STRATEGIC AND CONTEXTUAL CONDITIONS IN KIVU’S FAMILY SMALL AND MEDIUM ENTERPRISES
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Family small and medium-sized enterprises (SMEs) in turbulent, institutionally fragile environments face challenges in renewing their entrepreneurial activities. However, how organizational agility (OA) contributes to entrepreneurial renewal (ER), and how this relationship depends on market and financial conditions, remains insufficiently understood. Drawing on dynamic capabilities theory, this study examines the relationships among the entrepreneurial environment (EE), competitive strategy (CS), OA, and ER in family SMEs in Kivu, Democratic Republic of the Congo, while assessing the moderating roles of market conditions and financial structure. Survey data from 493 family SMEs were analyzed using hierarchical regression models. The analysis included both direct effects and interaction terms to assess these relationships. The results show that EE (β = 0.176; t = 5.112; p ≤ 0.001) and CS (β = 0.076; t = 8.369; p ≤ 0.001) are positively associated with OA. OA is also positively associated with ER (β = 0.205; t = 5.260; p ≤ 0.001). The mediation analysis indicates that OA fully mediates the relationship between CS and ER (β = 0.018; p ≤ 0.05; becomes β = 0.002; p > 0.10). Furthermore, debt financing weakens the positive OA–ER relationship (β = −0.222; t = −2.612; p ≤ 0.01). These findings identify OA as a mechanism linking strategic orientation to ER and show that its association with renewal depends on financial structure. Overall, the results indicate that ER among Kivu family SMEs is associated with environmental and strategic factors, while debt financing constrains the contribution of agility to renewal.
JEL Classification Codes: L26, O31, L25, C21.
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