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This research paper is aimed to understand how dynamic capabilities are playing major role overcome or dealing with the uncertainties of market and business environment. SMEs in Pakistani business market is playing a crucial role in terms of developing the economy of the entire world which is why it is necessary to investigate the role of dynamic capabilities and its factors upon the financial and non-financial performance of SMEs. There were 516 participants of this research that were involved in the process of conducting a survey questionnaire. The results have stated that organizational performance can significantly enhance even in an uncertain business environment if a firm develop dynamic capabilities based on its factors that are learning orientation, organizational culture, and corporate entrepreneurship. The findings illustrated that dynamic capability positively and significantly linked with firm performance. It also found that learning orientation, organizational culture and corporate entrepreneurship also mediated between dynamic capability and firm performance. Environment dynamism also moderate the relationship between dynamic capability and firm performance. Limitations and managerial implications are also provided that it can open channels for future research areas which are not covered in the study.

Muhammad Ahsan Mukhtar, Naveed Akhtar Baloch, Sajid Rahman Khattak. (2019) Dynamic Capability & Firm Performance: Mediating Role Of Learning Orientation, Organizational Culture & Corporate Entrepreneurship: A Case Study Of Sme’s Of Pakistan, Journal of Managerial Sciences, Volume 13, special.
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