An Analysis of the Impact of Green Entrepreneur Orientation on SME Performance with the Institutional Environment as a Moderator

Abstract

The present study provides a theoretical framework to measure the Impact of green entrepreneur orientation on SMEs by the moderating role of the institutional environment by using the SCT theory and incorporating the mediating role of Financial Performance and Non-Financial Performance, Competitive Aggressiveness, Small-Medium Enterprises, Innovativeness, Proactiveness, and Risk Taking. Data have been collected from owners and employees of SMEs in Punjab Province. A questionnaire-structured method was used in the data collection of employees by using a self-administered survey. A total of 350 questionnaires were distributed to the owners and employees of SMEs in Punjab, using a convenience sampling technique, while 330 questionnaires were found filled out for further statistical analysis. While 20 questionnaires were excluded.  The present study deploys the multiple regression approach through structural equation modeling techniques (SEM) using Smart PLS-4.0 version software. This study explains how the entrepreneurial ecosystem affects the growth of green entrepreneur orientation and SMEs. Future academics should focus on collecting appropriate samples and using appropriate tools for accurate computations. The findings suggest that trade rules and tax structures have a crucial role in promoting the development of SMEs, providing insight into economic freedom.