Structural Differentiation and Organisational Learning Capability s Predictors of Corporate Venturing and Business Growth among SMEs in South Africa

Abstract

In this ever-changing business milieu, growth is generally perceived positively for business as it is considered a measure of success and a key driver in the creation of wealth, employment, and economic development. This paper therefore investigates the relationship between structural differentiation, organisational learning capability, co-operative venturing and business growth from the perspective of SME managers. To this end, a unique conceptual model was developed and empirically tested. The survey method was adopted where a questionnaire was administered to SME managers within the Gauteng province of South Africa. Data analysis was conducted using SPSS 25 and Smart PLS 3.0 to generate the sample profile and to test the proposed hypothesis, respectively. Organisational learning capabilities had a noticeably stronger impact on successful corporate venturing as compared to structural differentiation, suggesting that SMEs have to invest more resources toward improving employees’ knowledge of the job within their respecting roles within SMEs.