Title: Dynamic Capabilities And Sme Resilience In Rivers State: The Moderating Role Of Adhocracy Culture
Authors: Onuoha, Ogechi Constance, Hettey, Hubert Daniel, Edwinah, Amah
Volume: 9
Issue: 10
Pages: 43-54
Publication Date: 2025/10/28
Abstract:
This study examined the relationship between dynamic capabilities and SME resilience, and the moderating influence of adhocracy culture among eateries in Port Harcourt, Rivers State. Guided by the positivist paradigm, a cross-sectional design was employed to collect quantitative data from 326 owners, managers, and supervisors of registered eateries identified through records from the Rivers State Ministry of Commerce and Industry. Data were gathered using a structured questionnaire. The Taro Yamane formula ensured adequate sample size, while stratified sampling enhanced representativeness across organisational roles. Kendall rank correlation and moderated regression analysis was conducted to test the hypotheses. Instrument validity was confirmed through expert assessment, and a pilot study of 33 respondents yielded Cronbach's Alpha coefficients above 0.80 across all constructs, confirming internal consistency. The findings showed a significant positive relationship between dynamic capabilities and SME resilience, establishing that firms with stronger sensing, seizing, and reconfiguring mechanisms are better equipped to absorb and adapt to disruptions. The study further revealed a significant moderating effect of adhocracy culture, indicating that SMEs with innovative, flexible, and decentralised structures derive greater resilience benefits from their capabilities. It concluded that dynamic capabilities are critical for resilience, and that adhocracy culture amplifies their impact by fostering experimentation and adaptability. The study recommended that SMEs institutionalise capability-building initiatives such as environmental scanning, cross-functional opportunity evaluation, and responsive resource allocation, and strengthen innovation-oriented cultures through decentralised decision-making, risk-tolerant practices, and structured idea-generation platforms. These actions will enable SMEs to better anticipate change, reconfigure resources, and respond effectively to shocks.