Influence of Entrepreneurial Competencies and Innovation on the Success of Hospitality SMEs in Ho Chi Minh City, Vietnam – The Mediating Role of Competitiveness

Abstract

Nowadays, small and medium enterprises (SMEs) make a significant contribution to the economy of each country, and both their success and competitiveness in operations are among the criteria that attract much attention. The purpose of this study is to investigate the impact of innovation and entrepreneurial competencies on the success of SMEs in the hospitality industry in Ho Chi Minh City (HCMC), Vietnam, with the mediating role of the competitiveness factor. This study utilized secondary data collected from previous related studies (through scientific articles, theses, legal regulations, etc.) to form research concepts, scales, and propose research models. Additionally, primary data was gathered through a survey of 263 respondents who are leaders of SMEs in the hospitality industry. Quantitative research methods, along with Structural Equation Modeling, were employed to analyze the structural relationship between variables using SMART-PLS software. The research results indicated that innovation and entrepreneurial competencies together have an indirect mediating effect on the success of SMEs in the hospitality sector in Ho Chi Minh City, with the competitiveness factor acting as a mediating variable. Based on the research results, to enhance the success of SMEs in the hospitality sector in HCMC, the author has proposed managerial implications for stakeholders to consider and apply. Furthermore, the study also presentedthe limitations of the research and directions for future studies.