Influence of financial resources on sustainability performance of SMEs in emerging economy: The role of managerial and firm level attributes

This research investigates whether managerial level attributes (age, education, and experience) and firm level attributes (size and age) influence the role of financial resources (FR) on sustainability performance in small and medium enterprises (SMEs) in emerging economies. To test the model, the analyses were performed through SmartPLS based on 611 Pakistani SMEs. The results of the structural equation modeling indicate that the positive relationship between FR and sustainability performance is significantly strengthened by managerial attributes (manager experience and education) and firm level attributes (firm size). However, manager age and firm age do not moderate the nexus between FR and sustainability performance. This research recommends SMEs to focus on experienced and educated managers as compared to older ones to utilize their FR efficiently in sustainable activities. This research enriches the resource base view and upper echelon literature through empirical evidence. Further implications for policymakers and businesses are discussed.