Mediation Role of Strategic Purchasing Performance Between Upstream Supply Chain And Micro-&-Small Enterprise Performance

Abstract

Micro and small enterprises play vital role in economic development of a country, by providing job opportunities, paying taxes etc. Micro and small enterprises are considered as backbone of economy of developed and developing countries and no one can deny the significance of micro and small enterprise in economic activities. In this current competitive environment micro and small enterprises are experiencing enormous supply chain challenges to sustain and grow the business. Upstream supply chain factors always impact operational and financial performance of micro and small enterprise. The objective of this study was to investigate mediation role of strategic purchasing performance between upstream supply chain and micro and small enterprise performance specifically of fresh and dry fruits, locally made handicrafts and gemstones enterprises in Gilgit-Baltistan. This research conceptualizes and develops three dimensions of upstream supply chain i.e. supplier relationship quality, purchasing knowledge, buyer supplier collaboration and tests the relationship between upstream supply chain with the mediation role of strategic purchasing performance and micro and small enterprise performance. A quantitative research was conducted at micro and small enterprise level in the region of Gilgit-Baltistan and the sample size of respondents was 205. The results of analyzed collected data shows that upstream supply chain has positive and direct impact on micro and small enterprise performance.