Risk Tendency and Enterprise Performance: The Mediating Role of Banking Services
DOI:
https://doi.org/10.51325/ejbti.v4i2.213Keywords:
Risk Tendency, Performance, Mediation, Financial Services, Credit Access, Developing Economy.Abstract
This research explored the relationship between risk tendency and enterprise performance, with a focus on the mediating roles of credit access and other banking services. The objective was to examine the contribution of banking operations to enterprise development. Data collected from SMEs in Ghana’s capital city were analyzed using PLS-SEM version 3.0. The structural model evaluation revealed a significant positive effect of risk tendency on enterprise performance, along with notable influences of both credit access and other banking services. Moreover, both credit access and other banking services were found to significantly mediate the relationship between risk tendency and enterprise performance. The study offers practical implications for businesses, emphasizing the importance of leveraging access to capital and adopting innovative banking services to support growth, enhance resource acquisition, and facilitate business expansion.
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