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International Journal of Academic Research in Business and Social Sciences

Open Access Journal

ISSN: 2222-6990

The Influence of Islamic Work Ethics on the Magnitude of Organizational Culture’s Effect on SME Performance in Nigeria: A Conceptual Framework

Olanrewaju Kareem, Adi Anuar bin Azmin, Tunku Salha binti Tunku Ahmad

http://dx.doi.org/10.6007/IJARBSS/v8-i4/3994

Open access

The performance of SME is a powerful engine that propels the growth and development of a nation. This is because majority of the businesses in various countries consist of SME and thus contribute immensely to the productivity, employment, innovation and industrialization. While extant literatures have highlighted the effective utilization of factors of firm resources in the achievement of firm performance, others argued that these factors may not be capable enough to attain such fit except through a contingent variable. Given that ethical crises in organizations have become increasingly high and thereby affecting their performance to the extent of threatening their survival. Islamic work ethics was suggested to provide guidelines that would enhance quality management and organizational outcomes. Hence, the main purpose of this study is to conceptualize a framework that explicate the moderating role of Islamic work ethics (IWE) in the relationship between organizational culture (OC) and SME performance. A critical review of literatures that highlight the varied effects of OC on performance is carried out. The major contribution of this study to the body of knowledge is the introduction of IWE concept into the relationship between OC and performance. Limitation and future research recommendation is provided.