HARNESSING ENTREPRENEURIAL KNOWLEDGE FOR CONSTRUCTION PROJECT SUCCESS

Abstract

The construction industry across emerging economies faces persistent volatility, exposing small, medium, and micro enterprises (SMMEs) to risks of reduced project success, declining income, and even closure. In South Africa, these challenges are particularly evident in the City of Tshwane, where construction SMMEs are under pressure to maintain performance in a competitive market. This study, therefore, explores how entrepreneurial knowledge, expressed through entrepreneurial orientation and customer satisfaction, contributes to project success in this critical sector. Adopting a quantitative descriptive design, data were collected from 251 construction project managers through a structured questionnaire. Analysis was conducted using SmartPLSv4, incorporating measurement model evaluation and structural equation modeling to test hypothesised relationships. The results reveal that two dimensions of entrepreneurial orientation, innovativeness and proactiveness, have significant positive effects on project success, while risk-taking shows no significant impact. Further, mediation analysis indicates that customer satisfaction does not significantly mediate the relationship between entrepreneurial orientation and project success. These findings highlight that entrepreneurial knowledge in the form of innovativeness and proactiveness plays a crucial role in driving construction outcomes, whereas reliance on risk-taking may not yield similar benefits in volatile markets. The study thus contributes to entrepreneurial knowledge by clarifying how orientation dimensions influence project success in an emerging economy context, while also addressing the limited empirical research on this relationship within the construction sector. The insights offer both theoretical implications and practical guidance for SMME construction firms seeking sustainable performance amid uncertainty.