Entrepreneurial spirit and firm performance: A proposed framework for small and medium enterprises in China

Abstract

Small and medium-sized enterprises (SMEs) are crucial for global economic growth and employment, yet their development in China faces challenges, particularly during the transition to a high-quality economy. This study aims to analyze the relationship between entrepreneurial spirit, dynamic marketing capabilities (DMC), and firm performance in Chinese SMEs by integrating Western and Chinese research. Using a literature review of Web of Science, Scopus, and CNKI (2015-2025), we identify that while innovation and risk-taking are universal dimensions of entrepreneurial spirit, contractual spirit is uniquely emphasized in China. Dynamic marketing capabilities are found to mediate the relationship between entrepreneurial spirit and firm performance. The study proposes a conceptual framework to fill research gaps, offering theoretical and practical guidance for SME performance improvement.