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This study investigates a method to improve small- and medium-sized enterprises’ (SMEs’) business performance and organizational effectiveness for sustainable growth. This study hypothesizes that technological innovation capabilities have a positive impact on business performance and organizational effectiveness and that metacognition at the organizational level has a mediating role in the relationship. To verify the relationship, this study conducts an empirical analysis using a survey questionnaire. The findings are as follows. First, technological innovation capability has a positive effect on both business performance and organizational effectiveness. Second, organizational metacognition has a partial mediating effect on the effect of technological innovation capability on business performance and organizational effectiveness. The results suggest that chief executive officer (CEO) and middle managers contemplate the methodology of metacognition at the organizational level and that they should focus more on enhancing business performance by developing technological innovation capability and organizational metacognition.
Yoo et al. (Thu,) studied this question.