Adaptability culture fosters SMEs’ climate change proactive adaptation in Vietnam

Abstract

This study aims to explore the influence of Adaptability Culture (AC) on Climate Change Adaptation (CCA) among Vietnamese Small and Medium-sized Enterprises (SMEs). Further, this study examines the mediating role of Awareness of climate change Adaptation (AWA) in this relationship. Employing the Model of Private Proactive Adaptation to Climate Change (MPPACC), this study examines the climate change adaptation measures adopted by Vietnamese SMEs. Utilizing a survey approach, data from 314 SMEs in Vietnam were analyzed via the SEM linear structural model, employing SmartPLS4 software. The findings reveal a significantly positive impact of adaptability culture on SMEs’ climate change adaptation activities. The study underscores the importance of adaptability culture in fostering proactive responses to climate change among SMEs in Vietnam. The study also highlights the magnitude of enhancing an adaptability culture within SMEs to magnify their resilience to climate change. Managers and policymakers are able to leverage such findings to develop strategies that promote adaptability culture and climate change awareness among SMEs, thereby progressing their adaptive capacity.