Purpose Drawing on signalling theory, this study aims to examine entrepreneurial bricolage, absorptive capacity (ACAP) and firm competitiveness as signals that boost small and medium-sized enterprises' (SMEs') organisational attractiveness in a resource-limited environment. We propose and test both direct and indirect mechanisms to explain how these signals shape attractiveness in the Omani SME context. Design/methodology/approach Using a convenience sampling approach, we collected 309 responses from middle managers in SMEs in the Arabian Gulf region (the Sultanate of Oman). Data were collected in four time-lagged waves through an experienced market research agency. The data were analysed using SmartPLS 4 software. Findings The results of this study indicate support for all direct relationships. In addition, the findings also support the mediating role of firm competitiveness in the relationship between entrepreneurial bricolage and organisational attractiveness, as well as between ACAP and organisational attractiveness. Furthermore, the results provide empirical support for a sequential mediation pathway in which bricolage enhances ACAP, which in turn strengthens competitiveness, ultimately improving organisational attractiveness. Originality/value Drawing on signalling theory, this study identifies bricolage, ACAP and firm competitiveness as costly, credible and observable signals that reduce uncertainty for employees in the SME context. The findings contribute to the signalling theory while also demonstrating how these signals operate in developing economies such as Oman.
Bachkirov et al. (Sat,) studied this question.