The Effects of Dynamic Capabilities on Firm’s Financial Performance

Firms often face significant challenges to stay competitive in the present economic environment, thus, dynamic capabilities are vital as it is a substantial factor accomplishing better business performance. This study involved yearly data of 62 firms ACE market that engaged with capabilities, was collected from year 2012-2021. The gathered firm's annual report and has been analyzed using two-step GMM. Generally, consistently associated inferior performance capital compared main market. Hence, possibility being delisted affecting Therefore, this includes market’s results obtained consistent theory, whereby changes contributed positive return on firm’s However, small nature Market limits investment capabilities. concluded more priority be given awareness current era. result proved improved Ace even though some ignored due constraints. Thus, policymakers should play their role providing grants for improve