Influences of Integrated Capabilities on Public Procurement Participation of Special Groups: The Moderating Role of Regulatory Framework

Abstract

This paper presents the findings of a study that had examined the effect of tendering capabilities, financial literacy, and government support programmes on special groups’ participation in public procurement, focusing on the regulatory framework’s moderating role. A pilot study validated the research instruments subsequently deployed to collect data from 210 public procurement special group members via online self-administered questionnaires. The study applied Partial Least Squares Structural Equation Modelling (PLS-SEM) to analyse the resultant data. The results show that financial literacy, government support, and tendering capabilities positively influence public procurement participation. Even though the regulatory framework significantly moderates financial literacy (positive effect) and government support (negative effect), it does not necessarily influence the relationship between tendering capabilities and participation. The results highlight the need for targeted improvements in financial literacy, government support, and tendering skills to enhance participation, while considering the regulatory framework’s role in shaping eventual outcomes.

Keywords: Tendering capabilities, financial literacy, government support, public procurement, regulatory framework