The Impact of Agile Strategic Entrepreneurship Capabilities on Sustainable Innovation in Pakistan’s Textile Industry

Sustainable business performance (SBP) has emerged as a critical global objective over the past two decades, emphasizing the preservation of natural resources for future generations. This study develops a distinctive moderated-mediation agile framework aimed at enhancing SBP within Pakistan’s textile industry through key agile components—namely agile capabilities, organizational agility culture, and agile operational practices. Employing a correlational quantitative design, data were collected via structured surveys from 221 professionals associated with the textile sector in Pakistan. The analysis was conducted using SmartPLS to assess the proposed model, which explores the mediating effect of entrepreneurial agility (EA) and the moderating role of stakeholder engagement (SE) between agile dimensions and SBP. The empirical results indicate that all three agile dimensions significantly and positively influence both EA and SBP. Furthermore, EA itself is found to be a strong predictor of SBP. The findings also confirm the mediating effect of EA in the relationship between agile factors and SBP, as well as the enhancing role of SE as a moderator. This research underscores the importance for textile enterprises to integrate agile frameworks to strengthen entrepreneurial responsiveness and long-term sustainability. Additionally, it offers valuable insights for industry experts, policy-makers, and practitioners aiming to advance sustainability in Pakistan’s textile sector. Keywords: Agile Capabilities, Agile organizational Culture, Agile Practices, Entrepreneurial Agility, Sustainable Business Performance