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This study measures the effects of InHR, IC, and CA, on SME performance.
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The data were examined using quantitative and structural equation modeling.
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InHR influenced SME performance indirectly through the conciliation of IC and CA.
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Interfuctional coordination (IC), customer engagement (CE) and service design have a positive influence on business customer experience (BCX).
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The level of formalisation of institutions moderate the relationship between the antecedents and business customer experience.
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Two pathways have been found to enhance business customer experience in the scenario of high level of formalisation of institutions.
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70% of business customers are not involved with service providers in the co-desing of services.