The purpose of this paper is to review the conceptualization of the adaptation of Theory of Planned Behavior (TPB) with religious orientation in small and medium enterprises (SMEs). The underlying assumption for TPB implication in SMEs is that employee's behavioral intention at work may be modified via TPB which shall improve the employee competitiveness, which in turn increases the organizational success factors in the industry. The proposed conceptual framework is based on well-known analytical framework for TPB developed by Ajzen, (1991). Literature suggested that religion engenders the shape of behaviour, which is strongly followed by people. Based upon conceptual and empirical evidences framework and propositions are developed to test the adaptation of TPB and religious orientation in SME. The proposed framework provides a basis for developing an empirical model to advance the TBP with religious orientation in SME which further can be test across the SME sectors and results from different geographical and cultural settings may also be explore. This research contributes to existing knowledge by extension of TPB in SMEs operating in Pakistan, which would result in the improvement of employee's behavior. This study could be of practical value for SMEs owner/ managers, who want to maximize the employee behavior through effective adaptation of TBP with religious orientation that support their organization.

This study aims to investigate the adaptation of internalization factors and employees’ competitive behavior in small and medium enterprises (SMEs). The empirical findings suggest that the integration of religious orientation brings better results along with the other determinants (subjective norm, attitude, behavior control and intention) of the Theory of Planned Behavior (TPB). Further, this study indicates the significant direct relationship between religious orientation, attitude, perceived control and intention with employee behavior, except for subjective norms and intention, which shows an insignificant relationship. This empirical findings suggest that owners and managers of SMEs should place some efforts in providing support to increase religious orientation in SMEs, as this would likely to enhance all other factors. This study reports unique empirical findings to support the generalizability of the theory while also adding a new facet to the TPB by using SMEs as a social lab and data from a developing country.