Narrow Results

Small- and medium-sized enterprises (SMEs) have been leading innovation processes, where the upsurge of digital technology has overpowering implications on competitive positioning, firm’s value chains and overall business model. Value creation facilitated by emerging digital technologies alters costs, as well as process performance. Due to field research and in-depth interviews with owners and managers of SMEs in North-East Italy area, we combine and analyze evidence of the contingent challenges companies face while trying to redesign their business model. Our results point out that being able to accumulate and put into action external ideas can be vital in supplementing internal knowledge base and therefore crucial in escaping technological lock-ins; thus, imposing efforts toward digital transformation offers favorable outcoes.

The aim of this paper is to investigate the current landscape of digital maturity models for small- and medium-sized enterprises (SMEs) and the capabilities embedded in the models using a semi-systematic literature review and semi-structured interviews. Based on current knowledge, our research provides insights into the gaps in maturity model research for SMEs. Our primary findings show that digital maturity modelling, particular for SMEs, is currently a significant topic across several industries but remains limited by the lack of procedural properties and suitable SME-specific capabilities. This is supported by our literature review and initial interview findings. The paper offers a conceptual framework including defined criteria and essential properties. Furthermore, the paper outlines a transparency approach to empirical validation to increase the rigor of future maturity model research.

This study examines the impact of information and communication technologies (ICTs) and innovation on small and medium enterprises (SMEs) export likelihood using a two-stage instrumental variable logistic estimator in 6,844 ASEAN SMEs. Adopting ICT technologies allows SMEs to overcome the constraints faced when exporting, while innovation allows SMEs to gain a competitive advantage. Meanwhile, the ASEAN economies are committed toward regional integration and have implemented policies to develop the SME and ICT sector. Results indicate that both ICT technologies and innovation contribute positively to export likelihood, albeit the magnitude of ICT technologies on export likelihood is greater. Furthermore, the results show that ICT technologies can overcome the constraints faced by marginalized businesses in terms of exporting, and can also enhance export likelihood in the manufacturing industry. Policy implications are discussed.

Previous studies often assume that business model innovation (BMI) is reflected in an entrepreneurial business model design. We assume that business model reconfiguration (BMR) takes place in more nuanced types and does not always lead to (radical) BMI. By undertaking a mixed methods study with 213 respectively 16 SMEs from the electronic industry, we uncover six basically different types of BMRs and discuss their performance implications. By this, we shape the current understanding of BMR and shed light on variety and implications of different types of BMRs. Our configuration study indicates that firms achieve superior performance when implementing a radically new business model reflected in a new configuration of all three components of the business model: value creation, value proposition, and value capture. Second, BMR can take place in types where only some parts of the business model are extensively changed, while others are only slightly adapted.

Exogenous shocks and environmental changes may force small- and medium-sized enterprises (SMEs) to change and innovate their business models. However, their readiness and ability to do so could depend on firm-level characteristics. This paper investigates how two firm-level factors—size and age—impact SMEs’ engagement in business model innovation in response to the COVID-19 crisis. Using World Bank Enterprise Survey data covering 2,115 SMEs from 12 countries, this study shows that the age of an SME is negatively associated with business model innovation. The finding also shows that, contrary to the hypothesis posed in this study, the size of an SME impacts business model innovation positively. The study contributes to the understanding of antecedents of business model innovation in times of environmental change and uncertainty.

The enforced lockdown and closure of businesses in response to the Covid-19 pandemic has resulted in economic crises across the globe, bringing the attention to entrepreneurship and its importance to economic recovery. The aim of this study is to evaluate the effects of the coronavirus pandemic on SME’s and the entrepreneurs’ policy preferences based on firm size and industry type. To achieve this, evidence from a Business Support Centre Kosovo’s (BSCK) survey involving 236 SME owners interviewed online is reported. Findings from SME survey suggest the problems with cash flow and reduction of customer demand, among others, are major problems faced by SME’s across all firm size groups and industry types. Findings from factor analysis clustered SME policy preferences into three groups: policy preferences related to financing and liquidity constraints, market related and tax preferences. This study discusses some policy and managerial implications urging the need for more nuanced and variegated understanding of the effect of coronavirus pandemic on SMEs.

The most general theory of electrodynamics with linear field equations introduces a new geometry, the area metric, that regulates the propagation of light rays and massive particles instead of the usual Lorentzian metric. In the majority of the experimental situations, the area metric is expected to be a small perturbation around a metric background. In this perturbative case, two interesting results can be achieved. First, the dynamics of the area metric can be found explicitly. Second, the relative quantum theory of electrodynamics can be shown to be renormalizable and can be used to compute various fundamental processes.

I will show that, when one combines the results of quantum electrodynamics with the dynamics of an area-metric perturbation, the anomalous magnetic moment of the electron, the cross sections of Bhabha scattering, and the hyperfine splitting of the hydrogen pick up a dependence on the position. This way, measurements of the position dependence of these quantities provide a new channel to investigate area-metric deviations from a metric spacetime.

Achieving effective innovation is a complex task and during this process, firms [especially small and medium sized enterprises (SMEs)] often face obstacles. However, research into obstacles to innovation focusing on SMEs is very scarce. In this study, we propose a theoretical framework for describing these obstacles to innovation and investigate their influence on the innovative performance of SMEs. Data were collected in 2013 through face-to-face interviews with executives of 49 technology SMEs from Germany. The semi-structured interviews were designed on the basis of scales for measuring innovativeness, financial/competitive performance and obstacles to innovation, next to purely open questions. We find that the internal obstacles, lack of know-how, capacity overloading, unclear roles and tasks as well as the external obstacle governmental bureaucracy negatively influence innovative performance of SMEs. However, in contrast to prior findings, this study shows that cooperation ties of firms might also negatively influence the innovative performance.

The main aim of this paper is to study the influence of the business environment on innovation strategy, innovative activity and performance in the SMEs. Business environment has been considered, taking into account its dynamism and its hostility. An empirical study is carried out on a sample composed by 302 Spanish firms. Results show that SMEs react in hostile and dynamic business environment by means of strengthening their innovation strategy. Innovation strategy allows firms to carry out higher levels of product and process innovations, which turn out into a positive effect on performance. Results offer important implications for SMEs, as such the relevance to reinforce the importance of developing an innovation strategy in the framework of their formal strategic planning.

This paper deals with the practice and requirements of strategic foresight in biotechnology firms. Processes and the degree of method application of strategic foresight are less investigated in small- and medium-sized enterprises. Based on case study research of 30 biotechnology companies in Germany, six different approaches of strategic foresight are identified. The study shows how strategic foresight is organised, which methods for strategic foresight are implemented, who is responsible for strategic foresight, what the main characteristics of the different approaches are, and how the strengths and weaknesses of strategic foresight practice in biotechnology firms can be characterized. Furthermore, firms' requirements for suitable foresight processes and methods are identified within the scope of case study research.

Enriching the literature on innovation and knowledge management, this paper examines the impact of various types of innovation (product, process, marketing, and organization) on the knowledge sharing of SMEs through transformational leadership. A total of 437 samples were collected from SMEs owners/managers in the service sector of a developing economy through a quantitative method. The data were analyzed using a SMART PLS-SEM. The findings confirmed the hypotheses that innovation have a significant influence on knowledge sharing; whiles as transformational leadership had a non-moderating effect. Besides consolidating the existing theory on the importance of innovation for explaining a variation in knowledge sharing activities, the findings also inform SMEs and policymakers to be cautious of implementing transformational leadership style as it may have a non-moderating impact in today’s entrepreneurial activities. Finally, we believe that this study will provide researchers with some key aspects to explore in this area of study and encourage applications of objective and subjective measures to improve the validity of results.

Small businesses face multiple constraints on innovating that open innovation (OI) has potential to help overcome. The aim of this study is to examine the association between business group affiliation and the extent of OI engaged in by SMEs. Unlike independent SMEs, those that have affiliations might benefit from internal and also external networks to initiate partnerships to innovate. We analysed data collected from 711 French SMEs that engage in innovation to assess the association between business group affiliation and open innovation practices. We found that business group affiliation has no significant relationship with the degree of engagement in open innovation or with partnership openness. Nevertheless, we found that affiliation to an international group influences the geographical openness of SMEs’ innovation. These findings contribute to our understanding of open innovation among SMEs by acknowledging the geographical challenges of partnerships in open innovation.

We investigate the extent to which product innovation moderates the relationship between capabilities and competitive advantage among small and medium enterprises (SMEs). Using resource-based and capabilities theories, we examine capabilities as organisational routines, focusing on job rotation and multi-skilling. We examine competitive advantage by using logistic regression to assess the probability of top performance in productivity relative to most other firms in the same industry. Considering the path-dependence in developing capabilities and innovation, we use a longitudinal sample of 300 UK manufacturing SMEs in traditional and high-technology industries to evaluate the effects of innovating and using capabilities continuously over time. The results suggest that firms using job rotation or multi-skilling and introducing product innovations consistently from 2002 through 2004 are more likely to be top performers in 2004. The findings support a theoretical model according to which the association between capabilities and competitive advantage is moderated by innovation.

We investigate the impact of management control mechanisms on the success of new product launches in high-technology small- and medium-sized enterprises (SMEs). We argue that internal management controls will alleviate problems associated with product newness. Using survey data from 76 SMEs we find newness to the firm to be negatively related to product launch success, while the use of informal and formal controls have positive effects. Furthermore, informal controls within the SME moderate the negative relationship between newness and launch success. The results add to the debate on the impact of control mechanisms on innovative activities in SMEs.

The knowledge protection/sharing dilemma related to innovation activities is becoming known to all firms, even though it is generally more notable for SMEs: the small size of the firms inherently creates a need for inter-organizational collaboration, but it also makes dealing with the related contradictories more challenging. One factor behind this is that the needed tools — such as the protection mechanisms of intellectual assets — may be more limited. In line with this notion, we examine the protection available for and used by small firms in their innovation activities. We approach the issue by conducting a review on the relevant literature, and use a qualitative multiple case study conducted in eight small companies to empirically study the issue. Departing from prior research, we consider protection of innovations by distinguishing between the intangibles needed in innovation activities and the actual innovation outputs, and combine these considerations to the knowledge protection/sharing dilemma.

Violation of Lorentz invariance and CPT symmetry is a predicted phenomenon of Planck-scale physics. Various types of data are analyzed to search for Lorentz violation under the Standard Model Extension (SME) framework, including neutrino oscillation data. MiniBooNE is a short-baseline neutrino oscillation experiment at Fermilab. The measured excesses from MiniBooNE cannot be reconciled within the neutrino Standard Model (νSM); thus it might be a signal of new physics, such as Lorentz violation. We have analyzed the sidereal time-dependence of MiniBooNE data for signals of the possible breakdown of Lorentz invariance in neutrinos. In this brief review, we introduce Lorentz violation, the neutrino sector of the SME and the analysis of short-baseline neutrino oscillation experiments. We then present the results of the search for Lorentz violation in MiniBooNE data. This review is based on the published result.

Developing new services is vital for a service-based company to succeed in the long run. This requires both innovation capability and understanding customer needs. Previous research has shown that if a firm wishes to develop an innovation superior to the competition, it must have both a strong technology orientation and a strong market orientation. The objective of this study was to examine the effect of market orientation and technology orientation on service innovation capability in SMEs operating in the field of social and health care. In addition, this study examined the obstacles to using digitalization and new technologies in service innovations. Mixed methods design was applied so both quantitative and qualitative data was used. The results from the quantitative part of this study show that both technology orientation and market orientation have a positive and statistically significant effect on service innovation capability in SMEs operating in the field of social and health care. Furthermore, market orientation is the most important variable in the model. The results from the qualitative element again show that some of the hindering factors of using digitalization and new technologies arise from practices and attitudes of social and health care actors but others arise from the digitalization and new technologies themselves.

Do SMEs cluster around different types of innovation activities? Are there patterns of SME innovation activities? To investigate we develop a taxonomy of innovation activities in SMEs using a qualitative study, followed by a survey. First, based upon our qualitative research and literature review we develop a comprehensive list of innovation activities SMEs typically engage in. We then conduct a factor analysis to determine if these activities can be combined into factors. We identify three innovation activity factors: R&D activities, incremental innovation activities and cost innovation activities. We use these factors to identify three clusters of firms engaging in similar innovation activities: active innovators, incremental innovators and opportunistic innovators. The clusters are enriched by validating that they also exhibit significant internal similarities and external differences in their innovation skills, demographics, industry segments and family business ownership. This research contributes to innovation and SME theory and practice by identifying SME clusters based upon their innovation activities.

This paper outlines a detailed and systematic method for revealing and mapping out the network mobilised in the development of a discrete innovation. This is termed a focal action-set. Important to the utility of this approach has been the development of a set of conventions for the graphical expression of the network and its components: actors, links and flows. It is argued that the network graphic provides a powerful, though under-utilised, tool for the representation of relational data. It may be employed, for example, to reveal variations in network configuration and to highlight key networking or boundary-spanning actors. The network mapping approach is illustrated through three cases of small firm innovation drawn from a wider investigation of award-winning technological innovations. A comparison between the network maps show a variation in the key boundary-spanning interactions, which is related to the organisational background of the entrepreneurial actor.

Business transfers are linked to both the beginning and the end of entrepreneurial processes. A person can become an entrepreneur by acquiring an existing business instead of starting one, and exit from entrepreneurship can occur through selling the business. Business transfers are gradually becoming more common among small businesses, largely due to entrepreneurs’ aging, and thus deserve attention from entrepreneurship scholars. In particular, the issue of why and how business transfer negotiations fail without achieving a transfer has received little research attention. The purpose of this paper is to explore this phenomenon from potential buyers’ and sellers’ perspectives. The findings are based on a sample of 156 responses. The results suggest that the problems occurring in unfinished business transfers are quite numerous and the gaps between the views of the two negotiating parties are wider than in cases where business transfer negotiations are concluded successfully, indicating that the initial negotiation positions can be crucial. This research proposes some key elements to consider when planning an exit by business transfer and highlight the importance of unfinished small business transfers as an essential element of a dynamic business transfer market; a substantial proportion of the potential buyers and sellers are satisfied with the outcome even though the transfer did not occur.