Narrow Results

This study examines the dynamics of sustainable economic growth in 15 developing Asian economies spanning from 2005 to 2020, utilizing the Cross-Sectional Augmented Autoregressive Distributed Lag technique. It highlights the significant role played by Small and Medium Enterprises (SMEs) in promoting green growth and emphasizes their crucial contribution to fostering environmentally conscious development. The findings indicate a positive relationship between SMEs’ numbers, revenues and green growth, underscoring their essential role in advancing environmental sustainability. The study also notes the limited impact of government-provided SME loans on green growth, suggesting a reassessment of loan programs. In contrast, the effects of Foreign Direct Investment absorption, electricity consumption and digital transformation on green growth vary, providing valuable policy insights. Particularly noteworthy is the significant influence of SMEs’ revenues, highlighting the importance of their financial success in promoting sustainable development. Recommendations include incentivizing Corporate Social Responsibility (CSR) initiatives to strengthen SMEs’ commitment to sustainability and formulating policies that incorporate emerging technologies such as cryptocurrency to enhance environmental responsibility.

This study examines the factors influencing environmental investment in Small- and Medium-sized Enterprises (SMEs) within the Chinese art industry, using data from 50 listed companies between 2015 and 2021. It analyzes the effects of carbon emissions, stock prices, workforce expansion and energy expenditure on environmental investment decisions. The results show a positive correlation between carbon emissions and environmental investment, where a 1% increase leads to short-term gains of 0.18% and long-term gains of 0.34%. Stock prices also have a significant impact, with a 1% increase resulting in short-term gains of 0.43% and long-term gains of 0.67%. In contrast, workforce expansion has a negative effect, with a 1% increase causing short-term reductions of 0.07% and long-term decreases of 0.12%. Higher energy expenditure encourages environmental investment, leading to short-term gains of 0.25% and long-term gains of 0.48%. Based on these findings, the study proposes practical policies for promoting green growth in China’s art industry SMEs, such as tax credits or subsidies for eco-friendly practices and technologies, and programs to raise awareness and provide training on sustainable practices.

This paper investigates the impact of digitalization on entrepreneurship capacity in developing economies using a sample of 20 countries from 2009 to 2021. Findings reveal a significant positive correlation between digitalization indicators, such as internet and mobile phone users, and entrepreneurship capacity, emphasizing digitalization’s role in enhancing communication, information dissemination and market access for entrepreneurs. However, factors like patent applications and trade liberalization show insignificant correlations with entrepreneurship empowerment. Additionally, higher inflation rates are associated with decreased entrepreneurship capacity, while urbanization emerges as a significant motivator. To foster entrepreneurship capacity for SMEs, governments should prioritize digitalization and ICT diffusion policies, promote digital literacy, support patent registration and develop smart cities to create conducive environments for entrepreneurial activities.

In the current digital age, technological innovation is rapidly transforming work methods and employee expectations for work–family balance. This study aims to explore how digital innovation, through Green Human Resource Practices (GHRPs) and Leader–Member Exchange (LMX), promotes sustainable transformation in small- and medium-sized enterprises (SMEs) while effectively supporting employees’ work–family balance. Using empirical analysis on 357 employees from 10 digitized SMEs, the study constructs a comprehensive model based on Resource Dependence Theory (RDT), Social Exchange Theory (SET) and Planned Change Theory (PCT). The findings reveal that digital innovation plays a critical role in adjusting work–family boundaries and enhancing employee satisfaction and organizational performance, with GHRPs and LMX serving as important mediators in this process. Additionally, the study emphasizes the key role of effective change management strategies in achieving sustainable organizational growth. This research provides a framework and strategies for SMEs to implement GHRPs in the digital context, helping to improve organizational performance and facilitate sustainable organizational transformation.

The internationalization of the portfolio company is a key strategy used by private equity (PE) investors to create value and produce returns. In recent years, the focus on the strategies for value-creation through operational improvement has become essential to achieve the exponential growth required to the portfolio company, given the low multiples and the market risk of leverage. In this paper, we define the key types of contribution that a PE investor can provide in order to support the internationalization process and their effects on the portfolio company’s performance. The research is based on a survey administered to 47 PE fund managers, which covers 156 deals involving Italian companies. The results offer insight into the contribution to the corporate governance, strategy and management that PE provides in addition to the monetary support. The findings show that the non-financial support given to the portfolio companies has a positive impact on the performance and that the most impactful contribution the PE can give is the support to the relational network when the company strategy involves a foreign direct investment.

The purpose of this paper is to discuss the general risk assessment under the Hologram framework for the enterprise based on big data language; and to illustrate the Hologram as a new tool for establishing a mechanism to evaluate SMEs growth and change in financial technology dynamically (here we mainly focus on SMEs as they are one of the very important classes for enterprises with less information available from financial accounting report and associated assets. Indeed, the approach discussed here is applicable to general enterprises).

The key idea of our new approach is to introduce and use the “Hologram” (similar to, “holographic portrait” used in portrait holography), a platform for data fusion dynamically, as a tool and mechanism to describe the dynamic evolution of SMEs based on their business dynamic behavior. Through processing structured and/or unstructured data in terms of “related-party” information sets which analyze (1) “investment” and (2) “management” information provided by SMEs’ business behavior, and extracting “Risk Genes” from complex financial network structures in the business ecosystem, we can establish a “good” or “bad” rating for SMEs by using data fusion dynamically and financial technology. This method to assess SMEs is a new approach to evaluating SMEs’ development dynamically based on the network structure information of enterprise and business behavior. The framework introduced in this paper for the dynamic mechanism of SMEs’ development and evolution allows us to assess the risk of any SMEs (in particular to evaluate SMEs’ loan applications) even not available for critical data required in traditional finance analysis including information such as financial accounting and associated assets, etc. This new “Hologram” approach for SMEs assessment is a pioneering innovation that incorporates big data and financial technology for inclusive financial services in practical application. Ultimately, the Hologram approach offers a new theoretical solution for the long-standing problem of credit risk assessment for SMEs and individuals in practice.

Since the information embedded in SMEs’ business behavior reveals the competition and cooperation mechanism that drives its stochastic resonance (SR) behavior which is associated with successful SMEs development, the two concepts of SAI and URR under the Hologram approach to risk assessment that identifies if an SME is “good” are based on the network generated from an SMEs’ related-party information in terms of “investment” and “management” dynamically, along with other available information such as related investment capital and risk control. Significantly, the Hologram approach to risk assessment for SMEs does not require critical data of traditional financial account and related assets, etc. which heavily depend on financial accounting and associated assets used by financial risk analysis in practice. Using big data and FinTech Hologram method discussed in this paper utilizes the related-party information (in term of investment and management) of each SME which exists in an embedded business network to overcome the situation for SMEs which always have not or have not enough in providing accounting and associated asset information in the practice.

By the feature of each Hologram for a given SME, one always has the related-party information in terms of either investment, or management dynamically, which is indeed also an explanation for the reason why the new approach proposed only comes true only until the era of big data’s occurring by using ideas from financial technology today.

Furthermore, this paper explores the implementation of the “Holo Credit Loan”, a pure credit loan without any collateral and guarantee launched in 2016, as practical applications of the Hologram approach. We illustrate the framework of SMEs risk assessment under the Holograms new theoretical basis for solving the long-standing problem of credit risk assessment for SMEs (and individuals). Moreover, this paper’ conclusion will address the performance of the “Holo Credit Loan”.

Production in small and medium enterprises (SMEs) makes a substantial contribution to the Gross Domestic Product directly and indirectly in developing economies including India. In the present time, applying Industry 4.0 to the SMEs will build a smart manufacturing system that will prove to be economically feasible as well as socially sustainable. The purpose of this study is to identify and prioritize major barriers of implementing Industry 4.0 in Indian SMEs. A questionnaire with 12 barriers which were identified based on the literature survey and expert discussion was made to be filled by industry experts of production, information technology, business and members of the top management in SMEs. Further, Multi-Criteria Decision Making (MCDM) methods like TOPSIS, VIKOR and PROMETHEE are used to find the rank for each barrier. The study reveals that the major implementation barriers of Industry4.0 in Indian SMEs are fear of unemployment, lack of IT training, poor IT infrastructure, etc. The ranking for each barrier will not only help to assess risks in manufacturing, supply chain or business initiative, but also to help the managers in devising risk mitigation plans. This study may be used by firms working under the manufacturing sector.

This work aims to understand current trends in the financial sector. Many trends are the technological solutions provided by new players operating in the financial sector (fintech), leading to different perspectives for the future awaiting private citizens and companies. This work presupposes the need to understand how the traditional financial system is able to keep up with the continuous and changing demands of a society that is evolving towards 4.0 and is increasingly aiming to meet environmental, social, and governance sustainability criteria. Above all, this chapter requires an understanding of the real reasons why systems such as decentralised finance are taking over despite the presence of well-established players. In this work, the authors aim to investigate the players, the battleground of a clash between tradition and innovation in the financial field, and whether the measures adopted by the banking system to adapt to the trends of technological innovation are sufficient to stand up to a real model of innovative development which sees a closer relationship between stakeholders and companies and which is far from the traditional banking–company system.

The vital factors which can facilitate the development of Startups and Small and Medium-Sized Enterprises (SMEs) in markets are the appropriate regulatory and policy frameworks. However, there is a difference in the frameworks which may contribute to different levels of development of startups and SMEs in different countries. This chapter thus focuses on the comparative study of the frameworks of selected countries to display their possible challenges in those countries. The chapter shows that governments in Japan, Republic of Korea, Malaysia, and Thailand adopt different regulatory frameworks which help stimulate the creation of startups and SMEs. It provides comparisons of the frameworks in those four countries, and also presents that there are challenges from these regulatory frameworks for startups and SMEs developing there.

Recently, the Republic of Korea has been focusing on vitalizing its startup ecosystem. In response, startup financing is also gaining importance. Therefore, this research aims to propose effective ways to support startup financing by exploring the cases of the startup financing programs managed by Korea Credit Guarantee Fund, hereinafter referred to as “KODIT”. KODIT is managing diverse startup financing programs including Startup NEST, First Penguin guarantee, guarantee with investment option, and Innovative Icon guarantee. Through managing such startup financing programs, it has developed the following recommendations to improve the effectiveness of its startup financing programs. We expect the following recommendations will provide relevant policy implications to startup support institutions in diverse Asian countries, where the role of policy finance is extremely important. First, the clear setting of the target customers should take precedence in designing startup financing. Second, much effort should be taken to reinforce the expertise and capabilities of the staff who are dedicated to supporting startups. Third, it is necessary to manage startup financing based on the diagnosis of the issues of the startup ecosystem. Fourth, the evaluation on startups should be made based on future growth potential. Fifth, there should be phased support in link with the management performance of startups. Sixth, startup financing should be supported comprehensively together with customized non-finance solutions.

This chapter addresses the efficiency of financing mechanisms and tools of the state implemented in Kazakhstan through the national small and medium-sized enterprise (SME) development institute Entrepreneurship Development Fund (hereafter Damu). This study considers the data on Damu financing provided to SMEs during 2005–2019 and the relationship of this financing to the overall contribution of SMEs to the GDP of the country during this period. This chapter analyzes whether Damu’s activities promoted the economic development of the country and whether Damu is overall financially efficient as an organization, how Damu has promoted startup businesses, and the factors by which microfinancing affects economic development in Kazakhstan. The results indicate that Damu has been successful, as shown by the number of SMEs financed and the number of jobs created, to reduce regional disparity in financing SMEs. The results also show that many small firms cannot grow into medium-sized enterprises in a competitive market, even with government support. Public financial institutions are recommended to help SMEs improve their management quality and to reduce information asymmetry between loan providers and clients so SMEs can grow with a long-term strategy in a competitive market.

With the remarkable advances in IT technologies, a range of financial services combining finance and technology have been developed in the financial sector, thereby leading to increased convenience for financial customers. However, small and medium-sized enterprises (SMEs), which have served as the foundation of the Republic of Korea and most Asia economies, have been marginalized from the benefits of these new technologies and continue to face difficulties in gaining access to finance. In this regards, our study will identify the difficulties which SMEs are facing in relation to financing and introduce cases to enhance the financial accessibility of SMEs through the convergence of financial services for SMEs and new financial technologies. This chapter examines financial technology (Fintech) that can satisfy such needs and attempts to resolve the financial exclusion of SMEs by establishing a new evaluation infrastructure that evaluates the current business activities of corporations by tapping into Big Data such as dynamic and non-financial alternative data that has otherwise been unused. In addition, we introduce a non-face-to-face finance service online platform which reduces SMEs’ physical difficulties in accessing finance and enables 24-hour, 365-day financial service. We found that Big Data on SMEs’ business activities and platform can improve the accessibility of SMEs to finance.

Sri Lanka is a lower-middle-income country with a high poverty rate, particularly in urban areas. The urban poverty rate increased to 5.3% in 2020 and the population fell below the poverty line. The contribution of small and medium enterprises (SMEs) to alleviate urban poverty has now been recognized as a key indicator. More than 50% of SMEs have contributed in diverse ways to the growth and development of Sri Lanka. Therefore, this chapter aims to examine the impact of SMEs on urban poverty in Sri Lanka. The main objectives of this study are to identify urban poverty, understand the importance and propensity of individuals to establish SMEs, identify the impact of SMEs to reduce urban poverty and find solutions to reduce poverty and enhance growth in Sri Lanka. This study was based on quantitative methodology by selecting a study sample in the Bamunakotuwa Divisional Secretariat Division of Kurunegala District in Sri Lanka. Probability sampling techniques like cluster and simple random sampling methods were used with survey and questionnaire methods for data collection. Correlation analysis and multiple regression were used for analysing data using SPSS software. The key findings in this research indicate that SMEs have a significant impact on reducing urban poverty and they help to generate growth in Sri Lanka.

Small and medium-sized enterprises (SMEs) are considered the backbone of the Indian economy. But for the last few years, a large numbers of issues have been generating severe hurdles for the small and medium-sized enterprises in India. As SMEs enter the new era of globalisation and face different kinds of dramatic challenges, an attempt has been made to examine those challenges and determine the measures to overcome such types of challenges. For the present study, data have been gathered from entrepreneurs of the IT sector, banking sector and pharmaceutical sector. A sample of 240 entrepreneurs, i.e., eighty from each sector, was taken. The primary data were gathered with the help of a questionnaire on a five-point Likert scale and analysed by various descriptive statistics such as frequency distribution, mean and standard deviation. ANOVA and Factor analysis have been used to test research hypotheses and validate the results of the study. The analysis shows that entrepreneurs have to face various types of issues and challenges, and such challenges can be solved by reducing the compliances of the listing procedure, using social media for advertisements conducting business conferences and seminars periodically, providing tax incentives to the investors and minimising the risk factor.

In this chapter, the authors have envisaged the various dynamic competencies that are instrumental and probable rationales for SMEs’ sustainable growth. Innovative entrepreneurship is portrayed as an integration of opportunity optimisation and advantage optimisation. This in turn offers unique start-up concepts. The authors have built upon the resource perspective of the enterprise. This chapter specifically conceptualised the elaboration of the dynamic competencies instrumental in the innovation and growth perspectives of the enterprise. On the basis of an extensive literature review in a relevant field, four dynamic competencies, viz., innovative resource recognition, resource acquisition, networking capabilities and path aligning, have been dissected as part of an innovative approach that is critical for SMEs’ sustainable growth. From an SME standpoint, these dynamic competencies are observed to be constructive innovative strategies. A thematic analysis approach was employed to provide insights into the probable dynamic competencies of the SMEs.

Promoting scientific and technological innovation and high-quality development of small and medium-sized enterprises is an important part of implementing the national innovation-driven development strategy and manufacturing power strategy. At present, with the rapid development of “digital finance” some “digital finance” tools can effectively alleviate the difficulties of “financing difficulty” and “expensive financing” of SMEs’ technological innovation and provide effective support for SMEs’ technological innovation. Digital transformation is an effective way for our country’s small and medium-sized enterprises to achieve high-quality scientific and technological innovation development. Based on the theoretical framework of TOE, this paper adopts the necessary condition analysis (NCA) and fuzzy set qualitative comparative analysis (fsQCA) methods to reflect the so-called technical, organizational, and environmental aspects. The specific action mechanism of various antecedent conditions, including data algorithms, is based on the digital transformation of enterprises. It provides a useful reference for understanding the role of digital finance between the government and enterprises. It also provides new ideas and empirical evidence for designing and improving relevant science and technology innovation policies, which have important theoretical and practical significance.

The key to the competition competitiveness of enterprises is an effective human resource management, attained through human resource development and investment management. In this paper, Qinzhouhuang Millet Co., Ltd. is used as an example to analyze the current human resource management system to identify existing problems. Several countermeasures are proposed to assist the development of effective human resource management in SMEs in the future.

In the wake of the rapid development of mobile internet, this paper studies the influence factors that affect the use of mobile information platform for small and medium enterprises (SMEs). Through the analysis of statistics based on 237 samples of SMEs questionnaire survey responses, we demonstrated that perceived usefulness and perceived ease of use have positive impacts on the adoption attitude towards mobile information platform, which in turn has a positive effect on usage intention. Therefore, subjective norms and the platform’s public image positively influence the SME’s usage intention.

Based on the research of small- and medium-sized enterprises' (SMEs) life cycle, plus the data and information that was acquired from bankrupt SMEs in five metropolises including Shenzhen, Guangzhou, Changsha, Zhengzhou, and Chengdu during period 2000–2007, the relationship between the life cycle of SMEs in the five metropolises and their external environment is evaluated and comparatively analyzed. The results show that the external environment has positive impact on SMEs' lifecycle; the economic environment, technological environment, and human resources environment have prominent influences on SMEs' lifecycle, but the influences of political environment, socioculture environment, and natural resources environment on SMEs' lifecycle are inconspicuous. Furthermore, the reason for the results above is analyzed and the countermeasures on how to prolong the life cycle of SMEs in China from the perspectives of both government and corporation are proposed.