Antecedents and processes leading to open innovation in SMEs

Abstract

Open Innovation (OI) literature related to Small and Medium Enterprises (SMEs) has often been fragmented, hindering the effective generalisation of findings. We conducted a systematic multidisciplinary literature review to explore OI in the context of SMEs across various regions. OI research in SMEs was most common in Europe, followed by China, Korea, South East Asia, Africa, South America and the Middle East. Surprisingly, very little research has been done in the USA, Canada, and the Indian subcontinent. We aimed to identify the commonalities and regional specifics in the antecedents and processes leading to OI. The review included one hundred research articles from the Web of Science database. Our findings revealed four common antecedents of OI across the firms: Human Factors, Technology, Policy, and Heterogeneity. Additionally, we identified three standard processes that lead to the OI phenomenon: firm-level partnerships, collaboration with academia, and intermediation. Though the antecedents and processes hold across firms of different sizes, human factors, policy and heterogeneity among the antecedents and intermediation as the process holds more significance to the SMEs as a sector. This research has important implications for academia and the industry. Firstly, we have responded to the research gap by increasing the generalisation of results across the regions. Secondly, different stakeholders may look for literature that is directly relevant to them. Thirdly, SME managers need to know the specific attitudes to facilitate OI effectively. Fourthly, the importance of intermediation has been identified as an effective process leading to OI. Finally, we have categorised future research directions under different clusters.