Abstract
Many studies show that promotion of the development of small and medium-sized enterprises (SMEs) in developing countries requires support for innovation. Nevertheless, there have been few rigorous studies about determinants of innovation carried out by SMEs, especially in transition economies. Based on data collected from surveys of SMEs from 2005 to 2011, this study shows that the human and social capital of SMEs is a key to innovation in product, production process, marketing, and performance of SMEs in Vietnam.
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