Capacity Of SMEs Research Articles

Perception of entrepreneurs, small and medium industries in household product development and waste processing of chips corn in Province of Gorontalo

The purpose of this study was: 1) Knowing the perception of small and medium enterprises industry players in Gorontalo Province. 2) Analyzing the Effect of perception or interest in the development of products cornflakes in Gorontalo Province. The research was conducted in two (2) District of Gorontalo and Pohuwato. The study begins from April to June 2019 with a sample of 54 people. The results showed those perceptions or interest through institutional aspects IKM / Industrial RT, the introduction and training of IKM / Industrial RT, and the capacity of SMEs / Industrial RT towards the development of chips and corn waste products on the recapitulation are in both categories with a percentage value 80 percent. Based on calculations that have been done by using multiple linear regression analysis was obtained that perception or interest simultaneously significant effect on the increase in the development of chips and corn waste products in Gorontalo Province. While partially the positive and significant impact that institutional IKM / Industrial RT, the introduction and training of IKM / Industrial RT and the capacity of SMEs / Industrial RT towards the development of chips and corn waste products in Gorontalo Province.

The roles of dual networks and ties on absorptive capacity in SMEs: the complementary perspective

Drawing from social network theory with dual embeddedness and dual ties perspectives, the main purpose of this study is to examine the differing influences of weak ties and strong ties in the supply chain network and competitive network on potential and realised absorptive capacity. According to the empirical results, the weak ties both in the supply chain network and competitive network are positively related to a firm’s potential absorptive capacity, while weak ties in the competitive network are more powerful in improving potential capability. The strong ties both in the supply chain network and competitive network are positively related to a firm’s realised absorptive capability, while strong ties in the supply chain network are more effective in realised absorptive capability. Besides, complementary term (the product term of potential absorptive capacity and realised absorptive capacity) has significant effects on a firm’s innovative performance. Finally, we discuss implications of this research and offer suggestions for future research.

Impact of Fiscal Policies on Western Balkan SMEs’ Growth: Evidence from Kosovo

This paper analyses the impact of fiscal policies on increasing the capacity of SMEs from the manufacturing sector in the Western Balkans, with particular emphasis on those in Kosovo. To achieve empirical results, the data obtained from the opinions of the 100 analysed SMEs were pro­cessed through logistic regression. The SPSS statistical software was also used for these statistics. Based on literature review and empirical results, it has been concluded that fiscal policies have an impact on Kosovo SMEs growth. Also in Kosovo and in other Western Balkan countries, fiscal poli­cies and packages have been adopted to support SMEs and have had a significant effect on their activities. Despite the fact that under normal circumstances fiscal support for SMEs has been provided by the governments of these countries, in the near future there should be greater fiscal support to SMEs by means of fiscal incentives due to the devastating effects of the COVID 19 pandemic on each country’s economy.

Knowledge transfer between universities and smes and regional development. The role of the clusters as communities of practice

Abstract The Exchange of knowledge between universities and SMEs became a source of sustainable competitive advantages. The innovation capacity of SMEs is under pressure for various reasons since knowledge management is more costly and innovation readiness more difficult to be achieved. Higher Education Institutions (HEIs) became in this context critical players in the knowledge-based economy to interact with small companies. The traditional functions of universities are the generation of knowledge (research) and its transmission (teaching) are reconsidered in order to better serve the managers. This paper investigate conditions SMEs and universities may better work together, assuming that a pro university-SMEs cooperation behaviour at the level of the SMEs managers and universities is an essential factor of an efficient transfer of knowledge. Evidence of this interaction from development regions of Romania are shown in order to identify emerging cooperation patterns. Another area this paper investigates is the interaction of universities and SMEs when they are bound together in a longer cooperation alliances, in clusters. Actions to develop clusters include universities as central resource. The research intends to review the role of the university in cluster development for Romanian development regions on their struggle to occupy a role in European smart specialization processes. As a main conclusion, the article argues that smart specialization and communities of practice are interconnected concepts enabling innovation processes in university-industry interaction. Knowledge transfer may be more efficient when clusters and universities are interacting on a long-term basis.

The structural capital, the innovation and the performance of the industrial SMES

PurposeThe objective of this study is to analyze the influence of the structural capital of SMEs in the capacity of innovation and organizational performance, in the context of an emerging country.Design/methodology/approachThe sample consisted of 259 industrial SMEs from the province of Córdoba Argentina. The data was analyzed by Partial Least Squares Structural Equation Modeling (PLS–SEM).FindingsThe study provided evidence that acquisition of information and knowledge management, organizational culture and structure, systems and processes have positive and significant effects on the innovation capacity of SMEs. Only the communication and cohesion component did not show positive and significant results on it. It also showed a positive and significant relationship between the capacity for innovation in processes and performance, contributing to the scarce empirical literature in the context of SMEs.Research limitations/implicationsThe research exposes some limitations that uncover a path for the development of future lines of research. In the first place, the work focuses on the use of a single source of information, the consultation at the managerial level of the company, without considering other representative variables to measure the capacity for innovation. Second, the study covered only companies in the industrial sector and country. Future studies should focus on other sectors and countries.Practical implicationsThe results of the study can have important practical implications for the owners and managers of SMEs. The results offer a vision of the dimensions of structural capital that most influence the innovative capacity of the organization. This is especially useful given that in the context of Argentina there is a low level of knowledge and structural capital is key to being more competitive. The managers of SMEs can thus increase the innovative potential of the company and favor the acquisition of information and knowledge and improve its processes and systems to contribute to the development of innovation capabilities to make SMEs more competitive.Social implicationsThe results obtained can be useful for those responsible for making public policy decisions, since in the knowledge of the economy to maintain a developed state and nation, it is necessary to include as one of the main issues on the national agenda the improvement of intellectual capital of its people to promote the competitiveness of companies.Originality/valueThe research contributes to the development of intellectual capital literature focused on the generation of innovation and performance in the perspective of SMEs in emerging countries.

A Research on Process of Interaction Between Business Intelligence (BI) and SMES

Business Intelligence (BI) also, SMEs square degree unmistakable examination areas anyway large cooperation amongst the ones factors can deliver the a achievement benefit from every other. This collaboration has been thinking about in main the dynamic climate. This connection will exclusively beautify singular bits of expertise of BI and SMEs, it adds to the business enterprise herbal execution. despite the fact that examination on BI and SMEs is tremendous so far, restricted spotlight was given on studying detail among Bi and SMEs. Thusly, this investigation is expected to accomplice examinations writing and investigates an incorporated study of writing broke down on anyway BI and SMEs benefit from every other and affords to the economic business enterprise ecological execution. A subjective substance examination have become directed for the approach that considers forty three articles for information deliver. Discoveries of the writing audit prescribe upgrading capacity of SMEs and new advancement of Bi, that might affect each different. Discoveries of this research may also become supportive for additonal examination regarding Bi usage success

Knowledge management: a roadmap for innovation in SMEs\u2019 sector of Azad Jammu & Kashmir

In this empirical study, we have examined the impact of knowledge management on organizational innovation capacity. Ultimate objective of existing research was to explore the role of knowledge management in encouraging innovation capacity in SMEs. Furthermore, this study also described role of knowledge management process to enhance knowledge repositories of SMEs. In order to understand knowledge management-innovation relationship, we collected data from SMEs across Azad Jammu and Kashmir. It was found that knowledge identification/creation, knowledge collection, knowledge organizing, knowledge dissemination, and knowledge application have positive and significant impact on innovation capacity of the SMEs in AJ&K. Implications of the study were also discussed.

Mass Personalization with Industry 4.0 by SMEs: a concept for collaborative networks

Abstract Industry 4.0 (I4.0) increases flexibility of production processes to fabricate products with a level of customization that resembles the era of crafts manufacturing. Despite global competition, personalization is a differentiation strategy applied by manufacturers to remain distinctive. By incorporating personalized products next to their core products, Small-, and Medium sized Enterprises (SMEs) can respond to the demand for personalized products where individualization adds value. Yet, personalization comes along with high variation due to small series, or even individually unique products. To cope with this variation, SMEs need cost-effective, intuitive solutions to benefit from I4.0 involving minimal efforts. This study presents a concept increasing the capacities of SMEs to capitalize on mass personalization via a collaborative network.

A Critical Analysis of Effects of Loan Conditions on Accessibility to Loans by Small Businesses in Tanzania

Abstract: The study investigated the effect of loan condition on loans accessibility to small business in Tanzania. It explored the effect of loan covenants on small business on accessing loans and examined the effect of bank loan extension procedure on small business in accessing loans. Both theoretical and empirical literature was reviewed to inform the study. Quantitative and qualitative research approaches were employed to facilitate the study using a cross sectional study design. Data were collected from 89 respondents who included bank loans customers and loans officers. These respondents were sampled through the use of the purposive and stratified random techniques. Data were obtained through questionnaire, interview and documentary review. The data were then analyzed quantitatively and qualitatively. The findings revealed that bank created covenants affected small business in accessing loans from financial institutions. It was also revealed that customers differed in their conceptualization of the difficult and easiness of the bank provisions. Furthermore, it was evident that bank do formulate strict loans extension procedures so that to make sure that lessen loans defaults and increase the probability that loans are used as applied in the forms. It has been recommended that, improving business conditions boosting the capacity of SMEs, expanding financial sector and strengthening links between firms will permanently increase small business access to finance. It was also recommended that the government to play its role in creating conducive environment for the SMEs to flourish in Tanzania. Lastly based on study findings recommendations for further studies are proposed.

Open data for open innovation: managing absorptive capacity in SMEs

Open Data (OD) utilisation has been encouraged by governments because of its potential to fuel digital innovation. Despite this, there is a paucity of study into the role of OD for SMEs, in contrast to the growing literature that has focused on the collection and sharing of OD by the public sector. As such, our study contributes to open innovation research by analysing the main capabilities needed to overcome existing barriers to successfully manage OD in SMEs. Building upon the recent SME‐oriented OI literature and adopting an interpretative absorptive capacity framework, we analyse the data collected from 30 semi‐structured interviews with experts working in UK organisations adopting OD‐based OI strategies. We find a number of core factors that shape OD acquisition, assimilation, transformation and exploitation by SMEs. Results show that without the specific OD capabilities identified in our study, it will be difficult for SMEs to successfully use OD, which may explain why the uptake of OD by SMEs more broadly has so far been limited. These unique OD capabilities need to be better developed by OD using SMEs, if this ‘raw material’ for the digital economy is to be fully exploited.

Analysis of Implementation of SMEs Tax Enforcement: The effects of tax justice dimensions, understanding of tax ac-counting on SME’s tax compliance

The purpose of this study was to determine the effect of understanding on tax accounting, tax justice toward tax compliance on SMEs tax. The research method applied in this study is quantitative deductive method. The population taken were SMEs registered in Department of Cooperatives SMEs, Trade and Industry in Banyumas, Purbalingga and Cilacap. The data were collected by using convenience sampling. They were collected through questionnaires and semi-structured interviews with 115 SMEs. The finding shows that the SMEs tax compliance is influenced by understanding on tax accounting and tax justice. In addition, this study also reveals that the majority of SMEs have lack of understanding about tax accounting and most respondents still doubt about tax justice. Thus, the recommendation of this research is to conduct a judicial review of Government Regulation No. 46 Year 2013 to conform to the principle of tax fairness, transparency in the field of taxation should be improved, and the bottom-up approach must be conducted prior to issuing regulations by the government, especially given the economic capacity of SMEs.

Explorando relación entre innovación e internacionalización de PYMEs Catalanas: Determinantes de la capacidad de innovación

Este documento analiza los determinantes de la capacidad de innovación y la relación entre ésta y la internacionalización, utilizando la técnica multivariante de regresión lineal. Los resultados sugieren que hay cuatro variables organizacionales (determinantes), principalmente que influyen positivamente en la capacidad de innovación de una PYME y que la capacidad de innovación tiene una relación positiva con la internacionalización exportadora. Se discuten las características de los hallazgos teniendo presente el modelo de investigación propuesto.

Multi-level factors affecting firm competitiveness in ASEAN region of small and medium enterprises of Thailand

This research examined the external and internal factors influencing the competitiveness of SMEs in Thailand operating in the ASEAN context. A quantitative approach was applied using a survey method with a questionnaire as a tool to collect data from a sample of 527 Thai SMEs from June 2016 to March 2017. The findings indicated a relatively medium-to-high level of competitive capacities on the part of Thai SMEs in general. SMEs in the service and manufacturing sectors, as well as firms with international experience, were rated at a high level compared to others. In addition, the analysis of the variables using a structural equation model demonstrated that firm performance had a positive relationship to the level of business competitiveness (r = .43). The research results also indicated the potential competitive capacity development of Thai SMEs, with evidence from relevant variables regarding firm performance, which directly affected the company's competitiveness. Organizational strategy, firm readiness for internationalization, and organizational characteristics were the significant factors that were seen to enhance the competitive capacity of SMEs in Thailand. Hence, entrepreneurs should improve these indices in order to better carry out their business in the region.

A Study on the Effects of Absorptive Capacity in SMEs on Product Competitiveness: Considering the Moderating Effect of CEO’s Entrepreneurship

A Study on the Effects of Absorptive Capacity in SMEs on Product Competitiveness: Considering the Moderating Effect of CEO’s Entrepreneurship

INCREASE PRODUCTION COMPETITIVENESS OF SME’S “MADIREDO” AT KEC. PUJON KAB. MALANG THROUGH DIVERSIFICATION OF PRODUCTION AND ONLINE SHOP

SMEs Cracker Madiredo Village Pujon District Malang Regency is a business group housewife mother spread in two areas in village Madiredo Kec.pujon, Kab Malang. This business has grown and become a pilot business in the village Madiredo Pujon District Malang regency. Currently, the production capacity of SMEs has reached 50 kg / group. However, due to the simple marketing model of production, the average sales per day in each week is only about 25 kg. As a result stocks accumulate making SME production is not continuous . Production of onion crackers are sold only in the form of raw crackers. Production packaging is not well covered, unappealing and even unimpressed, which results in a decline in production resistance. While marketing is done by depositing / selling directly to market traders around Pujon and Batu.

Emerging Agenda of Chinese Innovation and Entrepreneurship Research

The Second MOR Research Frontiers Conference explored knowledge creation and innovation capacity of SMEs on the economic development of transforming economies. The theme echoed the new trend in China that the economy has entered the ‘new normal’ (xinchangtai) stage and entrepreneurship and innovation have been regarded as the ‘twin engines’ for future growth. The majority of the conference papers paid attention to the entrepreneurial potential and innovation capacity of China's rising private sector, and pointed out for me an emerging research agenda on innovation and entrepreneurship studies in China.

Model for Determining the Absorption Capacity of SMES in the Manufacturing Sector

This research aims at creating a model to determine the level of absorptive capacity in SMEs in the manufacturing sector through four dimensions (investment in R&D, number of patents, company structure, staff training); some authors propose measuring these or other variables separately, but based on the reviewed literature, the proposed model includes dimensions comprehensively identified as the most relevant, and the variables that allow a more accurate measurement absorptive capacity. It is important to underline that for the last ten years the research on this subject is being conducted mainly in countries of Asia.

A conceptual framework for understanding resilience of construction SMEs to extreme weather events

Purpose Small and medium sized enterprises (SMEs), which form a significant portion in many economies, are some of the most vulnerable to the impact of extreme weather events (EWEs). This is of particular importance to the construction industry, as an overarching majority of construction companies are SMEs who account for the majority of employment and income generation within the industry. In the UK, previous research has identified construction SMEs as some of the worst affected by EWEs. The paper aims to discuss these issues. Design/methodology/approach Given the recent occurrences of EWEs and predictions suggesting increases in both the intensity and frequency of EWEs in the future, improving the resilience of construction SMEs is vital for achieving a resilient construction industry. A conceptual framework is first developed which is then populated and expanded based on empirical evidence. Positioned within a pragmatic research philosophy, case study research strategy was adopted as the overall research strategy in undertaking this investigation. Findings Based on the findings of two in-depth case studies of construction SMEs, a framework was developed to represent EWE resilience of construction SMEs, where resilience was seen as a collective effect of vulnerability, coping strategies, and coping capacities of SMEs, characteristics of the EWE and the wider economic climate. Originality/value The paper provides an original contribution towards the overarching agenda of the resilience of SMEs, and policy making in the area of EWE risk management by presenting a novel conceptual framework depicting the resilience of medium sized construction companies.

SME’s Appropriability Regime for Sustainable Development-the Role of Absorptive Capacity and Inventive Capacity

SMEs need to protect their innovation outcomes and increase profits from their innovations in order to make their growth sustainable. The appropriability regime enables SMEs to secure financial returns on their R&D investment so that SMEs can continuously invest in innovation and obtain financial gains. However, the appropriability regime can change the effects of protecting innovation outcomes depending on the capacity of knowledge exploration, especially for SMEs, and previous studies have not discussed these issues. Thus, the main objective of this paper is to explore how the knowledge exploration capacity affects the relationship between different types of appropriability regimes and innovation performance. Multivariate regression is used to analyze the manufacturing SMEs sampled from the Korea Innovation Survey 2007 (KIS 2007). Our results demonstrate that both formal and informal appropriability regimes can improve firm’s innovation performance. Furthermore, although both inventive and absorptive capacity have positive moderating effects on the relationship between the informal appropriability regime and innovation performance, the inventive capacity moderates negatively the relationship between the formal appropriability regime and innovation performance. As a whole, the significance of this paper lies in providing further understanding of the different types of appropriability regimes and knowledge exploration capacity in SMEs.

Improvement of Innovation Capacity of SMEs in Serbia by Connecting With Key Stakeholders

The SMEs role in the process of economy restructuring of Serbia and its European integration is of increasing importance. Undisputedly, SMEs in Serbia are facing numerous problems in the operation and performance of innovative activities. Starting from the existing theoretical views about the importance of creating innovative SMEs business network which results in the creation and delivery of unique value to the market, the author is inclined to explore the innovative capacity of SMEs in Serbia and identify opportunities for cooperation with key stakeholders. Obtained results show that SMEs managers in Serbia do not completely understand the importance of key stakeholders for innovation capacity enlargement as it was expected. Different business networks, such as clusters and business incubators, which are in the developed world are considered as a chance for growth and development of SMEs, are not utilized as a chance in Serbia. On the basis of this empirical research, it can be concluded that the tendency to independency i.e. closed type of SMEs innovation in Serbia can be attributed to numerous factors. The long transition process relative to other countries in Central and Eastern Europe, insufficient systemic efforts and institutional support to their development, inadequate business orientation, organizational culture and the awareness of managers of SMEs in Serbia are the most important limiting factors. Overcome of such situation will allow increasing of the SMEs innovation capacity in Serbia and their competitiveness. In the survey data were collected by personal interview and in-depth interview. The survey was conducted on a sample of 304 small and medium-sized enterprises. The statistical analysis program SPSS was used to make the data analysis. Descriptive statistics and Factor analysis were also used in the analysis of the responses to the research questions. DOI: http://dx.doi.org/10.5755/j01.ee.26.4.8489