SME Managers Research Articles

Unraveling the relationship between entrepreneurial networks and entrepreneurial ambidexterity: A mediation-moderation model

Entrepreneurial networks play an important role in identifying and exploiting entrepreneurial opportunities and the growth of entrepreneurial ambidexterity. This exploratory research aimed to explore the role of entrepreneurial networks on entrepreneurial ambidexterity with the mediating effect of novelty ecosystem and the moderating role of entrepreneurial intensity. The data is collected from 347 SME owners and managers of manufacturing and service industries in Jiangsu province, China. The hypotheses are analyzed using the partial least squares structural equation modeling PLS-SEM method. The results indicate that entrepreneurial networks are significantly associated with entrepreneurial ambidexterity. Moreover, findings show that the novelty ecosystem positively influences the association between entrepreneurial networks and entrepreneurial ambidexterity. Furthermore, results show that entrepreneurial intensity significantly moderated the relationship between novelty ecosystem and entrepreneurial ambidexterity. Lastly, the discussion and implications are elaborated in this study.

Interactive assistance via eHealth for small- and medium-sized enterprises’ employer and health care manager teams on tobacco control (eSMART-TC): A cluster randomized hybrid type II trial (N-EQUITY2101/J-SUPPORT2102).

10606 Background: Organizational commitment and consistent leadership are crucial to facilitate implementation of workplace wellness programs. We aimed to investigate whether interactive assistance for SME managers to implement tobacco control programs (compared with usual practice) would increase 6-month abstinence rates in tobacco-smoking employees. Methods: This hybrid type II cluster randomized effectiveness implementation trial was done in Japan. SMEs in the intervention group received interactive assistance to employers and health managers for 6 months by supporting employees through campaigns, tailored ongoing facilitation, and ensuring executive engagement and support, aiming to promote utilization of reimbursed smoking cessation treatments and implement smoke-free workplaces. SMEs in the control group received feedback on the results of the baseline survey and information on smoking cessation measures. Stratified randomization was used to allocate SMEs to either group. The primary outcome was salivary cotinine-validated 7-day point-prevalence abstinence rate at 6 months, and the key secondary outcome was the adoption score of the two recommended measures (promote smoking cessation standard treatment visits, and smoke-free policy) at each SME at 6 months (range: 0–2). Other secondary outcomes included implementation and process outcomes (e.g., proportion of smoking cessation treatment use). Results: Between July 1, 2021, and May 16, 2022, 38 SMEs enrolled. Twenty SMEs were randomly assigned to the intervention group and 18 SMEs to the control group. Among 2,929 employees enrolled, 2,556 responded the baseline survey (response rate: 87.3%; men 65.0%; mean age 44.8 years) and 713 of them (27.9%) indicated being a current smoker in the baseline. Then 176 (6.9%) were omitted because of missing primary outcome data (mainly owing to not responding, turnover, resignation, or retirement); therefore, 537 participants (21.0%) were included in the intention-to-treat based analyses of the primary outcome. At 6 months, the validated 7-day point-prevalence abstinence rate in the intervention group was significantly higher than that in the control group (11.2% vs 4.6%; difference = 6.6%, 95% confidence interval: 2.2%–11.1%, p=0.004). Regarding the analysis for key secondary outcomes, all randomized SMEs were included. At 6 months, adoption score of the two recommended measures was also significantly higher than that in the control group (1.5 vs 1.1; difference = 0.4, 95% confidence interval: 0.01–0.86, p=0.047). Conclusions: Interactive support for SME managers to implement tobacco control measures (compared with usual practice) can accelerate the implementation of evidence-based smoking cessation measures and significantly increase 6-month abstinence rates. Clinical trial information: UMIN000044526.

Entrepreneurship Education Intention and Performance Indicators of SMEs amongst Managers in Port Harcourt, Rivers State, Nigeria

Across the globe, it has been established that the activities of small and medium enterprises are critical for the growth and development of a country, thus attracting investigations. The aim of this empirical study is to investigate issues relating to entrepreneurship education intention and performance indicators of small and medium enterprises amongst managers in Port Harcourt, Rivers State, Nigeria. Descriptive research design was used and primary data collected via questionnaire. With the aid of statistical package for social sciences version 25, mean, aggregate mean, correlation and spearman rank were used to analyze the data collected. From the empirical findings, the study concludes that entrepreneurship education intention relates positively and significantly to performance indicators as measured by dimensions of cognitive education and customer service – their respective proxies. It is, therefore, recommended that for SMEs to operate competitively and profitably, thereby contributing significantly to the economic recovery and growth of Nigeria, owners and managers of entrepreneurial ventures need to continuously acquire entrepreneurial education for themselves and their employees. Also, leaders or managers of SMEs in Nigeria need to engage more in transformational leadership styles. More specifically, the contents of personnel development programmes should be intentionally geared towards enhancing the cognitive dimensions of entrepreneurship education for managers of SMEs for them to operate efficiently in order to gain competitive advantage.

A Mediating Effect of Intention on the Relationship between Attitude, Subjective Norm, and Perceived Behavioural Control and the Turnover Intention Actual Usage among the SME Service Sectors Employees in Beijing, China

This study explores the mediating role of intention in the relationship between attitude, subjective norm, and perceived behavioral control on turnover intention and actual turnover behavior among employees in the SME service sector in Beijing, China. Drawing on the Theory of Planned Behavior (TPB), we hypothesize that employee attitudes towards their job, the influence of subjective norms, and their perceived control over leaving their job collectively influence their turnover intentions, which in turn affect their actual turnover behavior. Data were collected through a structured questionnaire administered to a sample of SME service sector employees in Beijing. Structural equation modeling (SEM) was employed to test the proposed hypotheses and the mediating effect of intention. The findings reveal that intention significantly mediates the relationship between the three TPB components (attitude, subjective norm, and perceived behavioral control) and turnover behavior. Specifically, employees with negative job attitudes, high subjective norms favoring turnover, and high perceived control over leaving are more likely to form strong turnover intentions, which subsequently lead to actual turnover. These results offer valuable insights for SME management in Beijing on the importance of addressing employee attitudes, norms, and perceived control to mitigate turnover rates. The study contributes to the broader literature on employee turnover by highlighting the critical mediating role of intention and providing a nuanced understanding of the TPB in the context of SME service sectors in China.

An Empirical Study on the Turnover Intention among the SME Service Sectors Employees in Beijing, China: A Theory of Planned Behaviour Approach

This empirical study investigates the turnover intention among employees in the SME service sector in Beijing, China, using the Theory of Planned Behavior (TPB) as a theoretical framework. The research aims to understand the key psychological and social factors influencing employees' intentions to leave their current positions. Data were collected through a structured questionnaire administered to 400 employees across various SMEs in Beijing's service industry. The questionnaire measured attitudes towards turnover, subjective norms, perceived behavioral control, and turnover intention. The findings indicate that all three components of TPB significantly predict turnover intention. Attitudes towards turnover, shaped by job satisfaction and perceived job alternatives, emerged as the strongest predictor. Subjective norms, influenced by peer and family expectations, also play a critical role in shaping turnover intentions. Perceived behavioral control, which includes employees' confidence in securing new employment and perceived ease of leaving their current job, further contributes to the prediction model. The study highlights the importance of addressing both individual and contextual factors in managing turnover intentions. For SME managers, fostering a supportive work environment and enhancing job satisfaction can mitigate turnover risks. Moreover, understanding the influence of external social pressures and enhancing employees' perceived control over their career decisions can provide additional strategies to retain talent. This research contributes to the limited literature on employee turnover in China's SME service sector and offers practical insights for improving employee retention strategies. Future studies could explore longitudinal data to understand the dynamics of turnover intention over time and examine the role of additional variables such as organizational commitment and job stress.

Analysis of Labor Absorption in Small and Medium Enterprises in East Java

Small and medium businesses in East Java as a mainstay sector in labor absorption tend to fluctuate. The problem in this research is how the number of business units, investment and minimum wages correlate with labor absorption in the small and medium enterprise sector in East Java Province. The aim of this research is to analyze the number of business units, investment and minimum wages on labor absorption in the small and medium business sector in East Java Province. The research results obtained by correlation testing the number of SMEs have a significant positive relationship to the labor absorption, investment has a significant positive relationship to the labor absorption and the minimum wage also has a significant positive relationship to the labor absorption. The results of this research indicate that SMEs managers should provide direct credit financing facilities. both bureaucratic and according to the interest rates given, so that government investment which tends to be more capital intensive can be absorbed by SMEs well as well as business training, books and the internet in searching for market information and business management methods so that their businesses can develop more effectively.

An Exploration of Entrepreneurial Marketing Dimensions and Competitive Advantage in Small and Medium Enterprises

The prime focus of this article was on investigating whether the dimensions of entrepreneurial marketing have any effect on an enterprise’s competitive advantage in small and medium enterprises’ (SMEs’) setting. It further aims to close existing theoretical gaps in the previous literature concerning the scarce empirical studies on entrepreneurial marketing in the Gulf Cooperation Council countries. In order to respond to this gap, a structured survey was designed for obtaining the required data from several owners as well as managers of diverse SMEs in the United Arab Emirates (UAE). After completing data collection, the software of SmartPLS4 was used for validating the hypotheses and drawing conclusions. Based on the analysis, the results exhibited that innovativeness, resource leveraging, and customer intensity positively impact competitive advantage. The analysis also supported that opportunity focus, customer proactiveness, as well as value creation all positively affect competitive advantage. However, risk-taking dimension was found to be an insignificant predictor of competitive advantage. By providing insights into SMEs in the UAE context, this article enhances the prevailing knowledge on the connection among the selected elements of entrepreneurial marketing and competitive advantage.

Strategic working capital management in Polish SMES: Navigating risk and reward for enhanced financial performance

This study examines the impact of operating capital management (WCM) strategies on the monetary execution of small and medium-sized enterprises (SMEs) in Poland, with a particular focus on finding the correct equalization between liquidity and benefit. The review utilizes relapse investigation to survey the effect of forceful and conservative (WCM) techniques on the benefit and fluidity of 4,891 Polish SMEs from 2012 to 2021, as measured by an informational index of budgetary and operational information. The results demonstrate a noteworthy connection between WCM improvements and budgetary results. However, aggressive actions do not just mean higher earnings; they also involve heavier financial risks. On the other hand, cautious methods are linked with stronger financial stability but may lead to lower profit. According to the survey, when cash conversion cycle (CCC) days fall by 1%, return on total assets (ROA) can increase by approximately 1:0 percentage points. This demonstrates again that WCM is very important in improving company profits. These findings have implications for academics, practitioners, and government officials.

Exploring Environmental Regulation Instruments and Their Impact on Eco-Innovation Practices Among SMEs: The Mediating Role of Environmental Orientation

Despite a vast body of eco-innovation literature investigating the assumption that environmental regulations encourage the implementation of eco-innovative practices, previous research on eco-innovation and environmental regulations has yielded inconsistent findings. By considering the heterogeneity of environmental regulation and eco-innovations, this study sheds light on how different environmental regulation instruments can facilitate and enhance eco-innovation practices, along with the role of environmental orientation in mediating the relationships. The study surveyed 188 managers and owners and utilised the partial least squares-structural equation model as the analytical method. Results showed that environmental regulatory mechanisms have no direct impact on eco-innovation. However, the study has found that environmentally oriented SMEs respond to strict environmental policies and regulations by undertaking eco-innovation practices. Furthermore, market-based instruments provide firms with strong environmental orientation and economic incentives to foster eco-process innovations. The study offers practical insights for policymakers and SME managers, in addition to advancing the knowledge base.

DO EDUCATION AND OTHER RELATED DETERMINANTS MATTER TO BUSINESS PERFORMANCE? EVALUATION OF KOSOVO THROUGH A MULTINOMINAL REGRESSION APPROACH

The overall aim of this paper is to empirically evaluate the perception of SME managers or owners on business performance (BP) during the year 2023, compared to 2022. The research has determined the dependent variable – the evaluation of BP – while education (EDU), drafted business plan (DBP), experience in the field in which the business operates (EXP), managerial ability (YMS), new product development (NPD), and inadequate skill level of employment skills (ILES) are defined as independent variables. The sample during the realization of this research consists of 336 questionnaires. The data for the inquiry were collected between March and April 2023. Multinominal regression was applied as the econometric approach, and it was also used in some of the important tests for the model’s determination. The discoveries of this study reveal that education, experience in the field in which the business operates, and managerial skills have a statistically significant influence while other variables exhibit an insignificant influence on BP. With a view towards contribution and originality, our research differs essentially from earlier studies, both in the selection of variables and in the applied approach. Therefore, productive discussions will result between scholars, academics, and policy-making bodies.

Leaders and Managers Key Characteristics and Open Innovation Adoption in SMEs: Systematic Review and Future Directions

Existing literature provides limited insights into the role of individual actors and the human side of Open Innovation (OI) adoption in SMEs. Additionally, there is a lack of studies that systematically consolidate and analyze the publications addressing this specific topic. This research aims to fill this gap by pursuing three main objectives: firstly, to review the influence of SME leaders and manager's characteristics on the adoption of OI; secondly, to identify the characteristics of leaders and managers of SMEs and their leadership styles when adopting OI; and lastly, to explain their role in promoting OI. A total of 43 peer-reviewed articles published in reputable scientific journals from 2003 to 2022 were examined. This study classifies manager's characteristics that contribute to the effective implementation of OI within SMEs into three categories: demographic characteristics, personal characteristics, and managerial characteristics. This review contributes to prior research by outlining a leader and manager profile that leads to the successful implementation of OI in SMEs. The article concludes with theoretical and practical contributions and suggestions for potential directions for future research.

The relationship between sustainable HRM practices and employees’ attraction: the influence of SME managers’ values and intentions

PurposeIn many parts of the world, labor shortages are likely to affect the activities of SMEs. Consequently, SMEs needs to adopt attractive HRM practices. This study analyzes the impact of one type of sustainable HRM (SD-HRM) on employees’ attraction and retention factors such as employees’ motivation, the quality of image and customer satisfaction in SMEs context. It also looks at the impact of SME managers’ value-intentions, calculative (egoist-strategic) and non-calculative (altruist-institutional) on this relationship.Design/methodology/approachDrawing on part of a survey of 409 Quebec SME managers’ commitment to sustainability, a mediation model is used to consider the impact of the manager’s values-intentions on potential workforce attraction and retention factors.FindingsThe results show that the implementation of SD-HRM practices has a positive impact on the outcomes considered, as it was expected, but show the counterintuitive results that it is altruistic values (non-calculative), rather than egoistic values, that helps to maximize the desired effects.Practical implicationsSME managers could adopt SRHRM practices to attract and retain employees. To maximize positive impacts, they might strategically integrate this approach while remaining authentic to their altruistic values. Purely institutional intentions are insufficient. By being both personally committed and strategic, managers can improve both employee well-being and organizational performance.Originality/valueThe original aspect of this research is the integration of expectations of spin-offs (positive or neutral) in relation to SD-HRM, based on the values and intentions of SME managers. This allows to recognize the multiple profiles, justifications and objectives of SMEs, which do not form a monolithic whole and need to be understood and supported by considering their differences.

Perceptions and Attitudes of SMEs and MNCs Managers Regarding CSR Implementation: Insights from Companies Operating in the Retail Sector

To establish a responsible business environment, it is important to analyze the way corporate social responsibility (CSR) is implemented within the business world. In this respect, managers play a crucial role in designing and applying the CSR concept and practices. Therefore, this paper aims to identify and analyze the perceptions and attitudes of medium-sized enterprises (SMEs) and multinational companies (MNCs) managers in the Romanian retail sector related to CSR implementation. A documentary research approach and a qualitative research methodology through the use of four focus groups were utilized to fulfill the above-mentioned purpose. Additionally, the authors employed content analysis and Nvivo 14 software to process the collected data. The findings indicate that the size of firms represents a key element of managers’ perceptions and attitudes regarding CSR. Particularly, SME managers have a lower level of familiarity with the concept and the potential advantages for business compared to MNC managers. Furthermore, when it comes to CSR practices, MNCs use a comprehensive approach to meeting the demands of their stakeholders, whereas SMEs prioritize the requirements of their employees. One major obstacle in implementing the CSR concept continues to be the high expenses involved in the businesses.

Capital humano y grado de internacionalización. Un estudio empírico sobre empresas costarricenses

This study examines the influence of managers’ international orientation, international experience, and export risk perception on the degree of internationalization achieved by their SMEs. Based on the existing literature and previous research in the field of International Entrepreneurship, a research model was developed and empirically tested using structural equation modeling techniques on a sample of 132 SME managers. The main results indicate that the international experience of managers has only an indirect effect on the degree of internationalization. Managers’ risk perception regarding exports seems to be a key factor explaining the variation in the degree of internationalization of SMEs

Navigating Oman’s Digital Landscape: The Impact of Demographics on SME Marketing

Purpose of the study: This study aims to investigate the influence of demographic factors such as the Employment sector, Education, and Designation on Digital Content Marketing dimensions such as Brand awareness (BA), Customer Engagement (CE), Customer Retention (CR), and Customer Information (CI) from Oman's leading SMEs. Methodology: This study used a deductive research approach to test hypotheses. A survey of 155 Omani SME managers in middle and senior roles was conducted. Demographic variables were analyzed using one-way ANOVA statistical analysis to compare their influence on the research findings. Main Findings: This study found significant influence of content marketing on the Hospitality, Technology, and Service sectors, which use websites, blogs, and social media. In contrast, Engineering, Real Estate, Education, and SME managers focus more on customer engagement and retention. Education level also impacts brand awareness, customer retention, and engagement. Applications of the study: The results of this study will help SMEs and businesses target audiences more effectively, create content that appeals to their interests, select the best distribution channels, and optimize their marketing spending. This study advances knowledge of efficient marketing strategies in Oman's developing digital environment. Novelty of the study: The study provides a fresh perspective on how geographical and demographic variables influence digital content marketing strategies of SMEs in Oman, presenting original empirical data from this understudied region and sector.

A Time-Lag Study of the Effect of Organisational Capital on Innovation in Australia SMEs

This study explores the strategic links between organisational capital and innovation performance in Australian SMEs. This study classified organisational capital as information technology as per hardware and software; and equipment or machinery that was applied in the firm. A sample involving SME from various industries was adapted from the Business Longitudinal Database (BLD) from the Australian Bureau of Statistics (ABS). The analyses validate that information technology capabilities is essential for achieving innovation performance. However the relationship decline over time for different type of innovation. Thus, SME managers should be carefully in investing in appropriate information technology in order to facilitate innovation in their firm.
 Key Words: SMEs, Organisational capital, Innovation, Australia

Supplier Relationship Management Practices and Firm Performance: Evidence from Small and Medium Enterprises in India

Purpose: The aim of the study was to analyze the supplier relationship management practices and firm performance: evidence from small and medium enterprises in India. Methodology: This study adopted a desk methodology. A desk study research design is commonly known as secondary data collection. This is basically collecting data from existing resources preferably because of its low cost advantage as compared to a field research. Our current study looked into already published studies and reports as the data was easily accessed through online journals and libraries. Findings: The study on Supplier Relationship Management (SRM) in Indian SMEs reveals a positive link between effective SRM practices and firm performance. It highlights benefits such as improved operational efficiency, cost reduction, and enhanced product quality. However, challenges like resource constraints hinder widespread adoption. Overall, prioritizing strong supplier relationships can boost SME competitiveness in India. Unique Contribution to Theory, Practice and Policy: Transaction cost economics (TCE), resource dependency theory (RDT) & social exchange theory (SET) may be used to anchor future studies on analyze the supplier relationship management practices and firm performance: evidence from small and medium enterprises in India. SMEs could also benefit from capacity-building initiatives aimed at enhancing their negotiation skills, contract management capabilities, and technological adoption to facilitate efficient SRM processes. Policymakers can leverage research findings to design supportive policies aimed at strengthening the SME ecosystem in India.

Leadership and Knowledge Management in SMEs: Organizational Culture as Moderation

Knowledge management is important for small and medium-sized businesses to maintain their competitive position and drive innovation. The main obstacles that hinder the spread of knowledge management practices in SMEs include cultural aspects, leadership, and limited managerial capacity related to technology and knowledge gaps. Therefore, this study analyzed the effect of transformational and transactional leadership on knowledge management in SMEs and the moderating of organizational culture. This research was collected using a questionnaire. The sample of this study was leaders of Small and Medium Industries in Mojowarno District, Jombang, East Java, Indonesia with 62 respondents. The analytical method used a moderation test using the SmartPLS 3 program. The results of the study revealed that transformational leadership had a significant effect on knowledge management while transactional leadership did not have a significant impact on knowledge management; team culture strengthened the influence of transformational and transactional leadership on knowledge management, and there was no moderating role of adhocracy culture and market culture. These findings show that transformational leadership plays a major role in the application of knowledge management in SMEs. However, transformational and transactional leadership collaboration has a major impact on the successful implementation of knowledge management. Clan culture contributes greatly to strengthening the leadership role of knowledge management.

SMEs, Sustainability, and Capital Budgeting

This applied analysis addresses issues and concepts of capital budgeting for sustainability-related projects by SMEs. It reviews literature on SME characteristics, sustainability for SMEs, and capital budgeting for investments in sustainability-related projects. A discussion of the implications of capital budgeting for sustainability-related projects by SME managers, policy makers, and future research is included.

Productivity and economic growth of manufacturing SMEs in an Ecuadorian locality

Background: This study examines the relationship between competitiveness, external growth, productivity, and communication in manufacturing SMEs in a Ecuadorian locality from the perspective of entrepreneurs. Methods: Quantitative methods and a Likert scale were employed, for which an instrument was generated, whose reliability was determined by surveys to collect data on the perceptions and opinions of SME owners and managers. Results: The results revealed an interdependence between competitiveness and SME consumption, as well as a crucial relationship between external growth and the GDP of these companies. Additionally, an essential connection was found between improving productivity and effective communication in SMEs. Conclusions: Consequently, the importance of SMEs focusing their efforts on improving competitiveness, considering internationalization strategies, and recognizing communication as a key component for their business success is highlighted. This study provides a comprehensive insight into the challenges and opportunities facing manufacturing SMEs, offering a solid foundation for future research and actions aimed at promoting their development and economic growth.