Service Small And Medium Enterprises Research Articles

Integration of Technology and Marketing Activities Among Service SMEs in Emerging Economies

Service small and medium enterprises (SMEs) are typically SMEs that operate in the service industry. In emerging economies, service SMEs can benefit from integrating technology and marketing activities to compete globally and drive growth. Further, service SMEs can compete with larger businesses with technology-driven marketing. Technology can differentiate an SME and create a unique value proposition, attracting customers and setting it apart. Social media advertising and email campaigns are often more cost-effective than traditional marketing channels such as print and television. The authors included a total of 32 articles published between the years 2013 and 2023 for in-depth analysis to address the issue under investigation. Findings indicated several effective digital marketing strategies to integrate technology and marketing activities among service SMEs in emerging economies, such as personalized marketing options, direct customer engagement, 24/7 availability options, and brand-building capabilities.

Penerapan Prinsip 5S untuk Mengurangi Waste Motion dalam Proses Layanan Galon R-Water

This research aims to reduce waste in the R-Water Filling Service Small and Medium Enterprises (SMEs) by applying the principles of Lean Manufacturing, specifically 5S (Seiri, Seiton, Seiso, Seiketsu, Shitsuke). The main problem identified is the length of service time caused by waste, which often hinders the achievement of daily sales targets. Through the Lean Manufacturing approach, we mapped and identified waste through Value Stream Mapping and Process Activity Mapping. The results of Value Stream Mapping show that R-Water's service process lead time is 822.22 seconds. Waste identification revealed the existence of waste motion in filling gallons of water. Based on these findings, root cause analysis was conducted using the Lean Manufacturing 5 Whys approach. The improvement phase was based on the root cause and applied the 5S principles. This improvement's results significantly impacted, reducing the lead time to 750.2 seconds. This research makes an essential contribution to minimizing waste in the service process, which in turn improves operational efficiency and helps achieve set sales targets.

The Implications of Knowledge-Based HRM Practices on Open Innovations for SMEs in the Manufacturing Sector

Aim/Purpose: The main aim of this study was to investigate the impact of knowledge-based Human Resources Management (HRM) practices on inbound and outbound open innovation in Jordanian small and medium enterprises (SMEs). Background: SMEs in Jordan lack tangible resources. This insufficiency can be remedied by using knowledge as a resource. According to the Knowledge-Based View (KBV) theory, which posits knowledge as the most valuable resource, SMEs can achieve open innovation by implementing knowledge-based HRM practices that enhance the utilization of knowledge and yield competitiveness. Methodology: This study adopted the quantitative method employing descriptive and exploratory approaches. A total of 500 Jordanian manufacturing SMEs were selected from 2,310 manufacturing SMEs registered lists, according to the Jordan Social Security, by using random sampling. The study’s instrument was a questionnaire that was applied to these SMEs. There were 335 responses that were deemed useful for analysis after filtering out the replies with missing values; this corresponded to a response rate of 67%. The paper utilized structural equation modeling and cross-sectional design to test hypotheses in the proposed research model. Contribution: This study advocates the assumption of the role of KBV in improving innovation practices. This study contributes to the existing strategic HRM research by extending the understanding of knowledge-based HRM practices in the context of SMEs. Thus, this study contributes to the understanding of innovation management by demonstrating the role of knowledge-based HRM practices in boosting inbound and outbound OI practices, thereby enhancing innovation as an essential component of firm competitiveness. Findings: The findings revealed the positive impact of four knowledge-based HRM practices on inbound and outbound open innovation in Jordanian manufacturing SMEs. These practices were knowledge-based recruitment and selection, knowledge-based training and development, knowledge-based compensation and reward, as well as knowledge-based performance assessment. Recommendations for Practitioners: This study is expected to help the stakeholders of SMEs to re-shape the traditional HRM practices into knowledge-based practices which improve managerial skills, innovation practices, and the level of the firm’s competitiveness. Recommendation for Researchers: This study serves as a significant contribution to the research field of innovation practices by building a new association between knowledge-based HRM practices and inbound and outbound open innovation. Impact on Society: The study emphasizes the vital role of knowledge-based HRM practices in enhancing the knowledge and social skills of the human capital in SMEs in Jordan, thus improving the country’s social and economic development. Future Research: Future research could build on this study to include service SMEs. It could also employ a longitudinal study over the long run which would allow for a deeper analysis of the relationships of causality, offering a more comprehensive view of the effect of knowledge-based HRM on open innovation. Furthermore, future research could examine the sample of investigation before and after implementing the knowledge-based HRM practices to provide stronger evidence of their influence on inbound and outbound innovation.

Strategic orientations and firm performance: the role of information technology adoption capability

PurposeThis study aims to investigate the multiple entrepreneurial, technology and marketing orientations effects on education service firm performance (FP) and the mediating role of information technology (IT) adoption capability.Design/methodology/approachEmpirical research based on 535 education service small and medium enterprises (SMEs) in Indonesia and Singapore. Various validity and reliability tests were carried on before the actual analysis was conducted using structural equation modeling.FindingsThe results conclude that IT adoption capability is crucial for entrepreneurial and technology orientation (TO) to produce higher FP. This finding supports that IT capability is effective at helping firms implement their strategic orientations (SOs). In addition, market orientation (MO) influence on FP is more direct than other orientations under investigation.Practical implicationsThis study suggests that SOs, particularly entrepreneurial and technology, enable managers to improve FP via the development of IT adoption capability. The result shows that firms with multiple SOs would be able to respond to market challenges, utilize new technology and become more innovative, which eventually yields higher performance.Originality/valueThis study extends the understanding of multiple SOs influence on FP using the mechanism of IT adoption capability.

Determinants of Bank-Tunisian SMEs Funding in a Context of Information Asymmetry

This paper explores the determinants of access to finance for small and medium enterprises (SMEs) in the context of asymmetric information. Our sample consisted of 250 Tunisian SMEs financed by Arab International Bank of Tunisia, broken down by sector of activity, size and region. The results of multiple linear regressions showed that size, interest rate, trade credits and profitability have a significant influence on the total volume of credit. The bank considers the size of commercial and industrial SMEs, and those located in the District of Tunis and the Center-East, as a positive signal when considering a loan. The bank also considers high interest rates when considering loans to commercial SMEs, microenterprises and SMEs located in the District of Tunis. As far as innovation is concerned, the results showed that service SMEs, micro-enterprises and SMEs located in the District of Tunis and in the Center-East, find it difficult to get a credit. It is interesting to note that the bank neglects liquidity issues and the net worth of the SME in its financing decision, which contradicts the theoretical assumptions. Finally, we conclude that bank's financing of Tunisian SMEs is characterized by conditions dominated by the problem of asymmetric information.

Studying Service SME Adoption of Mobile Marketing Technology (MMT) via Technology-Organization-Environment Framework

While the acceptance and use of mobile marketing technology (MMT) is playing a significant roles in Small and Medium Enterprises (SMEs), few studies have explored how an appropriate framework for understanding the underlying factors that shape MMT adoption in Nigeria can be developed. This is because majority of practitioners in Nigeria often generalize and extend the findings from the developed economies as if there are no environmental differences. This paper attempts to propose a grounded theory approach for assessing factors within technology-organisation-environment (T-O-E) framework in attempt to explain and predict small service firms’ adoption of MMT. The data collection approach spans unstructured and semi-structured interviews with 26 respondents; and the proposed framework provides an organized way to explore MMT adoption, and a foundation for developing a model of MMT adoption in developing country.

Entrepreneurial Marketing and Social Networking in Small and Medium Service Enterprises: A Case Study into Business Dealings in Cameroon

ABSTRACT This paper investigates how owners/managers of service small and medium enterprises (SME) leverage on social networks to develop and implement successful marketing strategies. Adopting an entrepreneurial marketing perspective, in-depth interviews with owners/managers of SME in the city of Douala, Cameroon, are conducted and analyzed. We found that owners/managers of service SME use their social relationships to create and deliver customer value via market intelligence, access, and acquisition of new customers, and retention of current customers. Some specific mechanisms utilized include finding door openers to new customers, offering gifts to consolidate business and social bonds, and treating key customers like family members. Finally, the reliance on managerial relationships often can have adverse effects on some marketing activities.

Examining Mobile Marketing Technology Adoption from an Evolutionary Process Perspective: The Study of UK Service SMEs

This paper attempts to examine mobile marketing technology adoption research and practice in small and medium enterprises (SMEs) from an evolutionary and dynamic process perspective using the concept of dynamic capabilities (CDCs). This study adopted a qualitative method to explore how small services oriented SMEs regularly engage in mobile marketing technology adoption. Two stages of interviews (unstructured and semi-structured) were carried out with a total of 26 interviewees. The data collected from the interviews were analysed using a thematic approach to understand the evolutionary and dynamic nature of the mobile marketing technology adoption process, entities involved and how they interact. The findings revealed the reiterative and the evolutionary nature of mobile marketing technology adoption and the continuous interactions and negotiations of numerous entities in the process, underpinned by the concept of dynamic capabilities and validated by the empirical data. The study developed a framework depicting the process of mobile marketing technology adoption, significant activities and entities involved in the process. The study advances mobile marketing technology adoption research and practice by developing a framework that describes the interactive, dynamic and evolutionary nature of mobile marketing technology adoption, entities associated with the framework and their interactions in the process.

Strategic roles of actors in emerging information communication technology (EICT) adoption in SMEs

PurposeThe purpose of this paper is to examine how small and medium enterprises (SMEs) are involved in emerging information and communication technology (EICT) adoption by concentrating on the adoption process and the role played by various actors in the process. Information and communication technology (ICT) adoption research, especially in SMEs, has moved from a simple adopters’ participation process to involving diverse actors that continually interact and influence the process. SMEs need to constantly interact with various human and non-human actors to keep up with the EICT adoption. However, this has proved difficult.Design/methodology/approachThis study adopted a qualitative method to examine the dynamic process of EICT adoption in service SMEs in the UK, and deployed both unstructured and semi-structured interviews in two separate rounds with 26 participants drawn from Crunch Online Database and Luton Business Directory. The participants include managers, customers, government agencies, SMEs consultants and information technology (IT) vendors, with the help of purposeful random sampling.FindingsThe study develops a framework informed by actor network theory (ANT) concepts and found that using ANT to examine the process of adoption helps to unveil the recursive nature of the process and the roles of actors which vary from one stage to another. The finding reveals that adoption of EICT is not straightforward; rather, it is evolutionary and dynamic, and small business managers’ play an important role in the process amidst other actors influence. The framework supports businesses of all types. Although ICT applications are influenced by diverse actors including IT experts, customers and vendors, the decision of SME managers regularly shape the values and beliefs of other actors if adequate information are conveyed by the numerous actors. Therefore, adoption of EICT is embraced faster by organizations, especially small businesses, if diverse actors are committed in conveying the right information to the key actors, thereby helping them to make adequate decision, and streamline their business processes.Research limitations/implicationsThis study is limited by its focus and other factors. Studying the opinions of small service UK SMEs limits the power of generalizing the identified causal relationships; therefore, extended measures are required on accounts of environmental, cultural, geographical and sectorial differences. While some errors seemed unavoidable when measures appear subjective and prone to common error biases, the study advised on recognizing the overriding influence of the roles at each stage of the adoption process to be proactive in committing resources.Originality/valueThis work is of value to practitioners and academics, as it provides further insight into ICT adoption framework by showing how the diverse actors guarantee EICT adoption in small service(s) businesses. This is relevant given that SMEs have limited knowledge of new ICT and understanding diverse actors and their roles in the adoption process would enhance their knowledge of the analysts in the context of new technology adoption and to cope with EICT continually amidst of the roles of actors in the adoption process. The framework serves as an analytical instrument in explaining ICT adoption process and its outcomes characterized by conflicting views.

Innovative capability building and learning linkages in knowledge-intensive service SMEs in Brazil's mining industry

This study examines how small and medium enterprises (SMEs) that are knowledge-intensive service firms (hereafter “knowledge-intensive service SMEs”) accumulate innovative technological capabilities through learning linkages with large mining companies and other industry stakeholders in the Brazilian mining industry. Drawing on detailed, long-term, qualitative micro-level evidence gathered from extensive fieldwork, we use frameworks that identify the levels of innovative capabilities and the underlying learning linkages to examine three types of innovative capability-building paths pursued by knowledge-intensive service SMEs: (i) building innovative capability from basic up to world-leading levels, followed by diversification into novel technological activities; (ii) world-leading capability building since firm's inception’ (being born innovative), following a sustenance of such capabilities, with a potential for diversification; and (iii) the movement of building basic to intermediate innovative capabilities with a potential to accumulate further capability levels and expand the firms’ customer base. Such innovative capability-building processes are more a result of individual entrepreneur impetuses than that of deliberate corporate or government policies. Decision-makers could utilise these experiences as inputs to design policies to fill this void and facilitate the spread of knowledge-based linkages and innovative activities in the Brazilian mining industry. Otherwise, a persistent absence of such policies could lead to a rapid reinforcement of the development of enclave features in this industry.

An Empirical Study of Some Critical Adoption Factors of ERP Software

ABSTRACTThis article complements and/or extends inquiries on information systems (IS) adoption; it develops an eight-factor framework within the T-O-E taxonomy and empirically tests it to explain the adoption of the enterprise resource planning (ERP) software amongst small and medium enterprises (SMEs). Survey data were collected from executives of service SMEs in Nigeria. Purposive and snow ball sampling techniques were used and analysis involved partial least square (PLS). The T-O-E factors had a statistically significant effect on ERP adoption; factors within technology and organization had positive coefficients, and those within an environment had negative coefficients. On the average, unit increase(s) in the complexity of the pressures results in less likelihood to adopt ERP or vice versa. Thus, the observed T-O-E antecedent factors critically explain ERP adoption. Managers will make informed investment decisions on how integrated systems systematically improve competitive advantage.

Enhancing organizational performance of Malaysian SMEs

Purpose– The purpose of this paper is to examine organizational learning (OL) capability as a mediator of the relationship between human resource management (HRM) and performance of Malaysian small and medium enterprises (SMEs).Design/methodology/approach– A cross-sectional design was adopted, where data were collected from a sample of 286 manufacturing and service SMEs, utilizing a survey questionnaire. Hypotheses were tested using structural equation modeling.Findings– Results from a two-stage structural equation modeling analysis suggest that the use of human-capital enhancing HR practices strengthen SMEs’ learning capability. Furthermore, SMEs’ learning capability mediates the effect of the HR practices on firm performance.Research limitations/implications– It uses a cross-sectional design which has prevented the examination of cause and effect relationship between two constructs. It also did not include large organizations in the sample population. It also did not consider other SME contextual variables which may otherwise exert significant impact on OL capability, or moderate the relationship between the constructs under study.Practical implications– A profound understanding of HR practices’ holistic effect on performances would assist organizations to implement strategies to sustain competitive advantage. Company capabilities embedded in employee behavior are less likely to be inimitable and organizations could effectively nurture the needed employee capabilities to achieve the desired performance outcomes.Originality/value– The study advances knowledge on HRM among SMEs by proposing that decisions on selection of HR practices can be guided by the objective of developing the OL capability of the firm.

Determining the Importance of Competency and Person-Job Fit for the Job Performance of Service SMEs Employees in Malaysia

The small and medium enterprises (SMEs) have contributed to the economic growth and competitiveness of many countries. However, as the SMEs continue to grow as an important entity in many economies including Malaysia, many factors have dampened such progress. While previous studies had focused on its macro perspective in terms of firm level and industry level performance, this study attempted to address the basic issue of SMEs employees in terms of their job performance. This study is underpinned by the theory of job performance and further supported by the theory of congruence. The main objective of this research is to investigate on the relationship that may exist between three variables comprised of competency, person-job fit and the employees’ job performance in the context of service SMEs. Using a quantitative method, a sample of 324 responses was collected using a mail survey from 1500 distributed questionnaires. Results show significant relationships between competency, person-job fit and the job performance of employees. Conclusions and implications of the study were discussed.

Exploring management perspectives of branding in service SMEs

Purpose – Branding in small companies is an emergent aspect of the literature which to date has been explored from the perspective of customers but not SME management. Increasing understanding of management perceptions of branding is essential, given the impact of the entrepreneurial personality on SME branding, the need to create sustainable value, the emphasis of differentiation, and nurturing the generation of growth. This paper seeks to enhance the understanding of brands in service small and medium enterprises (SMEs) from a management perspective.Design/methodology/approach – A qualitative case study method was undertaken with five SMEs in Ireland over a period of 18 months to understand the context specific implementation of branding from the perspective of the owner/manager. The research approach utilized in‐depth interviews, historical data, and observation with diverse service SMEs to facilitate the theory building necessary for this study.Findings – The findings demonstrate that from a managemen...

Internet‐based ICT adoption among SMEs

PurposeThe purpose of this paper is to investigate the demographic characteristics of small and medium enterprises (SMEs) with regards to their patterns of internet‐based information and communications technology (ICT) adoption, taking into account the dimensions of ICT benefits, barriers, and subsequently adoption intention.Design/methodology/approachA questionnaire‐based survey is used to collect data from 406 managers or owners of SMEs in Malaysia.FindingsThe results reveal that the SMEs would adopt internet‐based ICT regardless of years of business start‐up and internet experience. Some significant differences are spotted between manufacturing and service SMEs in terms of their demographic characteristics and internet‐based ICT benefits, barriers, and adoption intention. Both the industry types express intention to adopt internet‐based ICT, with the service‐based SMEs demonstrating greater intention.Research limitations/implicationsThe paper focuses only on the SMEs in the southern region of Malaysia.Practical implicationsThe findings offer valuable insights to the SMEs – in particular promoting internet‐based ICT adoption for future business success.Originality/valueThis paper is perhaps one of the first to comprehensively investigate the relationship between demographic characteristics of SMEs and the various variables affecting their internet‐based ICT adoption intention.

E-commerce Adoption in China’s Service SMEs: a Study from Web Usability Perspective

Although China’s economy continues to grow rapidly over the last decade, some researchers have been aware that China has had to develop its service sector if China wants to sustain this growth. However, researches on the electronic commerce (e-commerce) adoption in China’s service industries are still lacking and are limited so far. In literature review, few works discuss e-commerce adoption by measuring web site usability / web usability.This paper reviews the research on China’s small and medium enterprises (SMEs), and highlights the challenges for developing and adopting e-commerce in China’s service SMEs. This research surveyed 494 of China’s service SME websites, and found that (1) most of China’s service SMEs are still at the early stage of adopting e-commerce; (2) there is an obvious e-commerce divide between Eastern China and Western China; (3) there is an existing positive relation between GDP per person and e-commerce adoption. This paper suggests that there is a need to select more sampling cities and make further research for justifying the above findings. Finally, this research concludes that web usability is the core of e-commerce adoption, and recommends the promotion of web usability as an effective strategy in further strategic development for China’s service SMEs adopting e-commerce. This research believes that China’s service sector adopting e-commerce might promote them up to the global level and stay competitive, which might further benefit the growth of China’s economy immensely.