Small Knowledge-intensive Firms Research Articles

Knowledge-Intensive Business Services and Business Models: a Qualitative Comparative Analysis of Small Private Healthcare Providers

In recent years, companies operating in activities such as dentistry, optometry, physiotherapy, or veterinary have seen the demand for their services grow. Their customers do not require their services only for health reasons but also for aesthetics and welfare issues. As a result, these companies compete in expanding and profitable markets. However, this business context has been detected by many professional entrepreneurs who decided to run their activity in healthcare and set up a firm without the necessary assets and knowledge. To overcome these liabilities, some seek partners who provide them with the resources they do not have by entering into different alliances. In contrast, others choose to compete under an independent business model. This paper sheds light on the factors influencing the decisions about the implemented business model in small knowledge-intensive firms by examining the association between the perception of the institutional environment variables and the dotation of intangible resources. For that purpose, a qualitative comparative analysis (QCA) was performed. Due to government regulations in force in these sectors, and methodological reasons, the study sample consisted of 88 small Spanish firms (less than 15 employees). The data were collected by a questionnaire distributed in 2017. We find that the choice to remain self-governing or to enter into a partnership (e.g franchising) is heterogeneously motivated by the evaluations that entrepreneurs have about the role of institutions concerning their activities and how high they consider their intellectual capital compared to their main competitors. In terms of institutional capital, these entrepreneurs refuse to implement patient loyalty policies and strive to have high-quality human capital in terms of the training & experience of their professionals. Moreover, the results also showed that independent business models pay little attention to market influences and view a certain level of regulation favorably, suggesting vocational and conservative behavior

Small Knowledge-Intensive Firms’ Innovation and Performance: The Moderating Effects of Organizational Change

Small Knowledge-Intensive Firms’ Innovation and Performance: The Moderating Effects of Organizational Change

The Economic Role of Small Knowledge Intensive Firms in European Member States

The Europe 2020 Strategy considers the micro, small and medium-sized enterprises (SMEs) the backbone of European member states to achieve a smart, sustainable and inclusive economic growth. The present study has as purpose to investigate the relationship between a set of variables that characterises the small knowledge intensive firms (SKIFs) and gross domestic product (GDP) and the importance of their business expenditure on research and development (BERD). To achieve this purpose, 24 European member states were analysed during the period between 2008 and 2012 using the econometric analysis of panel data and cluster analysis. The obtained results allow to conclude that countries with high growth values on SKIFs also have growth in GDP and BERD, emphasising a direct relationship of SKIF with country macroeconomic variables.

The economic role of small knowledge intensive firms in European member states

The economic role of small knowledge intensive firms in European member states

The importance of small knowledge intensive firms in European countries

Smart, sustainable and inclusive growth is the basis for European 2020 strategy, in which small and medium enterprises (SMEs) are considered the backbone of European countries economies. The present study aims to investigate the relationship between the main variables that characterises small knowledge intensive firms (SKIFs) and the importance of their business expenditure on research and development (BERD). To achieve this, European member states were analysed during the period between 2008 and 2012 using a clusters analysis. Through this study it is possible to conclude that countries that have high growth values on SKIFs also achieve growth in GDP and BERD.

A Qualitative Study of Fulfilled Psychological Contracts in Two Small Knowledge Intensive Firms

This article aims to study situations of psychological contract fulfilment in which breach is conspicuous by its absence. By exploring fulfilled psychological contracts, we attempt to illuminate th...

The Role of Partnerships in the Internationalisation Process of Small Knowledge Intensive Firms (SKIFs)

There is important evidence that Small Knowledge Intensive Firms (SKIFs) have demonstrated some unique characteristics in their internationalisation process. The process takes place earlier in the life of the firm and develops due to the role played by partnerships. The paper analyzes three different SKIFs through a cross case study method. We build on different process based models that have studied the internationalisation process of international ventures. The findings show that the SKIFs internationalisation consists of a series of phases characterised by triggering factors. The paper sheds new light into which type of partnerships mostly matter in the growth of SKIFs.

Knowledge networks in innovation among small KIBS firms

Supporting the commercialisation processes in small knowledge-intensive firms has been a primary objective of both national and regional innovation policies. This study provides empirical evidence of the external collaboration during commercialisation processes based on a survey of 213 small knowledge-intensive business services (KIBS) firms. The findings show that these firms have used two types of network relationships for their innovation creation and commercialisation: Based on these classifications, policy implications and recommendations for both policy-makers and small KIBS managers are provided.

Organisational capabilities and internationalisation of the small and medium-sized information and communications technology firms

Especially in changing and unpredictable global environments where small knowledge-intensive information and communications technology (ICT) firms often operate, knowledge-based organisational capabilities are seen to contribute most to the performance. In this paper we explore the internationalisation process of small knowledge-intensive firms by studying the effects of a firm’s organisational capabilities on internationalisation and performance. We use a sample of 124 (of which 55 operate internationally) Finnish small and medium-sized firms. International experience is confirmed to be a significant determinant of internationalisation and international performance. In addition, financial capabilities prove to be a significant indicator of the degree of internationalisation: excellent investment expertise, connections with venture capitalists and good financial management are important capabilities for a small firm with high international growth aspirations.

Surfacing Tacit Sources of Success

Eliciting and transferring tacit knowledge is critical for the growth ambitions of small knowledge-intensive firms such as management consultancies because their work is often intangible and ambiguous. How this can be done presents a challenge as there are as yet no tools available to help them.This article explains how the use of causal mapping helped the partners of one consultancy firm to surface their tacit knowledge, to uncover what they should try to replicate within the organization to sustain their success, and to refine their raison d'être.Through the mapping process, which is interactive, non-directive, and generates ownership of the outcomes, the partners were encouraged to tap into their ambiguous, tacit knowledge base, which constitutes a large part of their consultancy's success.The article contributes to our understanding of small business management practice, tacit knowledge and consulting interventions.

Foreign network relationships and the internationalisation of small knowledge-intensive firms

This paper discusses the role of network relationships in the internationalisation of small knowledge-intensive firms (SKIFs) by specifically highlighting their foreign, spatially scattered network relationships, which can be a significant resource. Two issues are dealt with: how foreign network relationships are developed and the impact they have on the internationalisation of SKIFs. This paper focuses on the Indian software industry and cites the example of four case-firms in Bangalore. Three effects of foreign network relationships on the internationalisation of SKIFs, viz. opportunities, information and advice, are noted. Managerial implications include the importance of leveraging network relationships proactively, and with discernment.

Local Network Relationships and the Internationalization of Small Knowledge-Intensive Firms

This paper discusses the role of network relationships in the internationalization of small knowledge-intensive firms (SKIFs) by highlighting their local, spatially concentrated network relationships, which can serve as a significant local resource. Little is known in this regard with respect to a developing economy context. Primarily on the basis of a study of four case-firms in the Bangalore software industry and available secondary data, two issues are dealt with: (a) how local network relationships – such as those within clusters or industrial districts – are developed and (b) the impact that these relationships have on the internationalization of SKIFs, specifically in respect to enhancing international competitiveness. Three effects of local network relationships on the internationalization of SKIFs, viz., reputation-related, quality-related and networking benefits, are noted. However, it also emerged from follow-up interviews with local academic experts that these benefits may be passively rather than actively accrued, suggesting that some valuable local resources may be overlooked or wasted.

The internet and the internationalisation of small knowledge-intensive firms: promises, problems and prospects

Based on case studies, this paper presents some exploratory insights, supplemented by a preliminary quantitative study from a developing economy context (i.e., the software industry in Bangalore), concerning the role of the internet in the internationalisation of small knowledge-intensive firms. Three main points are made in this paper. First, the internet holds great promise in facilitating the internationalisation of small firms – especially those in peripheral regions like developing economies; the four Bangalore-based small case-firms shared this view. Second, internet technology notwithstanding, traditional aspects of business such as the importance of face-to-face interaction and the building of trust remain vital; here a potential facilitator for small firms to overcome this barrier comes in the form of internet-supported intermediaries. Third, ultimately the prospect that the internet holds for internationalising resource-poor firms is that of international growth; a preliminary study of 30 Bangalore-based small software firms suggests that this notion holds credence and is worthy of further study, on a larger scale. These findings have implications for future research, practice and policy making in terms of taking a holistic view of the use of internet technology and the leveraging of social capital.