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Article
Publication date: 30 April 2021

The Nguyen Huynh

The aim of this article is to investigate the determinants of the performance of small and medium-sized enterprises in emerging markets: evidence from Vietnam.

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Abstract

Purpose

The aim of this article is to investigate the determinants of the performance of small and medium-sized enterprises in emerging markets: evidence from Vietnam.

Design/methodology/approach

This article relies on the resource-based view to examine the factors affecting the performance of small and medium-sized enterprises in emerging markets. The method employed in the research is the generalized method of moments for testing hypotheses of data collected from the General Statistics Office of Vietnam in the period of 2013–2016.

Findings

The results show that factors such as the intensity of capital investment, age and size of the firm, labor productivity, foreign ownership, location, cost management effectiveness and export activities have a positive effect on the performance of Vietnamese small and medium-sized enterprises, while revenue growth rate, fixed assets and financial leverage tend to hinder their performance. This has brought important messages that the input markets and the business environment in emerging markets like Vietnam have not yet stimulated well-economic activities.

Originality/value

This study sheds light on a topic that has not been fully explored in small and medium-sized enterprises in emerging markets in general, and Vietnam in particular. Specifically, small and medium-sized enterprises in emerging markets reconfigure available resources and strengthen internal capabilities to overcome barriers of the shortages of strategic, rare and irreplaceable resources in order to improve their performance. This is a unique contribution to the existing literature and highlights the original value of this article.

Details

International Journal of Productivity and Performance Management, vol. 71 no. 8
Type: Research Article
ISSN: 1741-0401

Keywords

Article
Publication date: 28 February 2023

Zorica Aničić

The prevailing view in the existing literature is that open innovations (OI) increase the innovative performance of enterprises. The author examines whether the same OI practices…

Abstract

Purpose

The prevailing view in the existing literature is that open innovations (OI) increase the innovative performance of enterprises. The author examines whether the same OI practices are equally important for sole entrepreneurs, micro firms, small firms, medium-sized and large enterprises in introducing radical innovations and which set of OI practices is best for a firm, given the firm's size.

Design/methodology/approach

In this study probit models were used on a sample of 915 innovative Serbian enterprises.

Findings

OI is important for all enterprises introducing radical innovations. However, not all OI practices are equally effective in each enterprise size group. The set of OI practices leading to radical innovations depends on the firm size. Cooperation with others is not important for sole entrepreneurs and micro and large companies in introducing radical innovations. Still, cooperation's role is predominant in small and medium-sized enterprises. Also, certain OI practices are important for all enterprises, whilst others do not contribute to radical innovations, regardless of the firm size.

Practical implications

Owners/managers can save considerably by avoiding the allocation of resources to OI practices that result in little to no contribution to radical product commercialisation. At the macroeconomic level, these findings can help policymakers create adequate (tailor-made) public policies to achieve innovation in each specific group of firms.

Originality/value

This study demonstrates that not all OI practices are equally important for achieving radical production solutions in each group of enterprises.

Details

European Journal of Innovation Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1460-1060

Keywords

Article
Publication date: 15 February 2024

Nurin Athilah Masron, Suhaiza Ismail and Zaini Zainol

The objectives of this study are twofold. Firstly, this study aims to examine the challenges of green public procurement (GPP) involvement among small- and medium-sized enterprises

Abstract

Purpose

The objectives of this study are twofold. Firstly, this study aims to examine the challenges of green public procurement (GPP) involvement among small- and medium-sized enterprises (SMEs) government suppliers. Secondly, it investigates the differences in the perceived challenges between the small- and medium-sized groups of companies.

Design/methodology/approach

The study draws on the quantitative method. The questionnaire was distributed to SMEs that supply green goods or services to the government and which are listed in the MyHijau directory. Using convenience sampling, a total of 394 questionnaires were distributed and 126 usable questionnaires were received, representing a response rate of 31.98%. A descriptive analysis of the mean score, standard deviation and mean score ranking was used to analyse the overall results. The t-test analysis was carried out to examine the differences between the small- and medium-sized groups of companies.

Findings

All five categories of the barriers, i.e. financial, legal, people, knowledge and organizational challenges, are perceived as the important challenges for SMEs’ involvement in GPP. Of the five categories, “having lack of knowledgeable staff on GPP” under the category of “people” challenge is ranked as the most major barrier. In relation to the differences between the two groups of enterprises (small- and medium-sized), medium enterprises are more affected by two items under the “organization” challenge, i.e. “The company has not targeted suppliers that promote environmentally-friendly products/services” and “The company has not established a clear objective on purchase of green products and services”, as compared to the small-sized enterprises through their GPP involvement.

Social implications

By understanding the difficulties faced by SMEs in engaging with GPP, various practical measures can be formulated to support the SME businesses in mitigating the challenges faced for their involvement with GPP, which subsequently will lead to the country’s target to reach the sustainable development goals.

Originality/value

This study extends empirical evidence on barriers or challenges that may hinder the involvement in government green procurement, with a specific focus on SME government suppliers.

Details

Journal of Public Procurement, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1535-0118

Keywords

Article
Publication date: 1 March 2014

Caroline Nicholas and Michael Fruhmann

This paper will consider the rationale and effectiveness of SMEsupport policies in the award of public procurement (PP) contracts. One group of economic justifications for SME…

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Abstract

This paper will consider the rationale and effectiveness of SMEsupport policies in the award of public procurement (PP) contracts. One group of economic justifications for SME policies derives from the notion that awarding PP contracts to SMEs (and micro-enterprises) encourages innovation, entrepreneurship and so contributes to job creation, economic growth and can support local and regional developments to the benefit of wider society. The link between SMEs, innovation and economic growth has often been assumed in PP policy-making. While some studies show higher growth rates in small than larger firms, others indicate, to the contrary, that many micro and small enterprises, and particularly informal businesses, are not actively seeking to grow. This paper will assess how effective SME policies may be, and questions the extent to which they are properly evaluated.

Details

Journal of Public Procurement, vol. 14 no. 3
Type: Research Article
ISSN: 1535-0118

Article
Publication date: 27 April 2010

Suzanne Richbell, László Szerb and Zsuzsanna Vitai

This paper aims to provide an original picture of a selection of human resource management (HRM) activities in the micro, small and medium sized enterprises (SMEs) in Hungary and…

3090

Abstract

Purpose

This paper aims to provide an original picture of a selection of human resource management (HRM) activities in the micro, small and medium sized enterprises (SMEs) in Hungary and to explore the extent to which these activities can be related to variations in firm size and variations in firm performance.

Design/methodology/approach

The study measures the presence or absence of a selection of HRM activities through a questionnaire survey of a large sample of 678 Hungarian SMEs.

Findings

Hungarian SMEs, in their working relationships, are closer to the “happy family” model of the SME than the “bleak house” model. Employee morale was perceived as high and only one in ten SMEs felt their employees were opposed to change. Owners were reluctant to seek advice from those outside the firm. They also showed reluctance to discuss future plans with their employees although they did tend to consult employees who would be affected directly by any change. Communication within SMEs was predominantly informal. Surprisingly, given the skills shortages highlighted by SMEs in other economies, very few of the Hungarian SMEs identified skills shortages as a problem and formal training programmes were reported only rarely. Variations between micro, small and medium sized firms are highlighted to emphasize the heterogeneous nature of the Hungarian SME sector.

Research limitations/implications

The HRM activities considered provide a picture of only a small number of HRM activities in Hungarian SMEs but the findings imply the relationships examined here are deserving of further exploration both in Hungary and other transition economies.

Originality/value

The paper provides a detailed picture of selected aspects of HRM in smaller businesses within a transition economy.

Details

Employee Relations, vol. 32 no. 3
Type: Research Article
ISSN: 0142-5455

Keywords

Book part
Publication date: 19 February 2021

Oluwasola Oni

In many developing and developed countries, small/medium-sized enterprises (SMEs) are a very important part of the economy and are commonly referred to as the lifeblood of the…

Abstract

In many developing and developed countries, small/medium-sized enterprises (SMEs) are a very important part of the economy and are commonly referred to as the lifeblood of the economy. SMEs in Nigeria have contributed around 48% of the national gross domestic product (GDP) in recent times and account for about 17.4 million jobs. Considering how much they contribute to national economies, it is expedient to seek ways in which they can derive value from innovative technologies to further strengthen their position. Web 2.0 technologies and associated social media applications such as social network sites, microblogging, weblogs and similar technologies are known to improve communication and collaboration among employees and customers. SMEs typically have a small budget for branding, advertising and corporate communication. Consequently, social media provides a ready and inexpensive tool that can be used to communicate with customers and for internal communication and collaboration. Several studies in the area of diffusion of innovations to SMEs argue that they do not usually use adopted technologies to its full potential and as such do not add as much value to the business. Extant research on corporate communication using social media focuses on large organizations’ adoption and use of the technology with little focus on SMEs. This contribution aims to fill this gap by considering how SMEs in Nigeria adopt and use social media to improve corporate communication.

Details

Strategic Corporate Communication in the Digital Age
Type: Book
ISBN: 978-1-80071-264-5

Keywords

Article
Publication date: 1 March 2000

Éva Sándor‐Kriszt

The basis of international comparative analysis is the harmonisation of the different conceptual systems of the discipline under investigation in various countries. The enterprises

Abstract

The basis of international comparative analysis is the harmonisation of the different conceptual systems of the discipline under investigation in various countries. The enterprises, which are the spring of the economy, can be grouped in different ways in the different countries. The goal of this paper is to compare the Hungarian practice with that of the European Union (EU), the European OECD countries and the USA. Following a short overview of the terminology, this paper seeks an answer to the question of how Hungary became – in less than a decade – a country of small enterprises. Phenomena such as the breaking up of huge companies or dismantling into small and mediumsize enterprises and the increasing number of newly founded smallsize businesses sooner or later lead to changes in the policies of these enterprises and thus contribute to the development of a functioning market economy. The map of the Hungarian economy had changed significantly by the end of the 1990s. A radical shift in the size and types of companies was brought about by market economy forces, which led to a transformation. As a result, the process of accession to the EU was begun. In the preliminary and preparatory stages, the opportunities for small and mediumsize enterprises (SMEs) must be enhanced, as presently the economic significance of SMEs in Hungary is smaller than their strategic importance. All these objectives are supported by concrete and long‐term governmental strategies and measures.

Details

Journal of Small Business and Enterprise Development, vol. 7 no. 1
Type: Research Article
ISSN: 1462-6004

Keywords

Article
Publication date: 1 April 2004

Harald Pechlaner, Frieda Raich, Anita Zehrer and Mike Peters

Globalization and internationalization tendencies imply new challenges for small and mediumsized enterprises (SMEs), which are either facing the pressure to achieve short‐term…

Abstract

Globalization and internationalization tendencies imply new challenges for small and mediumsized enterprises (SMEs), which are either facing the pressure to achieve short‐term profits, or have to attract new market segments by means of long‐term strategies. This trend raises the question of growth perspectives of SMEs and their future development. The paper gives an insight into selected growth theories, entrepreneurship and SMEs, firm competencies, core competencies and the wellbeing of entrepreneurs as a growth indicator. The majority of SMEs are run by the family and characterized by low growth rates or even stagnation, and relatively low market entry and qualification barriers. An exploratory study was carried out among 3‐ and 4‐star hotels in South Tyrol (Italy) in 2004 for a better understanding of the driving forces, growth barriers, entrepreneur's satisfaction, and prerequisites and incentives of growth.

Details

Tourism Review, vol. 59 no. 4
Type: Research Article
ISSN: 1660-5373

Keywords

Article
Publication date: 1 June 2006

John Goodwin and Kamran Ahmed

This study seeks to examine the impact of Australian equivalents to international financial reporting standards (A‐IFRS) on the accounts of small‐, medium‐ and large‐sized firms.

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Abstract

Purpose

This study seeks to examine the impact of Australian equivalents to international financial reporting standards (A‐IFRS) on the accounts of small‐, medium‐ and large‐sized firms.

Design/methodology/approach

For 135 listed Australian entities, the half‐yearly accounts ended 30 June 2005 are examined to identify the effects of A‐IFRS. Data are gathered on the change in major balance sheet and income statement elements, the major reconciling items and earnings variability.

Findings

Findings show that more than half of small firms have no change in net income or equity from A‐IFRS, and that there is an increase in the number of adjustments to net income and equity with firm size. The study also finds that A‐IFRS has increased net income for small‐ and mediumsized firms. Equity has increased (decreased) under A‐IFRS for small (large) firms. Small firms experience higher earnings variability than mediumsized or large firms under A‐IFRS.

Research limitations/implications

The sample is limited to 31 December reporting date firms and not all A‐IFRS must be complied with when firms restate their comparatives.

Practical implications

Analysts, auditors and other account users should be aware that the effects of A‐IFRS are correlated with firm size.

Originality/value

This is the first Australian empirical paper on the effects of A‐IFRS. It raises doubts about the contentions of some that A‐IFRS will have widespread adverse effects on firms' accounts.

Details

Managerial Auditing Journal, vol. 21 no. 5
Type: Research Article
ISSN: 0268-6902

Keywords

Article
Publication date: 13 February 2009

Wen‐Lung Shiau, Ping‐Yu Hsu and Jun‐Zhong Wang

The purpose of this paper is to contribute to the development of measures to assess the ERP adoption of small and mediumsized enterprises.

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Abstract

Purpose

The purpose of this paper is to contribute to the development of measures to assess the ERP adoption of small and mediumsized enterprises.

Design/methodology/approach

The paper follows Churchill's guideline for developing measures that have desirable reliability and validity. The pilot data are used to develop a proper measurement. The survey data, based on the 126 valid responses of 328 companies, are analysed by structural equation modelling (SEM) statistical methods.

Findings

The paper finds that the dimensions affecting ERP adoption show that characteristics of the CEO and perceived benefits possess positive effects on ERP adoption, while cost and technology have negative effects on ERP adoption. However, only “perceived benefits” is a significant dimension. It is surprising that the cost of the ERP system does not significantly affect ERP adoption.

Research limitations/implications

The paper shows that the sample size should be taken into consideration when generalising the findings, and extended data and measures are required for further in‐depth investigation in specific areas.

Practical implications

The paper points out that the managers of SMEs with limited resources can find many ways to get more resources from governments. Government managers should be more realistically set the goal of helping firms in a healthy condition to adopt e‐business instead of setting the goal of improving the e‐business readiness of all SMEs. To help all CEOs of SMEs to realise the potential benefits, governments can work with academic research groups to set up forums and workshops to broadcast knowledge.

Originality/value

The paper develops measurements to assess the ERP adoption of small and mediumsized enterprises. The results offer practical help for government managers to better understand ERP adoption with institutional help in Taiwan. Meanwhile, researchers interested in IT/IS can use the information provided here to guide their future enquiries.

Details

Journal of Enterprise Information Management, vol. 22 no. 1/2
Type: Research Article
ISSN: 1741-0398

Keywords

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