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The purpose of this paper is to analyse if capital structure decisions of small- and medium-sized Portuguese firms are in accordance with the predictions of dynamic trade-off theory, more precisely, the speed of adjustment of short-term debt (STD) and long-term debt (LTD) towards the respective target debt ratios.

Based on two samples of Portuguese firms, 1,377 small-sized firms and 811 medium-sized firms, dynamic estimators were used for the treatment of data obtained from the Amadeus database for the period 2007-2011.

The results indicate that small- and medium-sized firms adjust their STD and LTD ratios towards the respective target ratios. Small- and medium-sized firms present a high-speed adjustment towards the target STD ratio, suggesting that both types of firm face costs of deviating from the target capital structure, which are, probably, greater than the costs of adjustment associated with STD. However, considering the distance from the target ratio as a determinant of the adjustment speed, the results show the predominance of the negative effect of the costs of adjustment on capital structure adjustment speeds.

The results obtained for the speed of adjustment of STD and LTD, in a recession context, show that for small firms and medium-sized firms, mainly for the former, the costs of external market transactions are prohibitively high, slowing the speed of adjustment towards the target capital structure.

The purpose of this paper is to investigate how a learning organisation can be created within the framework of the family SME in Ireland.

No comprehensive list of independent family businesses in Ireland was available. To overcome this problem a pragmatic approach was taken in the construction of a sampling frame for this research. Primary data from a stratified random sample of independent unquoted businesses were collected. Data were collected from 121 family SMEs using a postal questionnaire.

The results indicate that micro, small and medium‐sized family firms display some of the characteristics of a learning organisation, but not all of them. Therefore, with strategic review, systems development and cultural change within family SMEs in Ireland, they have the potential to be learning organisations.

This study used a single‐respondent, self‐administered questionnaire. Future research should incorporate analysing other members of the family business – family and non‐family members – so as to get a “wider” understanding of the family SME.

A major contribution of this research is the identification of an existing and suitable theoretical background that can be applied to the study of the family SME, thereby providing a frame‐of‐reference for the analysis of family SMEs as learning organisations.

This paper presents original findings in a highly relevant, but under‐researched field – the family SME as a learning organisation.

There are two purposes of this paper: first, to analyze the effect of size and other organizational factors (IT knowledge, IT external support and the level of employees' education) on the use of e‐business; and second, to identify similarities and differences among these factors in micro, small, medium‐sized and large enterprises.

The proposed model is empirically tested using data from the Sectorial e‐Business W@tch survey. A logit estimation for the whole sample and for each type of firm size has been implemented on the use of e‐business.

The study finds positive and significant effects of all the organizational factors on the intensity of e‐business use. When analyzing the effect of size, it was found that medium‐sized and large firms are more likely to use e‐business more intensively. Although medium‐sized and large firms are similar, some differences have been found between small and medium‐sized firms. Only small firms use IT outsourcing as a key factor to use e‐business.

This study is based on a cross‐sectional data set. Longitudinal research would be needed for comparing results over time. Future studies could focus on the use of each type of e‐business technology, instead of a global measure of e‐business use. Future research could also analyze the differences of e‐business adoption rates among countries.

The paper concludes that small and micro firms are less likely to conduct e‐business than medium‐sized and large firms. An important influence on the use of e‐business is workforce education, implying that training could substitute hiring IT employees. Outsourcing IT activities is a suitable strategy only for small firms.

The paper contributes to the literature on e‐business with new evidence of the importance of size and human capital. Additionally, an analysis for each firm size has been done, which allows comparison of results.

The purpose of this paper is to examine the impact of related diversification across service offerings and industry domains for professional service firms (PSFs) in emerging economies by integrating the reputational and economies of scope perspectives of diversification. The paper also provides insights into how related diversification impacts small and medium sized firms differently.

Using unique data from the Indian Information Technology industry, the authors examine the impact of related diversification along service offerings and industry domains on export performance of firms.

The results show that related diversification across specializations and industry domains impact performance differently across different firm sizes. While the authors find that related diversification across service offerings has an inverted U shape with performance for the medium sized firms, they do not impact performance for small sized firms. Performance of small firms has a U shaped relationship with relatedness in industry domains. The study shows that reputation transfer across industry domains play a significant role in the performance of small size firms whereas the ability to realize economies of scope by cross selling multiple services across clients do matter for performance of medium sized firms.

Managers of small PSFs need to expand along related industry domains whereas managers from medium sized firms can experiment across service offerings to exploit economies of scope.

The study contributes to hitherto unexamined research on related diversification in PSFs. The study is one of the few studies to examine relatedness along more than one dimension in an intra-industry context.

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.

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

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.

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.

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

This paper aims to examine the role of Blockchain in the accounting and auditing literature and profession. Specifically, the paper investigates auditors' perceptions about the role of blockchain in accounting and auditing and the perceived potential benefits and challenges of blockchain-based accounting systems in Egypt. Moreover, what are the capabilities required for successfully implementing blockchain-based accounting systems?

A mixed-method approach was adopted to achieve the research objectives. The qualitative study included 11 in-depth interviews with external auditors, and the results of the interviews and the literature review helped develop a survey collected from 58 auditors.

The findings revealed low-to-moderate awareness of Blockchain-based accounting systems. Also, there were significant differences between auditors from large audit firms and small-and-medium audit firms regarding the benefits and challenges associated with Blockchain-based accounting systems.

The results provide valuable insights for practitioners, researchers and policymakers.

Understanding blockchain-based accounting systems and the benefits and challenges associated with their application is crucial for developing effective strategies and frameworks to overcome barriers and realize the transformative potential of blockchain in the accounting and audit market.

The purpose of this paper was to examine the effects of size, strategic orientation and market orientation on innovation.

A mail survey was conducted on a random sample of 60 South Yorkshire non‐high‐tech small, medium‐sized manufacturing enterprises. A hypothesised model, stating company size, strategic and market orientation affect innovation was tested using multiple linear regression analysis.

The results confirm customer orientation has a positive effect on innovation at product, process and organisational level. While it was found size and strategic orientation have an effect on process innovation. Size also has an impact on strategic orientation and strategic orientation on market orientation. Overall, medium‐sized firms are prospectors and small firms, defenders. Prospectors are customer focused while defenders are competitors and environmental/technology‐led. Process innovation is important to defenders. The findings reiterate that customers are the drivers for organisational innovation; while firms' strategic orientation determines their market orientation.

This paper addresses a gap in the literature by that showing size, strategic orientation and market orientation are interrelated and, that customer orientation has a direct impact on innovation the most.

The purpose of this paper is to study the influence of various corporate characteristics on the capital structure of French small and medium‐sized enterprises (SMEs).

OLS fixed‐effect regressions are used to estimate the influence of SME corporate characteristics on three capital structure measures, namely total, long‐term and short‐term debt.

The findings suggest that size, profitability, growth and tangibility of assets influence, in a significant way, the capital structure of French SMEs. Furthermore, when decomposing the sample into two groups: small (1) and medium‐sized (2) firms, the findings indicate that corporate characteristics affect the capital structure of these two subsamples in the same direction, but with different amplitudes.

The evidence presented and discussed in this paper extends the existing literature. From an academic perspective, the methodological approach and the empirical results provide a level of analysis unmatched by the previous research on French firms. Moreover, the findings can add to the knowledge and the understanding of SME corporate managers. They can provide useful information to assist them in their decision making regarding the capital structure of their firms at a time when difficulties of SME financing are more and more evoked in the French context.

In the British and European motor industry there co‐exist firms which differ widely in size. Given the existence of economies of scale the smaller firms are faced with the problem of survival; more precisely, of being able to charge a premium price to offset higher unit costs. After confirming the existence of scale economies this paper looks at the corporate strategies of smaller firms, but first it is necessary to clarify what we mean by “smaller firms”. In any market for any good where economies of scale exist in its production, firms smaller than the optimum could, if no non‐scale problems exist, be at a cost and, with competition, a profit disadvantage. However, in the motor industry the term “smaller” covers various types of operation.

Introduction Governments in Western Europe are showing an increasing interest in the welfare of small and medium sized manufacturing firms (SMEs) and in the generation of new technology‐based small firms. There are a number of reasons for this, two of the most important being: