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The paper has been developed from a critical review of available literature drawn from the micro firm, managerial capability and innovation management fields. The paper aims to address these issues.

The paper has been developed from a critical review of available literature drawn from the micro firm, managerial capability and innovation management fields.

Four criteria of micro firm managerial capability emerge from micro firm managerial traits in the literature namely, leadership; strategic thinking; problem solving and people relationships. The review also shows that micro firms are embedded in three resource pools which include stakeholder ties; the local community and the proximate market environment. Micro firm managerial capability is argued to emerge from the interaction of the managerial capability criteria and the resources in a process mediated by the resource based and dynamic capabilities perspectives from the strategic management literature.

A gap in the academic literature is identified and the proposed theoretical model is presented to address this deficiency in the literature. Future empirical research is recommended.

This proposed model will allow practitioners to better conceptualise and design programmes that will assist companies in developing managerial capabilities to innovate. Deep links between hotel industry practitioners and the academic community will enable the effective dissemination of the research.

Hotel micro firms play an important social and economic role. There has been little research into how they innovate and specifically into managerial capability for innovation in context. The present research uses conceptual research to map the field and identify critical avenues for future research.

The purpose of this paper is to evaluate key criteria underpinning network-facilitated green innovation capability development in micro-firms.

Micro-firms, those firms with less than ten full-time employees, need to continuously innovate in order to sustain their business in the emerging green economy. This study uses an interpretive multiple case approach to explore micro-firm owner-manager (O/M) green innovation activities, encompassing O/M views on facilitated network engagement in Ireland and Canada over a 12-month period.

The findings show that proactive implementation of green innovation is influenced by the O/M’s natural environment orientation and the potential for economic gain, while facilitated networks provide an additional resource that the O/M can draw from that allows the O/M to test new ideas, comprehend new and existing legislation and identify potential supports in pursuit of green innovation capability development within the micro-firm.

This study offers a contribution to knowledge in the areas of green innovation, micro-firm capabilities and facilitated network engagement. However, the sample size is small and distance was a challenge, yet data and case protocols are in place which allow for replication of the study. As the research is embedded in the resource and capability theories, alternative theoretical frameworks may shed a different light on the research question.

Prior studies have found that facilitated networks have a positive impact on micro-firm sustainability as these networks enhance the firm’s constrained resource base. The proposed framework can be used as a guideline for support organisations including facilitated networks in assisting micro-firms in reaching their green innovation goals and objectives. It can also be used by micro-firms in the attainment of the green innovation capability.

The purpose of this paper is to discuss a resource‐based approach for exploring micro‐firm management practice, as informed by the relevant literature. Specifically, the paper analyses available literature and catalogues micro‐firm and managerial competence criteria in pursuit of managerial insights in this environment.

A comprehensive literature review precedes the conceptualisation of micro‐firm management practice.

Literary findings suggest that, considering micro‐firms' internal resource constraints, minimal environmental power, and owner‐centred culture, it is vital for these organisations to embed their valuable resource in their core business strategy, to ensure survival in the longer term. Furthermore, there is an assumption that knowledge must be used optimally within the micro‐firm by developing the analytical and critical skills of individuals, groups and the entire organisation so as to sustain and grow these firms' competitive advantage. Having identified and catalogued a range of factors that impact micro‐firms, the authors propose a “resource taxonomy of micro‐firm management practice”, which establishes factor interaction and the interrelationships between each resource in this environment. The purpose of this taxonomy is to assist in the analysis of management practices in the micro‐firm milieu.

The authors go on to discuss taxonomy implications for micro‐firm training policy and propose further exploration of micro‐firm management practice and resource‐based research in this environment.

Academic research, which focuses specifically on the micro‐firm, has historically been rare, despite multiple calls to study these firms in their own right. By proffering a “resource taxonomy of micro‐firm management practice”, the authors seek to inform this neglected research area.

Though certain characteristics of micro-firms affect the likelihood of their participation in external relationships, how cooperation in craft enterprises differs from low and high-tech enterprises has not been investigated yet. Therefore, this study aims to fill the above gap in the literature.

This study adopts a descriptive approach by extensively reviewing relevant literature to explore the unique characteristics and nature of micro-firm's co-operative behavior. The theoretical approach of this research is grounded in resource-based view and dynamic capabilities theories.

This study finds that handicraft micro-firms possess special and unique characteristics that differentiate them from low- and high-tech firms. Further, handicraft micro-firms' co-operative behavior also differs from other firms in terms of cooperation motives, breadth, depth and factors that inhibit or promote cooperation. Additionally, in small handicraft firms, the co-operation is more informal, personal and through social networks, whereas in the corporate sector, it is more formal, direct and through supply chains. This study also argues that contrary to handicraft and low-tech firms, high-tech firms are more likely to cooperate with external partners and invest heavily in R&D for new product development (often radical in nature).

This study enriches our understanding of handicraft micro-firms' special and unique characteristics that differentiate them from low- and high-tech micro-firms. This research also provides in-depth knowledge to understand the handicraft micro-firms’ co-operative behavior and how it differs from low- and high-tech firms.

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.

Collaboration among businesses, particularly in the current global economic downturn, can be a key strategy contributing to their survival. This study examines the case of micro firms involved in Terracotta art in Impruneta, Italy, and the extent to which collaboration occurs among the local artisans. In doing so, the study aims to consider collaboration theory in the context of micro firms.

Semi-structured, face-to-face and telephone interviews were conducted among the owners and managers of ten of Impruneta's 16 Terracotta firms.

Whilst much of the academic literature highlights the multiple benefits of collaborative relationships, most participants acknowledge very limited engagement in collaboration. From the comments gathered, two distinct groups emerged, one composed of members of the local Terracotta association, who to some extent collaborate with one another, and the second, the non-members, who pursue their interests individually, or marginally collaborate outside Impruneta. Further, a number of barriers preventing collaboration were identified.

The apparent weak collaborative relationships among respondents may have ramifications for the further development of their sector, for instance, restricting innovation and marketing know-how, both of which could help address such external pressures as competition. The involvement of third parties, such as the local town hall or chambers of commerce, was suggested by several participants to help increase collaboration.

The study focuses on micro firms, a group that, despite its relevance for many countries' economies, has received limited attention from academic research, including with regard to collaboration and collaboration theory.

Despite common perceptions about the informality of human resource management (HRM) practices within small firms, few studies have considered how HRM practices change with firm size. This paper explores how HRM practices of small firms change as the size of the firm increases. Using data from micro, small and medium firms in Queensland, Australia, the paper reviews the recruitment and selection practices, training methods, performance appraisal and the maintenance of HR records and policies in these firms. The findings indicate a move towards hierarchical structures, increased documentation and more administrative processes as the number of employees increases. The increase is rapid initially and then occurs at a slower pace thereafter. Such changes have implications for the management of the employment relationship. The paper concludes that HRM practices in small firms cannot be portrayed by a standardised description and that management training and advice for small firms must recognise the diversity associated with this important sector of the Australian economy.

This paper aims to explore the determinants of training in micro enterprises in the context of Greece in order to understand what stimulates workplace training and learning interventions.

The research is based on interview evidence from 14 owners and nine workers of industrial micro enterprises.

The study reveals that training activities in industrial micro‐firms are significantly affected by the business strategy adopted by micro‐firms, the owner commitment towards employee training and development and the way work is organized.

Future research could be directed at investigating the variables affecting training provision in micro‐firms in the service sector in order to explore the differences that may exist between industrial and service micro‐firms.

The paper argues that a key challenge for policy makers in this area is to facilitate changes in owner attitudes, as well as alter the current institutional framework in order to encourage micro firms to adopt higher value added strategies and consequently improve their training efforts.

The study brings new ideas around the determinants of company training in micro‐enterprises, where there is limited understanding.

This study aims to explore how horizontal collaboration can help small and micro enterprises within the drink sector through the relational theory lens.

The use of qualitative research methods, including focus groups and interviews, facilitated understanding the horizontal collaboration in micro and small companies within the Welsh brewery industry. Data collection involved conducting three focus groups and 13 interviews within the Welsh brewery sector in the UK. The collaboration phenomena were explained using the three elements of relational theory: relational rents, relational capitals and relational governance.

Micro and small enterprises in the drink sector use collaborative initiatives in building new capabilities to generate relational rents. In addition, relational capitals and relational governance mechanisms were identified to support the horizontal collaboration among these enterprises.

The focus is on only one part of the drinks industry, i.e. the brewery industry; therefore, this study could be extended to other industries within the drink sector or across manufacturing industries.

The micro and small enterprises can collaborate to achieve relational rent, but this collaboration requires strong relational capitals, such as trust. These partners need to change informal governance mechanisms that already exist towards more contractual formal mechanisms.

Prior research has largely focused on vertical collaboration, with limited studies using the relational theory lens to explicate horizontal collaboration phenomena and no previous research in the context of micro and small companies. Relational rents, relational capitals and relational governance mechanisms are studied to provide insights into an effective collaboration in this context.

The purpose of this study is to explore small firm owners' perceptions of the impact of employee training on small firm competitiveness in the context of Greece.

The research adopts a qualitative orientation. Empirical data were collected from 43 owners of small and micro‐firms operating in various sectors of the Greek manufacturing industry through personal semi‐structured interviews.

The empirical evidence reveals that informal staff training can help Greek small firms face the challenges of the future. More specifically, the interview findings indicated that workplace training can: reduce employee errors in the production process; help small firms to meet skill shortage needs; facilitate the introduction of new technology; and enhance worker employability.

The paper argues that a key challenge for policy makers and employers in this area is to facilitate informal learning within small firms in order to improve firm performance. In the same manner, work‐integrated learning (WIL) seems to have a vital role to play in the performance of Greek small enterprises since WIL programs have the potential to address skills mismatch issues.

The study brings new insights around the benefits of informal staff training and work‐integrated learning for small and micro‐firm performance in the context of a small European country like Greece, where there has been scant research and very limited understanding.