Organizational innovation: Validation of a multidimensional scale for micro and small businesses

Abstract

Objective: Validate a scale for measuring the multiple possibilities for innovation in Micro and Small Enterprises (MPEs) operating in the Metropolitan Region of Natal/RN. Methodology/approach: The research is exploratory, with a survey of 542 companies in Natal/RN. Data were analyzed using descriptive statistics, exploratory factor analysis technique and confirmatory factor analysis using the technique based on partial least squares. Main results: The Exploratory Factor Analysis (EFA) resulted in the formation of 5 innovation constructs. The Confirmatory Factor Analysis was modeled by applying the PLS-SEM, which evaluated the confirmatory measurement model, based on the results identified in the EFA. Theoretical/methodological contributions: The inclusion of the construct called Innovation in Knowledge Channels was validated, contributing with a broad and multidimensional proposal, being able to capture the complexity of innovation, reducing conceptual ambiguity and proving to be theoretically viable for future research. Relevance/originality: The study is relevant, approaching innovation from the perspective of Micro and Small companies, considering a multidimensional measurement scale, as empirical research so far has shown little evidence of innovation from the perspective of creating value for organizations and customers. Social/Management Contributions: As managerial implications, unlike the one-dimensional perspective, supported by concepts of technological innovation developed with large Research and Development (ReD) structures in large companies, this research considered the innovative role of small companies, which are capable of generating multiple innovations.