Why do small businesses innovate? Relevant factors of innovation in businesses participating in the Local Innovation Agents program in Rondônia (Amazon, Brazil)

Lima, Váldeson Amaro; Müller, Carlos André da Silva

doi:10.1016/j.rai.2017.07.007

Cited by 11 publications

(9 citation statements)

References 19 publications

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“…For example, to consider a local scenario, even during the COVID-19 pandemic, the growth of companies based in Rio Grande do Norte was 17.3% higher in 2021 than in the previous year (Tribuna do Norte, 2022). This increase corroborates the structure, learning, organizational commitment and behavioural advantages attributed to small companies as a result of their innovation process (van de Vrande et al, 2009;Parida et al, 2012;McGuirk et al, 2015;Silva et al, 2016;Popa et al, 2017;Lima & Müller, 2017;Gao et al, 2020;Medeiros, 2021;Carneiro et al, 2021).…”

Section: Introductionsupporting

confidence: 74%

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

D'anjour,

Medeiros,

Añez

2024

REGEPE Entrep. and Small Bus. J.

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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.

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Section: Introductionsupporting

confidence: 74%

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

D'anjour,

Medeiros,

Añez

2024

REGEPE Entrep. and Small Bus. J.

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“…Particularly on innovation improvement, even though the effectiveness of the ALI Program has been challenged (Lima and Muller, 2017b), Cardoso et al (2020) showed that marketing-related innovations had been improved by all participating MSBs independent of previous management or innovation level. Complementarily, Carvalho et al (2018) showed that marketing and organizational innovations were more easily improved in comparison to product and process innovations, although all dimensions significantly improved over the program.…”

Section: Discussionmentioning

confidence: 99%

The local innovation agents program: a literature review on the largest Brazilian small business innovation support program

Carvalho

Resende

Carvalho³

et al. 2020

IJIS

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Purpose This paper aims to analyze the characteristics of Brazilian micro and small businesses (MSBs) and the main lessons derived from the largest small business innovation support program in the country, the Local Innovation Agents – Agentes Locais de Inovação (ALI) Program. Design/methodology/approach In total, 34 papers were selected from the Web of Science and Scopus databases (28), as well as from the Revista de Administração e Inovação – RAI (6), a seminal Brazilian innovation journal. The papers were analyzed in terms of the regional context, methodological approach and main findings. Regional complementary analyzes of some program figures were also performed by Spearman correlation and Wilcoxon signed-rank tests. Findings The review revealed a low innovation level among Brazilian MSBs and that the platform (incremental product) and brand (marketing) innovation dimensions were the most developed across different regions and industries. Reviewed papers also showed that all MSBs were able to improve innovation over the program independent of previous management and innovation levels, besides positive relationships between management and innovation. The complementary analysis provided a regional panorama of the program figures and corroborated MSBs innovation improvement. Research limitations/implications This review analyzed relevant papers and figures related to the program, summarized main lessons and provided future research venues. Practical implications Different innovation strategies reviewed may be implemented by MSBs owners. Policymakers may also benefit from the program experience. Originality/value Despite the high number of publications and the relevance of the largest Brazilian innovation support program, there were still no literature reviews comprehending the diverse lessons derived from the ALI Program, as well as a regional panorama of the program figures.

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“…However, research on innovation shows that, on average, smaller companies tend to innovate significantly less than similar larger companies (Bodlaj and Cater, 2019). Therefore, a part of the literature suggests that this model is not valid for SMEs since the number of patents or the amount of R&D spending are not suitable indicators for these types of companies, which generally have limited resources and capabilities and cannot conduct inhouse research (Bhaskaran, 2006;Frans and Meulenberg, 2004;Lima and da Silva M€ uller, 2017). It is currently assumed that innovation is not necessarily the result of formal R&D, and that SMEs do not have the capacity to innovate in isolation (Dahlander and Gann, 2010).…”

Section: Innovation In Smesmentioning

confidence: 99%

Effects of open climate on innovation radicality in SMEs: relevance of hidden innovation

Aragón

Jiménez²,

Valle-Mestre³

2022

EJIM

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PurposeOpen innovation is an issue that has aroused great interest in recent years. The need to create an environment that facilitates the creation of ideas is essential for the implementation of a series of changes in organizational practices and routines that lead to the launch of new products. However, due to the more behavioral nature and the lesser externalization of these changes introduced in the company's internal processes, how this process occurs has not been studied in depth. The objective of this study is to analyze the effect of an open innovation climate on both incremental and radical product innovation. Moreover, it specifically analyzes the mediating role played by hidden innovation in this relationship.Design/methodology/approachThe methodology used in this study was based on a survey of 213 Spanish SMEs, subsequently applying the structural equation methodology to contrast the results.FindingsThe results indicate that open innovation climate offers significant competitive advantages to SMEs. First, the open innovation climate in SMEs favorably influences product innovation (both incremental and radical). Secondly, it is observed that hidden innovations are essential to obtain product innovations. Finally, evidence of the mediating effect of hidden innovation has been obtained.Research limitations/implicationsAlthough the literature often focuses on visible innovation, materialized in product development, this study demonstrates the importance of other types of innovations that are necessary to launch new products. This is especially relevant for SMEs that, with limited resources, must be creative enough to involve their personnel in introducing changes that will lead to new products. This paper attempts to strengthen the previous literature on hidden innovation by contributing to the understanding of how SMEs improve their innovative processes. However, the study has the limitations derived from using a single informant to obtain data, using subjective-type scales and being a cross-sectional research.Practical implicationsManagers of SMEs involved in innovation processes should favor the creation of an open innovation climate and invest in organizational innovation. Governments should promote policies to support hidden and open innovation.Originality/valueThe main interest of this work is based on the importance of hidden innovation for the development of innovations. This study shows how organizations must make a series of organizational changes prior to the implementation of more visible innovations materialized in products. For this task, the creation of a favorable climate for the development of new ideas becomes a fundamental task. On the other hand, this study has focused on SMEs, which tend to have fewer means for the development of the right conditions for innovation and are often more neglected by scientific research.

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Why do small businesses innovate? Relevant factors of innovation in businesses participating in the Local Innovation Agents program in Rondônia (Amazon, Brazil)

Cited by 11 publications

References 19 publications

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

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

The local innovation agents program: a literature review on the largest Brazilian small business innovation support program

Effects of open climate on innovation radicality in SMEs: relevance of hidden innovation

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