Cultural determinants of competitiveness within SMEs

Abstract

Purpose To develop a contingency framework that will assist in overcoming the concerns expressed about the ability to integrate and generalise findings from research studies into entrepreneurship and small? to medium?sized enterprises (SMEs). Design/methodology/approach A preliminary framework is developed as a contribution towards fulfilling the need for a means of connecting often, diverse studies into SMEs and entrepreneurship. The framework is evaluated initially in terms of previous studies in the field and subsequently employing results from the authors' own cross?national empirical studies involving ethnic, gender and cultural barriers to engaging in entrepreneurship. Findings The results from a series of empirical studies of experienced managers and aspiring managers are presented. The nature of the cultural differences and the implications for future research and policy making are evaluated. Issues such as the motivating and de?motivating factors associated with establishing and managing an SME are highlighted. Research limitations/implications The findings are used to initiate the development and formulation of a contingency framework of entrepreneurship, which identifies cultural factors and differences as significant contingency variables. Practical implications The importance of recognising the impact of cultural and gender differences on the development and application of policies and practices designed to stimulate and sustain entrepreneurship and enterprise is highlighted. This theoretical contribution should lead to more robust policy development. Originality/value The development of a contingency framework which addresses differences in the contextual circumstances in differing countries or regions in terms of culture, gender and ethnicity. Providing support for this framework based on the review of relevant literature and empirical evidence.