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    Innovation capabilities and performance: Are they truly linked in SMEs?

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    Authors
    Maldonado-Guzman, Gonzalo
    Garza-Reyes, Jose Arturo cc
    Pinzon-Castro, Sandra Yesenia
    Kumar, Vikas
    Affiliation
    Universidad Autónoma de Aguascalientes
    University of Derby
    University of the West of England
    Issue Date
    2018-07
    
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    Abstract
    Purpose In an environment where business uncertainty is the norm, developing innovation capability in an organisation is increasingly important. The purpose of this paper is to investigate the effects that innovation capabilities have on the business performance of small- and medium-sized enterprises (SMEs) within the context of a regional developing and emerging economy of Mexico, in this case, Aguascalientes. Design/methodology/approach The approach of this study is quantitative. Four research hypotheses were formulated and tested using structural equation modelling (SEM). Data were collected through a questionnaire survey responded by 308 SMEs located in the Aguascalientes state of Mexico. Findings The results obtained show that innovation in products, processes, marketing and management has a positive and significant effect on the business return of Mexican SMEs. Originality/value The paper complements the limited body of knowledge currently existent in the SMEs innovation literature, particularly when compared to that of large organisations. Similar works in other settings have provided mixed results in regards to the effects that innovation capabilities have on the business performance of SMEs. Thus, this paper offers a refined understanding and validation of the relationship between innovation capabilities and business performance, especially within the context of SMEs, and insights into some of the innovation aspects that managers may consider when formulating the strategies of their organisations. Finally, it enables such relationship to be understood within a particular situation, contributing in this manner to expand the body of knowledge in the innovation field.
    Citation
    Garza-Reyes, J. A. et al (2018) 'Innovation capabilities and performance: Are they truly linked in SMEs?', International Journal of Innovation Science, DOI: 10.1108/IJIS-12-2017-0139
    Publisher
    Emerald
    Journal
    International Journal of Innovation Science
    URI
    http://hdl.handle.net/10545/622820
    DOI
    10.1108/IJIS-12-2017-0139
    Additional Links
    https://www.emeraldinsight.com/doi/full/10.1108/IJIS-12-2017-0139
    Type
    Article
    Language
    en
    ISSN
    17572223
    ae974a485f413a2113503eed53cd6c53
    10.1108/IJIS-12-2017-0139
    Scopus Count
    Collections
    Centre for Supply Chain Improvement

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