IDEAS home Printed from https://ideas.repec.org/a/ers/ijebaa/vviiiy2020i4p3-19.html
   My bibliography  Save this article

Determinants of Innovative Performance: The Case of an Emerging Country SMEs

Author

Listed:
  • Ainul Mohsein Abdul-Mohsin
  • Hasliza Abdul Halim
  • Noor Hazlina Ahmad

Abstract

Purpose: Malaysia aspires to vie with other developed countries and achieve similar status shortly. Thus, to generate a more knowledge-intensive and innovation-driven economy is crucial for the country. Considering the significance that an Innovation Economy is designed from an amalgamation of knowledge, technology, entrepreneurship, and innovation to hasten productivity, which is the core of economic growth; this study analyzed the relationship of entrepreneurial attitude orientation (EAO), market orientation, and entrepreneurial competencies to competitive intelligence and its impact on the innovative performance of SMEs in Malaysia. Approach/Methodology/Design: This study adopted a cross-sectional research design and collected data from small, medium enterprises from 13 states and two federal territories of Malaysia. Findings: The findings revealed that market orientation has a positive impact on entrepreneurial competencies. It is also found that EAO constructs, in particular conceptual, strategic, and technical competencies, have a significant relationship with competitive intelligence and thereby have an impact on the Malaysian SMEs. Likewise, competitive intelligence positively influences the innovative performance. Practical Implications: Apart from contributing to the body of existing literature on innovative firm performance, the study gives a guideline to the SMEs, government agencies, and universities to create the database and designing their training and development programs to cultivate the sense of innovativeness among Malaysians regardless of age, race, and education background. Originality/Value: This study contributes by supporting that conceptual, strategic, and technical competencies have a significant relationship with competitive intelligence and is achievable to be used by SMEs.

Suggested Citation

  • Ainul Mohsein Abdul-Mohsin & Hasliza Abdul Halim & Noor Hazlina Ahmad, 2020. "Determinants of Innovative Performance: The Case of an Emerging Country SMEs," International Journal of Economics & Business Administration (IJEBA), International Journal of Economics & Business Administration (IJEBA), vol. 0(4), pages 3-19.
  • Handle: RePEc:ers:ijebaa:v:viii:y:2020:i:4:p:3-19
    as

    Download full text from publisher

    File URL: https://ijeba.com/journal/564/download
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Mary Tripsas & Giovanni Gavetti, 2000. "Capabilities, cognition, and inertia: evidence from digital imaging," Strategic Management Journal, Wiley Blackwell, vol. 21(10‐11), pages 1147-1161, October.
    2. G. M.P. Swann, 2009. "The Economics of Innovation," Books, Edward Elgar Publishing, number 13211.
    3. Vasiliki Vamvaka & Chrysostomos Stoforos & Theodosios Palaskas & Charalampos Botsaris, 2020. "Attitude toward entrepreneurship, perceived behavioral control, and entrepreneurial intention: dimensionality, structural relationships, and gender differences," Journal of Innovation and Entrepreneurship, Springer, vol. 9(1), pages 1-26, December.
    4. Zhou, Steven S & Zhou, Abby J & Feng, Junzheng & Jiang, Shisong, 2019. "Dynamic capabilities and organizational performance: The mediating role of innovation," Journal of Management & Organization, Cambridge University Press, vol. 25(5), pages 731-747, September.
    5. Kumar, Maneesh & Rodrigues, Vasco Sanchez, 2020. "Synergetic effect of lean and green on innovation: A resource-based perspective," International Journal of Production Economics, Elsevier, vol. 219(C), pages 469-479.
    6. Kyllikki Taipale-Erävala & Kaisa Henttonen & Hannele Lampela, 2019. "Entrepreneurial competencies in successfully innovative SMEs," International Journal of Entrepreneurship and Small Business, Inderscience Enterprises Ltd, vol. 38(3), pages 251-276.
    7. Edgar A. Sánchez-Báez & José Fernández-Serrano & Isidoro Romero, 2018. "Personal Values and Entrepreneurial Attitude as Intellectual Capital: Impact on Innovation in Small Enterprises," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 20(49), pages 771-771, August.
    8. Bel Hadj Tarek & Mighri Zouhayer & Ghodbane Adel, 2019. "Entrepreneurial Competitive Intelligence Between Uppsala Model and Born Global Theories in the Case of North African SMEs," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 10(2), pages 734-755, June.
    9. repec:aud:audfin:v:20:y:2018:i:49:p:771 is not listed on IDEAS
    10. Man, Thomas W. Y. & Lau, Theresa & Chan, K. F., 2002. "The competitiveness of small and medium enterprises: A conceptualization with focus on entrepreneurial competencies," Journal of Business Venturing, Elsevier, vol. 17(2), pages 123-142, March.
    11. Fariborz Damanpour, 1996. "Organizational Complexity and Innovation: Developing and Testing Multiple Contingency Models," Management Science, INFORMS, vol. 42(5), pages 693-716, May.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Dararat Thatrak, 2021. "Human Capital Orientation, Employee Creativity Development, Organizational Innovation Capabilities, and Outstanding Performance of SMEs Businesses in Thailand," International Journal of Economics & Business Administration (IJEBA), International Journal of Economics & Business Administration (IJEBA), vol. 0(2), pages 126-142.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Madiha Noshad & Mariam Amjad & Muhammad Nouman Shafiq & Seemab Gillani, 2019. "Performance and Obstacles of SMEs: An Empirical Evidence from BRICS Countries," iRASD Journal of Economics, International Research Alliance for Sustainable Development (iRASD), vol. 1(2), pages 113-132, December.
    2. Ljungquist, Urban & Ghannad, Navid, 2012. "Obstacles and Facilitators of Developments in Entrepreneur-driven Firms," Working Papers 2012/01, Blekinge Institute of Technology, Department of Industrial Economics.
    3. Souto, Jaime E., 2015. "Business model innovation and business concept innovation as the context of incremental innovation and radical innovation," Tourism Management, Elsevier, vol. 51(C), pages 142-155.
    4. Bart Leten & Rene Belderbos & Bart Van Looy, 2016. "Entry and Technological Performance in New Technology Domains: Technological Opportunities, Technology Competition and Technological Relatedness," Journal of Management Studies, Wiley Blackwell, vol. 53(8), pages 1257-1291, December.
    5. Paul E. Bierly III & Paula S. Daly, 2007. "Alternative Knowledge Strategies, Competitive Environment, and Organizational Performance in Small Manufacturing Firms," Entrepreneurship Theory and Practice, , vol. 31(4), pages 493-516, July.
    6. William Q. Judge & Yuping Liu–Thompkins & J. Lee Brown & Chatdanai Pongpatipat, 2015. "The Impact of Home Country Institutions on Corporate Technological Entrepreneurship via R&D Investments and Virtual World Presence," Entrepreneurship Theory and Practice, , vol. 39(2), pages 237-266, March.
    7. Hubert Gatignon & Michael L. Tushman & Wendy Smith & Philip Anderson, 2002. "A Structural Approach to Assessing Innovation: Construct Development of Innovation Locus, Type, and Characteristics," Management Science, INFORMS, vol. 48(9), pages 1103-1122, September.
    8. Roberto Ganau & Eleonora Di Maria, 2014. "Determinants of technological innovation in SMEs. Firm-level factors, agglomeration economies and the role of KIBS providers," ERSA conference papers ersa14p820, European Regional Science Association.
    9. Somohano Rodríguez, Francisco M. & López Fernández, José Manuel & Martínez García, Francisco Javier, 2018. "El efecto de la innovación en el resultado empresarial durante la recesión económica. Una aplicación a la industria de la automoción," Revista de Contabilidad - Spanish Accounting Review, Elsevier, vol. 21(1), pages 91-105.
    10. Edeh, Jude N. & Acedo, Francisco J., 2021. "External supports, innovation efforts and productivity: Estimation of a CDM model for small firms in developing countries," Technological Forecasting and Social Change, Elsevier, vol. 173(C).
    11. Laura Gavinelli & Cinzia Colapinto & Mariangela Zenga & Paola Chiodini, 2016. "Strategic choices in recessionary period: an exploration on italian smes," MERCATI & COMPETITIVIT?, FrancoAngeli Editore, vol. 2016(3), pages 135-158.
    12. Kenneth Dooley, 2018. "Routine Rigidity and Environmental Sustainability: Why Rational Innovations are Regularly Ignored," Business Strategy and the Environment, Wiley Blackwell, vol. 27(1), pages 70-81, January.
    13. Ann-Kathrine Ejsing & Ulrich Kaiser & Hans Christian Kongsted & Keld Laursen, 2013. "The Role of University Scientist Mobility for Industrial Innovation," Working Papers 332, University of Zurich, Department of Business Administration (IBW).
    14. Umer Ayub & Abdul Rashid Kausar & Mubashar Majeed Qadri, 2017. "Linking Human Capital and Organisational Innovative Capabilities of Financial Institutions: Evidence from a Developing Country of South Asia," Journal of Information & Knowledge Management (JIKM), World Scientific Publishing Co. Pte. Ltd., vol. 16(04), pages 1-23, December.
    15. Rashid, Lubna & Alzafari, Khaled & Kratzer, Jan, 2020. "Founder Personalities, Behaviors and New Venture Success in Sub-Saharan Africa," Technological Forecasting and Social Change, Elsevier, vol. 151(C).
    16. Cohen, Wesley M., 2010. "Fifty Years of Empirical Studies of Innovative Activity and Performance," Handbook of the Economics of Innovation, in: Bronwyn H. Hall & Nathan Rosenberg (ed.), Handbook of the Economics of Innovation, edition 1, volume 1, chapter 0, pages 129-213, Elsevier.
    17. Frank R. Lichtenberg, 2014. "Has Medical Innovation Reduced Cancer Mortality?," CESifo Economic Studies, CESifo Group, vol. 60(1), pages 135-177.
    18. Francesco Bogliacino & Mario Pianta, 2016. "The Pavitt Taxonomy, revisited: patterns of innovation in manufacturing and services," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 33(2), pages 153-180, August.
    19. Cowling, Marc & Ughetto, Elisa & Lee, Neil, 2018. "The innovation debt penalty: Cost of debt, loan default, and the effects of a public loan guarantee on high-tech firms," Technological Forecasting and Social Change, Elsevier, vol. 127(C), pages 166-176.
    20. Alhassan Abdul-Wakeel Karakara & Evans Osabuohien, 2020. "ICT adoption, competition and innovation of informal firms in West Africa: a comparative study of Ghana and Nigeria," Journal of Enterprising Communities: People and Places in the Global Economy, Emerald Group Publishing Limited, vol. 14(3), pages 397-414, June.

    More about this item

    Keywords

    Entrepreneurial attitude orientation; market orientation; entrepreneurial competencies; competitive intelligence; innovative performance; SMEs.;
    All these keywords.

    JEL classification:

    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • M31 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Marketing
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O39 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Other
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ers:ijebaa:v:viii:y:2020:i:4:p:3-19. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Marios Agiomavritis (email available below). General contact details of provider: https://ijeba.com/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.