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Entrepreneurial bricolage: A key to innovation for SMEs in a developing economy

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Abstract

Entrepreneurship promotes economic growth, particularly in developing economies where small and medium-sized enterprises (SMEs) are a significant source of employment and economic activity. However, SMEs in developing countries often face various resource constraints and weak institutions, forcing them to engage in entrepreneurial bricolage behavior by creatively combining existing resources. This study explores the relationship between entrepreneurial bricolage and product, process, and marketing innovation among SMEs in the Philippines. Logistic regression estimates reveal that entrepreneurial bricolage has a significant and positive impact on product, process, and marketing innovation. As entrepreneurial bricolage behavior increases, so does the probability of innovation, highlighting the importance of creative problem-solving in settings with inadequate resources. The study also emphasizes the need for policies that support SMEs by providing enabling resources, such as robust infrastructure and reliable communication platforms, to encourage firm innovation that fosters positive spill-over effects on the broader economy.

Suggested Citation

  • C. Flaminiano, John Paul, 2024. "Entrepreneurial bricolage: A key to innovation for SMEs in a developing economy," Small Business International Review, Asociación Española de Contabilidad y Administración de Empresas - AECA, vol. 8(1), pages 645-645, June.
    • Handle: RePEc:aaz:sbir01:v:8:y:2024:i:1:p:e645
    DOI: 10.26784/sbir.v8i1.645
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    References listed on IDEAS

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    1. Xiaoyu Yu & Yajie Li & Zhongfeng Su & Yida Tao & Bang Nguyen & Fan Xia, 2020. "Entrepreneurial bricolage and its effects on new venture growth and adaptiveness in an emerging economy," Asia Pacific Journal of Management, Springer, vol. 37(4), pages 1141-1163, December.
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    More about this item

    Keywords

    SMEs; bricolage; innovation; entrepreneurship;
    All these keywords.

    JEL classification:

    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives

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