Internationalisation of SMEs and firm performance: evidences from Bangladesh

One of the key objectives of this paper is to identify the impacts of internationalisation of SMEs on firm performance. Although there have been a number of research that examined the relationship between SME internationalisation and firm performance, research from the context of smaller developing economies are really scant. This is against the fact that SMEs are main vehicle for growth in those economies and extensive research on various dimensions of SMEs including its impact on firm performance may help to better understand the operational aspects of SMEs in those economies. Using primary data and structural equation modelling to analyse those data, the paper has found that internationalisation of SMEs has significant impact on both financial and non-financial performance of SMEs in Bangladesh. More specifically, the paper has found that internationalisation impacts in two dimensions (Financial impacts and non-financial impacts) with 8 indicators (higher sales, higher profit, assets maximization, market expansion, competitive advantage, better reputation, better customer service and added knowledge)

Social Commerce Among Micro and Small Medium Enterprises Before and During the COVID19: A Systematic Literature Review

Social commerce (SC) is a relatively new tool that businesses are using to conduct business using social media (SM). The findings of prior literature are inconclusive. This paper reviews the literature to identify the current status and to identify the determinant of SC. A systematic literature review was conducted. A total of 41 articles were reviewed. A comparison between before and during COVID19 was conducted. The findings showed the number of studies has not increased during COVID-19. The technology acceptance model (TAM) and Technology-Organization- Environment (TOE) are used widely in the literature. The most important factors identified in this study are divided into before COVID19 and during COVID19. Perceived usefulness and perceived ease of use were important in both periods. New variables that were considered important during COVID19 is the organizational readiness, trust, security, and E- word of mouth (EWOM). More research is needed to understand the factors that contribute to SC adoption in different nations. Variables such as trust, environmental uncertainty, and perceived value can be included in future work. Developing a digital ecosystem for SC is a direction for future work. Understanding the important factors can contribute to the advancement of SC

Antecedents and Impacts of E-Business Aligment Amongst Small and Medium-Sized Enterprises

E-business has great potentials for firms to extend their business efficiency. Nevertheless, due to various problems and constraints, the e-business deployment within SMEs sector has been reported as not effective. To ensure effective e-business deployment, necessary measures are needed to assess how firms align diverse ebusiness capabilities in support of their business operation. This study therefore aims to investigate the extent firms align diverse e-business capabilities across business processes (e-business alignment). Using a strategic fit perspective, this study has observed two major propositions. First, firms‟ ability to align e-business to support the most crucial business processes has potentially led to better realisation of ebusiness values. Secondly, certain managerial and environmental conditions have explained the differing characteristics of e-business alignment amongst firms. This study employs quantitative research approach using survey method to collect and collate evidences from 140 owner/managers of SMEs. Preliminary analysis has indicated e-business alignment/misalignment patterns across business functions. The cluster analysis further reveals three distinct profiles with different characteristics of e-business alignment. These profiles are labelled as 'highly fit', 'moderately fit' and 'low fit' based on their e-business fit characteristics. This result confirms the first proposition where highly aligned firms will report greater and wider e-business impacts. The second proposition reveals that environmental uncertainty, IT sophistication, owner/manager knowledge on advanced IT/IS, e-business deployment status, and support network are significant predictors to different e-business alignment characteristics among firms. This study suggests that firms relatively have different priority over e-business solutions to support their business. These findings have demonstrated why some firms do not progress to a higher e-business ladder. It further justifies unequal deployment of e-business solutions to support functions across firms

The Mediating Role of Marketing Innovation Between Internal Social Media Utilization and Business Performance of Smes in Saudi Arabia

Purpose: The usage of social media (SM) by small and medium enterprises (SMEs) received relatively less attention and the findings in the literature are mixed in terms of the effect of SM on SME performance. The purpose of this study is to examine the effect of SM utilization on SME business performance (SMEBP) in Saudi Arabia.   Theoretical Framework: Based on the resource-based view, this study proposed that SM internal utilization (SMIU) affects positively the SMEBP and marketing innovation (MI). MI is expected to affect the SMEBP and mediate the effect of SMIU on SME performance (profitability (PR) and business growth (BG).   Design/Methodology/Approach: The population of this study is the SMEs in Al-Riyadh city in Saudi Arabia. A simple random sampling is deployed. The data was collected using a questionnaire. A total of 451 respondents representing SMEs participated in this study.   Findings: The finding was derived using Smart PLS version 4. The findings showed that SMIU affected positively PR and BG of SME and MI. MI affected positively the PR and BG of SME and mediated partially the effect of SMIU on PR and BG of SME.   Research practical Implication:  Decision makers are advised to deploy SM more effectively and to create a rewarding culture for innovative ideas to improve performance.   Originality/Value: This study helps to enhance the understanding regarding the role of marketing innovation and social media internal usage in improving the performance of SMEs in emerging economies

The SMEs’ technology acceptance of digital media for stakeholder engagement

Purpose: Small and medium sized enterprises (SMEs) are increasingly communicating and interacting with stakeholders through digital media. Therefore, this research investigates the SME owner-managers' attitudes toward the pace of technological innovation, and it examines their perceived use and ease of digital media for stakeholder engagement. Design: The research methodology integrated measuring items from the technology acceptance model, the pace of technological innovation and corporate social responsibility (CSR), to better understand the SME owner-managers’ rationale for using digital media. The respondents were expected to reveal their attitudes toward commercial, ethical and social responsibilities. Findings: A factor analysis indicated that the SME owner-managers were perceiving the usefulness of digital media to engage with marketplace stakeholders. Whilst, a stepwise regression analysis reported positive and significant relationships between the pace of technological innovation and the SMEs’ perceived usefulness of digital media for communication purposes. The results also revealed that young owner-managers from large SMEs were more likely to utilize digital media than their smaller counterparts. Originality: This contribution implies that both small and micro businesses are utilizing digital media to improve their stakeholder engagement. This study indicates that the pace of technological innovation, the SMEs’ perceived ease of use of digital media, as well as their commercial responsibility were significant antecedents for the SMEs’ online communication.peer-reviewe

Social Media Adoption and Financial Sustainability: Learned Lessons from Developing Countries

Social Media (SM) is considered one of the most discussed topics in today’s business environment, mostly because of the recent developments and improvements in computer and ICT (Information and Communications Technology) technologies. However, very little is known about Social Media’s (SM) role in creating Small and Medium-sized Enterprises’ (SMEs’) financial sustainability. Drawing upon the Technology Organisational and Environmental (TOE) framework, the authors constructed a comprehensive model that examined the role of different factors in the adoption of SM by SMEs in developing countries (using Pakistan as an example). Using a questionnaire survey of 383 owners/managers of SMEs in Pakistan, the research findings determined the different factors (i.e., organisational, technological, and environmental), which can impact the adoption of SM by SMEs. In line with previous research studies, the results of structural equation modelling show that technological factors such as perceived benefits of SM, compatibility of SM, cost, and trust have a substantial effect on SMEs’ SM adoption. Similarly, both organisational factors: top management support and technological competence, are strong predictors of SM adoption in SMEs. Finally, environmental factors (i.e., competitor pressure, customer pressure, and information intensity) positively impacted SM adoption by SMEs. The effect of SM adoption on SMEs’ financial sustainability was also tested and found to be positive and significant. Several theoretical and practical implications for owners/managers and other stakeholders regarding SM’s successful implementation by SMEs are highlighted within the paper

Management of Human Resource in Small and Medium-Sized Enterprises: Case Study

Strategic management is a current direction of management types. It is applied in all types of businesses, including small and medium-sized enterprises. However, the use of its principles is limited in SMEs. The limits are caused by the size of these enterprises related to greater focus on operational management. For SMEs, cumulating of functions is also typical; oral communication is more common than written, etc. Despite those limitations, implementation of strategic principles in the management of SMEs is able to increase their competitiveness, reduce costs, improve decision-making, facilitate the introduction of employee motivation, shorten delivery times, provide better customer care, etc. The paper discusses whether and to what extent SMEs implement the principles of strategic management and whether its use is effective. The basic principle of strategic management is the formulation and selection of a strategy. Most of the SMEs in the sample formulated a strategy. However, a written strategy was designed mostly by enterprises with more than 25 employees; enterprises with fewer employees designed a written strategy only exceptionally. Classified by the type of activity, a strategy is seen less frequently in wood-work enterprises. On the other hand, enterprises operating in trade and services, including transport, designed a strategy, or even a written strategy, the most often. Quality and stabilisation were the most monitored characteristics, regardless of the number of employees or business type. Profit was the least monitored strategy in the sample. Positive effects after the introduction of strategic management principles were rated as significant by 27% of the subjects analysed and by 36% as moderate, and 38% of enterprises had no positive effects. The most striking positive effect, after the introduction of strategic management principles, was achieved by 44% in decision-making and costs. The smallest number of enterprises, only 8%, had a positive effect of the introduction of strategic management principles in the area of internal communication. The results show that the introduction of strategic management has a positive impact on small and medium enterprises, and it is highly desirable that its principles were introduced into these entities

The small businesses’ responsible entrepreneurship and their stakeholder engagement through digital media

This research explored the small and medium-sized enterprises (SMEs) owner-managers’ attitudes toward digital media and stakeholder engagement. Its research methodology integrated measures from the technological acceptance model, the pace of technological innovation and corporate social responsibility (CSR), to better understand their rationale for using technology to communicate about commercial, ethical and social responsibility issues. A factor analysis indicated that the respondents were perceiving the usefulness of digital media to engage with marketplace stakeholders. Whilst, a stepwise regression analysis reported positive and significant relationships between the pace of technological innovation and the owner-managers’ perceived usefulness of digital media for communication purposes. The results also revealed that young owner-managers from the larger enterprises were more likely to utilize digital media than their smaller counterparts. This contribution implies that small and micro businesses are increasingly using digital media to improve their stakeholder engagement. This study indicates that the pace of technological innovation, the SMEs’ perceived ease of use of digital media, as well as their commercial responsibility were significant antecedents for the SMEs’ online communication.peer-reviewe

The Configurational Impact of Top Management Team Characteristics on Marketing Analytics Use in SME: A Fuzzy-Set Qualitative Comparative Analysis

Top management team might make primary usage decisions related to marketing analytics. To date, extant research has mostly focused on investigating the impact of marketing analytics on firm performance; limited research exists to examine the conditions of utilizing marketing analytics. Furthermore, little is known about how the combinations of conditions affect marketing analytics use. Drawing on upper echelons and configuration theories, this study proposes that small and medium-sized enterprises (SMEs) have alternative pathways to utilizing marketing analytics. Based on a sample of 187 managers from UK SMEs and employing fuzzy set qualitative comparative analysis (fsQCA), this study confirms that (1) configurations of antecedents exist to provide alternative pathways to utilizing marketing analytics, and (2) configurations for small firms are distinctively different from those for medium-sized firms. This study contributes to upper echelon theory and configuration theory by highlighting different pathways to marketing analytics use. This study also helps a firm to improve its analytics practice by choosing the configuration that fits best with its organizational context