IDEAS home Printed from https://ideas.repec.org/a/wsi/ijimxx/v21y2017i07ns136391961750061x.html
   My bibliography  Save this article

Innovative Behaviour Of Indian Micro Small And Medium Enterprises: An Empirical Study

Author

Listed:
  • NOMITA SHARMA

    (Department of Management Studies, University of Delhi, Delhi, India)

Abstract

The aim of this paper is to explore innovative behaviour of Indian Micro Small and Medium Enterprises. It is interesting to study innovative behaviour of microsmau and medium enterprises (MSMEs) since they try to innovate while surrounded by many barriers. They also face high failure rate in doing so. This failure is due to presence of barriers that MSMEs fail to manage. But it has been observed that many MSMEs are now awakening to their potential and becoming innovative. They tend to respond to environmental factors in an innovative way, either by cutting cost or changing ways of management. This innovative way defines their innovative behaviour. The innovative behaviour of MSMEs is studied through three variables, i.e., size, age and barriers faced by them. The result shows that size does influence innovation activities undertaken by MSMEs and statistically, there is no correlation between age and innovative behaviour. Their innovative behaviour is affected by barriers like shortage of technical skilled manpower, technology and shortage of funds or complex funding procedure. The paper is concluded by summarising the key findings, discussing implications, limitations and further scope of study.

Suggested Citation

  • Nomita Sharma, 2017. "Innovative Behaviour Of Indian Micro Small And Medium Enterprises: An Empirical Study," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 21(07), pages 1-19, October.
    • Handle: RePEc:wsi:ijimxx:v:21:y:2017:i:07:n:s136391961750061x
    DOI: 10.1142/S136391961750061X
    as

    Download full text from publisher

    File URL: http://www.worldscientific.com/doi/abs/10.1142/S136391961750061X
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://libkey.io/10.1142/S136391961750061X?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Feldman, Maryann P. & Audretsch, David B., 1999. "Innovation in cities:: Science-based diversity, specialization and localized competition," European Economic Review, Elsevier, vol. 43(2), pages 409-429, February.
    2. Zoltan J. Acs & David B. Audretsch, 2008. "Innovation in Large and Small Firms: An Empirical Analysis," Chapters, in: Entrepreneurship, Growth and Public Policy, chapter 1, pages 3-15, Edward Elgar Publishing.
    3. Warusawitharana Missaka, 2018. "Profitability and the lifecycle of firms," The B.E. Journal of Macroeconomics, De Gruyter, vol. 18(2), pages 1-30, June.
    4. Utterback, James M & Abernathy, William J, 1975. "A dynamic model of process and product innovation," Omega, Elsevier, vol. 3(6), pages 639-656, December.
    5. Cohen, Wesley M & Klepper, Steven, 1996. "A Reprise of Size and R&D," Economic Journal, Royal Economic Society, vol. 106(437), pages 925-951, July.
    6. Tove Brink, 2014. "The Impact On Growth Of Outside-In And Inside-Out Innovation In Sme Network Contexts," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 18(04), pages 1-25.
    7. Loderer, Claudio & Waelchli, Urs, 2010. "Firm age and performance," MPRA Paper 26450, University Library of Munich, Germany.
    8. Raymond Vernon, 1966. "International Investment and International Trade in the Product Cycle," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 80(2), pages 190-207.
    9. Kerrie Unsworth & Sukanlaya Sawang & Jennifer Murray & Paul Norman & Tamma Sorbello, 2012. "Understanding Innovation Adoption: Effects Of Orientation, Pressure And Control On Adoption Intentions," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 16(01), pages 1-35.
    10. Brouwer, Erik & Kleinknecht, Alfred, 1996. "Firm Size, Small Business Presence and Sales of Innovative Products: A Micro-econometric Analysis," Small Business Economics, Springer, vol. 8(3), pages 189-201, June.
    11. Elena Huergo & Jordi Jaumandreu, 2004. "How Does Probability of Innovation Change with Firm Age?," Small Business Economics, Springer, vol. 22(3_4), pages 193-207, April.
    12. Lutz Trettin & Friederike Welter, 2011. "Challenges for spatially oriented entrepreneurship research," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 23(7-8), pages 575-602, September.
    13. Mark Rogers, 2004. "Networks, Firm Size and Innovation," Small Business Economics, Springer, vol. 22(2), pages 141-153, March.
    14. Freel, Mark S., 2003. "Sectoral patterns of small firm innovation, networking and proximity," Research Policy, Elsevier, vol. 32(5), pages 751-770, May.
    Full references (including those not matched with items on IDEAS)

    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. de Jong, Jeroen P.J. & Marsili, Orietta, 2006. "The fruit flies of innovations: A taxonomy of innovative small firms," Research Policy, Elsevier, vol. 35(2), pages 213-229, March.
    2. Paul Robson & Helen Haugh & Bernard Obeng, 2009. "Entrepreneurship and innovation in Ghana: enterprising Africa," Small Business Economics, Springer, vol. 32(3), pages 331-350, March.
    3. Ye Seul Choi & Up Lim, 2017. "Contextual Factors Affecting the Innovation Performance of Manufacturing SMEs in Korea: A Structural Equation Modeling Approach," Sustainability, MDPI, vol. 9(7), pages 1-15, July.
    4. García-Quevedo, José & Pellegrino, Gabriele & Vivarelli, Marco, 2014. "R&D drivers and age: Are young firms different?," Research Policy, Elsevier, vol. 43(9), pages 1544-1556.
    5. Andrea Vaona & Mario Pianta, 2008. "Firm Size and Innovation in European Manufacturing," Small Business Economics, Springer, vol. 30(3), pages 283-299, March.
    6. Tavassoli, Sam, 2015. "Innovation determinants over industry life cycle," Technological Forecasting and Social Change, Elsevier, vol. 91(C), pages 18-32.
    7. Carlino, Gerald & Kerr, William R., 2015. "Agglomeration and Innovation," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 349-404, Elsevier.
    8. Stam, Wouter, 2009. "When does community participation enhance the performance of open source software companies?," Research Policy, Elsevier, vol. 38(8), pages 1288-1299, October.
    9. Hana Kim & Eungdo Kim, 2018. "How an Open Innovation Strategy for Commercialization Affects the Firm Performance of Korean Healthcare IT SMEs," Sustainability, MDPI, vol. 10(7), pages 1-14, July.
    10. Pascal L. Ghazalian & Ali Fakih, 2017. "R&D and Innovation in Food Processing Firms in Transition Countries," Journal of Agricultural Economics, Wiley Blackwell, vol. 68(2), pages 427-450, June.
    11. Wilfred Dolfsma & Gerben Velde, 2014. "Industry innovativeness, firm size, and entrepreneurship: Schumpeter Mark III?," Journal of Evolutionary Economics, Springer, vol. 24(4), pages 713-736, September.
    12. Christian Rammer & Dirk Czarnitzki & Alfred Spielkamp, 2009. "Innovation success of non-R&D-performers: substituting technology by management in SMEs," Small Business Economics, Springer, vol. 33(1), pages 35-58, June.
    13. Bos, Jaap W.B. & Economidou, Claire & Sanders, Mark W.J.L., 2013. "Innovation over the industry life-cycle: Evidence from EU manufacturing," Journal of Economic Behavior & Organization, Elsevier, vol. 86(C), pages 78-91.
    14. Pellegrino, Gabriele & Piva, Mariacristina & Vivarelli, Marco, 2009. "How Do Young Innovative Companies Innovate?," IZA Discussion Papers 4301, Institute of Labor Economics (IZA).
    15. Pellegrino, Gabriele & Piva, Mariacristina & Vivarelli, Marco, 2012. "Young firms and innovation: A microeconometric analysis," Structural Change and Economic Dynamics, Elsevier, vol. 23(4), pages 329-340.
    16. Ohsung Kwon, 2020. "A study on how startups approach sustainable development through intellectual property," Sustainable Development, John Wiley & Sons, Ltd., vol. 28(4), pages 613-625, July.
    17. Neil Thompson & Erik Stam, 2010. "Macroeconomic Dynamics and Innovation: SME innovation in the Netherlands, 1999-2009," Innovation Studies Utrecht (ISU) working paper series 10-03, Utrecht University, Department of Innovation Studies, revised May 2010.
    18. repec:bof:bofrdp:urn:nbn:fi:bof-201512111472 is not listed on IDEAS
    19. José García-Quevedo & Gabriele Pellegrino & Marco Vivarelli, 2011. "The determinants of YICs’ R&D activity," Working Papers 2011/31, Institut d'Economia de Barcelona (IEB).
    20. Sam Tavassoli & Nunzia Carbonara, 2014. "The role of knowledge variety and intensity for regional innovation," Small Business Economics, Springer, vol. 43(2), pages 493-509, August.
    21. Conte, Andrea & Vivarelli, Marco, 2005. "One or Many Knowledge Production Functions? Mapping Innovative Activity Using Microdata," IZA Discussion Papers 1878, Institute of Labor Economics (IZA).

    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:wsi:ijimxx:v:21:y:2017:i:07:n:s136391961750061x. 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: Tai Tone Lim (email available below). General contact details of provider: http://www.worldscinet.com/ijim/ijim.shtml .

    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.