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Sme Growth Strategies: Organic Or Non-Organic?

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  • MIKA PASANEN

    (Department of Business and Management, University of Kuopio, Finland)

Abstract

This paper focuses on factors affecting the growth and performance of small and medium enterprises (SMEs). The aim was to identify strategic factors differentiating two types of growth firms, organic growth SMEs and acquisition growth SMEs. The comparison was based on the empirical data of 20 acquisition growth SMEs and 90 organic growth SMEs, The analysis revealed strategic differences, with important implications, between the two groups. The most noteworthy differences were related to their scale of operation, firm age, founders, and product and customer structures. The results increase our understanding of the factors affecting SME growth and performance in two different contexts of growth strategies. They suggest that firm growth pattern is associated with SME characteristics, and thus has managerial implications.

Suggested Citation

  • Mika Pasanen, 2007. "Sme Growth Strategies: Organic Or Non-Organic?," Journal of Enterprising Culture (JEC), World Scientific Publishing Co. Pte. Ltd., vol. 15(04), pages 317-338.
    • Handle: RePEc:wsi:jecxxx:v:15:y:2007:i:04:n:s0218495807000174
    DOI: 10.1142/S0218495807000174
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    Cited by:

    1. Mahmutaj Lura Rexhepi & Krasniqi Besnik, 2020. "Innovation Types and Sales Growth in Small Firms: Evidence from Kosovo," South East European Journal of Economics and Business, Sciendo, vol. 15(1), pages 27-43, June.
    2. Khaled Otman, 2023. "Small and Medium Enterprises in the Middle East and North Africa Region," International Journal of Business and Management, Canadian Center of Science and Education, vol. 16(5), pages 1-55, February.
    3. Elena Ahmadi & Gloria Macassa & Johan Larsson, 2021. "Managers’ work and behaviour patterns in profitable growth SMEs," Small Business Economics, Springer, vol. 57(2), pages 849-863, August.
    4. Wilaiporn Lao-Hakosol & John Walsh, 2016. "Sustainable Growth Strategies for 999 in the Era of the ASEAN Economic Community: Medical Equipment and Supplies Trading in Thailand during Changing Environmental Conditions," South Asian Journal of Business and Management Cases, , vol. 5(2), pages 136-144, December.
    5. Alessio Faccia & Corlise Liesl Le Roux & Vishal Pandey, 2023. "Innovation and E-Commerce Models, the Technology Catalysts for Sustainable Development: The Emirate of Dubai Case Study," Sustainability, MDPI, vol. 15(4), pages 1-29, February.
    6. Daniel Adrian Gârdan & Ionel Dumitru & Iuliana Petronela Gârdan & Carmen Adina Paștiu, 2020. "Touristic SME’s Competitiveness in the Light of Present Challenges—A Qualitative Approach," Sustainability, MDPI, vol. 12(21), pages 1-18, November.

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