Browse > Article
http://dx.doi.org/10.13106/jafeb.2021.vol8.no3.0411

The Effect of Technology and Open Innovation on Women-Owned Small and Medium Enterprises in Pakistan  

MEHTA, Ahmed Muneeb (Hailey College of Banking and Finance, University of the Punjab)
ALI, Asad (Hailey College of Banking and Finance, University of the Punjab)
SALEEM, Hina (Institute of Business and Information Technology, University of the Punjab)
QAMRUZZAMAN, Md. (School of Business and Economics, United International University)
KHALID, Rimsha (Department of Business and Management, Limkokwing University of Creative Technology)
Publication Information
The Journal of Asian Finance, Economics and Business / v.8, no.3, 2021 , pp. 411-422 More about this Journal
Abstract
Technological adaption and innovative activities foster small and medium enterprises (SMEs) growth, especially women-owned SMEs in Pakistan, However, the impact of technological adaption and innovative activities on SMEs growth in the context of Pakistan has been examined by very researchers. This study aims to identify the effect of technology and open innovation policies on the growth of women-owned SMEs and the present trends and management challenges for successful full implementation of open innovation. The study considered a sample of 693 women enterprises located in different cities in Pakistan. Open innovation is measured through eight innovative practices, reflecting the exploration and exploitation of technology in SMEs. Study findings revealed that women enterprises were involved in several open innovation policies during the last five years. Moreover, the study indicated no significant differences between manufacturing and service SMEs regarding open innovation practices; however, women enterprises are more impressively engaged in open innovation practices. Findings also reveal that women-owned SMEs follow open innovation, mainly for market-related intentions, to compete with competitors and meet customers' demands. Thus, it is suggested that government policy relating to thriving SMEs owned by women should be innovation-oriented. The study contributes to the theoretical and practical implications. Further, the study is helpful for SMEs, researchers, practitioners, and decision-makers.
Keywords
Open Innovation; SMEs; Technology; Trends; Motives; Management Challenges;
Citations & Related Records
연도 인용수 순위
  • Reference
1 Lestari, S. D., Leon, F. M., Widyastuti S, Brabo, N. A., & Putra, A. H. P. K. (2020). Antecedents and consequences of innovation and business strategy on performance and competitive advantage of SMEs. The Journal of Asian Finance, Economics, and Business, 7(6) 365-378. https://doi.org/10.13106/jafeb.2020.vol7.no6.365   DOI
2 Lichtenthaler, U. (2008). Open innovation in practice: An analysis of strategic approaches to technology transactions. IEEE Transactions on Engineering Management, 55(1), 148-157. https://doi.org/10.1109/TEM.2007.912932   DOI
3 Lichtenthaler, U. (2009). Outbound open innovation and its effect on firm performance: Examining environmental influences. R&D Management, 3I(4), 317-330. https://doi.org/10.1111/j.1467-9310.2009.00561   DOI
4 Lichtenthaler, U., & Lichtenthaler, E. (2009). A capability‐based framework for open innovation: Complementing absorptive capacity. Journal of Management Studies, 46(8), 1315-1338. https://doi.org/10.1111/j.1467-6486.2009.00854   DOI
5 Neyer, A. K., Bullinger, A. C., & Moeslein, K. M. (2009). Integrating inside and outside innovators: A sociotechnical systems perspective. R&D Management, 39(), 410-419. https://doi.org/10.1111/j.1467-9310.2009.00566.   DOI
6 Battistella, C., De Toni, A. F., & Pillon, R. (2015). The extended map methodology: Technology road-mapping for SMEs clusters. Journal of Engineering and Technology Management, 43(7), 1-23. https://doi.org/10.1016/j.jengtecman.2015.05.006.   DOI
7 Brusoni, S., & Prencipe, A. (2001). Managing knowledge is loosely coupled networks: Exploring the links between product and knowledge dynamics. Journal of Management Studies, 38, 1019-1035. https://doi.org/10.1111/1467-6486.00270   DOI
8 Chesbrough, H. W., & Bogers M. (2014). Explicating open innovation: Clarifying an emerging paradigm for understanding innovation. In Chesbrough, H. Vanhaverbeke W. & J. West (Eds.), New frontiers in open innovation (pp. 3-28). Oxford: Oxford University Press. https://doi.org/10.1093/acprof:oso/9780199682461.001.0001   DOI
9 Chesbrough, H. W., Vanhaverbeke., W., & West J. (2006). Open innovation: Researching a new paradigm. Oxford, UK: Oxford University Press.
10 Nieto, M. J., & Santamaria, L. (2010). Technological collaboration: Bridging the innovation gap between small and large firms. Journal of Small Business Management, 48(1), 44-69. https://doi.org/10.1111/j.1540-627X.2009.00286   DOI
11 The Organisation for Economic Co-operation and Development (OECD). (2017). Small, medium, strong. Trends in SME performance and business conditions. Paris, France: OECD Publishing.
12 Sadat, S. H., & Nasrat, S. (2020). The practice of open innovation by SMEs in the food industry. Journal of Innovation Management, 8(2), 26-46. https://doi.org/10.24840/2183-0606_008.002_0004   DOI
13 Chesbrough, H. W. (2003). Open innovation: The new imperative for creating and profiting from technology. Boston, MA: Harvard Business Press.
14 Chesbrough, H. W., & Vanhaverbeke W. (2018). Open innovation and public policy in the EU with implications for SMEs. In: W. Vanhaverbeke, F. Frattini, N. Roijakkers, & M. Usman (Eds.), Researching open innovation in SMEs (pp. 455-492). Singapore: World Scientific Publishing. https://doi.org/10.1142/9789813230972_0015   DOI
15 Parida V., Westerberg M., & Frishammar J. (2012). Inbound open innovation activities in high‐tech SMEs: the impact on innovation performance. Journal of Small Business Management, 50(2), 283-309. https://doi.org/10.1111/j.1540-627X.2012.00354   DOI
16 Prencipe, A. (2000). Breadth and depth of technological capabilities in CoPS: The case of the aircraft engine control system. Research Policy, 29(7-8), 895-911. https://doi.org/10.1016/S0048-7333(00)00111-6   DOI
17 Qamruzzaman, M., & Jianguo, W. (2019). SME financing innovation and SME development in Bangladesh: An application of ARDL. Journal of Small Business & Entrepreneurship, 31(6), 521-545. https://doi.org/10.1080/08276331.2018.1468975   DOI
18 Sammarra, A., & Biggiero, L. (2008). Heterogeneity and specificity of inter‐firm knowledge flow in innovation networks. Journal of Management Studies, 45(4), 800-829. https://doi.org/10.1111/j.1467-6486.2008.00770   DOI
19 Schumpeter, J. (1912). Theorie der Wirtschaftlichen Entwicklung. In J. Backhaus (Ed.), The European heritage in economics and social sciences (pp. 5-59). Switzerland: Springer. https://doi.org/10.1007/0-306-48082-4_2   DOI
20 D'Angelo, A., & Baroncelli, A. (2020). An investigation over inbound open innovation in SMEs: insights from an Italian manufacturing sample. Technology Analysis & Strategic Management, 32(5), 542-560. https://doi.org/10.1080/09537325.2019.1676888   DOI
21 Dahl, D. W., & Moreau. P. (2002). The influence and value of analogical thinking during new product ideation. Journal of Marketing Research, 39(4), 47-60. https://doi.org/10.1509/jmkr.39.1.47.18930   DOI
22 Durst, S., & Stahle, P. (2013). Success factors of open innovation-a literature review. International Journal of Business Research and Management, 4(4), 111-131. https://www.cscjournals.org/manuscript/Journals/IJBRM/Volume4/Issue4/IJBRM-154.pdf
23 Gilson, L. L., & Litchfield, R. C. (2017). Idea collections: A link between creativity and innovation. Innovation, 19(1), 80-85. https://doi.org/10.1080/14479338.2016.1270765   DOI
24 Gans, J. S., & Stern, S. (2003). The product market and the market for "ideas": Commercialization strategies for technology entrepreneurs. Research Policy, 32(2), 333-350. https://doi.org/10.2139/ssrn.317219   DOI
25 Gassmann, O. (2006). Opening up the innovation process: Towards an agenda. R & D Management, 36(3), 223-228. https://doi.org/10.1111/j.1467-9310.2006.00437   DOI
26 Gassmannm, O., Enkel, E., & Chesbrough. H. (2010). The future of open innovation. R&D Management, 40(3), 213-221. https://doilorg/10.1111/j.1467-9310.2010.00605   DOI
27 Gomes-Casseres, B. (1997). Alliance strategies of small firms. Small Business Economics, 9(11), 33-44. https://doi.org/10.1023/A:1007947629435   DOI
28 Clausen, T. H., & Pohjola, M. (2009). International competitiveness: Internal capabilities and open innovation as sources of export performance (Working Paper No. 5). MICRO-DYN.
29 Sivadas, E., & Dwyer, F. R. (2000). An examination of organizational factors influencing new product success in internal and alliance-based processes. Journal of Marketing, 64(1), 31-49. https://doi.org/10.1509/jmkg.64.1.31.17985   DOI
30 Scuotto, V., Santoro, G., Bresciani, S., & Guidice, M. D. (2017). Shifting intra‐and inter‐organizational innovation processes towards digital business: An empirical analysis of SMEs. Creativity and Innovation Management, 26(3), 247-255. https://doi.org/10.1111/caim.12221   DOI
31 Sundgren, M., Dimenas, E., Gustafsson, J. E, & Selart, M. (2005). Drivers of organizational creativity: A path model of creative climate in pharmaceutical R&D. R&D Management, 35(4), 359-374. https://doi.org/10.1111/j.1467-9310.2005.00395   DOI
32 Van de Vrande, V., De Jong, J. P., Vanhaverbeke, W., & Rochmente, M. H. D. (2009). Open innovation in SMEs: Trends, motives and management challenges. Technovation, 29(6-7), 423-437. https://doi.org/10.1016/j.technovation.2008.10.001   DOI
33 Van Dijk, C., & Van Den Ende, J. (2002). Suggestion systems: Transferring employee creativity into practicable ideas. R&D Management, 32(5), 387-395. https://doi.org/10.1111/1467-9310.00270   DOI
34 Vossen, R. W. (1998). Relative strengths and weaknesses of small firms in innovation. International Small Business Journal, 16(3), 88-94. https://doi.org/10.1177/0266242698163005   DOI
35 Vu, H. M. (2020). A review of dynamic capabilities, innovation capabilities, entrepreneurial capabilities, and their consequences. The Journal of Asian Finance, Economics, and Business, 7(8), 485-494. https://doi.org/10.13106/jafeb.2020.vol7.no8.485   DOI
36 Khalid, B., Iqbal, R., & Hashmi, S. D. (2020a). Impact of workplace ostracism on knowledge hoarding: Mediating role of defensive silence and moderating role of experiential avoidance. Future Business Journal, 6(13), 1-10. https://doi.org/10.1186/s43093-020-00045-6   DOI
37 Yunitarini, R., & Santoso, P. B. (2018). A literature review of electronic data interchange as electronic business communication for manufacturing. Management and Production Engineering Review. 9(4), 117-128. https://doi.org/10.24425/119552.   DOI
38 Henkel, J. (2006). Selective revealing in open innovation processes: The case of embedded Linux. Research Policy, 35(7), 953-969. https://doi.org/10.1016/j.respol.2006.04.010   DOI
39 Jianguo, W., & Qamruzzaman, M. (2017). An assessment of total factor productivity (TFP) of SME business in Bangladesh using DEA-based Malmquist Productivity Index (MPI). ABC Journal of Advanced Research 6(1), 31-40. https://doi.org/10.18034/abcjar.v6i1.68   DOI
40 Keil, A., Bradley, M. M. Hauk, O. (2002). Large‐scale neural correlates of affective picture processing. Psychophysiology, 39(5), 641-649. https://doi.org/10.1111/1469-8986.3950641   DOI
41 Khalid, R., Mehta, A. M., & Serfraz, A. (2020b). Role of women entrepreneurs in economic activities: Analyzing the factors affecting women empowerment and the way forward. PalArch's Journal of Archaeology of Egypt/Egyptology, 17(6), 3957-3975.
42 Khan, H., Khawaja, M. R., Waheed A., Rauf, M. A., & Fatmi, Z. (2006). Knowledge and attitudes about health research amongst a group of Pakistani medical students. BMC Medical Education, 54(6), https://doi.org/10.1186/1472-6920-6-54.   DOI
43 Lakhani, K. R., Jeppesen, L. B., Lohse, P. A., & Paneta, J. A. (2007). The value of openness in scientific problem solving: Princeton, NJ: Citeseer.
44 Laursen, K, & Salter, A. (2006). Open for innovation: The role of openness in explaining innovation performance among UK manufacturing firms. Strategic Management Journal, 27(2), 131-150. https://doi.org/10.1002/smj.507   DOI
45 Lee S., Park, G., Yoon, B., & Park, J. (2010). Open innovation in SMEs: An intermediated network model. Research Policy, 39(2), 290-300. https://doi.org/10.1016/j.respol.2009.12.009   DOI
46 Le, T. N., & Nguyen, D. D. (2020). An impact of budgetary goal characteristics on performance: The case of Vietnamese SMEs. The Journal of Asian Finance, Economics, and Business, 7(8), 363-370.   DOI
47 Leckel, A., Veilleux, S., & Dana, L. P. (2020). Local open innovation: A means for public policy to increase collaboration for innovation in SMEs. Technological Forecasting and Social Change 153(C), 119891. https://doi.org/10.1016/j.techfore.2019.119891   DOI