Towards a better understanding of intellectual capital in Mexican SMEs

2014 ◽  
Vol 15 (2) ◽  
pp. 316-332 ◽  
Author(s):  
Alain Daou ◽  
Egide Karuranga ◽  
Zhan Su

Purpose – The purpose of this paper is to understand the characteristics of intellectual capital (IC) in Mexican small and medium enterprises (SMEs). Due to the shift from traditional factors of production to knowledge-based economy, an understanding of the role of IC has become crucial for SMEs to develop a competitive advantage. Design/methodology/approach – This study takes an in depth look at the three components of IC: human, organizational, and external capital. In order to do so, a quantitative study on 445 SMEs was conducted based on data collected through an online survey. A structural equation model is proposed that is a fit with the reality of Mexican SMEs. Regional differences are highlighted by means of multigroup analysis. Findings – The results suggest that the features of human and organizational capital are consistent with previous studies on SMEs in emerging economies. However, external capital shows some distinctive characteristics unique to Mexican context. Practical implications – Implications for managers and policymakers are discussed, whereby an adaptation of programs and policies are required to fit the Mexican context at the national and regional levels. Originality/value – To the best of the authors knowledge, this is the first study that observes the components of IC in Mexican SMEs.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shafique Ur Rehman ◽  
Hamzah Elrehail ◽  
Abdallah Alsaad ◽  
Anam Bhatti

PurposeThis study explores central questions related to the connection between intellectual capital (IC) and the innovative performance of organizations through the mediating role of management control systems (MCS) and business strategies, as well as the moderating role of innovation capabilities.Design/methodology/approachThe data was collected from the managers of small and medium enterprises (SMEs) through a structured questionnaire. Out of 1,152 questionnaires distributed, only 415 were used for analysis purposes. Structural equation modelling (SEM) was used to test the study hypotheses.FindingsIntellectual capital significantly influences MCS, business strategies and innovative performance. Moreover, MCS, business strategies and innovative capabilities significantly improve innovative performance. MCS and business strategies significantly mediate the relationship between intellectual capital and innovative performance. Finally, innovative capabilities significantly moderate that between intellectual capital and innovative performance.Practical implicationsThe current research examines how management should use MCS, business strategies, and innovative capabilities to take maximum benefit from intellectual capital in order to improve innovative performance.Originality/valueThis is pioneering research that develops a theoretical model to incorporate intellectual capital, MCS, business strategies, innovative capabilities and innovative performance. Even though the influence of various kinds of intangible assets/resources on innovative performance has been widely examined in the literature, scant attention has been paid to the role of MCS, business strategies, and innovative capabilities in leveraging the firm's intellectual capital.


Author(s):  
Munshi Muhammad Abdul Kader Jilani ◽  
Luo Fan ◽  
Mansura Nusrat ◽  
Md. Aftab Uddin

Human values and affective traits were found to predict attitudes toward the use of different types of knowledge-based theory through creative climate. In this study (N =329), we aimed to gain a more comprehensive understanding of those predictors toward use in a structural equation model (SEM), providied a better overview of a possible structural path that drives to such antecedents for Small and Medium Enterprises (SMEs) in Bangladesh. Precisely, we predicted and found that the relations between the variables and impact of different variables were modeled and tested by applying SEM. Based on the questionnaires survey on SMEs in Bangladesh, this empirical study indicates that all the predictor variables significantly influence the endogenous variables except knowledge management (KM) and employee resilience (ER), and creative climate (CC) and organizational resilience (OR). The study provides several theoretical and practical implications for further research.


2017 ◽  
Vol 13 (3) ◽  
pp. 70
Author(s):  
Sakinah Mat Zin ◽  
Ahmad Azrin Adnan ◽  
Iskandar Hasan Tan Abdullah

In this era of knowledge-based economy, intellectual capital (IC) is considered as a critical component in an organizational effort to emphasize on accomplishing competitive advantages and enhancing value added for the organization. Besides concentrating only on new product innovations, small and medium enterprises should also be engaged in managing IC in accordance to Islamic teachings. An understanding to Islamic ethics and its upshots for superior performance facilitates entrepreneurs in managing IC strategically. This paper aims to re-scrutinize several contributions in Islamic ethics and IC in SME entrepreneurial researches, ascertain the main elements of IC as well as Islamic work ethics (IWE); and thus show how IWE is relevant for research in the area of IC.


2020 ◽  
Vol 21 (6) ◽  
pp. 893-911 ◽  
Author(s):  
Mírian Oliveira ◽  
Carla Curado ◽  
Andrea Raymundo Balle ◽  
Aino Kianto

PurposeThe purpose of this paper is to explore the relations among knowledge sharing (KS), intellectual capital (IC), absorptive capacity (AC), innovation (IN) and organizational performance (OP).Design/methodology/approachThis paper empirically tests a model that uses structural equation modeling (SEM) based on a partial least squares (PLS). The sample is composed of 351 Brazilian and 135 Portuguese enterprises. They are micro, small and medium enterprises.FindingsThe results show that: the relation between KS and AC is partially mediated by IC; the relation between IC and IN is partially mediated by AC and the relation between KS and IN is mediated by AC and IC or both. There are relations among KS, IC, AC, IN and OP.Research limitations/implicationsThe study does not control for industry effects and technological differences among the firms.Practical implicationsThe use of KS mitigates the loss of knowledge associated to employees' retirement or job changes. The knowledge appropriation by the organization (turning human capital (HC) into structural capital (SC)), the knowledge achieved from connections (relational capital, RC) and the trust embedded in an organization's relation with employees are important for AC and IN. Moreover, KS can positively influence all elements of IC. OP depends directly on IN and indirectly on the others constructs.Originality/valueThis study is relevant because it explores the relations among KS, IC, AC, IN and OP in one model. Moreover, it focuses on small and mid-size enterprises (SMEs) with data from two countries.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sevenpri Candra ◽  
I Nyoman Agus Dwi Wiratama ◽  
Muhammad Airlangga Rahmadi ◽  
Vincent Cahyadi

Purpose Micro, small and medium enterprises (MSMEs) are a critical part of a country or region’s economy. They have contributed to more than half of Indonesia’s gross domestic product. However, MSMEs today are still getting problems and obstacles in the Indonesian industry. One of them is the lack of knowledge about entrepreneurship that hampers the development of a business and the emergence of innovation. This study aims to understand the innovation process and extend the knowledge regarding entrepreneurship in food and beverage MSMEs in Greater Jakarta Area. Design/methodology/approach This study is descriptive–associative research. It uses the online survey as a data collection method with a cross-sectional design. The sampling technique is purposive sampling with the criteria foodpreneurs from MSMEs in Greater Jakarta Area. The data are measured using Likert scale and analyzed using structural equation modeling-partial least squares. Findings The results suggest that centralized decision-making positively impacts collaboration, communication and contributes to innovation. Communication effects the entrepreneur's knowledge and collective entrepreneurship. In terms of collaboration, it affects entrepreneur's knowledge and collective entrepreneurship. Then, the entrepreneur's knowledge and collective entrepreneurship influence innovation. Research limitations/implications This research is only conducted using MSMEs of food and beverages in Greater Jakarta Area as the samples. Hence the results cannot be generalized. Different sectors may have different results. Practical implications A centralized decision can be done but limited in certain situations only. Then, foodpreneurs should collaborate and communicate more intensely with their employees. It will impact the harmonious collaboration and collective problem-solving to achieve creative solutions. Originality/value There is limited research focusing on foodpreneurs and the innovation process. So, this research results can add to the existing literature review.


Author(s):  
Omolomo Odunayo Tobora

An entrepreneur is one who contributes significantly more than others to the economy by virtue of innovation and realizing new combinations. Which involve creation of a new product, a new method of production, the opening of a new market, the capture of a new source of supply, or a new organization of industry. Entrepreneurship of SMEs performance in knowledge-based economy. In addition, this study also explores the challenges which are facing small and medium enterprises (SMEs) in Nigeria. The significance of the study will add to the knowledge about current issues relating to SMEs in Nigeria The main thrust of this study is challenging which face Entrepreneur of small and medium scale enterprises (SMEs) on business performance in Nigeria.


2018 ◽  
Vol 22 (3) ◽  
pp. 276-291 ◽  
Author(s):  
Mohit Goswami ◽  
Gopal Kumar

Purpose This paper aims to analyze the agile manufacturing practices in small and medium enterprises (SMEs) within the auto-ancillary sector spread across eastern India. Using statistical method, a number of crucial insights have been captured and discussed in detail. Design/methodology/approach A structural equation model (SEM) encapsulating pertinent agile manufacturing attributes and enablers as the focal construct is conceptualized and validated in this research. The SEM model is evolved in a manner that agile attributes and agile enablers are modeled as latent dependent and manifest variable, respectively. Findings A number of key hypothesis entailing interactions of key agility enablers, i.e. manufacturing responsiveness agility, manufacturing strategy agility, workforce agility, technology agility, manufacturing management agility, etc. are conceptualized and validated. Originality/value The authors specifically focus on evolving agile manufacturing framework (characterized by agility enablers and attributes) that lies at the intersection of SMEs, automotive sector and an emerging economy.


2020 ◽  
Vol 14 (3) ◽  
pp. 303-315
Author(s):  
Gbemi Oladipo Olaore ◽  
Bimbo Onaolapo Adejare ◽  
Ekpenyong Ekpenyong Udofia

Purpose Global presence pursuit by Nigerian firms has increased the inquiry into internationalization. While a few implement regional presence, the pros and cons of full internationalization are evaluated. Giving the scarce empirical research, this paper aims to add to scholarly works and knowledge on internationalization and establish regional internationalization as the feasible option for Nigerian firms. Design/methodology/approach Random and stratified sampling techniques were used. Data collection was conducted with questionnaire copies and analyzed with confirmatory factor analysis and structural equation model. Findings Internationalization strategy enhances small and medium enterprises (SME’s) competitive advantage, and full internationalization seems unrealistic for Nigerian firms; however, regional internationalization is the bedrock for full internationalization. Finally, the nature of the Nigerian business environment developed an increased value creation process in SMEs through increased flexibility and problem-solving abilities. Practical implications SMEs should internationalize partially, and critically evaluate socio-cultural and institutional environmental challenges in this study, to enable them to strategize for full internationalization. Originality/value The study demonstrates that the only way to fast track the internationalization drive of SME’s in Nigeria is first to embrace regional internationalization because it is difficult to achieve full internationalization at a go. Then, apply appropriate strategies to embrace full internationalization in the nearest future.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Muneer Abbad ◽  
Ibrahim Hussien Musa Magboul ◽  
Kholoud AlQeisi

Purpose In response to a turbulent industrial environment, especially for small and medium enterprises (SMEs), organizations have widely adopted e-business to improve their processes. This study aims to propose a model that encapsulates the determinants and outcomes of e-business adoption. Design/methodology/approach The determinants and outcomes of e-business adoption were tested using data gathered from 282 managers and analysed using structural equation modelling techniques. Findings The results indicated that owner support, perceived ease of use and government support were important determinants that influence e-business adoption. Attitude, competitive pressureand relative advantage were not significant. Regarding outcomes, e-business adoption had a major impact on SME functioning and operational progress; however, it had no influence on competitive advantage. Originality/value By ascertaining the determinants and outcomes of e-business adoption, the findings provide e-business practitioners and managers with guidelines that can encourage more efficient and effective e-business adoption within their organizations. The results also provide a basis for more precise e-business studies to be conducted in developing countries.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Bahadur Ali Soomro

Purpose At present, nearly the whole globe is facing a severe threat of COVID-19. This study aims to examine the COVID-19 complications and entrepreneurial intention among the entrepreneurs of Pakistan. Design/methodology/approach The study used a deductive approach. An online survey is conducted to collect cross-sectional data from entrepreneurs of Pakistan. Convenience sampling is applied to target the respondents. In total, 278 usable answers proceed for final analysis. The structural equation model (SEM) is used to infer the results. Findings The findings of the study highlight a significant negative effect of fear of COVID-19 (FO19), perceived susceptibility (PSU) and perceived severity (PSE) on entrepreneurial intention (EI) among the entrepreneurs. Practical implications The study would provide the guidelines for policymakers and planners to combat the barriers of fear, PSU and PSE during a pandemic. The findings of the second wave of COVID-19 may provide a warning to the government to take preventive measures to face the severe effect of the pandemic. Finally, the outcomes of the study may enrich the depth of COVID-19 literature globally. Originality/value This study is the first study highlighting factors such as fear, PSU and PSE toward EI in COVID-19 second wave.


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