scholarly journals Evaluating the Relationship between Stakeholder Pressure and Innovation in Ghanaian SMEs: Moderating Role of Firm Size

Author(s):  
Samuel Kofi Otchere ◽  
Hongyun Tian ◽  
Cephas Paa Kwasi Coffie

The study examines the relationship between stakeholder pressure and innovation (Technological and non-technological) in Ghanaian SMEs. Further, it explores the moderating role of firm size in this relationship. This is in response to the ongoing debate on the role of innovation in the performance and survival of small businesses in Ghana. Using the survey response of 523 registered SMEs, the SmartPLS model estimate reveals that; stakeholder pressure influences both technological and non-technological innovation in Ghanaian SMEs. Further, the size of the SMEs has no significant moderation in the positive relationship between stakeholder pressure and innovation in Ghana. Consequently, SMEs in Ghana can take advantage of the pressure from internal and external stakeholders to innovate for sustainable growth. Again, the government should provide avenues for innovative collaborations between universities, government agencies, and SMEs. Finally, studies should focus on inexpensive innovation channels capable of transforming the SME industry of Ghana.

JEMBATAN ◽  
2020 ◽  
Vol 17 (2) ◽  
pp. 227-238
Author(s):  
Lia Febria Lina ◽  
Berlintina Permatasari

Social media is currently being used by both large companies and SMEs. For large companies the use of social media has been used successfully in reaching potential consumers. However, for SMEs, the marketing strategy of using social media is still being questioned. The purpose of this study is to fill the gaps in previous research by examining the driving factors for SMEs in using social media in promoting their products and testing how the performance of SMEs after adopting this technology is good both in financial and non-financial aspects that have not been done much research. The results of this study found that the compatible, cost-effective, interactive variables had a positive effect on the use of social media and subsequently had a positive effect on both financial and non-financial performance. However, the moderating role of social media capabilities cannot strengthen the relationship between use and the performance of SMEs. The results of this study are expected to be the basis for evaluating SMEs so that they can use digital media to support their business. The government must also pay attention to this to actively socialize the use of digital media for MSMEs so that the performance of SMEs can increase.


2021 ◽  
Vol 7 (1) ◽  
Author(s):  
Farid Ullah ◽  
Ma Degong ◽  
Muhammad Anwar ◽  
Saddam Hussain ◽  
Rizwan Ullah

AbstractFor this research, we examined the influence of access to domestic and international financing on sustainability performance with a mediating role of innovative performance and a moderating role of access to government support. Data were collected from 317 small and medium-sized enterprises (SMEs) through structured questionnaires. The results indicated that access to domestic and international financing significantly contributes to sustainability and innovative performances. Accordingly, we found a partial mediating role of innovative performance between access to domestic financing and sustainability performance as well as between access to international financing and sustainability performance. Access to government support significantly moderates the relationship between access to domestic finances and innovative performance as well as between access to international finances and innovative performance. Practitioners and policymakers should encourage national and international financial institutions and banks to facilitate SMEs by lending them funds for innovative activities and sustainability performance. Moreover, the government should support SMEs, so that they can contribute to economic growth and the gross domestic product. The implications from these matters will be further discussed in this paper.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Rizwan Ullah ◽  
Habib Ahmad ◽  
Fazal Ur Rehman ◽  
Arshad Fawad

PurposeThe aim of this research is to understand how government incentives (financial and non-financial) influence the relationship between green innovation and Sustainable Development Goals (SDGs) in SMEs.Design/methodology/approachTo contribute to the literature, this research uses empirical evidence of 204 Pakistani small and medium-sized enterprises (SMEs) and tests the moderating role of government support between green innovation and SDGs.FindingsThe findings indicate that green innovation has a significant influence on SDGs, community development and environmental activities. The government support significantly strengthens the relationship between green innovation and environmental practices, while it does not moderate the path between green innovation and community development.Practical implicationsThe research recommends SMEs focus on the adoption of green innovation and green technology to protect the environment and facilitate the community. Moreover, the research advises the government to assist SMEs financially and nonfinancially, so they will in turn help in the attainment of SDGs.Originality/valueThis research is the first attempt to assess the importance of green innovation in SDGs with a moderating role of government incentives in emerging SMEs. It provides several useful implications for policymaking.


2019 ◽  
Vol 12 (4) ◽  
pp. 182 ◽  
Author(s):  
Liangcheng Wang ◽  
Yining Dai ◽  
Yuye Ding

Small and medium enterprises (SMEs) face more risks for sustainable growth due to a lack of resources than large firms in emerging economies. Hence, it is more likely for SMEs to look to risk management for survival in turbulent markets. As a tool of risk management, whether internal control indeed has contributions to the sustainable growth of SMEs, particularly conditional on multiple large shareholders, is empirically unexplored. Using a sample of SMEs listed in China, this study examines the relationship between internal control and sustainable growth, and assesses a moderating role of multiple large shareholders. The results show that effective internal control significantly promotes SMEs to achieve sustainable growth, and the effect is moderated by multiple large shareholders, suggesting that the role of internal control is more prominent in SMEs with multiple large shareholders. These results are robust to a battery of sensitivity tests. This study extends the literature by providing empirical evidence on the role of internal control in SMEs’ sustainable growth.


2021 ◽  
Vol 12 ◽  
Author(s):  
Riaqa Mubeen ◽  
Dongping Han ◽  
Jaffar Abbas ◽  
Susana Álvarez-Otero ◽  
Muhammad Safdar Sial

This study focuses on exploring the relationship between chief executive officer (CEO) duality and firm performance. We focus on how the size and corporate social responsibility (CSR) of firms moderate this relationship. In terms of size, business organizations are of two types: small and large firms. This study uses datasets of listed Chinese business firms included in the China Stock Market and Accounting Research database. It employs a generalized method of moment’s technique to explore the connection between CEO duality and the performance of Chinese business firms through double mediation effects. Our empirical analysis showed that CEO duality has a significant negative relationship with firm performance. We also explored the moderating effects of firm size (small and large) and CSR practices on the relationship between CEO duality and improved performance of Chinese firms. Large firms and CSR practices showed significant and positive moderating effects on the relationship between CEO duality and firm performance. Conversely, with CEO duality, small firms showed a negative moderating influence on firm performance. This inclusive model provides valuable insights into how the dual role of the CEO of a firm affected the performance of Chinese firms through the moderating role of CSR practices and firm size for better business performance. The study offers empirical and theoretical contributions to the corporate governance literature. This research framework might help researchers in designing robust strategies to evaluate the effects on firm performance. Researchers may gain helpful insights using this methodology.


Akuntabilitas ◽  
2020 ◽  
Vol 13 (2) ◽  
pp. 137-150
Author(s):  
Dewi Ari Ani ◽  
Diannita Kusumaningrum ◽  
Arda Raditya Tantra

Sustainability reporting is a tool for companies to communicate the efforts and results they make in managing themselves based on their environment, social and economy. This study examines financial factors affecting the level of sustainability reporting disclosure moderated by audit committee activity. The samples used were go-public companies listed in SRI-KEHATI index in 2019, and the ones participated in the Sustainability Award organized by NCSR in 2019 and published the 2018 sustainability reporting. The results confirm that firm size does not affect the level of sustainability reporting disclosure, while both liquidity and profitability variable affect. The frequency of audit committee meetings fails to moderate the relationship between firm size and the level of sustainability reporting disclosure, but is able to moderate both of the relationships between liquidity and profitability with the level of sustainability reporting disclosure. This result is expected to provide benefits for academics in developing researches on sustainability reporting


2019 ◽  
Vol 48 (2) ◽  
pp. 492-510 ◽  
Author(s):  
Bo Zhang ◽  
Jianxun Chen ◽  
Amy Tian ◽  
Jonathan Morris ◽  
Hejun Fan

Purpose Following industry-based view’s (IBV) isomorphic trend among firms in the same industries, the purpose of this paper is twofold: first, to investigate whether industry capital intensity encourages or inhibits firm’s utilization of strategic HRM systems, particularly, high-commitment work systems (HCWS); and second, to examine the quadratic moderating role of firm size on the relationship between industry capital intensity and firms’ utilization of HCWS, drawing on the interactionist view of IBV and the resource-based view, as well as the interactive perspective in the contextualized HRM field. Design/methodology/approach The research design was time lagged. Firm-level subjectively rated data were collected from 168 large firms with more than 200 employees in Beijing. Industry-level objectively rated data were collected from the statistics yearbooks of Beijing city. Findings The industry capital intensity was positively related to firms’ utilization of HCWS, all else being equal. For large firms in this research, the relationship between industry capital intensity and firms’ utilization of HCWS was moderated by firm size in a quadratic way. Originality/value This research contributes to contextualized HRM literature by empirically examining the complex interactive effects of industry capital intensity and firm’s utilization of HCWS. First, it established the direct cross-level relationship between industry capital intensity and firms’ utilization of strategic HRM systems. Moreover, it explored the boundary conditions of such relationship by investigating the quadratic moderating role of firm size.


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