RT Journal Article
T1 How to improve market performance through competitive strategy and innovation in entrepreneurial SMEs
A1 Rubio Andrés, María De Las Mercedes
A1 Gutiérrez Broncano, Santiago
A1 Linuesa Langreo, Jorge
A1 Sastre Castillo, Miguel Ángel
AB Despite the limited resources of small and medium-sized enterprises (SMEs), they can still manage to be competitive and survive in the current environment by implementing competitive strategies that lead to innovation and improve their market performance. The aim of this study is to examine and analyse the effect of business strategy on market performance in Spanish small and medium-sized entrepreneurial enterprises, and the mediating effect of innovation is explored as a solution to business crises. In addition, we analyse the moderating effect that the perceived risk of COVID-19 may have on this relationship, as well as whether the commercialisation capacity of SMEs exerts an impact and improves performance based on innovation. Taking 1,842 Spanish entrepreneurial firms with fewer than 250 employees as a reference and using partial least squares structural equation modelling (PLS-SEM), our study shows that entrepreneurial SMEs that apply a competitive strategy can achieve enhanced innovation. Moreover, this innovation has a direct and positive effect on the market performance of SMEs, and this effect is greater under higher marketing capability. Our findings suggest a heterogeneous effect on the impact of the perceived risk of COVID-19 on the strategy-innovation relationship. In entrepreneurial SMEs that adopt a differentiation strategy, the perceived risk has an enhancing impact, while in entrepreneurial SMEs that follow cost strategies, the effect is negative.
PB Springer
YR 2024
FD 2024-03-04
LK https://hdl.handle.net/20.500.14352/101974
UL https://hdl.handle.net/20.500.14352/101974
LA eng
NO CRUE-CSIC agreement
NO Cátedra UCM-Cofares
NO Faculty of Commerce and Tourism Complutense University of Madrid
DS Docta Complutense
RD 19 abr 2025