Open Innovation Strategies for Overcoming Competitive Challenges Facing Small and Mid-Sized Enterprises

Abstract

The purpose of this dissertation is to explore how small and mid-sized enterprises (SMEs) can leverage open innovation to increase their economic viability and success in this modern, globalized post-industrial society marked by constant change and intense competition. To date, most open innovation research has focused exclusively on large companies, while neglecting the specific competitive challenges and strategies of SMEs. This dissertation evaluates the open innovation landscape from the vantage point of SMEs because these firms play a significant role in economies around the globe. Innovation is a crucial driver in their ability to survive, compete, and prosper. The dissertation author created three new models to explore the research topic. The first, the Holistic Model of Innovation, is useful to more fully understand the entire innovation landscape (both closed and open innovation as well as product and non-product innovations). This dissertation also presents the author’s SME Competitive Challenges Model , which identifies the main size-related competitive hurdles that SMEs face (i.e., challenges related to a lack of resources, limited dynamic capabilities, and excessive risk exposure). Additionally, the author presents his SME Open Innovation Strategies Model, which evaluates various open innovation strategies for overcoming these competitive challenges. This dissertation presents a series of propositions based on these new conceptual models and tests them by conducting a systematic review, several meta-syntheses, a case study, and multiple statistical meta-analyses with data from 34,676 SMEs across dozens of industries in 27 countries.