How high-tech SMEs renew resources in innovation projects: A dynamic capabilities perspective

Abstract

Although resource renewal allows high-tech SMEs to adapt to environmental changes through innovation to seize new business opportunities and sustain competitiveness in volatile business environments, little is known about how they renew resources in innovation projects. This study addresses the research gap using the dynamic capabilities perspective. An inductive analysis of multiple cases of Malaysian high-tech SMEs finds that high-tech SMEs renew resources in four ways: by acquiring new technological resources to match customer requirements, using a prototype approach, by solving problems in projects, and by learning from involvement in their customers’ R&D activities.

Keywords

dynamic capabilities high-tech SMEs innovation projects resource renewal R&D activities

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