International Congress on Eurasian Economies
26-28 June 2024 – Bishkek, KYRGYZSTAN
Paper properties
Paper ID : 2876
Status : Paper accepted
Language : English
Topic : Microeconomics and Entrepreneurship
Presenter: Asst. Prof. Dr. Mehmet Civelek
Session : 6A Microeconomics
The impacts of innovative and technological abilities of small and medium-sized enterprises on their financial performance
The impacts of innovative and technological abilities of small and medium-sized enterprises on their financial performance
- Asst. Prof. Dr. Mehmet Civelek (Doğuş University, Türkiye)
Abstract
Although SMEs (small and medium-sized enterprises) make a great contribution on the employment and GDP of countries, they encounter many issues regarding their financial performance that is their main concern for their survival in the long-term. However, their technological and innovative capabilities that are based on Resource-Based View (RBV) can improve their innovation performance and this fact might enable them to improve their financial performance. In this regard, this paper aims to analyze how patent and trademark ownership, R&D alliances, R&D investments and R&D subsidies affect financial performance of SMEs. To hit this research target, this research employs a random sampling method and then directs an online survey to the randomly selected respondents. The executives of 479 SMEs have fulfilled the survey. Moreover, this paper applies Ordinal Logistic Regression model for analysis purposes. Although this paper assumes positive impacts of patent and trademark ownership, R&D alliances, R&D investments and R&D subsidies on financial performance, it confirms the negative impacts of these variables on financial performance of SMEs. This paper explains the results by mentioning some country-level, firm-level, and executive-level characteristics. Moreover, this paper proposes some policy implications in line with the result of this paper.
JEL codes: L25, L26, O32
