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The purpose of this paper is to explore whether collaborating with public research organizations (PROs) contributes to strengthening the innovation culture of small and medium sized enterprises (SMEs). We examine to what extent their innovation culture is reinforced by collaborations with research organizations and investigate the type of organizational strategies that enhance this effect of collaboration. The empirical study is based on a survey of firms that collaborate with the largest Spanish PRO, Spanish National Research Council (CSIC). Our results indicate that SMEs differ greatly in their capacity to strengthen their innovation culture through collaboration with research organizations. We show also that firms with formal innovation plans that develop internal and external search strategies are more likely to improve their innovation culture as a result of collaboration with PROs. These findings provide managers with new insights into how to strengthen their firms' innovation culture through collaboration with research organizations. [ABSTRACT FROM AUTHOR]

One of the main research questions in the field of strategic management is why firms obtain different performance levels. This paper answers this question from the strategic groups approach. This paper analyzes the linkage between strategic groups and firm performance offering a multilevel analysis about the relative importance of intergroup and intragroup performance differences based on the use of hierarchical linear models. The results show that intragroup differences explain firm performance better than intergroup differences. [ABSTRACT FROM AUTHOR]

Finding funding is one of the main problems small and medium enterprises (SMEs) face, which is why the European Union has set up programmes to support SME development. This paper has two objectives: firstly, to describe the different European funding programmes available to Spanish firms; secondly, to present an empirical study on the use Spanish SMEs (and especially, SMEs in the service sector) make of these programmes in order to innovate, together with an analysis of the importance these funding programmes have on SME innovation. [ABSTRACT FROM AUTHOR]

In this paper, we study the relationship between the international experience of small and medium-sized enterprises (SMEs) and their economic performance using intangible and financial asset stock, competitive strategy, and international intensity as mediating factors. The RBV provides the theoretical framework to develop a theoretical model postulating that international experience has an indirect effect on foreign growth and economic performance. This model was used to test a sample of 394 Spanish SMEs through the modelization of a structural equations system. Results show that superior economic performance is only achieved by SMEs that can turn the knowledge they gain from international experience into a large endowment of internationally exploitable intangible assets (irrespective of the fact that these assets form the basis for strengthening international intensity) and into a differentiation competitive strategy. [ABSTRACT FROM AUTHOR]

There is an intense debate in the literature on the impact of process management on innovation, and the division of opinions becomes particularly apparent with regard to radical innovation. Furthermore, organisational ambidexterity, the organisational capability to undertake incremental as well as radical innovation activities, has been underlined as a key source of competitiveness. In this article, we analyse how the cultural divergence driven by process management can affect organisational ambidexterity. Through a survey carried out on a sample of Spanish firms in the furniture and textile sectors, both of which have been drastically hit by competition from Asian firms, we conclude that the cultural context created by process management practices applied in a total quality management framework, which embraces exploitation along with exploration values, acts as a platform for developing organisational ambidexterity. Since organisational ambidexterity constitutes the capability of undertaking a rich variety of learning and innovation activities, these results could also have significant implications for practitioners, pointing to the need for close coordination between different functional areas in order to manage cultural change. [ABSTRACT FROM AUTHOR]

The expansion of the Internet has been spectacular, but only limited research has analysed how environmental and strategic variables simultaneously influence its organisational implementation and how small firms decide to adopt the use of the Internet. This study simultaneously examines the influence of three environmental dimensions (hostility, complexity and dynamism), and the three strategic dimensions (entrepreneurial, technological and administrative), upon the decision to introduce the use of the Internet into small business enterprises. We base our conclusions upon the data obtained from interviews with the managers of a sample of 94 small and medium-sized Spanish enterprises. Our results support a multidimensional view of environmental and strategic characteristics and show that all these variables constitute significant factors in deciding whether to introduce the Internet into company use. Logistic regression also shows the greater influence exerted by internal (strategic) factors and size rather than by environmental factors. [ABSTRACT FROM AUTHOR]