It is undeniable that SMEs represent an essential part of the business network in developed countries, especially in terms of their contribution to employment and wealth generation. However, it must also be recognised that they are subject to significant constraints when faced with competition from large organisations. SMEs contribute much more to the economy and society than might seem to be the case. They have great flexibility to adapt to the demands of the changing environment and to respond to the new needs and tastes of customers. Most experts agree that the business network needs to increase its competitiveness and productivity and initiate an intense process of globalisation and internationalisation to diversify its business. Facing these challenges means a deep change in their business models and processes, in their way of operating, in their way of doing things; it means betting on innovation and the talent of their professionals.

From the perspective of the resource-based approach, and analysing them strategically, with respect to resource endowment, these types of organisations include disadvantages in their short-term time horizon, but also some opportunities. For this reason, SMEs face several challenges: to obtain these resources and to develop these capabilities internally, to manage them efficiently, so as to gain a sustainable advantage over competitors. In view of this, SMEs can opt for different alternatives such as outsourcing and specialisation, among others.

Many SMEs have now opted to join networks, where the establishment of long-term partnerships based on mutual benefits and reciprocity reduces transaction costs and thus facilitates both the obtaining of resources provided by partners and the provision of goods and services to other members of the network. Partnerships are thus a key mechanism for SMEs to access assets that are more difficult to acquire or dispose of. The reality of SMEs is extremely diverse, both in terms of the characteristics of the organisation itself and the environment in which it operates.

It should be stressed that SMEs and entrepreneurship have always taken parallel paths until it became generalised by academia that they should be studied in an integrated way in training and doctoral programmes. Thus entrepreneurs are a very generalizable type of SME. Every day new companies, new businesses, new products and services which did not exist before are founded. Today, there is a growing trend towards this type of enterprise. There are people with an entrepreneurial spirit driven by the search for business opportunity.

The result is the creation and renewal of value in the widest sense, i.e. not only in economic value but also in social value, not only for the entrepreneurs but also for all the stakeholders related to them.

This is why entrepreneurship is so much promoted, but this activity involves several elements: the business opportunity, the resources needed to start it up, and people with sufficient knowledge to integrate these elements, which must go through a series of stages such as the generation of the idea, the creation, its launch and the final consolidation (and maintenance) of the company. In order to achieve all these aspects and stages, the SME needs to approach change by following a method that ensures success, new ideas to do things differently, new knowledge to adapt its business to the emerging market reality, impartiality in the analysis of its starting situation and to reflect on its business approach. Many of these needs cannot be addressed from within the company by its own staff, so it is necessary to consult with external consultants.

Colaboradores/as

• Clara Gieure Sastre - Universidad Católica de Valencia San Vicente Mártir
• Carla Martínez Climent - Universitat de València

Equipo de trabajo

• Daniel Palacios Marqués - Universitat Politècnica de València

Investigation activities