Strategic Management and SME Performance: A Systematic Literature Review

Small and medium-sized enterprises (SMEs) require effective strategic management (SM) to navigate market challenges, ensure business success and sustain competitive advantage. Despite existing research on the relationship between SM and SME performance, the literature remains fragmented, leaving gaps in understanding the most effective theories and practices. Thus, this study addresses these gaps through a systematic literature review of 295 articles from the Web of Science and Scopus databases. An integrative review organizes the literature on SM and SMEs into 10 key domains, providing a comprehensive view of the strategies and processes that drive business competitiveness. This research strengthens the literature by presenting an integrative framework that highlights adaptation and innovation strategies essential to SME sustainability and growth. The findings offer valuable insights for business policies and practices, outlining a relevant future agenda for researchers, managers and policymakers focused on enhancing SM’s effectiveness.