This systematic literature review examines the crucial role of innovation in enhancing the performance of small and medium enterprises (SMEs). In order to succeed in competitive environments, innovation, which is the driving force of development, SMEs appear as a foundation. The study employs an established approach and follows Kraus's guidelines to ensure transparency and consistency in the evaluation process. The review analyzes four primary themes: innovation capabilities, organizational culture, strategic focus, and operational characteristics. Within these themes, eight sub-themes are identified as essential for understanding the relationship between innovation and success in small and medium-sized enterprises. Moreover, it promotes the need for future studies to prioritize qualitative methods, specifically in Asian settings, while allowing for the employing of various search strategies such as snowballing and citation tracking. Additionally, the study recommends using bibliometric analysis or meta-analysis to better understand this complex link and offer useful guidance for SMEs attempting to innovate.
Wahab et al. (Tue,) studied this question.
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