The Role of SMEs’ Innovativeness and Competitiveness in Their Financial Risk Management Concerns

Result code in IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F04130081%3A_____%2F22%3AN0000003" target="_blank" >RIV/04130081:_____/22:N0000003 - isvavai.cz</a>

Result on the web

<a href="https://www.cjournal.cz/files/467.pdf" target="_blank" >https://www.cjournal.cz/files/467.pdf</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.7441/joc.2022.04.06" target="_blank" >10.7441/joc.2022.04.06</a>

Result language

angličtina

Original language name

The Role of SMEs’ Innovativeness and Competitiveness in Their Financial Risk Management Concerns

Original language description

The majority of small and medium-sized enterprises (SMEs) worldwide are fragile and endangered in facing financial problems due to a lack of financial resources. To overcome these issues, their capabilities based on a Resource-based View (RBV), such as innovativeness and competitiveness, might enable them to reduce their major financial issues related to their financial risk management. In this regard, this paper aims to examine the impacts of SMEs' innovative and competitive attitudes on their financial risk management. Moreover, this paper examines whether those impacts differ depending on firm size. In line with those purposes, this paper analyzes 1221 Czech, Slovak, and Hungarian SMEs randomly selected from various databases. The researchers employ an online survey to collect the research data from the survey respondents, who are the executives of the analyzed SMEs. Concerning the data analysis, the researchers run Ordinal Logistic Regression Test. According to the results, while innovativeness negatively affects the financial risk management of SMEs, competitiveness does not. On the other hand, the results regarding firm size indicate that more competitive and less innovative microenterprises perform better in financial risk management compared to their less competitive and more innovative counterparts. However, competitiveness and innovativeness do not play determining roles in the financial risk management of small and medium-sized firms. The costs of R&D activities that firms face, the sectors that firms operate, and the educational status of the executives of SMEs might be strong arguments to explain the result of this paper.

Czech name

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Czech description

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Type

J_imp - Article in a specialist periodical, which is included in the Web of Science database

CEP classification

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OECD FORD branch

50204 - Business and management

Project

—

Continuities

N - Vyzkumna aktivita podporovana z neverejnych zdroju

Publication year

2022

Confidentiality

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Name of the periodical

Journal of Competitiveness

ISSN

1804-171X

e-ISSN

1804-1728

Volume of the periodical

14

Issue of the periodical within the volume

4

Country of publishing house

CZ - CZECH REPUBLIC

Number of pages

20

Pages from-to

97-116

UT code for WoS article

000908340400007

EID of the result in the Scopus database

2-s2.0-85147986782