73
Views
0
CrossRef citations to date
0
Altmetric
Research Article

Employee protection and innovation in small and medium-sized enterprises: the moderating effect of regional digitalization

, , &
Received 03 Jan 2023, Accepted 04 Feb 2024, Published online: 28 Feb 2024

References

  • Andries, P., and D. Czarnitzki. 2014. “Small Firm Innovation Performance and Employee Involvement.” Small Business Economics 43 (1): 21–38. https://doi.org/10.1007/s11187-014-9577-1
  • Ash, S. R. 2007. “Why Should Small Businesses Care about Employee Diversity?: Five Areas of Research That Influence Organizational Results.” Journal of Small Business & Entrepreneurship 20 (3): 223–232. https://doi.org/10.1080/08276331.2007.10593396
  • Assefa, D. Z., C. T. Liao, and B. A. Misganaw. 2022. “Unpacking the Negative Impact of Initial Informality on Innovation: The Mediating Roles of Investments in R&D and Employee Training.” Technovation 114: 102455. https://doi.org/10.1016/j.technovation.2022.102455
  • Bae, K. H., J. K. Kang, and J. Wang. 2011. “Employee Treatment and Firm Leverage: A Test of the Stakeholder Theory of Capital Structure.” Journal of Financial Economics 100 (1): 130–153. https://doi.org/10.1016/j.jfineco.2010.10.019
  • Balsmeier, B. 2017. “Unions, Collective Relations Laws and R&D Investment in Emerging and Developing Countries.” Research Policy 46 (1): 292–304. https://doi.org/10.1016/j.respol.2016.11.005
  • Bharadwaj, A., O. A. El Sawy, P. A. Pavlou, and N. V. Venkatraman. 2013. “Digital Business Strategy: Toward a Next Generation of Insights.” MIS Quarterly 37 (2): 471–482. https://doi.org/10.25300/MISQ/2013/37:2.3
  • Biggerstaff, L., B. Blank, and B. Goldie. 2019. “Do Incentives Work? Option-Based Compensation and Corporate Innovation.” Journal of Corporate Finance 58: 415–430. https://doi.org/10.1016/j.jcorpfin.2019.06.005
  • Birkinshaw, J., G. Hamel, and M. J. Mol. 2008. “Management Innovation.” Academy of Management Review 33 (4): 825–845. https://doi.org/10.5465/amr.2008.34421969
  • Bouwman, H., S. Nikou, and M. de Reuver. 2019. “Digitalization, Business Models, and SMEs: How Do Business Model Innovation Practices Improve Performance of Digitalizing SMEs.” Telecommunications Policy 43 (9): 101828. https://doi.org/10.1016/j.telpol.2019.101828
  • Brieger, S. A., F. Chowdhury, D. M. Hechavarría, E. Muralidharan, S. Pathak, and Y. T. Lam. 2022. “Digitalization, Institutions and New Venture Internationalization.” Journal of International Management 28 (4): 100949. https://doi.org/10.1016/j.intman.2022.100949
  • Brown, S. L., and K. M. Eisenhardt. 1997. “The Art of Continuous Change: Linking Complexity Theory and Time-Paced Evolution in Relentlessly Shifting Organizations.” Administrative Science Quarterly 42 (1): 1–34. https://doi.org/10.2307/2393807
  • Bulturbayevich, M. B., and M. B. Jurayevich. 2020. “The Impact of the Digital Economy on Economic Growth.” International Journal of Business, Law, and Education 1 (1): 4–7.
  • Bunduchi, R. 2017. “Legitimacy‐Seeking Mechanisms in Product Innovation: A Qualitative Study.” Journal of Product Innovation Management 34 (3): 315–342. https://doi.org/10.1111/jpim.12354
  • Chang, S., and H. Jo. 2019. “Employee‐Friendly Practices, Product Market Competition and Firm Value.” Journal of Business Finance & Accounting 46 (1–2): 200–224. https://doi.org/10.1111/jbfa.12353
  • Chen, C., Y. Chen, P. H. Hsu, and E. J. Podolski. 2016. “Be Nice to Your Innovators: Employee Treatment and Corporate Innovation Performance.” Journal of Corporate Finance 39: 78–98. https://doi.org/10.1016/j.jcorpfin.2016.06.001
  • Chen, Z., Y. Xu, Z. Tian, and X. Meng. 2022. “The Impact of Social Insurance Law on Corporate Innovation: Evidence from a Quasi-Natural Experiment.” Economic Modelling 111: 105830. https://doi.org/10.1016/j.econmod.2022.105830
  • Choi, C., and M. H. Yi. 2009. “The Effect of the Internet on Economic Growth: Evidence from Cross-Country Panel Data.” Economics Letters 105 (1): 39–41. https://doi.org/10.1016/j.econlet.2009.03.028
  • Demirkan, I., R. Srinivasan, and A. Nand. 2022. “Innovation in SMEs: The Role of Employee Training in German SMEs.” Journal of Small Business and Enterprise Development 29 (3): 421–440. https://doi.org/10.1108/JSBED-07-2020-0246
  • Denicolai, S., A. Zucchella, and G. Magnani. 2021. “Internationalization, Digitalization, and Sustainability: Are SMEs Ready? A Survey on Synergies and Substituting Effects among Growth Paths.” Technological Forecasting and Social Change 166: 120650. https://doi.org/10.1016/j.techfore.2021.120650
  • Dubyna, M., A. Zhavoronok, N. Kudlaieva, and I. Lopashchuk. 2021. “Transformation of Household Credit Behavior in the Conditions of Digitalization of the Financial Services Market.” Journal of Optimization in Industrial Engineering 14 (Special Issue): 195–201.
  • Elder-Vass, D. 2016. Profit and Gift in the Digital Economy. Cambridge University Press.
  • Fauver, L., M. B. McDonald, and A. G. Taboada. 2018. “Does It Pay to Treat Employees Well? International Evidence on the Value of Employee-Friendly Culture.” Journal of Corporate Finance 50: 84–108. https://doi.org/10.1016/j.jcorpfin.2018.02.003
  • Gargam, F. 2020. “Unlikely Champions: How Underdogs Create Strategic Advantages.” Journal of Small Business & Entrepreneurship 32 (5): 401–429. https://doi.org/10.1080/08276331.2019.1707937
  • Giuliodori, D., and R. Stucchi. 2012. “Innovation and Job Creation in a Dual Labour Market: Evidence from Spain.” Economics of Innovation and New Technology 21 (8): 801–813. https://doi.org/10.1080/10438599.2012.670696
  • Godfrey, P. C. 2005. “The Relationship between Corporate Philanthropy and Shareholder Wealth: A Risk Management Perspective.” Academy of Management Review 30 (4): 777–798. https://doi.org/10.5465/amr.2005.18378878
  • Guellec, D., and B. Van Pottelsberghe De La Potterie. 2003. “The Impact of Public R&D Expenditure on Business R&D.” Economics of Innovation and New Technology 12 (3): 225–243. https://doi.org/10.1080/10438590290004555
  • Hinings, B., T. Gegenhuber, and R. Greenwood. 2018. “Digital Innovation and Transformation: An Institutional Perspective.” Information and Organization 28 (1): 52–61. https://doi.org/10.1016/j.infoandorg.2018.02.004
  • Hoskisson, R. E., L. Eden, C. M. Lau, and M. Wright. 2000. “Strategy in Emerging Economies.” Academy of Management Journal 43 (3): 249–267. https://doi.org/10.2307/1556394
  • Ivanova, I., and D. Sceulovs. 2018. “Identifying Elements of the Digital Economy Ecosystem.” Journal of Business Management 16: 5–14.
  • Kiel, D., C. Arnold, M. Collisi, and K. I. Voigt. 2016. “The Impact of the Industrial Internet of Things on Established Business Models.” Proceedings of the 25th International Association for Management of Technology (IAMOT) Conference, 673–695.
  • Kirbach, M., and C. Schmiedebe. 2008. “Innovation and Export Performance: Adjustment and Remaining Differences in East and West German Manufacturing.” Economics of Innovation and New Technology 17 (5): 435–457. https://doi.org/10.1080/10438590701357189
  • Kistruck, G. M., J. W. Webb, C. J. Sutter, and A. V. Bailey. 2015. “The Double-Edged Sword of Legitimacy in Base-of-the-Pyramid Markets.” Journal of Business Venturing 30 (3): 436–451. https://doi.org/10.1016/j.jbusvent.2014.06.004
  • Kong, D., Y. Wang, and J. Zhang. 2020. “Efficiency Wages as Gift Exchange: Evidence from Corporate Innovation in China.” Journal of Corporate Finance 65: 101725. https://doi.org/10.1016/j.jcorpfin.2020.101725
  • Kuhn, P., and M. Skuterud. 2004. “Internet Job Search and Unemployment Durations.” American Economic Review 94 (1): 218–232. https://doi.org/10.1257/000282804322970779
  • Lee, H., D. Kelley, J. Lee, and S. Lee. 2012. “SME Survival: The Impact of Internationalization, Technology Resources, and Alliances.” Journal of Small Business Management 50 (1): 1–19. https://doi.org/10.1111/j.1540-627X.2011.00341.x
  • Li, K., D. J. Kim, K. R. Lang, R. J. Kauffman, and M. Naldi. 2020. “How Should we Understand the Digital Economy in Asia? Critical Assessment and Research Agenda.” Electronic Commerce Research and Applications 44: 101004. https://doi.org/10.1016/j.elerap.2020.101004
  • Li, R., J. Rao, and L. Wan. 2022. “The Digital Economy, Enterprise Digital Transformation, and Enterprise Innovation.” Managerial and Decision Economics 43 (7): 2875–2886. https://doi.org/10.1002/mde.3569
  • Ma, H., H. Guo, and R. Shen. 2019. “Organisational Regulatory Legitimacy, Entrepreneurial Orientation, and SME Innovation: An Optimal Distinctiveness Perspective.” Technology Analysis & Strategic Management 31 (7): 833–847. https://doi.org/10.1080/09537325.2018.1555320
  • Maekelburger, B., C. Schwens, and R. Kabst. 2012. “Asset Specificity and Foreign Market Entry Mode Choice of Small and Medium-Sized Enterprises: The Moderating Influence of Knowledge Safeguards and Institutional Safeguards.” Journal of International Business Studies 43 (5): 458–476. https://doi.org/10.1057/jibs.2012.12
  • Meijers, H. 2014. “Does the Internet Generate Economic Growth, International Trade, or Both.” International Economics and Economic Policy 11 (1–2): 137–163. https://doi.org/10.1007/s10368-013-0251-x
  • Montani, F., and R. Staglianò. 2022. “Innovation in Times of Pandemic: The Moderating Effect of Knowledge Sharing on the Relationship between COVID‐19‐Induced Job Stress and Employee Innovation.” R&D Management 52 (2): 193–205. https://doi.org/10.1111/radm.12457
  • Moutray, C. 2009. “Looking Ahead: Opportunities and Challenges for Entrepreneurship and Small Business Owners.” Western New English Law Review 31: 763–780.
  • Ng, T. W., and D. C. Feldman. 2008. “The Relationship of Age to Ten Dimensions of Job Performance.” The Journal of Applied Psychology 93 (2): 392–423. https://doi.org/10.1037/0021-9010.93.2.392
  • Ngammoh, N., A. Mumi, S. Popaitoon, and A. Issarapaibool. 2023. “Enabling Social Media as a Strategic Capability for SMEs through Organizational Ambidexterity.” Journal of Small Business & Entrepreneurship 35 (2): 197–217. https://doi.org/10.1080/08276331.2021.1980682
  • Nowacki, C., and A. Monk. 2020. “Ambidexterity in Government: The Influence of Different Types of Legitimacy on Innovation.” Research Policy 49 (1): 103840. https://doi.org/10.1016/j.respol.2019.103840
  • Oliver, C. 1997. “Sustainable Competitive Advantage: Combining Institutional and Resource‐Based Views.” Strategic Management Journal 18 (9): 697–713. https://doi.org/10.1002/(SICI)1097-0266(199710)18:9<697::AID-SMJ909>3.0.CO;2-C
  • Pfister, P., and C. Lehmann. 2022. “Digital Value Creation in German SMEs–A Return-on-Investment Analysis.” Journal of Small Business & Entrepreneurship. Advance online publication. https://doi.org/10.1080/08276331.2022.2037065
  • Pisano, P., M. Pironti, and A. Rieple. 2015. “Identify Innovative Business Models: Can Innovative Business Models Enable Players to React to Ongoing or Unpredictable Trends?” Entrepreneurship Research Journal 5 (3): 181–199. https://doi.org/10.1515/erj-2014-0032
  • Ritala, P., A. Baiyere, M. Hughes, and S. Kraus. 2021. “Digital Strategy Implementation: The Role of Individual Entrepreneurial Orientation and Relational Capital.” Technological Forecasting and Social Change 171: 120961. https://doi.org/10.1016/j.techfore.2021.120961
  • Saunila, M. 2020. “Innovation Capability in SMEs: A Systematic Review of the Literature.” Journal of Innovation & Knowledge 5 (4): 260–265. https://doi.org/10.1016/j.jik.2019.11.002
  • Shi, W., S. L. Sun, and M. W. Peng. 2012. “Sub‐National Institutional Contingencies, Network Positions, and IJV Partner Selection.” Journal of Management Studies 49 (7): 1221–1245. https://doi.org/10.1111/j.1467-6486.2012.01058.x
  • Si, D. K., Y. Wang, and D. Kong. 2020. “Employee Incentives and Energy Firms’ Innovation: Evidence from China.” Energy 212: 118673. https://doi.org/10.1016/j.energy.2020.118673
  • Subramaniam, P. L., M. Iranmanesh, K. M. Kumar, and B. Foroughi. 2020. “The Impact of Multinational Corporations’ Socially Responsible Supplier Development Practices on Their Corporate Reputation and Financial Performance.” International Journal of Physical Distribution & Logistics Management 50 (1): 3–25. https://doi.org/10.1108/IJPDLM-01-2019-0002
  • Teece, D. J. 2018. “Profiting from Innovation in the Digital Economy: Enabling Technologies, Standards, and Licensing Models in the Wireless World.” Research Policy 47 (8): 1367–1387. https://doi.org/10.1016/j.respol.2017.01.015
  • Tilleman, S. 2012. “Is Employee Organizational Commitment Related to Firm Environmental Sustainability?” Journal of Small Business & Entrepreneurship 25 (4): 417–431. https://doi.org/10.1080/08276331.2012.10593582
  • Tong, L., N. Liu, M. Zhang, and L. Wang. 2018. “Employee Protection and Corporate Innovation: Empirical Evidence from China.” Journal of Business Ethics 153 (2): 569–589. https://doi.org/10.1007/s10551-016-3412-3
  • Tuppura, A., H. Arminen, S. Pätäri, and A. Jantunen. 2016. “Corporate Social and Financial Performance in Different Industry Contexts: The Chicken or the Egg.” Social Responsibility Journal 12 (4): 672–686. https://doi.org/10.1108/SRJ-12-2015-0181
  • Wang, T., S. Thornhill, and B. Zhao. 2018. “Pay‐for‐Performance, Employee Participation, and SME Performance.” Journal of Small Business Management 56 (3): 412–434. https://doi.org/10.1111/jsbm.12268
  • Wei, Y., H. Nan, and G. Wei. 2020. “The Impact of Employee Welfare on Innovation Performance: Evidence from China’s Manufacturing Corporations.” International Journal of Production Economics 228: 107753. https://doi.org/10.1016/j.ijpe.2020.107753
  • Wessel, L., A. Baiyere, R. Ologeanu-Taddei, J. Cha, and T. Blegind-Jensen. 2021. “Unpacking the Difference between Digital Transformation and IT-Enabled Organizational Transformation.” Journal of the Association for Information Systems 22 (1): 102–129. https://doi.org/10.17705/1jais.00655
  • Xiang, Y., M. Jia, and Z. Zhang. 2022. “Hiding in the Crowd: Government Dependence on Firms, Management Costs of Political Legitimacy, and Modest Imitation.” Journal of Business Ethics 176 (4): 629–646. https://doi.org/10.1007/s10551-020-04709-9
  • Xu, D., K. Z. Zhou, and F. Du. 2019. “Deviant versus Aspirational Risk Taking: The Effects of Performance Feedback on Bribery Expenditure and R&D Intensity.” Academy of Management Journal 62 (4): 1226–1251. https://doi.org/10.5465/amj.2016.0749
  • Yan, Y., and X. Xu. 2021. “To Be More Philanthropic When Joining the Government-Controlled Business Association? Evidence from Chinese Private Firms.” Chinese Management Studies 15 (2): 456–482. https://doi.org/10.1108/CMS-06-2020-0237
  • Zhang, J., C. Marquis, and K. Qiao. 2016. “Do Political Connections Buffer Firms from or Bind Firms to the Government? A Study of Corporate Charitable Donations of Chinese Firms.” Organization Science 27 (5): 1307–1324. https://doi.org/10.1287/orsc.2016.1084
  • Zhang, J., J. Wang, and D. Kong. 2020. “Employee Treatment and Corporate Fraud.” Economic Modelling 85: 325–334. https://doi.org/10.1016/j.econmod.2019.10.028
  • Zhao, E. Y., G. Fisher, M. Lounsbury, and D. Miller. 2017. “Optimal Distinctiveness: Broadening the Interface between Institutional Theory and Strategic Management.” Strategic Management Journal 38 (1): 93–113. https://doi.org/10.1002/smj.2589
  • Zhou, K. Z., G. Y. Gao, and H. Zhao. 2017. “State Ownership and Firm Innovation in China: An Integrated View of Institutional and Efficiency Logics.” Administrative Science Quarterly 62 (2): 375–404. https://doi.org/10.1177/0001839216674457

Reprints and Corporate Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

To request a reprint or corporate permissions for this article, please click on the relevant link below:

Academic Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

Obtain permissions instantly via Rightslink by clicking on the button below:

If you are unable to obtain permissions via Rightslink, please complete and submit this Permissions form. For more information, please visit our Permissions help page.