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A structural equation modeling approach to evaluating innovation dynamics’ effect on SME performance in the United Arab Emirates

Year: 2025

Type: article

Abstract: It is essential to comprehend the function of innovative capabilities in the SME-driven landscape. Despite the significance of SMEs, it is unclear how innovation capabilities affect their success, which is why this study was conducted as part of an investigation. The goal of this study is to investigate the intricate interactions that exist between innovation capacities and the performance of SMEs in the United Arab Emirates. Data from 255 SME industry experts in the UAE were evaluated using SEM-Amos, and the results showed that organizational innovation, employee engagement, culture, and innovation capability all had a major impact on performance. According to the report, innovative considerations have a major impact on SME success in the United Arab Emirates, providing valuable strategic insights. These results serve as a guidance for company executives and politicians in creating an atmosphere that supports the nation's continued SME growth and economic prosperity.

Source: Discover Applied Sciences

DOI: 10.1007/s42452-025-06865-x

Authors: Sara Ismail Almansoori, Zehra Canan Araci, Fikri Dweiri

Institution: University of Sharjah

Language: English

Topic: Innovation and Knowledge Management

Subfield: Strategy and Management

Field: Business, Management and Accounting

Domain: Social Sciences

SDGs: Industry, innovation and infrastructure, Decent work and economic growth

Open Access status: diamond

OpenAlex ID: W4409454829