Business & Management Studies

Abstract

Small and medium-sized businesses (SMEs) are crucial for the growth of economies and the creation of jobs in most emerging nations. This study’s goal is to investigate and evaluate how innovations affect the development and competitiveness of SMEs in South Africa. Purposive sampling was used to identify the study participants. The study uses a quantitative research approach that enables the collection and analysis of numerical data from a sample size of 400 SME owners and managers. According to the study’s findings, SMEs that are innovative in their operations have a higher chance of surviving, expanding, and remaining competitive in the market than those that are not. It has been found that a variety of innovation-related factors, such as product innovation, process innovation, marketing innovation, and organisational innovation, have a considerable positive impact on the development and competitiveness of SMEs. The study suggests that governments, trade groups, and business support organisations should play a significant part in fostering an atmosphere that encourages innovation among SMEs.