Aug 2026· Future Business Journal· Vol 12· 0 citations· 86 references
Abstract
Small- and medium-sized enterprises (SMEs) increasingly need to reconfigure how they create, deliver, and capture value in response to digitalisation, sustainability demands, and environmental uncertainty. This study systematically reviews 162 English-language articles published in SSCI-indexed journals to integrate fragmented research on business model innovation (BMI) in SMEs. Descriptive analysis, keyword co-occurrence analysis, and article-level qualitative content analysis are combined. The findings identify four broad knowledge domains and show that 41 studies treat BMI primarily as an outcome, 44 as an organisational process, 17 as an antecedent of subsequent outcomes, and 36 as part of a combined causal relationship; a further 24 studies are descriptive or typological. Across these roles, the literature explains BMI through resource mobilisation, entrepreneurial action logics, absorptive and dynamic capabilities, experimentation, and network mobilisation. Its effects on performance, growth, resilience, internationalisation, and sustainability depend on complementary resources, implementation capabilities, stakeholder alignment, and environmental conditions. The evidence supports an adaptive and iterative interpretation of SME BMI, but direct evidence of recursive feedback remains limited. Resource constraints also have conditional effects, stimulating bricolage and focused experimentation in some circumstances while inhibiting substantive change when shortages become severe. The review provides an integrative synthesis specific to SMEs and advances digital business model innovation research by explaining how digital pressures are translated into changes in value proposition, value creation and delivery, and value capture through organisational and relational mechanisms.
PURPOSE: This study examines how digital transformation (DT) influences sustainable business growth (SBG) in Middle Eastern firms, proposing and empirically testing a parallel mediation model in which innovation, organizational agility, and digital resilience serve as transmitting organizational capabilities. Grounded in the resource-based view and dynamic capabilities theory, the study addresses the theoretical gap arising from the fragmented treatment of digitalization, innovation, agility, and resilience as isolated constructs, and the empirical gap stemming from the near-exclusive focus of existing research on Western and manufacturing-dominated contexts. METHODOLOGY: A structured online questionnaire was administered between May and August 2025 to managers and senior professionals in firms actively engaged in digital transformation initiatives across five Middle Eastern economies: Lebanon, Jordan, the United Arab Emirates, the Kingdom of Saudi Arabia, and Kuwait. Of 410 distributed invitations, 339 responses were received, and following the removal of 15 duplicate entries and incomplete responses, a final sample of 324 valid responses was retained. Data was analyzed using partial least squares structural equation modeling (PLS-SEM) via SmartPLS 4.0.9.6, with bootstrapping based on 5,000 resamples to assess mediation effects. FINDINGS: Digital transformation exerts significant positive effects on innovation (β = 0.666), agility (β = 0.613), and digital resilience (β = 0.530), as well as a direct effect on sustainable business growth (β = 0.191). Agility (β = 0.305) and digital resilience (β = 0.209) significantly mediate the DT–SBG relationship, whereas the mediation path through innovation is non-significant (β = 0.044). The total indirect effect amounts to 0.327, yielding a Variance Accounted For of 63.1%, confirming partial mediation. IMPLICATIONS: Theoretically, the findings extend dynamic capabilities theory by empirically demonstrating that digital transformation functions as an enabling infrastructure rather than a direct performance mechanism, with agility and resilience constituting the primary conversion pathways to sustainable growth. Practically, the results advise managers and policymakers on digitally transforming economies to prioritize the development of adaptive responsiveness and resilience-oriented governance alongside technological investment, as technology adoption alone does not guarantee sustainability outcomes. ORIGINALITY & VALUE: This study is among the first to integrate innovation, agility, and digital resilience into a unified parallel mediation framework linking digital transformation to sustainable business growth, empirically validated in a multi-country Middle Eastern context, a setting underrepresented in the extant digital transformation literature.
Khodor Shatila· Journal of Entrepreneurship,...· 0 citations
Purpose: This study systematically examines the relationships among organizational innovation, organizational sustainability, competitive advantage, and Micro, Small, And Medium Enterprise (MSME) performance from a Resource Based View (RBV) perspective. It addresses a research gap by integrating these four constructs into a single conceptual framework, as previous studies have predominantly examined them separately or through limited variable relationships.Research Methodology: A Systematic Literature Review (SLR) was conducted using the PRISMA 2020 protocol. The study reviewed 68 peer-reviewed articles published between 2015 and 2025 from Scopus, Web of Science, and Google Scholar. Data were analyzed through narrative synthesis, thematic clustering, and gap analysis.Results: The findings show that organizational innovation has the strongest positive relationship with MSME performance, while organizational sustainability also contributes significantly. Competitive advantage acts as a mediating mechanism, although its effect varies across different business contexts. Limited studies integrating all constructs indicate a research gap.Conclusions: The review confirms RBV as a relevant foundation for explaining MSME performance through innovation, sustainability, and competitive advantage.Limitations: This study is limited to secondary data from peer-reviewed publications between 2015 and 2025, which may affect broader generalization.Contributions: This study provides an integrated RBV-based framework and future research directions for strengthening MSME competitiveness and sustainability.
Ardansyah Ardansyah, M. Y. S. Barusman, Habiburahhman Habiburahhman et al.· Studi Ilmu Manajemen dan Org...· 0 citations
Small and medium‐sized enterprises (SMEs) face growing pressure to integrate sustainable development in response to evolving environmental regulations, stakeholder expectations, and market demands. However, they often lack the financial, technological, and organizational resources and capabilities needed to successfully navigate their transitions to sustainable development. In this context, open innovation (OI) increasingly appears as a mechanism through which SMEs may access external knowledge, mobilize collaborative networks, and operationalize sustainability‐oriented transformations. Although prior research acknowledges the potential of OI to support sustainability, limited understanding exists regarding the organizational and relational mechanisms through which SMEs translate openness into environmental and social sustainability outcomes. This study addresses this gap by analyzing seven French SMEs across diverse sectors through a multiple‐case study approach. We investigate the motivations, mechanisms, and outcomes of OI adoption for sustainability. The findings reveal that sustainable open innovation (SOI) in SMEs is structured around four recurring motivational patterns: growth‐oriented, customer‐oriented, research‐oriented, and social sustainability‐oriented, each associated with distinct collaborative configurations and sustainability trajectories. The study shows that these patterns rely on different mechanisms, including strategic alliances, co‐creation practices, research collaborations, and stakeholder networks, which enable SMEs to access external knowledge, strengthen relational capital, develop eco‐designed products, support circular economy practices, and reinforce social inclusion initiatives. This research advances the SOI literature by showing how distinct collaborative configurations enable SMEs to convert openness into different sustainability trajectories. The findings provide guidance for managers and policymakers seeking to foster SME‐oriented sustainable innovation ecosystems.
L. Rafiq, E.B.G. Pillon, Anne Louis· Business Strategy and the En...· 0 citations
This study investigates how firms design and implement sustainability-oriented business models to address multiple Sustainable Development Goals (SDGs) concurrently. Drawing on a rapid review of 168 scholarly articles sourced from Web of Science and Sabinet, and guided by a thematic coding approach, the research offers a comprehensive synthesis of strategies employed across diverse sectors, particularly within the African context. The study identifies five core themes: (1) organisational fundamentals for achieving SDGs, (2) regulatory frameworks supporting sustainability, (3) business strategy implementation, (4) benefits of sustainability practices, and (5) obstacles to SDG integration. Findings highlight the significance of aligning core business strategies with sustainability objectives to foster economic growth, environmental stewardship, and social inclusion. The study also exposes gaps in awareness, regulatory enforcement, and capacity especially among small and medium-sized enterprises (SMEs). An original conceptual framework, the Integrated Sustainability Business Model (ISBM), is introduced to guide firms in synchronising their operations with the SDGs. This framework supports scalable, sector-sensitive, and impact-driven sustainability practices. By offering actionable insights for managers, policymakers, and researchers, the study contributes to the theoretical and practical advancement of sustainable development in emerging markets and supports the broader implementation of Agenda 2030.
K. Stander, Helder Cangoma, Yogesan Pillay et al.· OIDA International Journal o...· 0 citations
Sustainability transitions in small and medium-sized enterprises (SMEs) depend on more than innovation intent — they require business models capable of translating that intent into product-level outcomes. This study tests an integrated model linking sustainability-oriented innovation (SOI), sustainable business model innovation (SBMI), barriers to the circular economy (B-CE), and sustainable product innovation performance (SPIP), with market performance (MP) as the downstream outcome. B-CE is positioned as both a suppressor of business model renewal and a moderator of the link between renewal and product-level output. Survey data from 280 Indonesian SMEs across sectors were analyzed using PLS-SEM. All eight hypotheses were supported (p < 0.001), with large effect sizes across the endogenous constructs (R² = 0.646–0.719). The study's principal contribution lies in empirically specifying SBMI as a necessary mediator between innovation orientation and product outcomes — a relationship prior literature had proposed conceptually but never tested within an integrated, SME-level model. B-CE operates in a dual capacity: as a direct suppressor of SBMI (β = −0.519) and as a moderator weakening the SBMI–SPIP relationship (β = −0.288), with the conditional slope falling from 0.717 under low-barrier conditions to 0.141 under high-barrier conditions. Structural relationships remained broadly consistent across sectors — manufacturing, service, and trading — and firm size, with only two of eighteen multigroup comparisons reaching significance. For managers and policymakers, cultivating sustainability orientation without reconfiguring value architecture is unlikely to yield measurable gains, and reducing circular economy barriers matters as much as direct innovation investment.
D. M. J. Dalimunthe, A. Hutagalung, D. Sitompul et al.· Ilomata International Journa...· 0 citations
This study examines how collaborative open innovation (OI) supports sustainable diversification in small and medium-sized enterprises (SMEs) operating in the circular economy (CE). While prior research has widely discussed open innovation and circular transition, less attention has been paid to how SMEs use collaboration to develop new products, services, markets, or partnership configurations under circular constraints. Using a qualitative multiple-case design, the study draws on 36 semi-structured interviews with SME managers in renewable energy, waste management, and sustainable manufacturing across Germany, France, Italy, Spain, and Sweden, complemented by documentary and policy analysis. The findings identify four recurring collaborative OI practices: cross-sectoral knowledge alliances, supplier-customer co-creation networks, academic-industry research partnerships, and digital platform-based collaboration. These practices support sustainable diversification through four linked mechanisms: improved resource efficiency, product and service innovation, expanded market reach, and stronger institutional legitimacy. These mechanisms do not operate in isolation: legitimacy often serves as a gatekeeper for market expansion, resource efficiency enables product innovation, and pursuing them in the wrong order can reverse diversification gains. The analysis further shows that absorptive capacity and policy support condition whether externally sourced knowledge can be converted into viable circular offerings. The study further identifies four failure patterns (partner misalignment, internal conversion failure, legitimacy deficit, and policy dependency trap) and shows that power asymmetry can lead to knowledge leakage or greenwashing by stronger partners. The article contributes an integrated framework that explains how collaborative OI practices, enabling mechanisms, and contextual conditions failure patterns, and power asymmetries jointly shape whether SMEs translate circular opportunities into resilient diversification or fall into collaborative traps.
Shuyun Wang· Journal of Sustainable Manag...· 0 citations
What if pathology foundation models could do more with less? GigaPath-Flash and GigaTIME-Flash cut computational demands while maintaining strong performance, opening the door to larger studies and broader exploration. The post GigaPath-Flash and GigaTIME-Flash: Toward population-scale discovery with efficient pathology foundation models appeared first on Microsoft Research.
MIT News · Artificial Intelligence· news.mit.eduAug 31, 2026
With millions of users across the world, Julia has been used to conduct cutting-edge research and to design new drugs, jet engines, heat pumps, and more.