Towards innovation performance of SMEs: investigating the role of digital platforms, innovation culture and frugal innovation in emerging economies

Abstract

Purpose This study aims to investigate the impact of digital platforms, frugal innovation and innovation culture (IC) on innovation performance (IP). The mediation role of IC between digital platforms and IP, as well as moderating role of frugal innovation between IC and IP is also tested. Design/methodology/approach Data is collected from 387 top management officials from the small and medium enterprises (SMEs) working in emerging economies, in the current study Pakistan. Quantitative research design was applied for the collection of data and analysis. Various statistical techniques, i.e. correlation and regression, were used. Findings The findings revealed that digital platforms positively affect IC and IP. The results proved that IC mediates the association between digital platforms and IP link. Originality/value The SMEs of emerging economies are working in a dynamic scenario, and their performance in term of innovation is critically needed. Only those businesses that update their products and services according to customers’ demand can achieve success. Hence, SMEs of emerging economies need IP to flourish their businesses. This study highlights an overlooked link of digital platforms with IP and also shows the mediating role of IC.