entrepreneurial orientation innovation and entreprise performance . Cas of Algeria SMEs

Abstract

The ability to innovate has long been considered essential to the survival, expansion and development of Small and Medium-sized Enterprises (SMEs). The institution's development is essential and decisive in its survival and continuity. The relationship between the determinants that stimulate innovation within an organization and its development should be explained despite multiple studies' focus. This research aims to understand the impact of the determinants that stimulate innovation (the subject of the study are financial resources, the entrepreneur, research and development, cooperation, and the organization's external environment) on the enterprise's development. We have developed a conceptual model that has been empirically tested using data from 100 Algerian small and medium enterprises. After conducting an exploratory analysis followed by a confirmatory analysis, we reached the following main findings: The characteristics of the entrepreneur have the most significant impact on the process of innovation within the organization, and all of R&D, financial resources and the entrepreneur have an impact on the development of SMEs in Algeria.