Role of Technology Transfer, Innovation Strategy and Network: A Conceptual Model of Innovation Network to Facilitate the Internationalization Process of SMEs

Abstract

The purpose of this research paper is to increase the understanding on how the combination of technology transfer and innovation strategy has become key elements for ensuring the development and growth of SMEs since has enhanced their ability to be part of networks and has facilitated their access to international markets. We see that SMEs can balance their limited resources with careful participation in networks. Indeed most SMEs need to be part of networks to get their innovations and develop special competence on technology transfer and to rapidly access to international markets. Although there exists a well-developed tradition of industrial network research there is a lack of analysis of systematic and empirical models of network relating to the technology transfer and innovation strategy in the context of SMEs’ internationalization. Based on our research framework on theoretical insights from technology transfer’s topic and its extensive concepts of innovation, network and internationalization, we examine how the internationalization process is facilitated by SMEs’ networking capacity. Our findings allowed us to address an empirical study created to develop a systematic conceptual model of an innovation network and propositions regarding the access of SMEs to international markets. This model can be an easy-to-follow innovation model for SMEs when adopting a knowledge-transfer, innovation strategy, and networking approach. This helps to make certain that the important drivers and approaches for the innovative network capacity and internationalization performance of SMEs. These findings have critical implications for entrepreneurs in enhancing their firms in international performance. More specifically, we analyze how SMEs’ membership in networks or clusters stimulates the concrete collaboration with High Education Institutions (HEIs) or Public Research Institutions (PRIs), Governments, and other businesses and contribute to acquire and absorb innovation via different channels of external knowledge influencing SMEs’ behaviours at the international level.