Journal of  Entrepreneurship and Innovation Research

Journal of Entrepreneurship and Innovation Research

The Effect of Technological Innovation on Export Revenue with the Mediating Role of Financial and Organizational Resources in SMEs

Document Type : Original Article

Author
Assistant Professor, Business Administration Department, Payame Noor University (PNU), Tehran, Iran.
Abstract
Objective: Exporting is a low-cost start of internationalization for some Small and Medium-Sized Enterprises (SMEs), especially in emerging economies. Organizational and financial resources role in revenue and survival of SMEs rely on technological innovation in international trade processes is important. This study has addressed the dependence of export revenue on resources and technological innovation.

Method: The statistical population includes exporting SMEs located in Tehran industrial towns. The data collection tool is questionnaire and the stratified method sampling and confirmatory factor analysis and multivariate analysis as well as an examination of the model fit indices using structural equation modeling with a partial least squares approach are used.

Findings: The findings showed that technological innovation has a positive effect on the export income of businesses, and the effect of technological innovation on organizational resources, the effect of organizational resources on export income, the effect of technological innovation on financial resources, and the effect of financial resources on export revenue were confirmed. Organizational and financial resources also play a mediating role in the effect of technological innovation on export reveue.

Conclusion: The findings are consistent with a number of previous. Using attractive export incentives, especially financial ones, such as preferential tariffs and long-term bank facilities as a financial/organizational source to finance technological innovation as a competitive advantage, identifying challenges to the capital market, such as protective laws, developing organizational culture for strengthening risk-takings in allocating surplus financial resources to innovative ideas for international markets needs.
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