STRATEGIC ROLE OF SMES IN THE UAE MOBILE INDUSTRY: AN INTRODUCTORY INSIGHT INTO INNOVATION AND GROWTH POTENTIAL
Abstract
The small and medium scale enterprises increasingly contribute, if conceivably, being a moving factor, to strategic innovations in economic diversification. This is even more proving pertinent for emerging economies, for instance, the United Arab Emirates (UAE). This research examines how small and medium enterprises resell and recycle mobile handsets, their innovative dynamics, and how this creates a competitive advantage, operational efficiencies, and broader international market expansion. Qualitative case study methodology (Yin, 2009) provides the backbone for research findings based on empirical data collected through semi-structured interviews with leaders of small and medium enterprises in the UAE mobile sector. This study shows that both innovation-incremental and radical-play significant roles in product development, refurbishment processes, and sustainable business practices within such SMEs; they do, however, face considerable difficulties in funding, knowledge sharing constraints, and the need for strategic turnaround mechanisms. A conceptual model has been developed to frame the nature of the interrelationship of innovation, growth, and market responsiveness in SMEs. It adds value to the existing literature by introducing an integrated theoretical perspective on innovation management (Porter, 1985; Abouzeedan, 2011) and providing policy recommendations in line with the UAE vision of achieving sustainable and technology-driven economic development. Recommendations to improve institutional support for SMEs, financing options targeting the mobile technology ecosystem, and capacity-building initiatives to enhance the innovation capability of SMEs are made in the paper.
JEL: L26, O32, L86, M13, F63
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DOI: http://dx.doi.org/10.46827/ejefr.v9i2.1991
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