Innovation in Malaysian Small and Medium-Sized Enterprises (SMEs): Evaluation of Employees in Three Selected Cities

Noorsafiza Mohd Sapie

Abstract


Innovation is key to technology adoption and creation, and to explaining the vast differences in productivity across and within countries. Stimulate innovation in Small and Medium Enterprises (SMEs) is very important for economic growth. Without innovation companies would not develop further and could not succeed within the globalized world. Accordingly, this article aims to determine the level of innovation Malaysia SMEs in three selected cities. A total of 235 employees are involved in evaluating the performance of innovative activities within their organizations. The study found that the majority of the employees giving high ratings on the activities of product innovation, process and marketing. However, administration innovation activity was moderate. Therefore, it is important to re-examine the SME management weaknesses in each of their innovation activities to do. This research is important to ensure that SMEs products fulfill needs of customers.

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