Petr Novak

The discussion on firms’ sustainability performance has resulted in business organizations becoming more conscious of sustainability issues and implementing strategies to ensure sustainable value propositions. The purpose of this study is to explore strategies that firms could use to develop sustainable value propositions. Through an extensive literature review, the study proposed a conceptual framework and further developed hypotheses suggesting that the strategies such as stakeholder involvement, flexible decision-making, and social and environmental values could influence sustainable value propositions. The hypotheses were tested through quantitative research analysis using data collected from owners/managers in 143 SMEs in the coastal areas of Ghana. The data supported almost all the hypotheses, namely H1, H2, and H5-H8 with T-values and P-values of > 1.96 and < 0.05, respectively. This finding indicates that all three core antecedents of sustainable value propositions contributed 78 percent of variations in the model. However, contrary to expectations, the result also showed that shareholder orientation and employee orientation with T-values and P-values of ˂ 1.96 and ˃ 0.05, respectively, did not support sustainable value propositions resulting in rejecting H3 and H4. Despite this outcome, the study concludes that all three strategies are relevant and valuable to firms in developing sustainable value propositions.

Acknowledgment
This paper was supported by IGA/FaME/2021/004: SME Innovation Performance, Firm Sustainability performance and Influence of Pandemic on Entrepreneurial wellbeing.

Small and Medium Enterprises (SMEs) play a vital role in driving job creation and Gross Domestic Product (GDP) growth in all economies worldwide. Their increasing importance also means that they must be innovative enough to survive and be sustainable, improve their productivity and competitiveness. It is pertinent for European SMEs to know the contributing factors driving their innovations, which will enable them to channel their limited resources to ensure they achieve their innovation goals. This paper examined the various factors that stimulate innovations within SMEs. Using the ordinary least squares regression analysis and data from the European Innovation Survey, the authors analyzed 296 European SMEs between 2011 and 2018. The results show that intellectual assets, financial support, firm investment, and human resources all significantly contribute to firm’s sales output across Europe. Conversely, it was found that financial support and innovation linkages were not significant predictors of firms’ innovations. The results are important for SMEs managers who are aiming to be innovative and improve their productivity. The study can serve as a practical guide on how SMEs can ameliorate their innovation potentials and activities.

Acknowledgment
The paper has been prepared with the support of the grant TBU No. IGA/FaME/2020/004 provided by the Internal Grant Agency of the Faculty of Management and Economics of Tomas Bata University in Zlín.