Factors of innovation performance of SMEs in manufacturing industries in Mexico

Ing. Jesus Aleman

Master's thesis

Abstract:

The Master’s Thesis is devoted to investigating the factors influencing innovation performance in manufacturing Small and Medium-sized enterprises (SMEs) in Mexico. Even with their major contribution to economic growth and job creation, SMEs face challenges in implementing innovative initiatives. Through semi-structured interviews with seven business owners and top managers from varied manufacturing sectors in Mexico, this study examines how internal and external factors influence innovation performance, identifying primary challenges and successful approaches. The study employed thematic analysis to identify patterns across interview data dimensions. Drawing from existing literature, this study explored key factors that influence innovation in SMEs; these included internal factors like leadership style and organizational culture which emerged as significant in family-owned companies where traditional practices conflict with innovation needs. External factors examined included bureaucracy and variations in infrastructure, revealing how Mexican SMEs use agreements to share resources and partnerships with other companies. The findings suggest that successful innovation requires a balance of effective leadership, formal processes and market understanding. This research contributes to literature by exhibiting the challenges in the Mexican manufacturing context. Furthermore, the study suggests that innovation should be adapted to industry specific needs, rather than utilizing standardized methods.

Keywords

Innovation performance, manufacturing SMEs, Mexico, innovation strategies

Language used: English

Date on which the thesis was submitted / produced: 3. 1. 2025

Thesis defence

• Date of defence: 27. 1. 2025
• Supervisor: Ph.D. Mariia Shkolnykova
• Reader: MCom Nathalie Houtzamer

Masaryk University

Faculty of Economics and Administration

Master programme / field:
Business Management / Business Management