20.500.12556/RUL-177402 Unleashing SME innovation in small open economies the strategic role of market dynamism, R&D, and organizational capabilities Drawing upon both environmental and dynamic capabilities theory, this paper investigates the impact of market dynamism and selected organizational factors on the innovativeness of SMEs operating in Montenegro, observed through a knowledge management perspective. Empirical research was conducted on a sample of 175 SMEs, and the data gathered was analyzes using structural equation modelling (SEM) and fsQCA analysis. The results obtained highlight the insufficient innovativeness of SMEs, predominantly caused by the organizational characteristics of the company (such as lack of knowledge-oriented leadership and underdeveloped potential absorptive capacity). These characteristics are exacerbated by underdeveloped research and development (R&D) sectors and insufficiently trained human resources personnel who cannot properly assess and use knowledge from external sources and translate it into innovative products and services. The results shed light on the different ways of configuring the internal determinants of SMEs, which could lead to incremental and patented innovation development in strong market dynamism, which tends to characterize open and small economies. The research offers insight into how businesses from transition countries can remain competitive in highly innovative markets. innovations management competitiveness R&D organizational culture absorptive capacity SMEs SMEs inovacije management majhna in srednja podjetja true false true Angleški jezik Slovenski jezik Članek v reviji 2025-12-22 17:05:42 2025-12-22 17:09:27 2026-06-06 03:30:26 0000-00-00 00:00:00 2026 0 0 Str. 737–773 iss. 3 Vol. 20 2026 0000-00-00 Zaloznikova Objavljeno NiDoloceno 0000-00-00 0000-00-00 0000-00-00 005.3 1863-6683 10.1007/s11846-025-00893-y 234815235 s11846-025-00893-y.pdf s11846-025-00893-y.pdf 1 F182D7E783E492BCC6985F4C7D6DCCC7 0bbaa60e31273a85a9b678c7354f90ec19386cd5cd69e5bf18511ca65dced04f 3effb774-60da-11f1-b0ab-0050569b8976 https://repozitorij.uni-lj.si/Dokument.php?lang=slv&id=235016 https://link.springer.com/article/10.1007/s11846-025-00893-y 0 122b4443-df50-11f0-9328-0050569b8976 https://repozitorij.uni-lj.si/Dokument.php?lang=slv&id=224440 Ekonomska fakulteta 0 0 0