Development of Intangible Factors for SME Success in a Developing Country

Abstract

The paper reviews the concept of Intangible Success factors (ISFs) and Tangible Success Factors (TSFs) which are essential for enterprise success for Small and Medium-sized Enterprises (SMEs). Since SMEs play a vital role in the country’s economic development, it is important and significant to gain useful insights into the critical success factors that affect their future success and development. Evidently, research findings have revealed that reasons for enterprise success have to do with the intangible factors. Recent researches reveals more organisations are paying more attention on ISFs than TSFs as the reasons for enterprise success have to do more with the intangible factors. And the most important ISFs are leadership, innovation, entrepreneurial competencies, image and reputation, and organisational culture. In the face of globalisation, SMEs companies need to transform themselves into highly competitive and resilient organisations to stay ahead of the curve and on the forefront of their industries. Hence, it makes sense for organisations to identify and leverage on the ISFs for a sustainable competitive advantage in today’s challenging economy.