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Dynamic Capabilities for SME Participation in Public Procurement

Akenroye, TO, Jonathan, O, Jamal, E and Durowoju, O (2020) Dynamic Capabilities for SME Participation in Public Procurement. Business Process Management Journal, 26 (4). pp. 857-888. ISSN 1463-7154

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Purpose: Although small and medium-sized enterprises (SMEs) play major roles in most economies in terms of job creation, innovation and contribution to national income, they are often underrepresented in public procurement markets. This paper explores how dynamic capabilities theory can improve SME participation in public procurement.
Design/Methodology/Approach: Through a systematic literature review, the paper identifies common barriers to the effective participation of SMEs in public procurement and explores the applicability of dynamic capabilities theory in addressing these barriers.
Findings: A theoretical analysis was conducted in order to identify possible relationships between the factors reported in the literature as barriers to SME participation in public procurement and different components of the dynamic capabilities of firms (i.e. sensing, seizing, reconfiguring and learning). Seven key propositions were generated to guide future research.
Practical implications: The paper contributes to the ongoing debate about whether and how SMEs can leverage their resources and capabilities to develop self-help strategies to improve participation in public procurement, an area yet underexplored in the literature.
Originality/Value: This is one of the few studies examining the implications of firm-level capabilities of SME activity in public procurement markets. The findings may be beneficial to SME managers/owners, particularly regarding firms’ ability to leverage resources and capabilities to participate effectively in public procurement.

Item Type: Article
Additional Information: The AAM is deposited under the above licence and any reuse is allowed in accordance with the terms outlined by the licence. To reuse the AAM for commercial purposes, permission should be sought by contacting permissions@emeraldinsight.com.
Uncontrolled Keywords: 0806 Information Systems, 1503 Business and Management
Subjects: H Social Sciences > HF Commerce > HF5001 Business
Divisions: Business & Management (from Sep 19)
Publisher: Sage
Related URLs:
Date Deposited: 04 Feb 2020 12:46
Last Modified: 04 Sep 2021 07:58
DOI or ID number: 10.1108/BPMJ-10-2019-0447
URI: https://researchonline.ljmu.ac.uk/id/eprint/12180
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