Innovation Potential among Small and Medium Enterprise in Butuan City

Abstract

Innovation is a very essential factor to business performance among Small and Medium Enterprise (SMEs) in the Philippines. This study explores potential factors that influence the innovation potential of SMEs in Butuan city. Using a pure quantitative approach, results show that SMEs in Butuan city posited an average level of innovation potential. Further, multiple regression analysis showed that SME owners? appreciation to innovation is a significant factor to their innovation potential. Other variables such as Technological Adaptation, Availment of Government Support, Network and Collaboration, and Visionary Leadership are not shown statistically shown as significant predictors of innovation potential. Study findings provide an additional support to the existing body of knowledge regarding the important role of appreciation to innovation as a factor to business innovation potential among SMEs.