Business Model and Open Innovation Conditions for the Sustainable Growth of SMEs

Abstract

The present study is intended to define and clarify the necessary open innovation and business model conditions for the sustainable growth of SMEs (small and medium-sized enterprises). Initially, we create the open innovation and business model conditions for the sustainable growth of SMES. We devise four different conditions for effective business model and knowledge strategies. The highest growth limits of the four conditions were estimated and then measured for 27 SMEs in the area of IT (information technology) in Korea. From this, we attempt to understand the relationship between open innovation and business model in the context of the growth limits of SMEs. Using this context, we can conceive of the relationship between open innovation and business model in a broader and more concrete manner.