Business Innovation Strategies for Small and Medium Enterprises Survival in Daet, Camarines Norte
DOI:
https://doi.org/10.5281/zenodo.23875303Keywords:
Supply Chain Management, Technological Adaptation, Operational Challenges, Business Assets, Customer Engagement, Resource Constraints, Descriptive-Correlational Research, Business Model Canvas, Daet, PhilippinesAbstract
Small and medium enterprises (SMEs) face operational challenges that require appropriate innovation strategies to sustain business activities in changing market conditions. This study assessed the business innovation strategies, operational challenges, and factors associated with business survival among food-industry SMEs in Daet, Camarines Norte, Philippines. A descriptive-correlational research design was employed involving 57 SME owners and managers selected through total enumeration. Data were collected using a structured questionnaire and analyzed through frequency counts, weighted means, and Somers’ delta coefficients. Findings revealed that wholesale, distribution, and retail enterprises comprised the largest proportion of respondents (49.1%), while social media was the most frequently utilized existing business strategy (67%). Supply chain innovation obtained the highest overall weighted mean (4.39), followed by people innovation (4.10), marketing innovation (4.02), product innovation (4.00), and technology innovation (3.72). Business assets demonstrated a significant positive relationship with technology innovation (D = 0.236, p = .037), whereas other enterprise profile variables showed no significant associations with innovation strategies. Increased local competition emerged as the leading operational challenge. Significant relationships were identified between inadequate resources and product and marketing innovation, fear of changing business processes and technology innovation, and difficulties maintaining reliable suppliers and product innovation. Based on these findings, a Business Model Canvas was proposed to strengthen inventory management, digitalization, marketing, employee capabilities, and supplier relationships. The study highlighted the relevance of innovation practices and resource management in addressing operational challenges and supporting SME survival.
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