A Literature Review on Incremental Innovations in Small and Medium-Sized Enterprises: Bridging Knowledge Gaps and Future Research Avenues

This systematic review delves into the significance of incremental innovations in Small and Medium-Sized Enterprises (SMEs). SMEs are vital drivers of economic growth, and incremental innovation plays a pivotal role in their development. Incremental innovations, characterized by small, gradual improvements to existing products and processes, are found to be instrumental in the growth and sustainability of SMEs. Despite their importance, there has been limited research on these innovations. Through a comprehensive analysis of relevant studies, this review investigates the types, determinants, outcomes, and challenges of incremental innovations in SMEs. This article identifies avenues for future research on incremental innovation in SMEs, focusing on management challenges, knowledge management strategies, external factors, and the relationship with other organizational processes. It aims to provide actionable insights for researchers, managers, and policymakers to promote incremental innovation in SMEs, contributing to knowledge on innovation in the SME context and fostering economic growth.