Redefining Growth Strategies in SMEs for Enhanced Brand Awareness and Global Expansion

Abstract

This study investigates the growth dynamics of small and medium-sized enterprises (SMEs) by analysing data from a survey of 1,535 SMEs. It challenges the conventional belief that growth capability factors such as innovation, financing, and human capital dictate SME growth levels within a specific timeframe. Instead, our findings highlight the significance of adopting various growth strategies. Surprisingly, commonly adopted strategies like market penetration and efficiency enhancement have minimal impact on growth. In contrast, less common strategies, such as launching new ventures and expanding into international markets, are linked to substantial growth. However, these require more significant investments and are less accessible for SMEs. Notably, increasing brand awareness is identified as a frequently used and effective growth strategy. Given its positive impact on growth, investing in brand awareness is a prudent strategy for SMEs aiming for expansion.