SME Adaptive Capacity in Response to Environmental Requirements: Understanding it as a Complex Adaptive System
Keywords:SMEs, environmental adaptation, complex adaptive systems
The pressure on Small and Medium sized Enterprises (SMEs) in emerging economies to adapt their production and management to meet global industrial environmental standards is enormous. These pressures come from both the international supply chain and the governmentâ€™s environmental legislation. Yet, an effective way to help SMEs adapt to these challenges in emerging economies is not reported. Little is available about environmental adaptation process at SMEs in developing countries. This paper attempts to address this gap in knowledge. It uses the theory of Complex Adaptive Systems to understand the complex nature of environmental adaptation at SMEs, and more importantly, it outlines an agenda for further research to identify key success factors for the environmental adaptation process at SMEs based on the key components of such a system.
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