Contextual effects of technology adoption, subjective wellbeing, entrepreneurial behavioral microfoundations and social relations on entrepreneurial innovation: a study of SMEs in Kuwait

Despite the increasing evidence in relation to context influencing entrepreneurship, there is a paucity of empirical research that comprehensively considers the effects of multiple contextual dimensions taken together in the entrepreneurial process, while very few studies focus on the specific contextual dimensions relevant to the Arabic, Gulf region. More specifically, contextual dimensions such as technological, entrepreneurial behavioral micro-foundations, social and subjective wellbeing could relate differently to entrepreneurial innovation with varying magnitudes of novelty. As for identifying entirely new contextual dimensions, then, drawing on recent subjective wellbeing and health research in the entrepreneurship literature could provide original and unknown insights. Accordingly, the aim of this research is to examine effects of multiple contextual dimensions of entrepreneurship, including technological, entrepreneurial behavioral micro-foundations, social and subjective wellbeing on Kuwait owner managers exploitative and exploratory innovation.
Data collection was conducted through a survey questionnaire. The survey was administered electronically by the National Fund (NF), a Government Institute which brings together policy makers and industry experts and provides funding for Small and Medium Enterprises (SMEs) in Kuwait. A comprehensive convenience sampling approach was adopted and the sample population represented owner managers of SMEs who are registered in the National Ledger. The survey resulted in 139 valid and useable responses, it can be said that this data can help facilitate useful insights into largely unknown relationships.
In the present study of Kuwait SMEs, I contribute exacting new light and findings on the idea that very specific combinations of contextual dimensions predict exploitative and exploratory innovation.
A first contribution relates to the key finding that exploratory innovation is strongly predicted by the combined positive effects of the contextual entrepreneurial micro-behavioral foundations of self-efficacy and proactiveness, and also, the technological context of intention to use technology. Although it seems important to note that the important subjective wellbeing context of negative affect-mood and micro-behavioral foundation of need for cognition seem to diminish exploratory innovation.
A second contribution concerns the key finding that exploitative innovation is strongly predicted by the combined positive effects of the contextual entrepreneurial micro-behavioral foundations of self-efficacy and proactiveness as well as the technological context of technology performance expectancy. The micro-behavioral foundation of need for cognition has a negative effect, this could impede exploitative innovation.
A third contribution relates to the key finding that identification that the context of exploratory and exploitative innovation differs. With respect to similar effects, crucial entrepreneurial micro-behavioral foundations relate to both exploration and exploitation in the same way, with self-efficacy and proactiveness exerting positive effects and need for cognition having a negative influence. Despite some similarities, the technology context of intention to use exerts positive effects on exploratory innovation, in contrast, it is performance expectancy that explains exploitative innovation. The fact that negative affect-mood appears to diminish exploration, but not exploitation, suggests an additional important variation.