A Proposal for a Standard With Innovation Management System

Maroun Jneid and Antoine Tannous
according to their ideas, strategies and market segmentation.
Describe your marketing mix
A.A.: A great number of entrepreneurs indicated a marketing mix. They mentioned products and services
characteristics, prices, distributions channels and promotions while few of them made an accurate detailed
description. Others were not able to give us precise information.
Describe the importance of your internal organization and management for the success of your business:
A.A.: Some of them gave us accurate description about their management and organization adapted to their
consumers’ needs while others described a classic organization, but few had no clear answers. They gave
general answers about organization and management knowledge. Their answers were not related to their
specific cases. Also they were not able to give more precision which means they had lack of information and
about this field
Describe how your financial plan can help you bring your business idea to completion:
A.A.: Few entrepreneurs told us in details about financial ratios and their impacts on the financial situation of the
company. The majorities of entrepreneurs gave general description which lead to the conclusion that they
grasped little in this field.
Describe the liquidity problem that your company might face:
A.A.: As the answer of the precedent question, few entrepreneurs were aware of the lack of liquidity their
companies could face. They’ve explained the needs of liquidity caused by the difference between the purchasing
dates of products and the selling dates. Based on that they estimated the loan they have to take from the bank to
avoid problem payment to suppliers, employees and others. But the majorities of entrepreneurs thought that the
liquidity problem was related only to the customers’ payments dates.
6. Discussion of results
By interpreting the findings from this qualitative study and by relating them to the key success factors
of SME entrepreneurs, we can conclude the following about the Lebanese SMEs entrepreneurs:
� Regarding the competitive advantage factor, Entrepreneurs knew how important it is to the
success of their business but the majority failed to combine many elements to lead to competitive
advantages such as product and services differentiation combined with core competencies. On
the other hand, their answers were not based on scientific studies like, Delphi method,
observation, qualitative and quantitative studies; they have weak awareness on how to use these
studies.
� Value Chain factor: Entrepreneurs ignored how to build a competitive advantage in every part of
the value chain.
� Information System factor: Entrepreneurs had a vague and indefinite idea about its importance
and its impact on company efficiency.
� Human Resources and Management factor: Entrepreneurs were not able to determine how its
impact is essential to the implementation of their idea. They were not able to build an organisation
and a management related to their consumers’ specific needs and competitive advantage.
� Innovation factor, Entrepreneurs had a lack of creativity in their ideas.
� Marketing mix factor, Entrepreneurs operational plan was not related to the strategic plan; plus
they confounded between the element of a swot analysis and how to use it. They mixed up
among goals, objectives and strategies. They didn’t give a finishing deadline. They had ignorance
of the positioning and its effect on sales.
� Financial plan factor, Entrepreneurs had minor knowledge regarding the financial ratios and plan.
The results of this study highlighted the need to advise the Lebanese entrepreneurs at early stages to
undertake trainings and have follow up in the areas studied in our research. Otherwise, they will end
up with failing even if their business idea is innovative. These trainings and follow-ups can be
proposed and financed by the state or other third parties, like associations and municipalities.
7. Contributions and directions for future research
7.1 Theoretical contributions and future directions for research
This study was intended to provide a clearer understanding of the level of knowledge SME
entrepreneurs about competitive advantage, value chain, information system, human resources
management, innovation, marketing plan, marketing and management analysis as well as
organization and financial plan in order to succeed in their early stages in a third world context.
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