Innovation in Micro and Small Enterprises: Resources and Capabilities

ABSTRACT Objective: the article aims to identify relevant resources for composition of managerial and transactional capabilities in context micro small enterprises (MSEs). Method: through a literature review, associated with innovation were identified: leadership, people management, information knowledge, relationships clients, suppliers, society, results. The collected measured using structured questionnaire made available by Local Agent Innovation program, applied 447 MSEs state Pernambuco, between 2015 2017. Confirmatory factor analysis was used verify how these contribute capabilities. Results: results demonstrate that capability is composed relationship society sharing management. Transactional up customers obtained firm. Conclusions: although have restrictions on access technologies, their organizational seem development obtain competitive advantage.