Frugal Innovation in SMEs: Challenges and Opportunities of Doing More With Less Strategy

Abstract

The concept of frugal innovation (FI) has many positive sides such as how to provide customers with value-added and affordable solutions. Sustainability as one of the opportunities of FI can be created but the negative sides as challenges and positive sides as opportunities have not been explored much. This study aims to identify the challenges and opportunities of FI that will be faced by Small, Medium Enterprises (SMEs) in developing countries. A systematic literature review was used to address the gap. Therefore, it is important to develop a balanced knowledge of the topic based on a comparative perspective to gain a holistic understanding of frugal innovation. First, it points out the understanding of FI, overlapping concepts, and FI in SMEs. Second, it identifies the main challenges and opportunities of FI.