Entrepreneurial Competencies and Innovation in Driving Sustainable Business Growth
Abstract
Entrepreneurial competencies and innovation have become important capabilities for businesses seeking sustainable growth in increasingly competitive and changing market environments. This article examines the relationship between entrepreneurial competencies, innovation capability, and sustainable business growth, with particular attention to small and medium enterprises. The analysis highlights that competencies in opportunity recognition, strategic thinking, decision making, relationship management, learning, and resource coordination enable entrepreneurs to respond more effectively to business challenges and emerging opportunities. However, entrepreneurial competencies alone may not generate sustainable growth unless they are successfully converted into practical innovation outcomes. Innovation capability provides an important mechanism for transforming entrepreneurial knowledge, market information, and business opportunities into improved products, services, processes, and customer value. The article identifies several challenges, including competency gaps, limited innovation capability, difficulties in converting entrepreneurial competencies into innovation, and the need to balance innovation with sustainable growth. It proposes continuous competency development, market focused innovation, effective knowledge utilisation, and stronger alignment between innovation decisions and business priorities. Overall, sustainable business growth requires an integrated approach in which entrepreneurial competencies support effective decision making while innovation strengthens adaptability, competitiveness, and long term value creation.
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Copyright (c) 2025 Khairani Athirah Roslee, Iffah Fasehah, Mat Zaharin
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