Entrepreneurial competencies and the growth of growing SMEs in China's transitional economy: An analytical framework in institutional perspective

Growing small and medium-sized enterprises (SMEs) are playing a more important role in the process of the transformation of China's economic institution. Entrepreneurial competencies are the pivotal factor of firm's growth. Viewing dominant entrepreneurial competencies from institutional perspective, the requirement of China's transitional economy is entrepreneurial institutional competencies and strategic competencies, these two competencies are directly connected with whether growing SMEs can effectively cope with institutional challenges and strategic challenges derived from transitional economy. According to the intensity of these two entrepreneurial competencies, four models of entrepreneurial growth are derived. In the perspective of evolution of economic institutions acting as one of institutional changes, this paper divides China's transitional economy into three stages. On the basis of dynamic fit among transitional economy, entrepreneurial competencies and the growth of groing SMEs, effect models and mechanisms of entrepreneurial competencies on the growth of growing SMEs in China's transitional economy are deeply analyzed.