Achieving competitive advantage in the Mexican footwear industry

Purpose - To provide a systemic view of competitive advantage in small-and medium- sized enterprises (SMEs). Gaining a competitive advantage involves a process that evolves over time and which considers the role of three factors: the entrepreneur, the firm's resources and capabilities and the supporting institutions. Design/methodology/approach - The case study method was selected as an exploratory research method. Many of the findings were based on secondary data while results were confirmed or complemented to some extent by primary data. Primary data were collected via an electronic questionnaire and semi-structured telephone interviews with SMEs' owners in the Mexican footwear industry. Findings - Changes in the business environment may transform the grounds on which SMEs conduct their business. Consequently, adaptation, new relationships and creativity may emerge as a way to overcome scarcity of resources and/or difficulties in gaining access to resources that contribute to their competitive advantage. Research limitations/implications - The results present only a preliminary picture limited to the period 1985-1999. Furthermore, most findings from the primary data refer to responses provided by medium-sized enterprises so the position of small enterprises may need to be revised. Originality/value - Findings may pose interesting implications for entrepreneurs, policymakers and supporting institutions, for the way in which they work together and the impact this may have on SMEs' competitive advantage.