FACTORS INFLUENCING BUSINESS INNOVATION OF SMALL AND MEDIUM – SIZED TOURISM COMPANIES: PERPECTIVES FROM HO CHI MINH CITY ENTERPRISES.

Abstract

Business Model Innovation is one of the pressing and vital issues for businesses today. Faced with intense industry competition and rapid technological changes in the business environment, businesses are compelled to undergo significant changes to create and sustain business value. This research aims to expand the theory of innovation to further enhance the factors influencing business model innovation. The survey questionnaire was inherited from previous studies, with 207 valid samples collected from tourism businesses in Ho Chi Minh City. Exploratory Factor Analysis (EFA) and linear regression were used to analyze the factors influencing business model innovation. The research results revealed that all five factors: entrepreneurial mindset, organizational learning capability, digital platform, agility, and culture of novelty orientation have a positive impact on business model innovation. Based on the analysis results, the authors provide managerial implications for tourism businesses to enhance performance and effectiveness through the innovation process.