This study investigates product, process, and management innovation among a sample of Spanish manufacturing small and medium‐sized enterprises (SMEs) during the current economic downturn and a period of economic growth. Tobit analyses examined whether the level of process, product, and management innovation changed during the recessionary period relative to the expansionary period; and MCO estimations were used to show whether the recession affected the relationship between SME innovation and performance. Three main findings are: (1) innovation among Spanish manufacturing SMEs declined during the recent economic crisis; (2) the type of innovation at Spanish manufacturing SMEs changed during different economic conditions; and (3) innovation was positively associated with firm performance during the economic expansion and recession years. The results demonstrate the importance of adopting innovation into SME strategy over the business cycle. The findings have relevance to SMEs, government policymakers, and providers of consulting services.

Purpose -The aim of the present study is to test the main differences between private small/medium-sized family businesses and non-family businesses with regard to management variables such as: strategy, strategic planning, manager's training and professionalism and financial techniques implementation. Design/methodology/approach -In this empirical research, we use a sample of 639 small and medium-sized industrial firms, distributed in 456 family and 183 non-family firms, with the intention of determining whether family SMEs possess specific structural characteristics distinct from non-family ones. The data collection technique used was a questionnaire obtained from a postal survey, and addressed to the manager of the company. Findings -Results show that managers of family firms use some management tools such as management accounting systems and cash budgets for the decision making process and also give less importance to strategic planning and personnel training programmes as a competitiveness factor. Research limitations/implications -There is a need for additional research because the findings indicate that there are different managerial behaviours between family and non-family firms, but we need to corroborate and look for the basis of such differences, in order to address what the advantages and disadvantages of family firms are. Practical implications -The results lead us to support the need for family firms to focus on "management development", which should be understood as the general enhancement and growth of management skills through a learning process. Originality/value -The paper contributes with new empirical evidence about the management function in family businesses. It is also expected that the results of the study help policy makers to make further efforts facilitating the progress of family firms, knowing they are the real engine driving and contributing to welfare of developed economies.

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This paper examines the investment decisions of 51 Spanish venture capital firms by stage of development. The results showed that venture capitalists ranked evaluation criteria related to the characteristics of the entrepreneurs, manager background, and management team experience as more important than market and product characteristics. Factors affecting the required rate of return were more important for the early-stage firms than for late-stage firms. Discounted cash flow analysis is the most frequently used valuation method. Private venture capital firms invest more during late development stages, while public venture capital firms invest more during the early stages. The results can be used by firms seeking venture capital, venture capital firms, consultants, and support agencies that provide capital-acquisition assistance. By gaining insight into decision criteria and processes, firms can develop better and more targeted materials to attract capital. Venture capital firms can use the information from this study to better understand their decision processes, individually and relative to competitors. Consultants and support agencies can use the information to provide better advice to both firms and venture capital firms. Information is this study could easily be built into training programs for both new and existing businesses. Finally, the results can also be incorporated directly into university courses that include material related to venture capital.

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