Entrepreneurial coaching for innovation in SMEs

Purpose. Coaching is a widespread form of human development that has grown considerably in recent years. However, it is not well understood in entrepreneurship and small and medium-sized enterprises (SMEs) and little is known about the success factors for coaching in SMEs. Thus, this article presents a theoretical framework for coaching SMEs. The paper reports on a study carried out to develop and validate a coaching model for entrepreneurship in SMEs.Design/methodology/approach. A mixed methods approach was undertaken in SMEs in the Iranian pharmaceutical industry. Confirmatory factor analysis (CFA) was used to confirm the samples and the model's dimensions.Findings. The results show five chief constructs of the entrepreneurial coaching model. In particular, the authors determine the importance of early goal setting and identify the essential characteristics of an effective entrepreneurial coach.Research limitations/implications. Firstly, the data relied solely on the pharmacy industry in Iran, indicating a need for future studies to explore coaching programs across various industries and countries. Additionally, a quantitative aspect of the research involved participants answering questionnaires based on their perceptions. This subjective nature introduces a potential for inaccuracies in participants' perceptions and expectations. Furthermore, the inherent bias of program stakeholders may have led to exaggerated responses. To mitigate these issues, it would be beneficial to conduct experimental and longitudinal research, which could address these concerns more effectively.Practical implications. By utilizing a theoretical framework, the authors goal is to define the essential features of coaching in SMEs and compare it to other developmental interventions to highlight both commonalities and distinctions. This approach addresses the recent suggestions in coaching literature to distinguish coaching practices tailored for particular groups, specifically entrepreneurs involved in SMEs.Originality/value. This study contributes to understanding the essential features for successful entrepreneurial coaching in SMEs.