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The purpose of the paper has been to determine to what extent Croatian SMEs gear to accept innovations in the processes, products or organization in general. The aim has been to highlight the importance of innovation management and absorption and diffusion of innovation by SMEs in fostering growth and development of the organization itself. In the first part of the paper a literature review is provided. The empirical research was conducted to determine a present state in Croatian SMEs regarding innovation, perception of innovations and innovation absorption and diffusion. The primary data, collected through questionnaire, was used to find responses on the factors influencing innovations in organizations. The second part of the paper reveals research results. The National strategy of innovation for the period 2014–2020 was used as a frame which determines ways of improvements in innovation capacity and innovation management in Croatian SMEs. It was used also as a base to make a comparison with older EU members.
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- Innovation Management and Innovation Potential of Croatian SMEs
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