This paper provides a systematic literature review of research in the field of capital budgeting techniques (CBT) among small- and medium- sized firms. In total, 26 studies published between 1964 and 2017 were reviewed. It covers three areas: the type of CBT that have been used across sizes and locations; determinants associated with the choice of CBT; and the methods and analysis techniques used in previous studies. SWOT analysis was done to systematise the findings and to identify the shortcoming and strengths in existing literature. For each area, potential areas of research to further the field are suggested.

The aim of this dissertation is to explore the drivers of practitioners’ choices of capital budgeting techniques(CBT). The mainstream literature suggests that sophisticated CBT (SCBT) will best guide organizations inevaluating important strategic investments. Small and medium-size enterprises (SMEs) choose to go againstthat “wisdom” and choose non-sophisticated CBT (NSCBT).

Instead of following the prescriptive path of the mainstream literature, this dissertation adopts an explorativedesign, exploring qualitatively and quantitatively the reasons SMEs choose NSCBT or SCBT to evaluatestrategic investments. Based on the findings in the four included papers, the dissertation describes whenand under which conditions Swedish high-growth SMEs choose different types of CBT. The focus onSwedish high-growth SMEs listed on First North allowed the capture of choices for both SCBT and NSCBT.

Institutional and firm-specific forces, decision-maker–specific attributes, market and contextual factorsemerge as important drivers of the choices of CBT made by high-growth SMEs. The dissertation suggeststhat these multi-level determinants define the limits of decision-makers’ discretion and how they inform thechoices of CBT made by high-growth SMEs.

This study explores how Miles and Snow's (1978) typology of strategy relates to a firm's choice of capital budgeting techniques (CBT) when the firm operates in a competitive market. Furthermore, it explores how this relationship is contingent on entrepreneurial structure. The study is based on data from 62 small and medium-sized enterprises (SMEs) operating on First North. The empirical data was collected using a survey and secondary data from annual reports and analysed with content analysis. The results show that an analyser strategy is positively related to the choice of sophisticated CBT, and a defender strategy is positively related to the choice of non-sophisticated CBT. Moreover, entrepreneurial structure positively moderates the relationship between prospector strategy and the choice of non-sophisticated CBT. The study also provides practical insights on how to align strategy, CBT, and structure among SMEs operating on competitive markets.

The aim of this study is to combine the various concepts, in the field of SME in service based industry, being developed independently by researchers. The goal is to provide a comprehensive overview on the rules and interactions of the involved factors. An investigation of the influence of corporate image and relationship quality on customer loyalty, among SMEs in the banking sector, is carried out. The moderating role of switching barrier is investigated. Furthermore the background variables, affecting relationship quality and corporate image, are investigated. This provides a deeper understanding on how customer loyalty is achieved. Such a deeper understanding on achieving customer loyalty can be regarded as a competitive tool especially in the banking sector with many financial providers and the products being alike. This article is based on 335 valid questionnaires returned from SME customers established in Sweden. The negative impact of Switching barrier on customer loyalty indicates that switching barrier should be avoided thus it decreases customer loyalty and does not have a moderating role. Instead focus should be put on delivering high professionalism which will contribute to higher level of relationship quality and positive perception of corporate image. This, in turn, will eliminate the moderating role of switching barrier and lead to customer loyalty.

The aim of the paper is to understand how SMEs perceive professionalism its influences on the customer loyalty of the banks they work with. This is being explored through investigating the black box found in the relationship between these two concepts. The paper hypotheses that corporate image and relationship quality are the intervening variables in the professionalism relationship to customer loyally, while switching barriers are then serve as moderators of the relationship between corporate image and relationship quality and customer loyalty. The paper is based on a survey answered by 335 owners of SMEs in Sweden. The findings of the paper indicate that 1) increasing perception of banks’ professionalism has a positive impact on banks’ corporate image and on the relationship quality SME possesses, 2) increasing positive perception of the banks’ corporate image and increasing relationship quality leads to higher customer loyalty, 3) switching barriers do not moderate the relationship between perceived corporate image and relationship quality of the bank SME works with, 4) that perceived corporate image and relationship quality mediate the relationship between perceived professionalism of the bank in its influence on customer loyalty of SME to its bank.