This research draws together and reconciles three seemingly dichotomous "worlds": SMEs, e-business and government policymaking. It examines the practical impact of policies on SMEs, with the intention that future policy initiatives may result in greater opportunities for SMEs, a greater level of innovation adoption by them, and an economy that is – as a direct result – more dynamic. Through a narrative approach informed by ACR and Dialogical AR, in combination with SSM conceptual modelling, the research addresses the absence of multiple case study designs in the literature, and tests existing knowledge about SMEs and policy generation in an original way. The development of complementary analysis tools constitutes a methodological extension of the SSM conceptual modelling process for ISD. An exploration of a complex, ill-structured problem situation with multiple owners that can be viewed from a variety of stances using an interpretive approach, this work provides a valuable contribution to literature, theory and practice. It is a highly recommended resource for postraduate students who aspire to have a better grasp of strategic STI policy development for SMEs and entrepreneurs.