In this paper, we underline the significant role of intermediaries in boosting absorptive capacity in small and medium-sized enterprises by introducing a framework that expresses intermediaries' functions and their services in absorptive capacity as an essential element of successful knowledge and technology transfer. | VNU Journal of Science Economics and Business Vol. 36 No. 5E 2020 1-10 Original Article How Do Intermediary Organizations Support SMEs to Enhance their Absorptive Capacity Alireza Ansari Vaghef Utz Dornberger Leipzig University Leipzig Germany Received 01 December 2020 Revised 07 December 2020 Accepted 20 December 2020 Abstract Researchers have discussed intermediary organizations as the crucial facilitators of technology transfer in an innovation system. They employed the intermediary term in different settings in the innovation system literature. In past decades scholars highlighted the importance of intermediaries repeatedly. However few studies examine intermediaries role in the innovation system. In this paper we underline the significant role of intermediaries in boosting absorptive capacity in small and medium-sized enterprises by introducing a framework that expresses intermediaries functions and their services in absorptive capacity as an essential element of successful knowledge and technology transfer. Keywords Innovation System Intermediary Organizations Intermediary Services Absorptive Capacity. 1. Introduction Argilés et al. 7 mention that this exchange is vital for SMEs. However knowledge or Countries have accelerated economic technology transfer is a complex phenomenon growth by promoting innovation. Hence and it does not lead to innovation if the academics have presented the term innovation transferred knowledge or technology has not system to explain ecosystems in which been fully absorbed and utilized. The literature innovation occurs 1 2 and have expanded the demonstrates that to absorb technology term in the literature 3-6 . The innovation enterprises need to develop their absorptive system theory indicates that innovation occurs capacity. Such capacity development would by interaction among various actors who require resources and time and therefore SMEs exchange knowledge and technologies and compared to large-sized companies encounter .