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Abstract: Purpose: The purpose of the study is to better understand the relationship between dynamic capabilities and firm competitive performance, and how innovation capabilities, specifically (a) product capability and (b) process capability, may play a mediating role in this relationship. Design/Methodology/Approach: Simple Random Sampling technique was adopted to choose SMEs to collect data based on information obtained from Hungarian SMEs associations. A total of 565 completed questionnaires were obtained, with response rate of 65.50%. Confirmatory factor analysis (CFA) was used with AMOS 24 to assess the reliability and validity; and Cronbach’s alpha coefficient was additionally used to assess the dependability of the scales. The proposed model was put to the test using structured equation modelling (SEM). Results: The study results show that dynamic capacities have a significant direct effect on innovation capabilities: product capability and process capability. The study also proves that both product capability and process capability have a significant impact on a firm’s competitive performance. Conclusion: The study concludes that the relationship between dynamic capabilities and competitive firm performance is partially mediated by innovation capabilities. The study suggests that before enhancing product innovation capability, entrepreneurs should consider reorganizing and reallocating resources into process innovation capability. This study contributes to our understanding of the mediating mechanism of innovation capabilities through which dynamic capabilities enhance firm competitiveness performance.
Keywords: innovation capabilities, dynamic capabilities, competitive firm performance, technological innovations
Published in DKUM: 11.08.2025; Views: 0; Downloads: 1
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Abstract: Background and Purpose: The construct of organizational ambidexterity (OA) has attracted the growing attention in management research. Previous empirical research has investigated the effect of organisational ambidexterity on performance from various perspectives. This study aims to resolve the contradictory previous research findings on the relationship between organisational ambidexterity and innovation performance. We unpack this construct with combined dimension of ambidexterity, which relates to a combination of high levels of both exploration and exploitation (introduction of products or services that were new to the market and new to the firm). Methodology: We frame our ambidexterity hypothesis in terms of firm’s innovation orientation. The hypothesis is tested by using Community Innovation Survey (CIS) 2006 micro data at the organizational level in twelve countries. To operationalize an ambidexterity and firms innovation outcome, we used self-reported measures of innovativeness. Results: To test our hypothesis, we developed a set of models and tested them with multiple hierarchical linear regression analyses. The results indicate that exploration and exploitation are positively related to firm’s innovation performances which supports our assumption that both are complementary. Furthermore, we find that above and over their independent effects, through combining them into a single construct of organizational ambidexterity, this variable remains negatively and significantly related to innovation performance. Conclusion: These results provides the managers with an idea of when managing trade-offs between exploration and exploitation would be more favorable versus detrimental. For firms with lower organizational ambidexterity, the relationship between exploration-exploitation and the firm’s innovation performance is a more positive one.
Keywords: enterprises, entrepreneurs, entrepreneurship, organizational ambidexterity, exploration, exploitation, innovation performance
Published in DKUM: 10.01.2018; Views: 1211; Downloads: 442
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Abstract: The study investigates the relationships between market orientation, innovation resources, reputational resources, customer related capabilities, and distribution based assets, as well as their impact on market and financial performance. The results indicate that market orientation is indirectly related to a company's market and financial performance through other four marketing resources. Reputational resources have a positive impact on loyalty, market share, and sales volume, while the impact of innovation resources on market share and sales volume is rather indirect through customer loyalty. While the customer related capabilities significantly impact customer loyalty their impact on market share and sales volume can not be confirmed. On the other side the distribution based assets are weakly related to loyalty and market share and sales volume. General findings indicate that selected marketing resources impact financial performance indirectly through the creation of customer loyalty and directly through market share and sales volume.
Keywords: market orientation, innovation resources, reputational resources, customer related capabilities, distribution- based assets, organizational performance
Published in DKUM: 10.07.2015; Views: 1554; Downloads: 443
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