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When is entrepreneurial orientation beneficial for new product performance? The roles of ambidexterity and market turbulence

Shuangfa Huang (Portsmouth Business School, University of Portsmouth, Portsmouth, UK)
David Pickernell (Strategy, Enterprise and Innovation, University of Potsmouth, Portsmouth, UK)
Martina Battisti (Grenoble Ecole de Management, Grenoble, France)
Danny Soetanto (Department of Entrepreneurship, Strategy and Innovation, Lancaster University Management School, Lancaster, UK)
Qihai Huang (Keele Business School, Keele University, Keele, UK)

International Journal of Entrepreneurial Behavior & Research

ISSN: 1355-2554

Article publication date: 21 September 2020

Issue publication date: 4 January 2021

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Abstract

Purpose

Entrepreneurial orientation (EO) is an exploratory orientation because its dimensions such as innovativeness, proactiveness and risk-taking are the essence of exploration that entails uncertain returns. While literature suggests firms might need to counterbalance and complement EO with another orientation for organisational success, research on this area remains limited. Drawing on organisational learning theory, the purpose of this article is to explore whether and how the EO dimensions and organisational ambidexterity complement each other to enhance new product performance. More specifically, the authors explore the configurations of innovativeness, proactiveness, risk-taking and ambidexterity for superior new product performance under different levels of market turbulence.

Design/methodology/approach

Based on a configurational perspective, the authors applied fuzzy set qualitative comparative analysis (fsQCA) on a sample of 88 small and medium-sized firms from the UK. Using fsQCA allows the authors to uncover the potential complementary role between the EO dimensions and ambidexterity for superior new product performance.

Findings

The results of this paper reveal three configurations that are sufficient to produce superior new product performance. The results suggest that the EO dimensions and ambidexterity can complement each other to enhance new product performance. Further, under the turbulent market environment, the EO dimensions are also sufficient to produce superior new product performance.

Originality/value

By adopting a configurational perspective using fsQCA, the study provides a more holistic understanding of how the EO dimensions work together to influence new product performance. It also contributes to the literature by uncovering the complementary role of the EO dimensions and ambidexterity in shaping new product performance.

Keywords

Citation

Huang, S., Pickernell, D., Battisti, M., Soetanto, D. and Huang, Q. (2021), "When is entrepreneurial orientation beneficial for new product performance? The roles of ambidexterity and market turbulence", International Journal of Entrepreneurial Behavior & Research, Vol. 27 No. 1, pp. 79-98. https://doi.org/10.1108/IJEBR-02-2020-0103

Publisher

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Emerald Publishing Limited

Copyright © 2020, Emerald Publishing Limited

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