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Article
Publication date: 29 December 2021

Sebastian Ion Ceptureanu and Eduard Gabriel Ceptureanu

The purpose of the study was to analyse the impact of innovation ambidexterity represented by explorative and exploitative innovation capabilities and their combined effects on…

Abstract

Purpose

The purpose of the study was to analyse the impact of innovation ambidexterity represented by explorative and exploitative innovation capabilities and their combined effects on product innovation performance and to prove the mediating effect of decentralization.

Design/methodology/approach

The study uses partial least squares for structural equation models and SmartPLS version 3.3.1 on a sample of 174 Romanian medium- and large-sized firms from the IT industry to test six research hypotheses. To measure innovation ambidexterity, the orthogonal approach was used, conceptualizing innovation ambidexterity as a multidimensional, second-order construct composed of explorative and exploitative innovation capabilities. Innovation ambidexterity was conceptualized as a multiplicative term of both explorative and exploitative innovation capabilities.

Findings

The empirical results prove that innovation ambidexterity is positively correlated with product innovation performance, while decentralization is mediating the impact of innovation ambidexterity on product innovation performance in the IT industry.

Research limitations/implications

The data was based on self-reported assessments of senior executives. While innovation ambidexterity may influence product innovation performance in the long term, such long-term effects are not assessed. Other studies found a moderating effect between centralization or decentralization and ambidexterity, while we found that it has a mediating effect.

Practical implications

In the context of innovation capability, the combination of explorative or exploitative capabilities may lead to a better synergy. Innovation ambidexterity influences product innovation performance through a synergistic effect, making the simultaneous combination of capabilities useful for firms willing to make efficient use of existing resources and make their capabilities mutually supportive. Moreover, for senior executives, the effects of decentralization as a mediator provide further incentive to include it in their development of firms' innovation capabilities.

Originality/value

This study extends findings of other studies by contributing to a deeper examination of the effects of decentralization, on innovation outcomes by focusing on a specific type of innovation, product innovation. Moreover, since innovation capability is often studied in small firms or in the manufacturing industry, this study contributes to the research on innovation capability and the consequences on innovation capability in the services sector and medium- and large-sized companies. By proving that decentralization mediates the effects of innovation ambidexterity on product innovation performance, it enables reconsideration of the organizational structure role in fostering innovation.

Article
Publication date: 3 October 2016

Yu Zhou, Lu Lu and Xiaoxi Chang

The purpose of this paper is to examine the impacts of ambidextrous capabilities, explorative capability and exploitative capability on product innovation performance in the…

1073

Abstract

Purpose

The purpose of this paper is to examine the impacts of ambidextrous capabilities, explorative capability and exploitative capability on product innovation performance in the context of internationalization and cross-cultural environment; and to examine the moderating effects of CEO’s preference of risks and opportunities in the international market on the relationship between ambidextrous capabilities and multinational enterprises’ (MNEs) product innovation performance.

Design/methodology/approach

Data were collected from 189 MNEs located in China, which develop international business through export, outsourcing, foreign equity investment or foreign direct investment. Measurement reliability and validity were examined and hierarchical linear regression was used to test the hypotheses.

Findings

Results indicated that both explorative and exploitative capability are positively related to MNEs’ new product development and commercialization of Chinese MNEs; and CEO’s preference of risks and opportunities in international market plays a significant moderating role in the two phases of product innovation.

Research limitations/implications

This study extends organizational ambidextrous capabilities theory to better understand the effects of explorative capability and exploitative capability on innovation performance in the context of internationalization and national cultural differences. Sample constitution is a possible limitation.

Practical implications

MNEs, especially those from emerging economies, should develop both explorative and exploitative capability to be flexible and competitive in dealing with cultural differences. fully take risks and opportunities should be taken into consideration regarding the international market and national cultural differences, and take an effective contingency strategy, driven by the ambidextrous capabilities toward new product innovation development and commercialization.

Originality/value

An empirical examination of how ambidextrous capabilities impact on Chinese MNEs’ new product development and commercialization connects the organizational ambidexterity theory to the innovation and characteristics of upper echelons.

Details

Cross Cultural & Strategic Management, vol. 23 no. 4
Type: Research Article
ISSN: 2059-5794

Keywords

Article
Publication date: 13 January 2022

Guanhua Wang, Yaqin Wang, Xiaowei Ju and Xueqin Rui

This study examines the effect of political networking capability (PNC) and strategic capability on exploratory innovation/exploitative innovation through the mediation of…

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Abstract

Purpose

This study examines the effect of political networking capability (PNC) and strategic capability on exploratory innovation/exploitative innovation through the mediation of absorptive capability (AC).

Design/methodology/approach

Using empirical survey data collected from 153 traditional manufacturing firms (TMFs) in China, the authors apply partial least squares structural equation modeling (PLS-SEM) combined with mediation analyses to test hypotheses.

Findings

PNC has a higher impact on exploratory innovation than exploitative innovation through AC. The authors thus provide novel empirical insights into independent variables of firms' ambidextrous innovation and their implementation mechanisms.

Research limitations/implications

The authors highlight a unique situation of China and contribute to the literature on PNC and AC. The findings demonstrate that AC plays an important role in configuring government-obtained external resources into new products, thus influencing ambidextrous innovation strategic decisions.

Practical implications

TMFs' executives should enhance PNC to obtain more resources to conduct exploratory and exploitative innovation. Government officials and policymakers should strengthen the supervision of TMFs' innovation activities and adopt effective measures to ensure that TMFs could conduct more exploratory innovation as governments expected.

Originality/value

This study provides new insights by bridging research gaps in the literature and advances the insights of how TMFs' PNC/strategic capability directly and indirectly fosters exploratory and exploitative innovation via the mediating role of AC in China.

Details

Journal of Manufacturing Technology Management, vol. 33 no. 3
Type: Research Article
ISSN: 1741-038X

Keywords

Article
Publication date: 30 July 2019

Bismark Duodu and Steve Rowlinson

The purpose of this paper is to advance new insights into how internal and external social capital (SC) facets influence exploratory and exploitative innovation directly, and…

Abstract

Purpose

The purpose of this paper is to advance new insights into how internal and external social capital (SC) facets influence exploratory and exploitative innovation directly, and indirectly through absorptive capability (AC), by drawing on the relational and knowledge-based views.

Design/methodology/approach

The paper empirically tests the developed model using 135 survey responses from managers in construction contractor firms. Data were factor analysed, and path estimates determined using partial least squares structural equation modelling to test the hypotheses.

Findings

The results reveal that each social capital (SC) facet has direct benefits for both exploratory and exploitative innovation. The findings also show a mix of full and partial mediation paths between the facets of SC and innovation types through AC.

Originality/value

Extant research linking SC facets with innovation categories is fragmented. Added to this fragmentation is the dearth of studies linking both intra-firm and inter-firm SC with exploratory and exploitative innovation in firms. This paper makes a novel contribution by testing a model of the direct and indirect links (through AC) between internal and external SC and both exploratory and exploitative innovation in the context of construction contractor firms. The findings show how both facets of SC are necessary for exploratory and exploitative innovation. It reveals the types of relationships and capabilities necessary for specific innovation objectives.

Details

European Journal of Innovation Management, vol. 23 no. 4
Type: Research Article
ISSN: 1460-1060

Keywords

Article
Publication date: 12 September 2023

Md Imtiaz Mostafiz, Farhad Uddin Ahmed, Fahad Ibrahim and Shlomo Yedidia Tarba

This study aims to investigate how international entrepreneurial firms (IEFs) successfully commercialise innovative products/services internationally. In doing so, the authors…

Abstract

Purpose

This study aims to investigate how international entrepreneurial firms (IEFs) successfully commercialise innovative products/services internationally. In doing so, the authors examined the role played by the international dynamic marketing capability (IDMC) in the relationship between explorative and exploitative innovation and commercialisation. In addition, the authors also evaluated how the breadth and depth of international networks facilitate IEFs in upholding the effects of the IDMC to influence commercialisation.

Design/methodology/approach

To test the research model, structural equation modelling is used based on time-lagged survey data drawn from 201 Malaysian IEFs. To validate the results, additional robustness tests and endogeneity analyses have been performed.

Findings

The findings show that the IDMC positively mediates the relationship between explorative and exploitative innovation and commercialisation. Furthermore, the finding exhibits that the effects of the IDMC on commercialisation are positively moderated by the breadth and depth of international networks.

Originality/value

Given the fragmented and general nature of the extant marketing research on the IDMC, the study contributes to the international marketing literature by providing rich and nuanced pertinent knowledge. This study advances dynamic capability theory in relation to IEFs by establishing the IDMC as a functional capability suited to enable them to successfully commercialise the products/services resulting from explorative and exploitative innovation.

Article
Publication date: 3 October 2023

Phong Ba Le and Hung Manh Le

Given the importance of leadership practices and knowledge resources in fostering innovation capabilities of firms, the purpose of this study is to explore the influence of…

Abstract

Purpose

Given the importance of leadership practices and knowledge resources in fostering innovation capabilities of firms, the purpose of this study is to explore the influence of transformational leadership on exploitative and exploratory innovation via mediating role of knowledge management capability. This study also attempts to increase understanding of the appropriate mechanisms for firms to pursue innovation capability by examining the moderating mechanism of competitive intensity.

Design/methodology/approach

This study utilized the structural equation modeling and cross-sectional design to test hypotheses in the proposed research model using survey data collected from 351 participants in 120 manufacturing and service firms.

Findings

The findings indicate that transformational leadership induces greater effect on exploratory innovation compared to its effect on exploitative innovation. The mediating role of knowledge management capability between transformational leadership and aspects of innovation capability is also supported. Especially, the influences of knowledge management capability on exploratory innovation capability are enhanced and depended on the degree of competitive intensity.

Research limitations/implications

Future research should examine the mediating mechanisms of knowledge acquisition, knowledge sharing and knowledge application to provide deeper insight on the role of specific components of knowledge management capability in linking transformational leadership and innovation capability.

Practical implications

The paper highlights the important role of transformational leadership practices for fostering knowledge management capability and specific aspects of innovation capability under high level of competitive pressure.

Originality/value

The paper is unique in the attempts to provide a prospective solution for firms to pursue and improve innovation based on the meaningful insights on the mediating role of knowledge management capability and moderating effect of competitive intensity in the relationship between transformational leadership and specific dimensions of innovation capability.

Details

Leadership & Organization Development Journal, vol. 44 no. 8
Type: Research Article
ISSN: 0143-7739

Keywords

Article
Publication date: 13 October 2020

Volkan Yeniaras, Anthony Di Benedetto, Ilker Kaya and Mumin Dayan

Drawing on the literature on dynamic skills, this study builds upon and empirically tests a conceptual model that connects business and political ties, organizational unlearning…

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Abstract

Purpose

Drawing on the literature on dynamic skills, this study builds upon and empirically tests a conceptual model that connects business and political ties, organizational unlearning, organizational learning and firm performance. Specifically, this study suggests that business ties enable and political ties inhibit organizational unlearning (i.e. regenerative dynamic capability), which may, in turn, affect exploratory (i.e. renewing dynamic capability) and exploitative (i.e. incremental dynamic capability) innovation behaviors of the firm. Thus, the purpose of this study is to offer a theoretical framework in which organizational unlearning and learning act as mediating mechanisms between business and political ties and firm performance.

Design/methodology/approach

Structural equation modeling and mediation analyzes were used on a sample of 302 small and medium-size enterprises in Turkey.

Findings

This study found that business ties enable organizational unlearning while political ties impede it. This study further demonstrates that business ties positively and political ties negatively relate to organizational learning through organizational unlearning. In addition, this study shows that political ties are mostly negatively and indirectly related to firm performance through organizational learning while business ties positively and indirectly relate to firm performance.

Practical implications

The findings demonstrate the critical role that personal networks play in organizational learning and firm performance. This study provides evidence to the need to recognize and evaluate the potential and undesirable impacts of political ties on cultivating innovation skills and firm performance. In addition, this study recommends managers to embrace the significance of organizational unlearning in strategic renewal, particularly as it applies to building renewing and incremental dynamic skills for enhanced firm performance.

Originality/value

This study offers a deeper perspective of the dissected relations of social ties in emerging economies to firm performance by considering organizational unlearning and learning behaviors as mediating mechanisms.

Details

Journal of Business & Industrial Marketing, vol. 36 no. 3
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 14 July 2023

Ali Kazemi, Seyedeh Fatemeh Ghasempour Ganji and Abdullah Na'ami

This paper aims to investigate the link between internal capabilities, innovation strategies and export performance (EP), considering the corporate social responsibility (CSR…

Abstract

Purpose

This paper aims to investigate the link between internal capabilities, innovation strategies and export performance (EP), considering the corporate social responsibility (CSR) principle as a moderator.

Design/methodology/approach

The statistical population of the current study is the food and agricultural products exporting small- and medium-sized enterprises (SME) which participated in the 27th International Agrofood Exhibition (2021) in Tehran, Iran. A sample of 296 managers was selected, using systematic random sampling, to answer the questionnaire. To analyze the data, we used structural equation modeling (SEM) and Hayes PROCESS in SPSS.

Findings

Results show that just manufacturing capabilities affect both exploratory and exploitative innovation, in contrast to marketing capabilities that does not have any significant impact on these two innovation strategies. Moreover, the impact of both explorative and exploratory innovation on EP is supported in the context of food and agricultural SMEs. However, CSR positively moderates the impact of exploratory innovation on EP, showing it has a negative effect on the impact of exploitative innovation on EP.

Originality/value

By addressing the research gap on the link between internal capabilities, innovation strategies, EP and CSR among SMEs, the current research provides valuable body of research that later studies in the literature can leverage or build upon.

Details

Social Responsibility Journal, vol. 20 no. 2
Type: Research Article
ISSN: 1747-1117

Keywords

Article
Publication date: 13 July 2023

Qiang Lu, Yihang Zhou, Zhenzeng Luan and Hua Song

This study empirically investigates how ambidextrous innovations and their balancing affect the supply chain financing performance (SCFP) of small and medium-sized enterprises…

Abstract

Purpose

This study empirically investigates how ambidextrous innovations and their balancing affect the supply chain financing performance (SCFP) of small and medium-sized enterprises (SMEs), based on signaling theory. Moreover, this study explores the moderating effect of the breadth and depth of digital technology deployment on the relationship between ambidextrous innovations and the SCFP of SMEs.

Design/methodology/approach

A mixed-methods design is used, including a qualitative study and a quantitative study. Qualitative data have been collected from six multi-cases in different industries. Questionnaire data have been collected from 259 SMEs in China, and a multiple regression model is used to verify the research hypotheses.

Findings

The findings indicate that, in supply chain financing, both exploitative innovation and exploratory innovation are helpful in improving the SCFP of SMEs. For resource-constrained SMEs, a relative balance between exploitative innovation and exploratory innovation can help improve SCFP. The breadth of digital technology deployment can strengthen the relationship between exploitative innovation and SCFP, while the depth of digital technology deployment can weaken the relationship between exploratory innovation and SCFP. In addition, increasing the depth of digital technology deployment strengthens the positive correlation between the relative balance of ambidextrous innovations and SCFP.

Practical implications

To effectively obtain supply chain financing, SMEs can either concentrate their limited resources on a single type of innovation or use relative balance strategies to simultaneously pursue two innovations. In addition, in the process of obtaining supply chain financing by ambidextrous innovations, SMEs should appropriately deploy digital technologies.

Originality/value

This study first deconstructs the impact mechanism of ambidextrous innovation capabilities on SCFP based on signaling theory, and then discusses the balancing effect of ambidextrous innovations on SCFP in the cases of resource-constrained SMEs. This study also goes further and finds the negative moderating effect of digital technology deployment in the process of supply chain financing.

Details

International Journal of Operations & Production Management, vol. 44 no. 2
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 29 July 2022

Talat Islam and Saba Munir

The purpose of this study is to investigate the impact of strategic entrepreneurship on explorative and exploitative innovation in the presence of strategic learning capabilities

Abstract

Purpose

The purpose of this study is to investigate the impact of strategic entrepreneurship on explorative and exploitative innovation in the presence of strategic learning capabilities. This study has also explored the moderating role of structural organicity between strategic entrepreneurship and strategic learning capabilities.

Design/methodology/approach

A total of 298 employees working in software houses of Pakistan participated in the study. The study used a questionnaire-based survey through “google forms” on convenience basis, and structural equation modeling was used to test the hypotheses.

Findings

The results supported the positive association of strategic entrepreneurship with explorative and exploitative dimensions of innovation. Further, strategic learning capabilities was noted to mediate the association between strategic entrepreneurship and explorative innovation; however, it did not mediate the association between strategic entrepreneurship and exploitative innovation. Finally, the study examined the moderating role of structural organicity and noted a higher positive impact of strategic entrepreneurship on learning capabilities in the case of high structural organicity.

Research limitations/implications

The study collected data from a developing country during COVID-19, which may affect generalizability. The study suggests management to work on employees’ learning capabilities to cultivate the benefits of explorative innovation.

Originality/value

This study explores the mediating role of strategic learning capabilities between strategic entrepreneurship and innovation ambidexterity. In addition, it explores the conditional effect of structural organicity to trigger strategic learning capabilities.

Details

Journal of Workplace Learning, vol. 35 no. 1
Type: Research Article
ISSN: 1366-5626

Keywords

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