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While previous research has demonstrated the positive effects of digital business strategies on operational efficiency, financial performance and value creation, little is known about how such strategies influence innovation performance. To address the gap, this paper aims to investigate the impact of a firm’s digital business strategy on its innovation performance.

Drawing on the dynamic capability view, this study examines the mechanism through which a digital business strategy affects innovation performance. Data were collected from 215 firms in China and analyzed using multiple regression and structural equation modeling.

The empirical analysis reveals that a firm’s digital business strategy has positive impacts on both product and process innovation performance. These impacts are partially mediated by knowledge-based dynamic capability. Additionally, a firm’s digital business strategy interacts positively with its entrepreneurial orientation in facilitating knowledge-based dynamic capability. Moreover, market turbulence enhances the strength of this interaction effect. Therefore, entrepreneurial-oriented firms operating in turbulent markets can benefit more from digital business strategies to enhance their knowledge-based dynamic capabilities and consequently improve their innovation performance.

This study contributes to the understanding of how a firm’s digital business strategy interacts with entrepreneurial orientation in turbulent markets to shape knowledge-based dynamic capability, which in turn enhances the firm’s innovation performance.

This article focusses on the hybrid strategy, a simultaneous combination of cost leadership and differentiation strategy. The study aims to examine the impact of hybrid strategy on firm performance through its anticipated positive effects on process and product innovation. In addition, we study the moderating role of adaptive capacity in the direct relationships of hybrid strategy with process and product innovation.

Structural equation modelling was used to analyse 1,842 Spanish firms with fewer than 250 employees. We randomly selected small and medium-sized enterprises (SMEs) operating in Spain from the Spanish Central Business Directory (2021) database. The overall sample design was based on stratified sampling.

We found that hybrid strategy is positively related to firm performance and to process and product innovation. Additionally, in firms implementing hybrid strategies, process innovation fostered firm performance. Finally, adaptive capacity strengthened the relationships of hybrid strategy with process and product innovation. This sheds light on how and when hybrid strategy is most effective in fostering SME performance.

We highlight that SMEs need to establish strategies that use diverse resources and capabilities and not just generate competitive advantage using one strategy (cost leadership or differentiation strategy). This requires an agile and flexible systems and structures.

Our research provides novel results by proposing the adoption of hybrid strategies instead of pure strategies (cost leadership and differentiation strategy) as a way for SMEs to survive during crises. Unlike “stuck in the middle” strategies, our study demonstrates the importance of hybrid strategies in a comprehensive model that links them to innovation and firm performance, with adaptive capacity being a determining factor.

This paper aims to examine the interrelation between two innovating strategies (product and process) on total factor productivity (TFP) growth and the dynamic linkages between these strategies, for Colombia. The authors first explore whether ex ante more productive firms are those that introduce innovations (the self-selection hypothesis) and if the introduction of innovations boosts TFP growth (the returns-to-innovation hypothesis). Second, the authors study the firm’s joint dynamic decision to implement process and/or product innovations. The authors use Colombian manufacturing data from the Annual Manufacturing and the Technological Development and Innovation Surveys.

This study uses a four-stage procedure. First, the authors estimate TFP using a modified version of Olley and Pakes (1996) and Levinsohn and Petrin (2003), proposed by De Loecker (2010), that implements an endogenous Markov process where past firm innovations are endogenized. This TFP would be estimated by GMM, Wooldridge (2009). Second, the authors use multivariate discrete choice models to test the self-selection hypothesis. Third, the authors explore, using multi-value treatment evaluation techniques, the life span of the impact of innovations on productivity growth (returns to innovation hypothesis). Fourth, the authors analyse the joint likelihood of implementing process and product innovations using dynamic panel data bivariate probit models.

The investigation reveals that the self-selection effect is notably more pronounced in the adoption of process innovations only, as opposed to the adoption of product innovations only or the simultaneous adoption of both process and product innovations. Moreover, our results uncover distinct temporal patterns concerning innovation returns. Specifically, process innovations yield immediate benefits, whereas implementing both product innovations only and jointly process and product innovations exhibit significant, albeit delayed, advantages. Finally, the analysis confirms the existence of dynamic interconnections between the adoption of process and product innovations.

The contribution of this work to the literature is manifold. First, the authors thoroughly investigate the relationship between the implementation of process and product innovations and productivity for Colombian manufacturing explicitly recognising that firms’ decisions of adopting product and process innovations are very likely interrelated. Therefore, the authors start exploring the self-selection and the returns to innovation hypotheses accounting for the fact that firms might implement process innovations only, product innovations only and both process and product innovations. In the analysis of the returns of innovation, the fact that firms may choose among a menu of three innovation strategies implies the use of evaluation methods for multi-value treatments. Second, the authors study the dynamic inter-linkages between the decisions to implement process and/or product innovations, that remains under studied, at least for emerging economies. Third, the estimation of TFP is performed using an endogenous Markov process, where past firms’ innovations are endogenized.

Food sustainability is a world-acknowledged issue that requires urgent integrated solutions at multi-levels. This study aims to explore how food firms can improve their sustainability performance through digital traceability practices, considering the mediating effect of sustainability-oriented innovation (SOI) and the moderating effect of supply chain learning (SCL) for the food supply chain therein.

Hierarchical regression with a moderated mediation model is used to test the proposed hypotheses with a sample of 359 food firms from four provinces in China.

Digital traceability has a significant positive impact on the three pillars of sustainability performances among food firms. SOI (product innovation, process innovation and organisational innovation) mediates the relationship between digital traceability and sustainability performance. SCL plays moderating roles in the linkage between digital traceability and both product and process innovation, respectively.

This paper contributes as one of the first studies to develop digital traceability practices and their sustainability-related improvements for Chinese food firms; it extends studies on supply chain traceability to a typical emerging market. This finding can support food sustainability practice in terms of where and how to invest in sustainability innovation and how to improve economic, environmental and social performance.

This study attempts to explore the linkages between reliable big and cloud data analytics capabilities (RB&CDACs) and the comparative advantage (CA) that applies in the manufacturing sector in the countries located in North Africa (NA). These are considered developing countries through generating green product innovation (GPI) and using green process innovations (GPrLs) in their processes and functions as mediating factors, as well as the moderating role of data-driven competitive sustainability (DDCS).

To achieve the aim of this study, 346 useable surveys out of 1,601 were analyzed, and valid responses were retrieved for analysis, representing a 21.6% response rate by applying the quantitative methodology for collecting primary data. Convergent validity and discriminant validity tests were applied to structural equation modeling (SEM) in the CB-covariance-based structural equation modeling (SEM) program, and the data reliability was confirmed. Additionally, a multivariate analysis technique was used via CB-SEM, as hypothesized relationships were evaluated through confirmatory factor analysis (CFA), and then the hypotheses were tested through a structural model. Further, a bootstrapping technique was used to analyze the data. We included GPI and GPrI as mediating factors, while using DDCS as a moderated factor.

The empirical findings indicated that the proposed moderated-mediation model was accepted due to the relationships between the constructs being statistically significant. Further, the findings showed that there is a significant positive effect in the relationship between reliable BCDA capabilities and CAs as well as a mediating effect of GPI and GPrI, which is supported by the proposed formulated hypothesis. Additionally, the findings confirmed that there is a moderating effect represented by data-driven competitive advantage suitability between GPI, GPrI and CA.

One of the main limitations of this study is that an applied cross-sectional study provides a snapshot at a given moment in time. Furthermore, it used only one type of methodological approach (i.e. quantitative) rather than using mixed methods to reach more accurate data.

This study developed a theoretical model that is obtained from reliable BCDA capabilities, CA, DDCS, green innovation and GPrI. Thus, this piece of work bridges the existing research gap in the literature by testing the moderated-mediation model with a focus on the manufacturing sector that benefits from big data analytics capabilities to improve levels of GPI and competitive advantage. Finally, this study is considered a road map and gaudiness for the importance of applying these factors, which offers new valuable information and findings for managers, practitioners and decision-makers in the manufacturing sector in the NA region.

The purpose of this paper is to identify and describe the influence of the knowledge base (KB) of the company on driving forces of innovation processes in knowledge-intensive services (KIS) and to compare the level of innovativeness of the final services.

The paper investigates through qualitative research 11 KIS organisations with different KB.

The research results identified and described the influence of the KB on driving forces of innovations processes and its results in companies with four newly identified KBs (analytical, synthetic, symbolic and compliance).

Further research, based on a larger number of companies, is needed to confirm the results of this research and to complement the effect of the KB on driving forces of innovation.

This research can help organisations understand how to develop strategic plans and new ideas for innovative services depending on the KB of the organisation.

The description of successful innovation processes and results in several leading companies presented in the study may help other companies in identifying knowledge-integration practices to improve performance and innovation processes that support multiplicity, productivity and creativity.

The study systemised the sources of new ideas for innovation in companies with different KB, several driving forces of innovation were identified and how these forces are affected by each KB; lastly, innovation results were compared in companies with different KB.

This paper aims to investigate sustainability-led innovation, focusing on the interplay between product and process innovation for sustainability goals and the underlying supplier–customer relationships. Thus, the paper delves into sustainability-led innovation and how it affects supplier–customer relationships, and vice versa, thus providing a twofold perspective.

The textile industry is the empirical context of this study, which is exploratory research based on in-depth, semi-structured interviews with entrepreneurs, managers and experts in the textile industry.

In the textile industry, sustainability-led product innovation concerns mainly product durability and performance, product recyclability and the use of waste for new product development. Process innovation deals with circular economy, traceability and water and chemical use minimization. The paper also shows how sustainability-led innovation is implemented in more technical terms and regarding supplier–customer relationships.

The paper adopts an original perspective on how processes take place in the relationships between suppliers and customers, where there is no dominance of one actor, but innovation emerges from interdependence and interaction. Such perspective allows to provide an in-depth analysis of the supplier–customer relationships and underlying dynamics that affect sustainability-led innovation; moreover, the authors study how such innovation impacts supplier–customer relationships and the underlying relational dynamics. The value of the paper also stands in delivering a real representation of the innovation processes grounded in the textile industry.

This study aims to focus on a key unanswered question about how digitalization and the knowledge processes it enables affect firms’ strategies in the international arena.

The authors conduct a systematic literature review of relevant theoretical and empirical studies covering over 20 years of research (from 2000 to 2023) and including 73 journal papers.

This review allows us to highlight a relationship between firms’ international strategies and the knowledge processes enabled by applying digital technologies. Specifically, the authors discuss the characteristics of patterns of knowledge flows and knowledge processes (their origin, the type of knowledge they carry on and their directionality) as determinants for the emergence of diverse international strategies embraced by single firms or by populations of firms within ecosystems, networks, global value chains or alliances.

Despite digital technologies constituting important antecedents and critical factors for the internationalization process, and international businesses in general, and operating cross borders implies the enactment of highly knowledge-intensive processes, current literature still fails to provide a holistic picture of how firms strategically use what they know and seek out what they do not know in the international environment, using the affordances of digital technologies.

The purpose of the present research is to introduce a combined framework that integrates innovative work behavior, product innovation process and customer knowledge management; then, to explore the mediating effect of customer knowledge management in the relationship between innovative work behavior and the product innovation process.

The basis for the present research is a cross-sectional design. Data collection from 154 employees occurred using the following structured questionnaires: Customer Knowledge Management (CKM), Innovative Work Behavior (IWB) and Product Innovation Process (PIP). Data processing used SPSS version 26.0, including the PROCESS (3.5) macro analysis.

The results show positive relationships between innovative work behavior and the product innovation process (r = 0.420, p < 0.01). Pearson's correlation shows a coefficient of 0.42, meaning that 42% of the variations in perceived product innovation are due to variations in innovative work behavior. The second condition of the mediation test involved testing the relationship between the independent variable (Innovative Work Behavior) and the mediating variable (Knowledge Management) and showed a significant relationship (r = 0.272, p < 0.01). The findings suggested that knowledge management that other determinants supported, such as collaboration in idea exploration, idea championing and encouragement of participation in idea implementation, significantly contributed to the product innovation process (r = 0.509, p < 0.01). The bootstrapping method confirmed that innovative work behavior supports product innovation through the mediation of customer knowledge management (z = 3.01, p = 0.002).

The cross-sectional design, along with the relatively low number of participants and the self-reporting nature of the questionnaires, represent the current study's main limitations. Developing the research model could integrate new variables, such as customer co-creation processes, performance-based compensation, employee citizenship activities and transformational leadership.

This research has both theoretical and practical implications. These emphasize the importance of further investigation into the factors influencing companies' innovation processes. They also provide managers with a means of finding a fit between the deployment of customer knowledge mechanisms and the achievement of innovative workplace behavior, to improve innovation process efficiency.

The current study broadens the empirical research area of customer knowledge management and its impact on both innovative work behavior and the product innovation process, particularly in knowledge-intensive market scenarios that require organizations to be innovative.

Drawing upon information processing theory (IPT) and natural resource-based view (NRBV), this study analyses the role of social media technologies (SMT) on internal and external environmental collaboration and green innovation (green product, process and managerial innovation).

This study took in-depth empirical research by developing a survey questionnaire to identify the relationship between SMTs, environmental collaboration and green innovation. The respondents of the questionnaire were supply chain professionals working in the manufacturing industry of Pakistan. The survey collected 475 responses, which were tested through PLS-SEM using Smart-PLS.

The study results indicate that SMTs positively influence both internal and external environmental collaboration. Furthermore, internal environmental collaboration (IEC) fosters green products and green managerial innovation. In contrast, external environmental collaboration (EEC) fosters green processes and green managerial innovation. This study has also tested the mediation of IEC and EEC, which shows that both IEC and EEC mediate all the relationships except green process and green product innovation. The results also revealed that innovation capabilities moderate the relationship between environmental collaboration and green innovation.

Though this study has various practical implications, it is not free of limitations. First, the data were collected from Pakistan, and the results may only be compared with other developing countries. Second, few social media platforms have been considered, but they are increasing in numbers and could be used in upcoming studies. Third, green innovation in the context of products, processes and management is considered, but the concept is evolving, and its other indicators can be taken in upcoming studies.

This study addresses the implication of SMTs, environmental collaboration, innovation capabilities and green innovation, which are helpful for managers and policymakers to design policies.

This study provides the seminal operationalization of SMTs in environmental collaboration and green innovation. This study emphasizes innovation capabilities that firms should adopt.