Dynamic capabilities, creativity and innovation capability and their impact on competitive advantage and firm performance: The moderating role of entrepreneurial orientation

Technovation ◽  
2020 ◽  
Vol 92-93 ◽  
pp. 102061 ◽  
Author(s):  
Jorge Ferreira ◽  
Arnaldo Coelho ◽  
Luiz Moutinho
Keyword(s):  
Firm Performance ◽  
Competitive Advantage ◽  
Entrepreneurial Orientation ◽  
Dynamic Capabilities ◽  
Innovation Capability ◽  
Creativity And Innovation ◽  
Moderating Role

Dynamic capabilities, innovation and branding capabilities and their impact on competitive advantage and SME's performance in Portugal: the moderating effects of entrepreneurial orientation

2020 ◽  
Vol 12 (3) ◽  
pp. 255-286
Author(s):  
Jorge Ferreira ◽  
Arnaldo Coelho
Keyword(s):  
Competitive Advantage ◽  
Entrepreneurial Orientation ◽  
Dynamic Capabilities ◽  
Exploration And Exploitation ◽  
Content Type ◽  
Mediating Role ◽  
And Performance ◽  
Positive Direct ◽  
Moderating Role

Purpose The purpose of this paper is to understand the impact of dynamic capabilities (DC) (in the view of exploration and exploitation) on competitiveness and performance, considering the mediating role the innovation capability (IC) and branding capabilities (BC)on competitive advantage and firm’s performance and the moderating role of entrepreneurial orientation (EO). Design/methodology/approach This investigation proposes a theoretical model tested using structural equation modelling (SEM). Multi-group analysis was performed to understand the moderating role of. A questionnaire survey was developed to explore the relations between DC and innovation variable. For this study, 387 valid questionnaires were collected from a sample of Portugal SME’ firms. A 90-item questionnaire which consists to study the relationships among all the variables. Findings The results show that exists a positive direct and indirect influence of DC on competitive advantage and performance variables and mediating impact the IC and BC. Research limitations/implications This study has some methodological limitations affecting its potential contributions. As a cross-sectional study that captures one image in time, its ability to identify strict causality between variables is limited. Furthermore, the results are based on log collected from a key respondent, rather than broader actual data. The results are restricted to one country, Portugal. Some variables, such as ICs, may play a different role in other countries. Future research should initially target different countries. Such research could then test the generalizability of the results. Practical implications This study has important implications for the managers. It highlights the necessity of firms to develop superior strategic orientation of all their members and to invest in better resources and consequently superior capabilities as a way of achieving high levels of firm performance. Another implication from the study is that the firms should develop their marketing programs by focusing on developing innovativeness. Originality/value This study contributes to the understanding of the indirect and direct impact of exploration and exploitation variables, and the mediating role of ICs and BC on the competitive advantage and performance and the moderating effect of EO.

scholarly journals Entrepreneurial Orientation in Government-Owned Bank: Do They Improve Competitive Advantage?

2020 ◽  
Vol 11 (2) ◽  
pp. 262
Author(s):  
Maryono . ◽  
Imam Ghozali ◽  
Amie Kusumawardhani ◽  
R. Mahelan Prabantarikso ◽  
Firdaus Basbeth
Keyword(s):  
Competitive Advantage ◽  
Risk Taking ◽  
Entrepreneurial Orientation ◽  
High Performance ◽  
Dynamic Capabilities ◽  
Mediating Effect ◽  
Cross Sectional ◽  
The Government ◽  
High Performance Organization

In Indonesia, housing finance is mainly raised from banks, with the government-owned housing bank (GOHB) BTN taking the largest share of the market. In constantly growing population need for new housing unit every year and increased number of competitors requires managers of government-owned housing bank to be able to develop their dynamic capabilities and adopt a more entrepreneurial orientation (EO). However, (GOHB) are typically being linked to organization that administratively influenced by government that impeding GOHB from being high performance organization driven by EO. Moreover, the dual goals of GOHB which are business and social goals makes the managers struggle to develop and adopt entrepreneurial orientation, since they have to set priorities and trade-off between those goals. The aims of this study is to investigate the role of entrepreneurial orientation (EO) in improving competitive advantage of government-owned housing bank, and fills a gap in the literature by linking entrepreneurial orientation to the theory of dynamic capabilities. This study explored the mediating effect of multi-dimensional EO which is: innovativeness, proactiveness, and risk taking in the relationship between dynamic capabilities (DC) and competitive advantage. The method of the study is a survey using area sampling and proportionate random sampling to collect data from 115 managers in 20 branches in island of Java, during the month of May to August, 2018 (cross-sectional method). The result shows a positive relationship between dynamic capabilities to innovativeness, proactiveness and risk taking. As expecting risk taking has no mediating effect to competitive advantage.

scholarly journals Moderating Role Of Entrepreneurial Orientation On The Relationship Between Information Technology Competence And Firm Performance In Kenya

2017 ◽  
Vol 2 (2) ◽  
pp. 1
Author(s):  
Stanley Ndungu ◽  
Kenneth Wanjau ◽  
Robert Gichira ◽  
Waweru Mwangi
Keyword(s):  
Information Technology ◽  
Firm Performance ◽  
Entrepreneurial Orientation ◽  
Superior Performance ◽  
Cross Sectional Survey ◽  
Technology Competence ◽  
The Impact ◽  
The Relationship ◽  
Moderating Role

This study explored moderating role of entrepreneurial orientation on the relationship between Information Technology Competence and firm performance in Kenya. The impact of IT on FP remains debatable to-date because some results of previous studies have had high variations resulting from diversities in the conceptualization of the key constructs and their interrelationship, coupled with the exclusion of intangible effect of IT on performance. In Kenya, SMEs employ about 85 percent of the workforce. The need to link ITC with FP has become vital for firms striving to achieve superior performance. However, limited attention has been paid to the link and more so to the moderating role of EO on ITC- FP relationship model. To better understand this relationship, this paper adopted a mixed methods research guided by cross-sectional survey design. Quantitative and qualitative techniques were employed to analyze the collected data using SPSS, Ms-Excel, AMOS, SmartPLS, STATA, R-GUI and ATLAS.ti analytical softwares. Analyses were conducted using a two-phase process consisting of CFA and SEM models. The theoretical models and hypotheses were tested based on empirical data gathered from 94 SMEs in the 2013 Top 100 Survey. The study found that ITC had a positive relationship with FP. The results also revealed that EO did not significantly moderate the relationship between ITC and FP in Kenya. However, when run with the interaction term, the Technical (ITC and ISRA)*EO was statistically significant at 10% α-level. This study will enhance the skill set in Kenyan SMEs and produce a more sustainable solution.

scholarly journals The Influence of Entrepreneurial Orientation and Innovation Capability on Perceived Firm Performance with The Mediating Role of Market Orientation: Case study in PT WIKA Industri & Konstruksi

2021 ◽  
Vol 5 (3) ◽  
pp. 149-156
Author(s):  
Anggiat Maju Lubis ◽  
Firdaus Basbeth
Keyword(s):  
Firm Performance ◽  
Market Orientation ◽  
Entrepreneurial Orientation ◽  
Structural Equation ◽  
Equation Modeling ◽  
Innovation Capability ◽  
Construction Company ◽  
Mediating Role

Performance of PT WIKON in two consecutive years indicated run into downtrend from the year 2018 to the year 2019. Low levels of Entrepreneurial Orientation, Innovation Capability, and Market Orientation have been suspected as factors leading to the performance of PT WIKA Industri & Konstruksi.  The objective of this study is to investigate Market Orientation as the mediator of relationship Entrepreneurial Orientation and Innovation Capability on Firm Performance in a construction company. However, study-related Market Orientation as a mediator on the indirect effect of Innovation Capability and Firm Performance is still rare, therefore research on this subject can be seen as Novelty. There are Six theory-based hypotheses are measured. This research employs a quantitative approach with empirical evidence of employees and BOD of PT WIKA Industri & Konstruksi. Survey data are from 93 respondents were analyzed used structural equation modeling (SEM). The findings of this research showed that Market Orientation has a positive effect on Firm Performance. Surprisingly, Entrepreneurial Orientation (EO) and Innovation Capability (IC) independently do not have a direct effect on Firm Performance. The Effect of Entrepreneurial Orientation (EO) on Firm Performance (FP) is mediated by Market Orientation. Likewise, the effect of Innovation Capability (IC) on Firm Performance (FP) is mediated by Market Orientation. These results suggest that Entrepreneurial Orientation and Innovation Capability should focus on Market Orientation to improve the overall Firm Performance. Besides, it is highly recommended to middle management and above of PT WIKA Industri & Konstruksi should focus and allocate resources to Market Orientation to improve their Firm Performance.

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