Relative absorptive capacity as a booster of innovation in an automotive cluster

Author(s):  
Laura Zapata-Cantu ◽  
Josep Rialp ◽  
Ana Olga Rodríguez

Purpose This study aims to address the relevance of the mediating role of the relative absorptive capacity (ACAP-R) in the relation between absorptive capacity and innovation, contributing to a better understanding of innovation in a business network. Participants’ firms in this study are part of the supply network of an automotive cluster. Design/methodology/approach The study is developed in 225 companies that are part of the supply network of an automotive cluster in Mexico. A survey was applied to key firm informants who had been involved on processes of innovation, quality or continuous improvement. During data analysis, structural equation modeling was implemented with the support of SmartPLS 3.0 to understand the mediation role of relative absorptive capacity as a novel insight of innovation in a Mexican cluster. Findings The results demonstrate the partial mediator role of the ACAP-R among the absorptive capacities and the level of innovation of the companies that make up the network studied. The findings represent an approach to the understanding of one of the key dynamic capacities in the innovation process and, thus, to the competitiveness of organizations, which has scarcely been studied from the perspective of business networks. Research limitations/implications The limitations of the research focus on the fact that the source of information in the surveys comes, in most cases, from the opinion of a key informant per unit surveyed, which is why there is a certain margin of subjectivity that could be reduced if there is more than one source of information in the same organization. It is also considered important that the information offered by the suppliers could be complemented by the opinion of clients. This would provide a more complete view of the circularity of information involved in inter-organizational exchanges. Originality/value The findings provide useful insights not only in terms of understanding the link between absorptive capacity and innovation, but also how to improve levels of innovation through knowledge exchanges that occur during the participation of suppliers and customers in a business network. Firms with high levels of ACAP are more likely to recognize the opportunity to benefit from external knowledge and to participate intensely in collaborative efforts. That is, technological similarity or similar knowledge base between source or recipient firms impacts their innovation.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
José Pinheiro ◽  
Luis Filipe Lages ◽  
Graça Miranda Silva ◽  
Alvaro Lopes Dias ◽  
Miguel T. Preto

PurposeShifting demand and ever-shorter production cycles pressure manufacturing flexibility. Although the literature has established the positive effect of the firm's absorptive capacity on manufacturing flexibility, the separate role of the innovation competencies of exploitation and exploration in such a relationship is still under-investigated. In this study, the authors examine how these competencies affect manufacturing flexibility.Design/methodology/approachThe authors use survey data from 370 manufacturing firms and analyze them using covariance-based structural equation modeling (CB–SEM).FindingsThe results indicate that absorptive capacity has a strong, positive and direct effect on exploitative and exploratory innovation competencies, proactive and responsive market orientations, and manufacturing flexibility. The authors’ findings also demonstrate that the exploitative innovation competencies mediate the relation between responsive market orientation and manufacturing flexibility. Essentially, these exploitative innovation competencies produce a direct positive effect on manufacturing flexibility while simultaneously being a vehicle for absorptive capacity's indirect effects on it. An exploration innovation strategy does not significantly affect manufacturing flexibility.Originality/valueThis study contributes by combining key strategic features of firms with manufacturing flexibility, while providing new empirical evidence of the mediation of the exploitative innovation competencies in the relation between responsive market orientation and manufacturing flexibility.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Huseyin Ince ◽  
Salih Zeki Imamoglu ◽  
Hulya Turkcan

PurposeThis paper investigates the impact of absorptive capacity (ACAP) on creativity and the effect of creativity on job performance. Further, the study investigates the moderating role of social media usage on the ACAP–creativity link and the creativity–job performance link. Accordingly, drawing on the ACAP perspective and social exchange theory (SET), the study develops a conceptual model and tests the proposed relationships.Design/methodology/approachThe paper empirically tests the developed model using 512 survey responses from research and development (R&D) employees. Data were factor analyzed, and path estimates were determined using structural equation modeling to test the hypotheses.FindingsThe results reveal that (1) individual ACAP is positively related to creativity; (2) creativity is positively associated with job performance and (3) social media usage positively moderates the relationship between individual ACAP and creativity.Originality/valueThis paper contributes to the ACAP and creativity literature by establishing a comprehensive and empirically grounded framework that enlightens the relationships between ACAP, creativity, job performance and the moderating role of social media usage.


Author(s):  
Ismail Raisal ◽  
Arun Kumar Tarofder ◽  
Aboobucker Ilmudeen

PurposeDeveloping countries’ economic growth very much depend on the successful performance of entrepreneurial-oriented firms. Entrepreneurial orientation (EO) is a valuable conjecturer of firm success. This study mainly focuses on analyzing the effect of EO on the firm performance (FP) with the mediating role of absorptive capacity (ACAP).Design/methodology/approachTo test the hypothetical model, we collected 226 valid responses from senior managers of small and medium enterprises (SMEs). The structural equation modeling technique is performed and research hypotheses are validated.FindingsThe findings show that the strong causal relations exit between EO, ACAP and FP. In brief, EO was found to be a predictor of ACAP, and ACAP has a strong positive impact on FP. Moreover, ACAP substantiated to be a mediator between EO and FP.Research limitations/implicationsA notable ramification of this finding is that for SMEs to enhance their performance via EO, the presence of ACAP as a mediator is essential.Practical implicationsThe findings of this study can be used as a basis to consider EO to increase firms' level of ACAP and to enhance FP. As a whole, the findings offer pragmatic insights for SMEs and pertinent stakeholders.Originality/valueSo far, little is known about the interrelationship between EO, ACAP and FP. Importantly, the mediating role of ACAP between EO and FP has remained unexplored. This study fills this gap in the existing literature.


2016 ◽  
Vol 54 (9) ◽  
pp. 2256-2276 ◽  
Author(s):  
M. Muzamil Naqshbandi

Purpose The purpose of this paper is to develop and test an integrated model to examine the relationship between managerial ties and two types of open innovation (OI). It takes into account the mediating role of realized absorptive capacity and explains how a firm’s ability to recognize the value of new information, assimilate it and apply it to commercial ends can facilitate OI. Design/methodology/approach Data were collected from 259 middle and top managers working across different sectors in the United Arab Emirates. Findings Results obtained using structural equation modeling show that managerial ties facilitate both in-bound and out-bound OI. Results also establish the mediating role of realized absorptive capacity in these relationships. Research limitations/implications Use of cross-sectional data as was done in this study has been criticized for being inappropriate to test causal models. Besides the findings may not be generalizable to different industries/cultures/regions. Practical implications This study suggests that managerial ties act to support OI in firms thus giving the insight that managers should be appreciated to build ties with managers of other firms, universities and government officials. Doing so can help firms achieve better OI outcomes. Firms should arrange means of interaction of their managers with these external knowledge sources such as events and occasions where managers of different firms can interact with each other to foster strong ties among them. Originality/value The above findings contribute theoretically to OI and managerial ties literature while providing insights for practitioners on how to succeed or avoid failure in their OI initiatives. These insights are novel and are new to the OI and managerial ties theory.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jaime Ortega-Gutiérrez ◽  
Ignacio Cepeda-Carrión ◽  
Helena Alves

Purpose This paper aims to study the relationship between the knowledge obtained in social networks by firms together with the firms’ knowledge absorptive capacity and organizational unlearning as influencers of service-dominant (S-D) orientation, as well as the mediating role of absorption capacity and organizational unlearning in this process. Design/methodology/approach The sample amounts to 101 responding companies, obtained from the SABI database. The companies belong to the service sector in Spain and have at least 50 employees and 5 years or more of existence in the market. The model was estimated through partial least squares structural equation modeling with smartPLS software 3.2.6. Findings The results show that the use of social media is very important for firms to acquire knowledge and capabilities that help them to become S-D oriented. In addition, absorptive capacity and unlearning processes are dynamic capabilities necessary to transform the knowledge acquired in social media and to become S-D oriented. Research limitations/implications Companies’ managers draw conclusions that can generate great value, while better meeting the needs and desires of the market, the more knowledge is obtained. In addition, the use of the knowledge generated in this process will reduce the risk of sudden changes in the market. Practical implications The more knowledge is gained using social networks, the better the companies’ managers will be able to draw conclusions that can generate great value, while at the same time better satisfying the needs and desires of the market, and thus create capacities that allow the company to be service-oriented. In addition, the use of these knowledge platforms strengthens the strategic advantage of companies through the promotion of innovation and by relating dynamic capabilities with the orientation toward sustainable development. As mentioned above, a process will be generated that will reduce the risk of sudden changes in the market. Originality/value This is one of the few studies trying to study the antecedents of S-D orientation and the first to study the direct effect of social media use, and the direct and indirect effect of absorptive capacity and organizational unlearning on S-D orientation as dynamic capabilities.


2018 ◽  
Vol 36 (4) ◽  
pp. 410-424 ◽  
Author(s):  
Juliana Conceição Noschang da Costa ◽  
Shirlei Miranda Camargo ◽  
Ana Maria Machado Toaldo ◽  
Simone Regina Didonet

Purpose The purpose of this paper is to analyze effects of absorptive capacity (ACAP) on organizational performance. The model looks at the mediating influence of marketing capabilities (innovative capability and new product development capability (NPDC)) and innovation performance (IP). Design/methodology/approach This study takes a quantitative approach by using survey data from 333 Brazilian manufacturer managers involved with strategic marketing processes. Structural equation modeling was used to test the theoretical hypotheses. Findings Results indicate that ACAP does not have a direct impact on organizational performance. The relation is fully mediated by marketing capabilities (innovative capability and NPDC) and IP. Research limitations/implications According to the research findings, managers should put efforts in the ACAP as well as marketing capabilities that will result in better organizational performance. This research is limited to the context of manufacturer firms in Brazil. However, it is suggested that an application of this research can be conducted in different industries and different countries. Originality/value This study contributes to theory and management practice. First, no study has explored all these constructs together. Through the relationship between ACAP and performance, the authors found that marketing capabilities and IP can fully mediate the former proposed relation. The authors’ contribution is the understanding of the role of ACAP influence on performance. Managers should be encouraged to invest in companies’ ACAP as well as marketing capabilities to differentiate themselves from competitors and improve performance.


2014 ◽  
Vol 34 (6) ◽  
pp. 807-828 ◽  
Author(s):  
Andrew Beheregarai Finger ◽  
Barbara B. Flynn ◽  
Ely Laureanos Paiva

Purpose – The purpose of this paper is to propose and empirically validates a measure of the anticipation of new technologies (ANT) construct, first suggested by Hayes and Wheelwright (1984). ANT allows establishment of a sustained competitive advantage through acquiring new technologies and the capability to use them, in advance of actual need. The theoretical foundation for ANT is developed using the literature on absorptive capacity. Several elements of supply chain management are proposed as antecedents to ANT. Design/methodology/approach – Perceptual survey data from 317 manufacturing plants in ten countries was used to test the hypotheses using structural equation modeling and confirmatory factor analysis. Findings – The key supply chain antecedents of ANT are supply chain planning, internal integration and supplier integration. ANT was related to both operational and cost performance. Research limitations/implications – Potential limitations include the use of an existing database, the plant as the unit of analysis and the need to include customer integration, as well as supplier integration. The results demonstrate the competitive importance of the ANT construct and the key role that relationships with suppliers play in its development. Practical implications – This research sheds new light on a construct whose roots are inherently practical. Suppliers and their extended networks are an important source of external knowledge about technology and future customer needs, thus, supply chain relationships are an important contributor to ANT. Originality/value – Although the role of technology in establishing a competitive advantage has been thoroughly studied, the effectiveness of developing technologies that are expected to be important in the future has not, although this concept was first introduced almost 30 years ago. The authors use absorptive capacity to develop the role of supply chain relationships in building an organization's ANT capability, contributing to the operations strategy literature by grounding a practical construct in the theoretical literature and demonstrating its importance.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Madhavi Kapoor ◽  
Vijita Aggarwal

Purpose This study aims to investigate the relationship among knowledge transfer enablers, knowledge transfer process, absorptive capacity and innovation performance in the context of Indian international joint ventures (IJVs). These elements are woven with the thread of dynamic capabilities theory (DCT) into an integrated framework. Design/methodology/approach Data analysis is conducted on a quantitative survey of 196 IJVs with partial least squares structural equation modeling as the statistical technique. Findings Co-learning strategy, collaborative trust culture, information technology-based resources and systems and organizational structural design are found to be significant knowledge transfer enablers. Absorptive capacity has a complementary partial mediation effect on the positive relationship between knowledge transfer and innovation performance of Indian IJVs. Research limitations/implications The study has pioneered in explicating the criticality of IJV’s internal dynamics to cope with the global market dynamism in a much needed Indian context. Practitioners must focus on building dynamic capabilities in IJVs to make them sustainably competitive, as proposed and evaluated by this study. Further, IJV managers need to strategize their resources, routines and structure dynamically to foster knowledge transfer and innovativeness. Originality/value The comprehensive model on DCT offered by this study is rare to match in literature with a completely new context, which is the need of the hour.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Zahraa Sameer Sajwani ◽  
Joe Hazzam ◽  
Abdelmounaim Lahrech ◽  
Muna Alnuaimi

PurposeThe purpose of the study is to investigate the role of the strategy tripod premises, mediated by future foresight and its effect on merger effectiveness in the higher education industry.Design/methodology/approachA quantitative survey method was implemented, with the data provided by senior managers of 14 universities that went through a merger from the years 2013–2016. The proposed model was tested using partial least squares (PLS) of structural equation modeling (SEM).FindingsThe results indicate that government support, competitive intensity and knowledge creation capability relate positivity to merger effectiveness, and these relationships are mediated by future foresight competence.Originality/valueThe study provides a better understanding of merger effectiveness in the higher education industry by identifying the role of future foresight competence in the application of strategy tripod and its contribution on merger effectiveness. Results indicate that future foresight competence contributes to the merger effectiveness and enables the effective implementation of the strategy tripod dimensions in higher education mergers.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Le Dang Lang ◽  
Abhishek Behl ◽  
Nguyen Trung Dong ◽  
Yama Temouri ◽  
Nguyen Hong Thu

PurposeCoronavirus disease 2019 (COVID-19) has seriously affected the global economy. How agribusinessmen are overcoming this crisis is being noticed in emerging markets. Using social capital to diversify agribusiness for getting more customers is a useful solution for the growth of agribusiness. However, there is a lack of evidence on the aggregate measurement scale of social capital and the influence of behavioral goals on the intention toward agribusiness diversification. Therefore, this study aims to develop an integrated measurement of social capital and investigate its effect on agribusiness diversification intention using the expanded theory of planned behavior (TPB).Design/methodology/approachA mixed-methods approach is used, including four in-depth interviews, three focus group discussions and two surveys. Structural equation modeling is applied to a sample of 484 respondents to test the proposed hypotheses.FindingsThe study shows the role of social capital in influencing the intention to diversify agribusiness under the premises of the resource-based view (RBV). The scale of social capital is also developed, which is the first integrated measurement of this asset. The findings contribute significantly to the existing knowledge of social capital, the TPB and diversifying agribusiness.Originality/valueThis is the first study to explore the comprehensive effect of the facets of social capital on behavioral intention through behavioral goals and determinants of the TPB under the premises of the RBV. The findings will help emerging economies, for example, Vietnam, where most farmers are family business owners or microscaled entrepreneurs in agriculture.


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