scholarly journals Performance effects of entrepreneurial orientation, strategic intent and absorptive capacity within coopetitive relationships

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Chandrasekararao Seepana ◽  
Fahian Anisul Huq ◽  
Antony Paulraj
Keyword(s):  
Absorptive Capacity ◽  
Entrepreneurial Orientation ◽  
Dynamic Capabilities ◽  
Positive Impact ◽  
Performance Outcomes ◽  
Moderating Effects ◽  
Content Type ◽  
Strategic Intent ◽  
Performance Effects ◽  
Complementarity Effects

PurposeWhile the significance of organizational resources and capabilities is widely discussed, little is known about their interrelationships as well as benefits for firms that are involved in coopetitive relationships. Against this backdrop, the purpose of this paper is to investigate the performance effects of entrepreneurial orientation, strategic intent and potential absorptive capacity as well as their complementarity effects on operational and innovation performance for firms involved in horizontal coopetitive relationships.Design/methodology/approachDrawing upon the resource-based-view, dynamic capabilities and the relational view theories, this study forwards numerous hypotheses between the constructs of interest. The proposed hypotheses are tested utilizing survey data collected from 313 horizontal coopetitive relationships.FindingsThe results clearly suggest that entrepreneurial orientation, strategic intent and potential absorptive capacity could positively impact innovation and operational performance outcomes independently. In addition, the authors also find strategic intent and potential absorptive capacity to have differential moderating effects on the relationships between entrepreneurial orientation and the performance outcomes.Originality/valueThe findings suggest that although strategic intent and potential absorptive capacity could lead to performance benefits independently, when it comes to coopetitive relationships, the use of both these capabilities may not substantially increase the positive impact of entrepreneurial orientation on performance outcomes. Specifically, given that these capabilities could intensify competitiveness as well as hostility between partners, they seem to affect the firm's performance differently.

Digital marketing capabilities in international firms: a relational perspective

2020 ◽  
Vol 37 (3) ◽  
pp. 559-577
Author(s):  
Fatima Wang
Keyword(s):  
Firm Size ◽  
Entrepreneurial Orientation ◽  
Dynamic Capabilities ◽  
Positive Impact ◽  
Performance Outcomes ◽  
Digital Marketing ◽  
It Adoption ◽  
Marketing Capabilities ◽  
Content Type ◽  
International Firms

PurposeDifferences in digital adoption between firms call for a clearer conceptualization of digital marketing capabilities (DMCs). The purpose of this paper is twofold: (1) to offer a conceptualization of DMCs from a relational dynamic capabilities perspective and (2) to explore performance outcomes of DMCs for international firms, taking into account firm size and entrepreneurial orientation.Design/methodology/approachA survey on a sample of 167 international firms is used and analyzed using hierarchical regression.FindingsDMCs contribute positively to performance. Firms with greater entrepreneurial orientation leverage DMCs more effectively and have better performance. Small firms with strong digital capabilities perform as well as medium-sized firms. Large firms perform marginally better than small and medium-sized firms.Research limitations/implicationsThis paper complements previous IB studies that only study customer-related or supplier- and channel-related IT adoption. It is based on a more holistic conceptualization of DMCs, and draws on market sensing, customer-linking, customer retention, supplier relationship and channel bonding capabilities. It offers new empirical evidence for the positive impact of DMCs on firm performance. It also contributes to small and medium-sized enterprise and digital entrepreneurship literature by comparing the performance outcomes of DMCs for different size firms with varying degrees of entrepreneurial orientation.Practical implicationsThis study provides implementable measures of DMCs. The findings encourage firms to develop entrepreneurial orientation alongside DMCs.Originality/valueThis paper presents DMCs as relational dynamic capabilities and shows the moderating effect of entrepreneurial orientation and firm size on the DMCs–performance relationship.

The nexus between entrepreneurial orientation and performance: enabling roles of absorptive capacity

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ismail Raisal ◽  
Arun Kumar Tarofder ◽  
Aboobucker Ilmudeen
Keyword(s):  
Absorptive Capacity ◽  
Entrepreneurial Orientation ◽  
Structural Equation ◽  
Positive Impact ◽  
Small And Medium Enterprises ◽  
Equation Modeling ◽  
Content Type ◽  
Mediating Role ◽  
Medium Enterprises

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.

Clarifying absorptive capacity and dynamic capabilities dilemma in high dynamic market IT SMEs

2019 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Chulatep Senivongse ◽  
Alex Bennet ◽  
Stefania Mariano
Keyword(s):  
Financial Performance ◽  
Absorptive Capacity ◽  
Dynamic Capabilities ◽  
Positive Impact ◽  
Dynamic Capability ◽  
Development Effort ◽  
Direct Impact ◽  
Content Type ◽  
Market Change ◽  
High Dynamic

Purpose The purpose of this study is to investigate absorptive capacity and dynamic capabilities dilemma in high dynamic market IT small medium enterprises (SMEs). Absorptive capacity and dynamic capabilities have a conflict in theoretical stance. Those in favor of dynamic capabilities regard absorptive capacity as a part of dynamic capabilities, and there are many arguments regarding treating absorptive capacity as a part of dynamic capabilities. One major deficit of dynamic capabilities is that it requires adjusting the firm’s dynamic resources when responding to change, requiring some investment and time. Thus, dynamic capabilities then have a problem in instantaneously responding to a highly dynamic market. With the requirement to adjust organizational resources, absorptive capacity, as a part of dynamic capabilities, cannot have direct impact on a firm’s performance. Design/methodology/approach To show that absorptive capacity, by itself, can have a direct impact on a firm’s performance in a highly dynamic market, quantifiable variables are identified to measure the level of effort in developing absorptive capacity. The relationships between the absorptive capacity development effort and the firm’s financial performance is then explored and evaluated. Findings It is confirmed that absorptive capacity in a high dynamic market such as IT SMEs have direct and positive impact to the firm’s financial performance, without having to configure its resource to interact with changes. Originality/value The study discusses the paradoxical dilemma of the role of absorptive capacity under the light of dynamic capability. The finding indicates that in high dynamic market when the spontaneous respond to market change is crucial to firm's survival, absorptive capacity can direly deliver the result to leverage the firm's performance without having to reconfigure its resources as indicated in the theoretical stance of dynamic capability.

Implications of strategic flexibility in small firms: the moderating role of absorptive capacity

2019 ◽  
Vol 8 (3) ◽  
pp. 370-386 ◽  
Author(s):  
Sanjay Chaudhary
Keyword(s):  
Firm Performance ◽  
Empirical Evidence ◽  
Absorptive Capacity ◽  
Entrepreneurial Orientation ◽  
Small Firms ◽  
Dynamic Capabilities ◽  
Strategic Flexibility ◽  
Content Type ◽  
The Relationship

Purpose Guided by the theory of dynamic capabilities and the knowledge-based view of an organization, the purpose of this paper is to examine the crucial role played by entrepreneurial orientation and absorptive capacity in the relationship between strategic flexibility and firm performance, with a specific focus on small firms. Design/methodology/approach The study uses survey data collected from owners of 272 small businesses in India and follows the linear regression method to establish the link between strategic flexibility and firm performance. It hypothesizes that the strategic flexibility of a small firm impacts entrepreneurial orientation, and subsequently its performance, while absorptive capacity further enhances this relationship. Findings The conclusions drawn from the study provide empirical evidence on the mediating role of entrepreneurial orientation in the relationship between strategic flexibility and firm performance. The findings also point out that the potential absorptive capacity of a firm strengthens the relationship between its strategic flexibility and entrepreneurial orientation. Research limitations/implications The empirical findings of the study are limited to small firms from the automotive service industry. Practical implications The study contributes to the existing knowledge on managerial practice by pointing out the importance of strategic flexibility as a dynamic capability and illustrating its impact in the case of a small firm’s performance. Originality/value As yet, there is a dearth of empirical evidence derived from large samples of small firms. The study supplements available literature on dynamic capabilities and knowledge management.

Comprehending a knowledge framework as a source of dynamic capabilities in IJVs through PLS-SEM

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Madhavi Kapoor ◽  
Vijita Aggarwal
Keyword(s):  
Knowledge Transfer ◽  
Absorptive Capacity ◽  
Structural Equation ◽  
Dynamic Capabilities ◽  
Global Market ◽  
Innovation Performance ◽  
International Joint Ventures ◽  
Mediation Effect ◽  
Equation Modeling ◽  
Content Type

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.

Strategic orientations, firm performance and the moderating effect of absorptive capacity

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Manuel-Alejandro Ibarra-Cisneros ◽  
María del Rosario Demuner-Flores ◽  
Felipe Hernández-Perlines
Keyword(s):  
Firm Performance ◽  
Market Orientation ◽  
Absorptive Capacity ◽  
Entrepreneurial Orientation ◽  
Manufacturing Firms ◽  
Moderating Effect ◽  
Equation Modeling ◽  
Content Type ◽  
Strategic Orientations ◽  
The Relationship

PurposeThe purpose of this article is to study the moderating effect of absorptive capacity, defined as the set of organizational routines and processes through which companies acquire, assimilate, transform and exploit knowledge to produce a dynamic organizational capacity (Zahra and George, 2002), in three strategic orientations: market orientation; technology orientation and entrepreneurial orientation and their positive relationship in the performance of the medium and large Mexican manufacturing firms. Likewise, it is determined whether these three combined SOs influence firm performance.Design/methodology/approachThe data was collected from 171 medium and large-sized Mexican manufacturing firms. The proposed hypotheses are tested using partial least square structural equation modeling (PLS-SEM).FindingsDespite the importance of knowledge for the development of firms, the results indicate that the moderating effect of absorptive capacity is only present in the relationship between entrepreneurial orientation and firm performance. That is, firms cannot take advantage of knowledge simultaneously between the three strategic orientations. For their part, market orientation and entrepreneurial orientation exert a positive influence on firm performance.Practical implicationsThe main practical implication for the manufacturing industry is that they must develop mechanisms to detect what kind of knowledge affects each strategic orientation, in this way it can make the absorptive capacity influence the relationships between SO and FP.Originality/valueThe main contribution consists of studying the moderating effect of the absorptive capacity on the relationship between three strategic orientations and firm performance, and not concentrating solely on the simultaneous use of these strategies as is commonly done.

Entrepreneurial orientation, knowledge management, dynamic capabilities towards e-commerce adoption of SMEs in Indonesia

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Muhammad Dharma Tuah Putra Nasution ◽  
Ahmad Rafiki ◽  
Adelina Lubis ◽  
Yossie Rossanty
Keyword(s):  
Knowledge Management ◽  
Risk Taking ◽  
Significant Relationship ◽  
Entrepreneurial Orientation ◽  
Structural Equation ◽  
Dynamic Capabilities ◽  
Quantitative Methodology ◽  
Cross Sectional Survey ◽  
Content Type ◽  
The Relationship

Purpose The purpose of this study is to examine the dimensions of entrepreneurial orientation (EO), knowledge management process (KMP) and dynamic capability (DC) toward the adoption of electronic commerce (e-commerce) of small and medium enterprises (SMEs) in North Sumatera. Design/methodology/approach This study used a quantitative methodology using Smart PLS of structural equation model. A survey is done by distributing the questionnaires to the respondents (owner-managers) of SMEs across sectors. Using a convenient sampling technique, 131 respondents were selected. Using a cross-sectional survey design, 11 hypotheses were tested. Findings It is found that both innovativeness and proactiveness of EO have a significant relationship with e-commerce adoption (EA), while the risk-taking of EO is found as insignificant. Both risk-taking and proactiveness of EO are significantly related to KMP, but innovation of EO is found to be insignificant. Moreover, KMP significantly mediates the relationship between risk-taking and proactiveness of EO and EA, while KMP insignificantly mediates the relationship between innovativeness of EO and EA. Finally, it is found that DC has a significant relationship in EA. Originality/value By using the resource based-theory, the study on the decision of EA by SMEs is conducted which focuses on a number of internal and external factors influencing the adoption decision. This differs from other studies using theories of the technological, organizational and environmental, theory of acceptance and use of technology, theory of planned behavior, theory of reasoned action and others which emphasized on the implementation and usage of EA.

scholarly journals Perspectives of Entrepreneurial Orientation with the Quality of Life

2011 ◽  
Vol 3 (6) ◽  
pp. 388-394
Author(s):  
Salima Hafeez ◽  
Rashid Mehmood Chaudhry . ◽  
Muhammad Aslam Khan . ◽  
H.Mushtaq Ahmad . ◽  
Kashif Ur Rehman .
Keyword(s):  
Quality Of Life ◽  
Entrepreneurial Orientation ◽  
Third World ◽  
Dynamic Capabilities ◽  
Positive Impact ◽  
Well Being ◽  
Entrepreneurial Firms ◽  
The Third World ◽  
The Impact

The characteristics of entrepreneurial orientation is played important role in business. How do an entrepreneurial firms and individuals have taken the advantage in industry? This study explores the dynamic capabilities of the organization according to international performance. Our findings indicates the positive impact on dynamic capabilities of the business with perfectly use of this research framework. The main aspect of this paper is to analyse the impact of entrepreneurial orientation with the quality of life. Distinctive features of entrepreneurs and their contribution to the economy can make it possible for third world countries to grow their economies faster and provide financial means to enhance social, health, and environmental well-being (basic dimensions of quality of life), along with products and services that the poor need in these countries. Entrepreneurial orientation combined with organization learning and Quality of life (QOL) are enhanced the dynamic capability of the organization. Present conceptual research will provide the source of competitive advantage and mainstream line for further development of the business .We suggest that existing literature reconfiguring the different approaches for the entrepreneurial to capture the opportunities in world business. First, quality of life cannot possibly improve in inactive or weakening economic conditions; second, economic development in the third world countries cannot advance in a balanced and desirable manner without a major domestic entrepreneurship movement (Samli 2004, 2008a).

The bright and dark sides of green customer integration (GCI): evidence from Chinese manufacturers

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Taiwen Feng ◽  
Hongyan Sheng ◽  
Minghui Li
Keyword(s):  
Financial Performance ◽  
Information Sharing ◽  
Positive Impact ◽  
Resource Dependence Theory ◽  
Dark Side ◽  
Opportunistic Behavior ◽  
Moderating Effects ◽  
Customer Integration ◽  
Content Type ◽  
The Impact

PurposeBased on resource dependence theory and transaction cost economics this study explores how green customer integration (GCI) affects financial performance via information sharing and opportunistic behavior, and the moderating effects of dependence and trust.Design/methodology/approachThis study develops a theoretical model and tests it using data from two-waved survey data of 206 Chinese manufacturers. The hypotheses were tested using hierarchical linear regression analysis.FindingsThe results show that GCI has a significant and positive impact on information sharing, but its impact on opportunistic behavior is insignificant. Notably, information sharing has a significant and positive impact on financial performance, while opportunistic behavior has an insignificant impact on financial performance. In addition, dependence negatively moderates the impact of GCI on information sharing and positively moderates the impact of GCI on opportunistic behavior. Trust negatively moderates the impact of GCI on opportunistic behavior.Originality/valueAlthough GCI has received widespread attention, how it affects a firm's performance remains unclear. Most previous studies have focused only on its bright side and ignored its dark side. This study highlights how GCI affects financial performance through information sharing and opportunistic behavior, and the moderating effects of dependence and trust. This enriches the understanding of how and under what conditions GCI affects a firm's performance.

Family influences in the internationalization of the top 1,000 Taiwanese enterprises

2019 ◽  
Vol 13 (1) ◽  
pp. 128-145
Author(s):  
Yu-Chen Wei ◽  
Chiung-Wen Tsao
Keyword(s):  
Research Design ◽  
Longitudinal Research ◽  
Positive Impact ◽  
Family Influence ◽  
Future Research ◽  
International Expansion ◽  
Moderating Effects ◽  
Content Type ◽  
Market Expansion ◽  
The Relationship

Purpose This paper aims to investigate the moderating effects of employee commitment, customer loyalty and corporate reputation on the relationship between family influence and international expansion. Design/methodology/approach A cross-national research design was conducted using both survey and secondary data of 119 firms taken from the top 1,000 Taiwanese enterprises. Findings This study found moderating effects in the positive impact of family influence on international expansion. Specifically, the study found the relationship between family influence and international expansion stronger for companies with greater relational support from employees, customers and the public. Research limitations/implications Multi-level data collection and a longitudinal research design in future research could help in further understanding the relationships between the variables in this study. Practical implications This paper suggests that family business should establish enduring relationship with their employees and customers and have a plan to improve family reputation that will benefit international market expansion. Originality/value This study draws on the relational perspective to investigate how family influence results in different international expansion.

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