scholarly journals The Impact of Entrepreneurial Orientation on New Product Creativity, Competitive Advantage and New Product Performance in SMEs: The Moderating Role of Corporate Life Cycle

2021 ◽  
Vol 13 (6) ◽  
pp. 3586
Author(s):  
Ho-Taek Yi ◽  
Fortune Edem Amenuvor ◽  
Henry Boateng
Keyword(s):  
Life Cycle ◽  
Competitive Advantage ◽  
Entrepreneurial Orientation ◽  
New Product ◽  
Product Performance ◽  
Significant Positive Effect ◽  
New Product Performance ◽  
Corporate Life Cycle ◽  
Product Creativity ◽  
Positive Effect

The current study aims to empirically examine the effect of entrepreneurial orientation on new product creativity, competitive advantage, and new product performance. Data are collected from 424 Small and Medium-sized Enterprises (SMEs) in South Korea. The suggested hypotheses are tested through the structural equation modeling technique. The analysis outcome shows that entrepreneurial orientation has a significant positive effect on both new product (NP) novelty and new product meaningfulness. The study further finds that both new product novelty and meaningfulness have significant positive impacts on competitive advantage, respectively, while the latter has a significant positive effect on new product performance. Similarly, the study finds that corporate life cycle significantly moderates the relationship between entrepreneurial orientation and new product meaningfulness. The study offers practical and theoretical insights into understanding entrepreneurship dynamics, new product creativity, and new product performance. The research shows that SME managers must adopt an entrepreneurial orientation at an early stage in the life cycle.

scholarly journals MARKET KNOWLEDGE AND NEW PRODUCT PERFORMANCE: THE MEDIATING EFFECTS OF NEW PRODUCT CREATIVITY

2019 ◽  
Vol 20 (6) ◽  
pp. 1168-1188
Author(s):  
Dariusz Dabrowski
Keyword(s):  
Competitive Advantage ◽  
Structural Equation ◽  
New Product ◽  
Product Performance ◽  
Future Research ◽  
Market Knowledge ◽  
Commercial Success ◽  
New Product Performance ◽  
Mediating Mechanisms ◽  
Product Creativity

Market knowledge is recognised as an important predictor of new product performance, which existing studies have proven. However, a missing link in this relationship is creativity, and specifically, as a natural process in product innovation. This study aims to examine a model that includes two mediating mechanisms between market knowledge scope and two new product outcomes, respectively: a new product’s competitive advantage and its commercial success. In both cases two mediators are used that represent dimensions of creativity—i.e. a product’s meaningfulness and novelty. The model was tested on a sample of 374 Polish medium-high- and high-technology companies using structural equation modelling. The results indicated that market knowledge is transferred to both new product outcomes through new product creativity, albeit somewhat differently. The first mediating mechanism, which explains the factor of competitive advantage, operates only through the indirect effects of both the product’s meaningfulness and its novelty. The second mechanism works directly, through the market knowledge’s effect on commercial success, as well as indirectly, through product meaningfulness. Subsequently, theoretical and managerial implications as well as indications for future research are provided based on these findings.

scholarly journals New Product Creativity Mediating the Relationship Between Organizational Bricolage and the Competitive Advantage of SMEs

2021 ◽  
Vol 13 (4) ◽  
pp. 151-166
Author(s):  
Hongyun Tian ◽  
Samuel Kofi Otchere ◽  
Courage Simon Kofi Dogbe ◽  
Winfred Okoe Addy ◽  
Frank Hammond
Keyword(s):  
Competitive Advantage ◽  
Structural Equation ◽  
Resource Constraints ◽  
Positive Impact ◽  
New Product ◽  
Mediating Effect ◽  
Validity And Reliability ◽  
The Relationship ◽  
Product Creativity ◽  
Positive Effect

It is well-documented in literature that one major challenge facing Small and Medium-sized Enterprises (SMEs) is resource constraints. This affects SMEs’ potential for innovation, as innovation is resource-intensive. To survive the competition, it is expedient that SMEs find more creative and innovative ways to operate. This present study sought to ascertain how SMEs could adopt a bricolage strategy to achieve a competitive advantage. The study also sought to determine the mediating role of new product creativity in this relationship, which formed a key contribution. Data was gathered from 334 SMEs using a simple random sampling technique. The data was analyzed using the covariance-based structural equation modelling (CB-SEM) approach in Amos (v.23). Various validity and reliability tests were run before testing the significance of the various hypotheses of the study. It was concluded that bricolage had a direct positive effect on SMEs’ competitive advantage. Bricolage further had a direct positive impact on new product creativity, whiles new product creativity had a direct positive effect on SMEs’ competitive advantage. It was also realized that creativity had a partial mediating effect on the relationship between bricolage and SMEs’ competitive advantage. Although this study did not directly assess the influence of the COVID-19 pandemic on business operations, the data for the study was gathered during the pandemic period, as such, the results of this present study could offer some practical clues on how firms could achieve competitive advantage during the outbreak of pandemics.

The interplay between entrepreneurial orientation and control mechanisms on decision-making and new product performance

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Civilai Leckie ◽  
Heath McDonald
Keyword(s):  
Decision Making ◽  
Information Processing ◽  
Entrepreneurial Orientation ◽  
Control Structure ◽  
New Product ◽  
Product Performance ◽  
Control Mechanisms ◽  
Content Type ◽  
New Product Performance ◽  
And Control

Purpose This study aims to investigate whether an organization that is entrepreneurial oriented can benefit from having a formal control structure and process in new product development (NPD). This study investigates two well-known control mechanisms in NPD, namely, stage-gate system (SGS) and project management (PM), as well as decision-making comprehensiveness (DMC), reflecting the amount of information processing and investigative activities undertaken. Design/methodology/approach Survey data were collected from 238 Australian small and medium enterprises. Structural equation modeling was used to test the hypotheses. Findings The findings of this study suggest that entrepreneurial orientation (EO) directly impacts new product performance and indirectly does so through DMC. While both control mechanisms positively impact DMC, they affect the EO–DMC relationship differently. While SGS positively moderates the EO–DMC relationship, PM negatively does so. However, the use of SGS and PM enhances the effect of EO on DMC. Practical implications This research provides managers with insights into the design of structure and process in NPD to support interfunctional coordination and firm strategy. The findings of this study suggest that managers should be amenable to the application of control mechanisms and DMC. The calibration of the right mix of control systems is required to ensure that EO can contribute to decision-making in the NPD process. Originality/value On the surface, the implementation of EO requires flexibility while the control mechanisms and extensive information processing are seen as restricted structures for NPD activities. However, rather than viewing EO and control structure as counterintuitive elements in NPD, the results suggest that appropriate use of control structure can support organizational strategy and decision-making activities, which subsequently enhance NPD outcomes.

scholarly journals When is entrepreneurial orientation beneficial for new product performance? The roles of ambidexterity and market turbulence

2020 ◽  
Vol 27 (1) ◽  
pp. 79-98
Author(s):  
Shuangfa Huang ◽  
David Pickernell ◽  
Martina Battisti ◽  
Danny Soetanto ◽  
Qihai Huang
Keyword(s):  
Risk Taking ◽  
Entrepreneurial Orientation ◽  
Qualitative Comparative Analysis ◽  
New Product ◽  
Product Performance ◽  
Content Type ◽  
New Product Performance ◽  
Complementary Role ◽  
Holistic Understanding ◽  
Market Turbulence

PurposeEntrepreneurial orientation (EO) is an exploratory orientation because its dimensions such as innovativeness, proactiveness and risk-taking are the essence of exploration that entails uncertain returns. While literature suggests firms might need to counterbalance and complement EO with another orientation for organisational success, research on this area remains limited. Drawing on organisational learning theory, the purpose of this article is to explore whether and how the EO dimensions and organisational ambidexterity complement each other to enhance new product performance. More specifically, the authors explore the configurations of innovativeness, proactiveness, risk-taking and ambidexterity for superior new product performance under different levels of market turbulence.Design/methodology/approachBased on a configurational perspective, the authors applied fuzzy set qualitative comparative analysis (fsQCA) on a sample of 88 small and medium-sized firms from the UK. Using fsQCA allows the authors to uncover the potential complementary role between the EO dimensions and ambidexterity for superior new product performance.FindingsThe results of this paper reveal three configurations that are sufficient to produce superior new product performance. The results suggest that the EO dimensions and ambidexterity can complement each other to enhance new product performance. Further, under the turbulent market environment, the EO dimensions are also sufficient to produce superior new product performance.Originality/valueBy adopting a configurational perspective using fsQCA, the study provides a more holistic understanding of how the EO dimensions work together to influence new product performance. It also contributes to the literature by uncovering the complementary role of the EO dimensions and ambidexterity in shaping new product performance.

scholarly journals The Influence of Strategic Environment, Public Trust, and Entrepreneurial Orientation on Competitive Advantage and Company Performance (Studies on Batik Companies in Tuban)

2021 ◽  
Vol 1 ◽  
Author(s):  
Yudi Supiyanto ◽  
Henny Sri Astuty ◽  
M. Yusuf
Keyword(s):  
Competitive Advantage ◽  
Performance Studies ◽  
Entrepreneurial Orientation ◽  
Sampling Method ◽  
Public Trust ◽  
Company Performance ◽  
Significant Positive Effect ◽  
Snowball Sampling ◽  
Questionnaire Method ◽  
Positive Effect

This study has the following objectives: Specifically, this researcher aims to prove and analyze whether:Strategic Environment, Public Trust, and Entrepreneurial Orientation influenced  on Competitive Advantage and Company Performance. The population is batik SMEs belonging to the Tuban batik center totaling 84 SMEs batik and samples using the snowball sampling method and the number of samples are 84. To retrieve data using the questionnaire method and data analysis using path analysis. The results showed the following findings: 1. The strategic environment has a significant effect on competitive advantage 2. Public trust has a significant effect on the competitive 3. Entrepreneurial orientation has a significant effect on the competitive advantage 4. Strategic environment, public trust, and entrepreneurial orientation simultaneously have a significant positive effect on competitive advantage, 5. The strategic environment has a significant effect on the performance of batik companies, 6. Public trust has a significant effect on the performance of batik companies,7. Entrepreneurial orientation has a significant effect on the performance of batik companies, 8. Competitive advantage has no significant effect on the performance of batik companies, 9. The strategic environment, public trust, and entrepreneurial orientation and excellence simultaneously have a significant effect on the performance.

scholarly journals The Effect of Knowledge Integration, Knowledge Innovation on New Product Performance: An Empirical Study in Saudi Arabia Firms

2015 ◽  
Vol 10 (11) ◽  
pp. 177 ◽  
Author(s):  
Abdullah M. Aldakhil
Keyword(s):  
Saudi Arabia ◽  
Competitive Advantage ◽  
Knowledge Integration ◽  
New Product ◽  
Global Market ◽  
Product Performance ◽  
Manufacturing Companies ◽  
New Product Performance ◽  
Knowledge Innovation ◽  
The Relationship

The objective of this study is to investigate the effect of knowledge integration, knowledge innovation on new product performance in Saudi Aria firms. In this study, two hypotheses are developed: the relationship between knowledge integration and knowledge innovation; and the relationship between knowledge innovation and new product performance. Federation of the Gulf Cooperation Council (GCC) directory handbook was used as sampling frame for sample selection. A total of 500 firms from food and beverage, chemical and pharmaceutical, automotive, and electronic and telecommunication industry were chosen randomly. The questionnaires were posted along with a cover letter explaining the purpose of study and stressing the confidentiality of responses; a smaller envelop for reply purpose also attached. The majority of manufacturing companies are located in Riyadh, Dammam, and Jeddah as major industrial regions in Saudi Arabia. The results of this study suggest that the knowledge integration indicators have significant contributed in developing knowledge innovation. In fact, utilizing knowledge innovation, firms introduced new ideas, apply knowledge innovation in order achieve competitive advantage have significant effect in increasing the new product performance. In this context, firms should pay attention on those significant indicators in order to achieve competitive advantage in the global market.

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