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The purpose of this paper is to explore the impact of a firm's innovation activities on performance, and focus on the internal fit and external fit of two types of innovation activities – exploratory innovation and exploitative innovation.

The paper adopts the survey data of 397 enterprises in eastern, middle, and western China. The business strategy attributes analysis based on strategic orientation of business enterprises (STROBE) scale was used to classify the business strategy types, and hierarchical regression analyses were employed to test the hypotheses.

The results show: both exploratory innovation and exploitative innovation have a positive effect on firm performance; the internal fit between exploratory innovation and exploitative innovation, whether it is fit as moderating or fit as matching, has no significant effect on firm performance; the fit between innovation activity and firm business strategy has significant effect on firm performance, therefore, exploratory innovation activity fits defenders and exploitative innovation activity fits prospectors; and the fit between the innovation activity and external environment has a slight effect on firm performance. Environmental competitiveness can enhance exploratory innovation outcome but diminish exploitative innovation outcome.

The paper has supplied the empirical evidence discovered in the context of China to the theoretical views of exploratory innovation and exploitative innovation, and achieved some results which differ from the ones drawn by similar researches done abroad.

The purpose of this paper is to investigate the links between the enterprise social networks (ESN) use and the exploitative and exploratory innovations and deepen the analysis by examining the mediating role of the sub-dimensions of intellectual capital (IC) in these relationships.

The authors use a quantitative method based on the questionnaire administrated to a sample of 248 middle managers working in Tunisian ICT firms. Regarding the data analysis, the authors use a partial least square-structural equation modeling (PLS-SEM) method.

Results highlight that whereas exploratory innovation is positively linked to human capital (HC) and social capital (SC), exploitative innovation is positively associated with HC. Findings show that the ESN use is linked positively to exploitative innovation and this link is mediated by HC. The data analysis also revealed that HC and SC mediate the link between ESN use and exploratory innovation.

Although limited studies have investigated the effect of the ESN use on firms, this research pioneers the examination of the effect of the ESN use on exploitative and exploratory innovations within ICT firms and the mediating roles of HC, SC and organizational capital that have never been explored. Findings are highlighted along with interesting insights for managers and outline the key aspects related to the ESN use that may improve the sub-dimensions of IC and boost exploitative and exploratory innovations.

The purpose of this paper is to advance new insights into how internal and external social capital (SC) facets influence exploratory and exploitative innovation directly, and indirectly through absorptive capability (AC), by drawing on the relational and knowledge-based views.

The paper empirically tests the developed model using 135 survey responses from managers in construction contractor firms. Data were factor analysed, and path estimates determined using partial least squares structural equation modelling to test the hypotheses.

The results reveal that each social capital (SC) facet has direct benefits for both exploratory and exploitative innovation. The findings also show a mix of full and partial mediation paths between the facets of SC and innovation types through AC.

Extant research linking SC facets with innovation categories is fragmented. Added to this fragmentation is the dearth of studies linking both intra-firm and inter-firm SC with exploratory and exploitative innovation in firms. This paper makes a novel contribution by testing a model of the direct and indirect links (through AC) between internal and external SC and both exploratory and exploitative innovation in the context of construction contractor firms. The findings show how both facets of SC are necessary for exploratory and exploitative innovation. It reveals the types of relationships and capabilities necessary for specific innovation objectives.

Intellectual capital (IC) has been suggested to be a means by which firms develop capabilities that enhance competitive advantage. There is, however, a paucity of empirical research linking IC with innovation in construction firms, leaving the IC–innovation link in such environments unclear. The purpose of this paper is to advance understanding of the relationships between IC components and strategic exploratory and exploitative innovation in construction contractor firms.

The sample comprised 135 management personnel from construction contractor firms in Hong Kong. Data were collected through a questionnaire survey using validated scales in the literature which were subjected to confirmatory factor analysis. Hierarchical linear regression was used to test the hypotheses while partial least squares structural equation modelling was used for post hoc analysis.

Social capital (SC) and organisational capital (OC) each have significant positive linear effects on exploratory and exploitative innovation, while human capital (HC) has no direct linear effect on either innovation type. HC, however, affects both exploratory and exploitative innovation through SC or OC. None of the three IC dimensions has a significant quadratic effect on exploratory or exploitative innovation. The findings suggest that in construction contractor firms increases in the accumulation of SC and OC are associated with proportional increases in exploratory and exploitative innovation.

Despite the growth of studies connecting IC to innovation, the link between IC and exploratory and exploitative innovation has focussed on linear effects in units or on radical innovation outcomes. This study makes a novel contextual contribution by exploring both linear and quadratic effects of IC dimensions on strategic exploratory and exploitative innovation processes in construction contractor firms. The insights contribute to advance knowledge on the relationship between IC and innovation categories in different industrial settings.

The purpose of this paper is to examine the effects of market orientation on exploratory and exploitative innovation, and the moderating effects of family ownership on these relationships.

This study utilizes multi-group path analysis and confirmatory factor analysis in LISREL on data from 228 firms in the Australian service sector.

This study establishes that both customer and competitor innovation are positively related to exploitative and exploratory innovation. However, customer orientation does not lead to significantly stronger effects on exploitative innovation than on exploratory innovation, and competitor orientation does not lead to significantly stronger effects on exploratory innovation than on exploitative innovation. In addition, the study found that the relationship between customer orientation and exploratory innovation was stronger for family firms, while the relationships between competitor orientation and both exploratory and exploitative innovation were stronger for non-family firms.

The cross-sectional design is one weakness of this study. In addition, as firms in the present study came from the service sector the generalizability of the findings to other sectors of the economy need to be determined.

These findings of this study highlight the need for managers to build a strong market orientation in order to promote innovation, and consider the effects of ownership structure on innovation strategies.

This study is the first to measure the relative influence of customer and competitor orientation on a firm’s use of exploitative and exploratory innovation strategies.

The aim of this paper is to highlight the impact of distributed leadership (DL) on exploitative and exploratory innovations through the mediating effects of organizational trust (OT) and tacit and explicit knowledge sharing (KS).

Focusing on a quantitative approach, an empirical study was performed within a sample of information and communication technology Tunisian firms. The data collected was analyzed through the Partial Least Squares (PLS) method.

Findings revealed that DL is a driver of tacit and explicit KS, and exploitative and exploratory innovations. It also highlighted that tacit KS is associated with these two types of innovation. In this line, results showed that tacit KS plays a mediating effect between DL and exploitative and exploratory innovations. Moreover, our research highlighted that DL has a positive impact on OT that in turn boosts tacit and explicit KS.

This paper investigates the links between DL and exploitative and exploratory innovations within knowledge intensive firms (KIFs) that have never been studied in the literature within the context of business firms. This paper pioneers the examination of the mediating roles of explicit and tacit KS and OT in these links as well. This paper highlights the importance of DL for KIFs and sheds the light on how this collectivist approach of leadership creates an atmosphere of trust and fosters tacit and explicit KS to boost exploitative and exploratory innovations.

The purpose of this paper is to offer a theoretical and empirical understanding of how social ties affect innovation behavior and new product performance in Turkey, which is an emerging economy where high levels of economic and political uncertainties exist.The authors examine whether innovation behavior binds the political and business ties of the firm to new product performance. They also examine if these effects are contingent on variations in the institutional environment and market environment.

Structural equation modeling and mediation analyses were used on a sample of 344 small- and medium-sized enterprises in Istanbul.

Business ties are positively related to exploratory innovation behavior and political ties hamper such behavior. The authors also show that government support hinders firms’ disruptive innovation while encouraging incremental innovation behavior. The authors further demonstrate that the positive and indirect relation of business ties to new product performance through exploratory and exploitative innovation is largely insensitive to changes in market and institutional environments. Political ties are negatively (positively) and indirectly related to new product performance through exploratory (exploitative) innovation.

Managers should choose the form of their personal interactions (political and/or business) based on the type of innovation that is being pursued. Additionally, managers should consider both the institutional environment and the market environment as important contingencies in their decision of whether to invest resources in developing social ties to build innovation behavior.

The authors offer a deeper perspective of how social ties in emerging economies affect new product performance by considering exploratory and exploitative innovation behavior as mediating mechanisms. These mediating effects are conditional on institutional and market environments.

The purpose of this study is to examine the underlying mechanisms of exploitative innovation and exploratory innovation between social media usage and organizational agility, and elucidate the moderating role of learning goal orientation (LGO) in the above relationships, based on adaptive structuration theory (AST).

Based on a multiple-respondent matched survey of 334 Chinese e-commerce firms, authors employed structural equation modeling to examine the correlations among social media usage, exploitative innovation, exploratory innovation and organizational agility. Hierarchical regression analysis was used to examine the moderating role of LGO.

This study's empirical findings demonstrate that exploitative innovation and exploratory innovation mediate the relationship between social media usage and organizational agility in different ways. Further, LGO positively moderates the relationship between social media usage for customer acquisition and exploratory innovation, as well as the relationship between social media usage for customer relationship and exploitative innovation.

Firms are advised to leverage different types of social media usage to facilitate exploitative innovation and exploratory innovation and promote organizational agility. In addition, LGO within a firm should be established to enhance the effects of social media usage on exploitative innovation and exploratory innovation.

This study adds to the literature on social media usage by proposing and examining exploitative innovation and exploratory innovation as explanatory mechanisms to facilitate organizational agility. This study further identifies LGO as a boundary condition of social media usage's effect on exploitative innovation and exploratory innovation. By contextualizing social media as advanced information technology, this study contributes to the contextualization of AST in the social media context.

This study drawing upon opportunity-ability-motivation (OAM) theory focuses on digital entrepreneurship opportunities (DEOs), knowledge generation capabilities (EKGCs) and enterprise market-sensing capabilities (EMSC) affecting digital innovation in terms of exploitative and exploratory DIs.

Employing quantitative methodology on a sample of 352 software SMEs' managers, the study employed a hierarchical regression analysis to investigate whether and how digital entrepreneurship opportunities and knowledge generation capabilities support and nurture both DIs. Additionally, the moderated–mediation effect of market-sensing capabilities on the relationships among digital entrepreneurship opportunities, enterprise knowledge generation capabilities and DIs are considered.

The study findings reveal that digital entrepreneurship opportunities influence exploitative and exploratory DIs. Knowledge generation capabilities partially mediate the relationship between digital entrepreneurship opportunities and exploitative and exploratory DIs, respectively. Moreover, market-sensing capabilities strengthen not only the effect of digital entrepreneurship opportunities on knowledge generation capabilities but also the effects of knowledge generation capabilities on exploratory DI. The moderated–mediation outcomes reveal that the mediating role of knowledge generation capabilities on the relationship between digital entrepreneurship opportunities and both DIs is stronger when EMSC are high.

This research integrates the opportunity-ability-motivation perspective to present a comprehensive framework that reveals the intricate interdependencies among digital entrepreneurship opportunity, knowledge generation and market-sensing capabilities in driving both exploratory and exploitative digital innovation in software SMEs. This approach significantly enhances our understanding of how software SMEs can strategically strengthen their internal skills and resources, ultimately leading to superior digital innovation outcomes.

The purpose of this study is to investigate the impact of team psychological capital (PsyCap) on team innovation. The study also examines the mediating role of team learning, including exploratory and exploitative learning, in team innovation.

A sample of 272 team leaders of firms in Vietnam was surveyed to validate the measures via confirmatory factor analysis and to test the model and hypotheses using structural equation modeling.

The results demonstrate that team PsyCap has a positive effect on team innovation. Further, team exploratory learning mediates the relationship between team PsyCap and team innovation; however, team exploitative learning does not. Although team exploitative learning is explained by team PsyCap, it does not enhance team innovation.

The study findings suggest that, to enjoy a high level of team exploratory and exploitative learning and innovation, firms should develop team PsyCap. This could be undertaken by implementing leader–subordinate mentoring programs, together with creating a social context that helps in interacting and communicating among team members.

This study is among the first to examine the role of team PsyCap in team exploratory and exploitative learning and innovation, adding further insight to the literature on innovation at the team level.