Hongyun Tian, Shuja Iqbal, Farooq Anwar, Shamim Akhtar, Muhammad Aamir Shafique Khan and Weijie Wang
This study examines the impact of network embeddedness (NE) on innovation performance in small- and medium-sized enterprises (SMEs), and analyses absorptive capacity as mediator…
Abstract
Purpose
This study examines the impact of network embeddedness (NE) on innovation performance in small- and medium-sized enterprises (SMEs), and analyses absorptive capacity as mediator and openness as moderator.
Design/methodology/approach
Data were collected from 209 employees of SMEs using a convenient sampling technique. Partial least squares structural equation modeling in SmartPLS was used to analyze the various constructs.
Findings
The results exhibit a positive and significant relationship in NE and absorptive capacity. Also, this study found a positive and significant relationship in absorptive capacity and innovation performance. Moreover, absorptive capacity has a positive and significant mediation role in the relationship between NE and innovation performance. Also, openness positively moderated the relationship of NE and absorptive capacity.
Practical implications
SMEs should try to implement the functions of NE, such as interaction with other firms in higher frequency, developing trust among all parties, clear alliance among the partners to enhance innovation performance. Similarly, SMEs should focus on absorptive capacity and openness to enrich innovation performance.
Originality/value
This study adds in the current literature of the chosen constructs and empirically contributes the effects in the manufacturing industry of Jiangsu Province, China.
Details
Keywords
Hongyun Tian, Shuja Iqbal and Shamim Akhtar
In the competitive business world, companies strive to be innovative, and to do so, they try to implement innovative human resource practices. Therefore, the authors propose an…
Abstract
Purpose
In the competitive business world, companies strive to be innovative, and to do so, they try to implement innovative human resource practices. Therefore, the authors propose an association between innovative human resource practice, organizational commitment, innovation performance and transformational leadership.
Design/methodology/approach
This study gathered data from 1,037 small- and medium-sized enterprises and implied partial least square structural equation modeling PLS-SEM using Smart PLS was adopted to test the hypotheses.
Findings
The findings reveal positive direct relationships between innovative human resource practices, organizational commitment and innovation performance. Moreover, organizational commitment positively mediates and transformational leadership significantly and positively moderates the relationship. Companies should use innovative recruitment and selection, performance management, and innovative compensation to enhance organizational commitment and innovation performance. In addition, the optimized organizational commitment aids in strengthening the connection between innovative human resource practices and firms' innovation performance.
Originality/value
Managers should also develop a sense of affiliation and attachment to increase innovation performance. The study contributes empirically to the literature on innovative human resource practices and their effect on organizational commitment and innovation performance.
Details
Keywords
Tian Hongyun, Jan Muhammad Sohu, Asad Ullah Khan, Ikramuddin Junejo, Sonia Najam Shaikh, Sadaf Akhtar and Muhammad Bilal
In this digital age, the rapid technological innovation and adoption, with the increasing use of big data analytics, has raised concerns about the ability of small and medium…
Abstract
Purpose
In this digital age, the rapid technological innovation and adoption, with the increasing use of big data analytics, has raised concerns about the ability of small and medium enterprises (SMEs) to sustain the competition and innovation performance (IP). To narrow the research gap, this paper investigates the role of big data analytics capability (BDAC) in moderating the relationship between digital innovation (DI) and SME innovation performance.
Design/methodology/approach
This research has been carried forward through a detailed theory and literature analysis. Data were analyzed through confirmatory factor analysis and structural equation models using a two-stage approach in smartPLS-4.
Findings
Results highlight that digital service capability (DSC) significantly mediates the relationship between DI and IP. Additionally, value co-creation (VCC) directly affects digital transformation (DT), while DI has a stronger effect on DSC than IP. Furthermore, BDAC significantly moderates the relation between DSC → IP and DT → IP, whereas it has a detrimental effect on the relation between DI and IP. In addition to that, VCC, DSC, DT, DI and BDAC have a direct, significant and positive effect on IP.
Practical implications
This research was motivated by the practical relevance of supporting SMEs in adopting DT and the resource-based view (RBV) and technology acceptance model (TAM). This study shows that all direct and indirect measures significantly affect innovation performance, including BDAC as moderator. These findings refresh the perspective on what DT, DI, VCC, DSC and BDAC can bring to a firm's innovation performance.
Originality/value
This paper has contributed to DT by empirically validating a theoretical argument that suggests the acceptance and adoption of new technology. This paper aims to fill theoretical gaps in understanding BDAC and DT by incorporating the RBV and TAM theories on BDAC and DT.
Details
Keywords
Courage Simon Kofi Dogbe, Hongyun Tian, Wisdom Wise Kwabla Pomegbe, Sampson Ato Sarsah and Charles Oduro Acheampong Otoo
The purpose of this study was to identify if network embeddedness and innovation performance relationship, which has been largely studied in multinational enterprises (MNEs) and…
Abstract
Purpose
The purpose of this study was to identify if network embeddedness and innovation performance relationship, which has been largely studied in multinational enterprises (MNEs) and large corporations, was also applicable in the context of small and medium-sized enterprises (SMEs). Secondly, the authors also sought to identify the moderating role of innovation openness in the relationship between network embeddedness and SMEs' innovation performance.
Design/methodology/approach
Empirical analysis was based on 388 SMEs in Ghana. Various validity and reliability checks were conducted before the presentation of the actual analysis, which was conducted using the structural equation modeling in Amos (v.23).
Findings
Findings revealed that, in the context of SMEs, network embeddedness had significant positive effect on innovation performance. The authors further identified that SMEs with both high levels of network embeddedness and innovation openness had a much higher performance in their innovation, compared to SMEs that relied solely on network embeddedness.
Research limitations/implications
The current study found innovation openness to further strengthen the relationship between network embeddedness and SMEs' innovation performance. The relationship between network embedded and SME's innovation could, however, be mediated by knowledge transfer mechanisms, so future studies should pay particular attention to the mediating mechanisms.
Practical implications
Management of SMEs is advised to develop conducive organizational structures, such as trust, openness to collaboration and so on, for effective innovative knowledge transfer and transformation.
Originality/value
Past research studies on network embeddedness and innovation performance have dominantly resided in MNE and large corporations. This current study extends the body of knowledge by extending the network embeddedness and innovation performance research studies to SME context.
Details
Keywords
Hongyun Tian, Courage Simon Kofi Dogbe, Wisdom Wise Kwabla Pomegbe, Sampson Ato Sarsah and Charles Oduro Acheampong Otoo
SMEs could achieve their innovation goals, either through exploitation, exploratory, or ambidextrous learning strategies. This study presents ambidexterity as a more effective and…
Abstract
Purpose
SMEs could achieve their innovation goals, either through exploitation, exploratory, or ambidextrous learning strategies. This study presents ambidexterity as a more effective and efficient strategy that offers superior innovation advantage to SMEs. We also present the role of openness in this relationship.
Design/methodology/approach
Empirical analysis was based on 388 SMEs in Ghana. Various validity and reliability checks were conducted before the presentation of the actual analysis, which was conducted using Ordinary Least Squares approach, run using SPSS (v. 20).
Findings
Findings indicate that although exploitative and exploratory learning strategies individually had a positive significant effect on SMEs' innovation performance, organizational learning ambidexterity was found to have a greater positive impact on innovation performance among SMEs. High levels of openness further boosted the effect of organizational learning ambidexterity on SMEs’ innovation performance.
Research limitations/implications
This study was conducted without recourse to some specific factors that could influence organizational learning ambidexterity among SMEs. Future studies should thus pay particular attention to the determinants of organizational learning ambidexterity among SMEs.
Practical implications
Innovation performance is very critical for the sustainability of firms, and SMEs in particular. Management of SMEs must therefore seek to simultaneously adopt both learning strategies, as that gives firms greater advantage, compared to the adoption of only one strategy.
Originality/value
The study demonstrates that organizational learning ambidexterity had a superior effect on SMEs' innovation performance. High levels of openness further boosted the effect of organizational learning ambidexterity on SMEs' innovation performance.
Details
Keywords
Sampson Ato Sarsah, Hongyun Tian, Courage Simon Kofi Dogbe, Bylon Abeeku Bamfo and Wisdom Wise Kwabla Pomegbe
The study explored the mediating role of potential and realized absorptive capacities in the relationship between entrepreneurial orientation and radical innovation performance…
Abstract
Purpose
The study explored the mediating role of potential and realized absorptive capacities in the relationship between entrepreneurial orientation and radical innovation performance among manufacturing small and medium-sized enterprises (SMEs).
Design/methodology/approach
Empirical analysis was based on 357 manufacturing SMEs in Ghana. Various validity and reliability checks were conducted before the presentation of the actual analysis, which was conducted using ordinary least squares approach, run using SPSS (v. 20).
Findings
Findings revealed that potential and realized absorptive capacities significantly mediated the relationship between entrepreneurial orientation and radical innovation performance among manufacturing SMEs. Further, it was identified that ambidexterity in absorptive capacity also had a greater effect on radical innovation performance among manufacturing SMEs.
Research limitations/implications
Since the data used were cross-sectional, the relationships measured represent only a snapshot of time. Longitudinal studies could therefore be adopted in the future to complement the cross-sectional conducted.
Practical implications
While managers of manufacturing SMEs seek to achieve higher radical innovation performance through entrepreneurial orientation, it should also be noted that both potential and realized absorptive capacities have a significant role to play in this relationship. Managers must therefore also seek to invest time to build both potential and realized absorptive capacities, as they define greater innovation success.
Originality/value
Some past studies have considered absorptive capacity as composite variable, therefore added both potential and realized absorptive capacities to form a single variable. Others also presented potential and realized absorptive capacities individually. This current study extends the body of knowledge by presenting an ambidexterity position between potential and realized absorptive capacities.
Details
Keywords
Hongyun Zheng, Wanglin Ma, Yanzhi Guo and Xiaoshi Zhou
The purpose of this study is to investigate the interactive relationship between non-farm employment and mechanization service expenditure.
Abstract
Purpose
The purpose of this study is to investigate the interactive relationship between non-farm employment and mechanization service expenditure.
Design/methodology/approach
The study employs an innovative two-stage probit least squares (2SPLS) model to analyze the survey data collected from 1,148 rural households in China. This model not only simultaneously estimates the impact of non-farm employment on mechanization service expenditure and the impact of mechanization service expenditure on non-farm employment, but also addresses endogeneity issues associated with these two activities.
Findings
The empirical results show that non-farm employment and mechanization service expenditure are jointly determined. In particular, the study finds that non-farm employment significantly increases mechanization service expenditure, and vice versa. The results are confirmed by an estimation that captures a dichotomous decision of mechanization service usage. The interactive effects of non-farm employment on mechanization service expenditure are heterogeneous between male and female household heads and among households with different member sizes. Further analyses reveal that (1) mechanization service expenditure increases with increasing non-farm working time; (2) local non-farm employment, rather than provincial non-farm employment, has a larger impact on mechanization service expenditure; and (3) the number of household members employed in non-farm works does not affect mechanization service expenditure significantly.
Originality/value
Although mechanization service markets are rapidly growing in many developing and transition countries, little is known about how service purchasing interacts with farmers' decisions to work in the non-farm sector. This study makes the first attempt by investigating the interactive effects of non-farm employment on mechanization service expenditure in rural China. The findings provide significant evidence for policymakers in China and other countries in their efforts to generate non-farm work opportunities and promote agricultural mechanization, with the aim of boosting rural development and improving farm economic performance.
Details
Keywords
Rimsha Khalid, Abu Bakar Abdul Hamid, Mohsin Raza, Pornpisanu Promsivapallop and Marco Valeri
In today’s digital age, technology is advancing at an unprecedented pace, and businesses that fail to keep up risk falling behind their competitors. This requires not only…
Abstract
Purpose
In today’s digital age, technology is advancing at an unprecedented pace, and businesses that fail to keep up risk falling behind their competitors. This requires not only investing in technological resources but also creating a culture that values and encourages women in technological learning and innovation in the tourism and hospitality sector. This study aims to investigate the consequences of organizational learning on firm innovation directly and indirectly with cultural and technological perspectives.
Design/methodology/approach
The study carries out a quantitative approach, and data is collected from 398 women entrepreneurs from Thailand’s tourism and hospitality sectors. The statistical software Smart-PLS was used to analyze the data.
Findings
The findings revealed that organizational learning (the learning orientation and learning process) significantly influence firm innovation and organizational culture. Organizational culture also significantly mediates learning orientation, learning process and firm innovation, while learning leadership was found to be insignificant in relationship with organizational culture and firm innovation. However, technological knowledge has a significant moderating influence between organizational culture and firm innovation.
Originality/value
This study’s focus on the role of learning practices among women-owned small medium enterprises is a valuable contribution to the literature on innovation and entrepreneurship. These provided dimensions that can be helpful for women entrepreneurs to enhance firm innovation. The study shed light on the importance of diverse kinds of learning practices that change the patterns of innovation. This study also provides directions to practitioners to develop and implement business innovation strategies from women’s perspectives.
Details
Keywords
Nadia Abdelhamid Abdelmegeed Abdelwahed and Safia Bano
Digital technology (DT) is a massive and robust tool for organizational success. This paper aims to examine the roles of digitalization and digital innovation (DI) in developing…
Abstract
Purpose
Digital technology (DT) is a massive and robust tool for organizational success. This paper aims to examine the roles of digitalization and digital innovation (DI) in developing the capability of a digital economy.
Design/methodology/approach
The authors used a cross-sectional study to collect the data from the managers of Egyptian SME manufacturing firms. This study utilized 322 samples.
Findings
From applying the structural equation model (SEM), this study’s findings show that digital capability (DC) and digital orientation (DO) exert a positive effect on the firm’s digital economy capability (DEC). In addition, DC has a positive impact on DI. In contrast, digital technology self-efficacy (DTSE) negatively predicts DEC. This study’s results also confirm DO’s negative effect on DI. The DTSE is a positive enabler of DI that has also positively affected the DEC. The mediating results demonstrate that DI reinforces the positive connection between DO and DEC. On the other hand, DI does not mediate the connection between DO and DEC and between DTSE and DEC.
Practical implications
This study’s outcomes support policymakers and manufacturing organizations in employing DT to improve DEC and, thereby, develop firm performance and success. The study’s findings also encourage organizations to invest in bringing about a digital culture within them. Finally, by developing DT and DI, firms can nurture a conducive culture of creativity and forward-thinking.
Originality/value
This study directly overcomes the need for an integrated framework of all DI, DTSE, DO, DC and DEC. Furthermore, DI’s mediating contribution between DC and DEC, between DO and DEC and between DTSE and DEC adds fresh insights to the existing literature.
Details
Keywords
Jorge Linuesa-Langreo, Pablo Ruiz-Palomino and Pedro Jiménez-Estévez
Entrepreneurial orientation is critical to staying ahead in the current competitive hospitality industry. Drawing on the theories of social capital, socioemotional wealth and…
Abstract
Purpose
Entrepreneurial orientation is critical to staying ahead in the current competitive hospitality industry. Drawing on the theories of social capital, socioemotional wealth and upper echelons, this study aims to highlight the mechanisms through which CEO servant leadership enhances entrepreneurial orientation. Moreover, this paper examines (1) the mediating role of internal social capital in the CEO servant leadership–entrepreneurial orientation relationship and (2) the moderating role of family and non-family firms.
Design/methodology/approach
Our hospitality industry sample frame was based on several databases (SABI, Camerdata, INE). Large and medium-sized hotels with more than 30 employees in the Canary and Balearic Islands (Spain) were targeted. After eliminating duplicate cases and entities no longer in business, 597 hotels remained. Complete information was obtained for 176 hotels. To test our hypotheses, structural equation modeling based on partial least squares (PLS) and Smart PLS 4 was used.
Findings
Our results revealed that CEO servant leadership was positive for entrepreneurial orientation, mediated by internal social capital through its three dimensions: structural, relational and cognitive. In addition, the results also showed that the relationships observed were generally stronger in family firms than in non-family firms.
Practical implications
Our study shows that CEOs of family and non-family firms can improve the practice of servant leadership through implementing appropriate management selection and training policies.
Originality/value
Our findings advance the servant leadership literature, currently dominated by individual- and group-level research, by providing empirical evidence that CEO servant leadership has a positive impact on firm-level variables (internal social capital and entrepreneurial orientation). In addition, using multigroup analysis, we are able to study the moderating role of family and non-family firms.