The Varying Effects of Four Components of Employee Psychological Capital on Sustainable-Business-Model Innovation in the New Normal

Yinan Shan, Tachia Chin () and Nomagugu Mutsvene
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Yinan Shan: International College, Dhurakij Pundit University, Bangkok 10210, Thailand
Tachia Chin: School of Management, Zhejiang University of Technology, Hangzhou 310014, China
Nomagugu Mutsvene: School of Management, Zhejiang University of Technology, Hangzhou 310014, China

Sustainability, 2023, vol. 15, issue 15, 1-14

Abstract: In view of the intensification of market uncertainty and complexity, interest in sustainable-business-model innovation (SBMI) has increased among both global companies and educational institutions in the new normal . However, although many organisations find it challenging to accomplish their sustainability goals, limited research has delved into SBMI in the post-pandemic era. To address this research gap, we adopt a unique micro-foundational approach to investigate how the four components of employees’ psychological capital (PsyCap) affect SBMI. Based on a primary survey of 430 employees of small and medium-sized Chinese enterprises using online and offline methods, we used structural equation modelling to analyse the results. We found that optimism, hope, and self-efficacy were each positively related to SBMI, with resilience moderating these positive associations. The main theoretical contribution of our study is the use of a micro-foundational approach to unravel the different effects of the four dimensions of PsyCap on SBMI, thus offering novel insights into a deeper, more comprehensive understanding of relevant issues in the age of the COVID-19 pandemic. Practically, our findings can help global managers to develop strategies to leverage the psychological resources of individuals in order to cope with firm-level innovation challenges during this turbulent time.

Keywords: psychological capital; sustainable-business-model innovation; resilience; SmartPLS (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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