Investigating the Effect of Strategic Leadership on Competitive Advantage with the Mediating Role of Innovation Ambidexterity

Mohammad Rahimian () and Gholamreza Rajaei ()
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Mohammad Rahimian: SHAHID CHAMRAN technical university of Kerman, Iran
Gholamreza Rajaei: SHAHID CHAMRAN technical university of Kerman, Iran

No 5207365, Proceedings of Business and Management Conferences from International Institute of Social and Economic Sciences

Abstract: Gaining and sustaining the competitive advantage in today turbulent environment is an obsession of corporate managers. Manufacturing firms while investing in R & D, worry about the innovations driven from these researchers and their effect on the firm?s position in market. In other words, balance between innovation exploration and innovation exploitation (innovation ambidexterity) and its effect on firm?s competitive advantage is an important question of such firms. What is missed in many researches is the effect of strategic leadership on the relationship between innovation ambidexterity and competitive advantage that this research tries to fill this gap. This paper investigates the effect of strategic leadership (transformational and transactional leadership) on innovation ambidexterity capability (innovation exploration and innovation exploitation) and effect of this capability on competitive advantages (price advantage, service differentiation advantage and customer concentration advantage) of manufacturing firms in Kerman.The results show transactional leadership has an impact on innovation exploration, both transactional and transformational leadership has an impact on innovation exploitation. Both innovation exploitation and exploration have an impact on service differentiation advantage but innovation exploitation has an impact on price and customer concentration advantage.

Keywords: Strategic; Leadership; in; Manufacturing; Firms/; Innovation; Ambidexterity/; Competitive; Advantage; of; Manufacturing; Firms (search for similar items in EconPapers)
Pages: 15 pages
Date: 2017-05
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Published in Proceedings of the Proceedings of the 5th Business & Management Conference, Rome, May 2017, pages 141-155

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