Effective sense-and-respond strategies: Mediating roles of exploratory and exploitative innovation

Liem Viet Ngo, Tania Bucic, Ashish Sinha and Vinh Nhat Lu

Journal of Business Research, 2019, vol. 94, issue C, 154-161

Abstract: Integrating the dynamic capabilities view of the firm with ambidexterity theory, this article proposes a sense-and-respond performance framework, in which technology- and market-sensing capabilities drive explorative and exploitative innovation activities, which then determine firm performance in an emerging market. With a sample of 150 Vietnamese firms, this study shows that exploratory and exploitative innovations are salient modi operandi through which the effects of technology-sensing and market-sensing capabilities affect firm performance. No performance-related empirical evidence supports the proposed complementarity between exploratory innovation and exploitative innovation. Instead, the findings imply that a firm's ability to compete in a complex market depends on its possession of adaptive capabilities.

Keywords: Sense-and-respond strategies; Explorative innovation; Exploitative innovation; Emerging markets (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (15)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:jbrese:v:94:y:2019:i:c:p:154-161

DOI: 10.1016/j.jbusres.2017.10.050

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