 The Relationship Between Innovation Strategy and Performance with the Moderating Role of Environmental DynamismPatryk Dziurski ()
European Management Studies, 2024, vol. 22, issue 104, 54-77 Abstract: Purpose: This study aims to investigate the relationship between innovation strategy and performance with a moderating role of environmental dynamism in Poland. Innovation strategy and performance are popular topics of many studies, but the relationship between them is complex, as previous research reports mixed results. On the one hand, exploration, exploitation and ambidexterity innovation strate- gies have positive effects on performance, but on the other hand some research indicates a negative relationship. These mixed results are often explained by the dynamism of environment. Design/methodology/approach: The paper presents the results of a quantitate research that uses CAWI techniques (Computer-Assisted Web Interview). Data were acquired from 259 respondents wor- king in large and innovative firms in Poland. The paper presents the results of the hierarchical multiple regression on the relationship between innovation strategy and performance with a moderating role of environmental dynamism. Findings: Research results show the positive relationship between exploration, exploitation as well as combined innovation ambidexterity strategies and organisational outcomes, while the relationship between balanced innovation ambidexterity strategy and performance is not statistically significant. Moreover, the research shows that environmental dynamism is a significant factor strengthening the positive relation between innovation strategy and performance, but only in the case of exploration and balanced innovation ambidexterity strategies. It also points out that the environmental dynamism streng- thens the negative link between exploitation innovation strategy and performance. Practical implication: Research results show that both exploration and exploitation innovation strategies improve organisational performance. Moreover, the simultaneous pursuit of exploration and exploitation innovation activities allows to achieve better organisational performance. Managers should also take into consideration the environmental dynamism, as it impacts the relationship between innovation strategy and performance. Firms operating is stable environments should execute an exploitation innovation strategy, while firm in dynamic environments should chose an exploration innovation strategy or balanced innovation ambidexterity strategy to achieve better performance. The combined innovation ambidexterity strategy seems to be an appropriate strategy in stable as well as dynamic environments. Originality/value: The paper provides new insights on the link between exploration, exploitation and ambidexterity innovation strategies and organisational outcomes. It does not focus just on exploration or exploitation innovation strategies, but also on the jointed outcomes of both strategies on performance and its interplay with the environmental dynamism. Keywords: exploration innovation strategy; exploitation innovation strategy; ambidexterity innovation strategy; environmental dynamism (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:sgm:emswzu:v:22:i:104:y:2024:p:54-77 Access Statistics for this article More articles in European Management Studies from University of Warsaw, Faculty of Management Contact information at EDIRC. |
Is your work missing from RePEc? Here is how to contribute.
Questions or problems? Check the EconPapers FAQ or send mail to .
EconPapers is hosted by the
School of Business at Örebro University.