Knowledge‐based dynamic capabilities and innovation in networked environments

Abstract

PurposeThe purpose of this paper is to clarify the concept of dynamic capabilities from the knowledge‐based perspective and investigate the mechanisms of dynamic capabilities on innovation performance in networked environments.Design/methodology/approachThis paper designed a seven‐point Likert questionnaire measuring the dynamic capabilities, innovation performance and network embeddedness and a sample of 218 Chinese manufacturing firms were surveyed. Structural equation modeling method was used to statistically test the theoretical hypothesis.FindingsSignificant relationships were found between dynamic capabilities and innovation performance and knowledge combination capability played a mediating role in this relationship. For the links between network embeddedness and dynamic capabilities, knowledge acquisition capability was affected mainly by relational embeddedness and the diversity of network and joint problem solving contributed much to knowledge combination capability.Research limitations/implicationsThis paper deepened the understanding on dynamic capabilities and the mechanism between network embeddedness, knowledge‐based dynamic capabilities and innovation performance. In the future, the construct of knowledge‐based dynamic capabilities calls for more examination and verification.Originality/valueDrawing on the literature of dynamic capabilities framework, knowledge‐based view and the network model, this study extends the literature of dynamic capabilities and its link with innovation performance in networked environments. Using survey data and structural equation modeling, this study offers rich evidence on the contribution of dynamic capabilities on innovation performance and the antecedents of dynamic capabilities.

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“…Many other researchers have used a similar approach to determine the effect of the KMC process on organizational performance (Wu & Chen, 2014;Tseng & Lee, 2014;Tseng, 2014;Gharakhani and Mousakhani, 2012;Chen & Fong, 2012), and the effect of the KMC process on innovation performance (Zheng et al, 2011).…”

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“…To sum up, capabilities in general, have been considered as the antecedents for good performance (Zheng et al 2011). Since innovation is one of the aspects that organizations perform to achieve many organizational aims, it can be argued that innovation capabilities are positively related to innovation performance (Lau et al 2010).…”

The Relationship Between Knowledge Management Capabilities And Product Innovation And Its Impact On Marketing Performance

“…Knowledge management capabilities can also be the antecedent of innovation in an organization. Suli et al (2011) found that there is a significant relationship between knowledge-based dynamic capabilities and innovation performance. In a dynamic market situation, companies must be skilled at utilizing internal and external resources to cope with the ever-changing environment.…”

“…In line with the above discussion, this paper aims to investigate the relationship between knowledge management capabilities and product innovation, also its impact on marketing performance. As a basis for Advances in Economics, Business and Management Research,volume 40 fostering the theories and developing hypotheses, some of the earlier researchers have been adopted, such as Annette M. Mills, et al (2011);Suli Zheng, et al (2011); Chia-Nan Chiu and Huei-Huang Chen (2016).…”