Hegemony of network capabilities, frugal innovation and innovation strategies: the innovation performance perspective

Mohamed Haffar, Rasim Ozcan, Magdalena Radulescu, Nicoleta Isac, Abdelmohsen A. Nassani

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Abstract

The emergence of advanced technologies has brought new challenges and opportunities for all kinds of business organizations. In a technologically advanced era, innovation plays a dominant role for the successful operation of the commercial landscape. Therefore, the current study was conducted to investigate the impact of network capabilities (NC) and frugal innovation (FI) on innovation performance (IP). Furthermore, the mediating role of FI and moderating role of innovation strategies has also been tested on the link between NC and IP. Small and medium enterprises (SMEs) registered with small and medium enterprises development authorities (SMEDA) were approached for the completion of the current study. Only 509 owner/managers agreed to participate. A quantitative research design was employed for the current study. During the two–three months process of data collection only 387 complete responses were received from the SMEs working in Pakistan’s big cities. Correlation, regression and bootstrap methods were applied to test the study hypotheses. The findings revealed that NC positively affect FI and IP. Furthermore, the findings also confirmed the mediating effect of FI between NC and IP link. The performance of SMEs working in emerging economies is largely based on their innovative activities. In this dynamic scenario SMEs’ survival is attached to continuous IP in their products and services.
Original languageEnglish
Article number2
Number of pages12
JournalSustainability
Volume14
Issue number1
DOIs
Publication statusPublished - 21 Dec 2021

Keywords

  • network capabilities
  • frugal innovation
  • innovation strategies
  • innovation performance
  • SMEs

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