Hegemony of Network Capabilities, Frugal Innovation and Innovation Strategies: The Innovation Performance Perspective

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.

Modelling the significance of strategic orientation for competitive advantage and economic sustainability: the use of hybrid SEM–neural network analysis

“…This study also demonstrated the significant and positive influence of innovation orientation on both competitive advantage (H5a) ( t = 5.110, p = 0.000) and economic sustainability (H5b) ( t = 4.904, p = 0.000). This present study supported the study of Haffar et al ( 2022 ), which pointed out that organisations in any level should have enough information and network to expand and create strategic position in a highly competitive market. Thus, both H5a and H5b were accepted.…”

“…Network orientation can be successfully implemented to achieve a strategy when an organisation is able to combine networking capability and human networking. This finding was found to be in line with the finding of Haffar et al ( 2022 ) on the necessity of network orientation for knowledge transfer, helping SMEs to innovate and move towards what strategies needed to implement in a hyper-market competition. The study also found that organisations require information about market conditions and customers’ needs, suggesting the importance of network orientation.…”

“…Networks directly affect the growth of halal SMEs, with positive causal effects, and networks can provide business information, advices, and solutions to solve customers’ problems (Martins, 2016 ). Moreover, Haffar et al ( 2022 ) confirmed the positive influence of network capabilities on sustainability. Thus, this study proposed the following hypotheses for testing:…”

Kesuksesan Muslimah Pelaku UMKM: Peran Dimensi Entrepreneurial Orientation

“…Dukungan inovasi mempunyai efek moderat, sehingga dampaknya berpengaruh terhadap kinerja keuangan (Fahad et al, 2021). Perkembangan bisnis yang mengalami perubahan, dan demi kelangsungan bisnis UKM, maka UKM perlu untuk melakukan inovasi pada produk dan layanan (Haffar et al, 2022).…”

“…Hal tersebut berarti bahwa inovasi yang telah diimplementasikan pada bisnis UMKM akan berdampak pada peningkatan kinerja bisnis. Penelitian pada pebisnis UMKM di Kabupaten Kudus Ini sejalan dengan penelitian sebelumnya yang dilakukan oleh (Jamai et al, 2021); (Fahad et al, 2021); dan (Haffar et al, 2022).…”