Moderating Effect of Proactivity on Firm Absorptive Capacity and Performance: Empirical Evidence from Spanish Firms

Abstract

The purpose of this study was to understand how proactivity can affect the relationship between absorptive capacity and organisational performance. Most previous studies have ignored the role of proactivity in this relationship and have not considered the multidimensional nature of absorptive capacity. A questionnaire was sent to 800 CEOs of Spanish companies from different sectors, procuring a response rate of 38.25%. A structural equation model was applied to test the hypothesis. This study confirms the positive effect that absorptive capacity has on business performance and the moderating role of proactivity in this relationship. Companies that develop their capacity to absorb information from the environment achieve better results. Furthermore, if they engage in proactive behaviour within their company, this relationship is stronger. Future research should include more capacities that are related to knowledge and business performance (i.e., learning capability, innovation capacity, etc.). This study contributes to the understanding of how to manage a company’s knowledge in an appropriate way. It sheds new light on how knowledge management should be conducted, emphasising not only the gathering of information but also the promotion of a proactive attitude on the part of employees to achieve the goal of better performance.

Mediating effect of absorptive capacity on the relationship between knowledge sharing and entrepreneurial orientation and the moderating role of opportunity recognition

“…Following Israel’s (2003) recommendation to avoid missing and incomplete surveys, 40% was added to the total sample size, generating a final sample size of 518 = 370+ (370 × 40%). Researchers adopted the G*Power technique to determine the minimum sample size (Ramayah et al , 2020; Sancho-Zamora et al , 2021a, 2021b) while using sampling table to define the maximum sample size (Makhloufi et al , 2023a, 2023b, 2023c). For a better and more accurate prediction level, the sample size should be above 100 responses, which is a good fit (Pacheco et al , 2018); this study’s maximum sample size is 518, with a total of 246 respondents.…”

“…Others (Bagheri, 2017; Ploum et al , 2018) believed that entrepreneurs' self-made strategies succeed in the OR. Sancho-Zamora et al (2021a, 2021b) found that entrepreneurs’ proactive behaviour increases the impact of AC on firm performance. Thus, an entrepreneur who recognises opportunities should act proactively to convert them to commercialised ends.…”

Stakeholder pressure and innovation capacity of SMEs in the COVID-19 pandemic: Mediating and multigroup analysis

“…Previous research has developed measures of innovation related to products and the mechanisms that cause them ( Leenders and Wierenga, 2002 ; Burdon et al, 2015 ). This is one of the most important competitive strategies for small and large firms ( Sancho-Zamora et al, 2021 ; Kaufmann and Tödtling, 2002 ). Therefore, from an economic perspective, stimulating innovation in the SME sector is an important challenge ( Keizer et al, 2002 ).…”

A Multidimensional Study of Absorptive Capacity and Innovation Capacity and Their Impact on Business Performance

“…Firms are operating in a highly competitive environment and require high levels of knowledge, which has become one of their most valuable resources ( Liao and Wu, 2010 ). In order to compete, firms cannot rely solely on their external knowledge network but also have to develop their absorptive capabilities to actively source knowledge ( Matthyssens et al, 2005 ; Sancho-Zamora et al, 2021 ). This necessitates approaches and mechanisms that facilitate learning and thus enable them to disseminate and exploit the knowledge that will provide them with new organizational innovations ( Daghfous, 2004 ).…”

“…Absorptive capacity has been defined as “the ability of a firm to recognize the value of new external information, assimilate it and apply it for business purposes” ( Cohen and Levinthal, 1990 , p. 128) and has become one of the most prevalent research areas in business management ( Huang et al, 2015 ). Zahra and George (2002) state that absorptive capacity is a set of organizational routines required to identify and utilize knowledge, highlighting the importance of absorptive capacity in the knowledge management process ( Chang et al, 2012 ; Sancho-Zamora et al, 2021 ).…”