The influence of transformational and learning through R&D capabilities on the competitive advantage of firms

Abstract

PurposeThis study provides theoretical and empirical insights into how firms can enhance their performance strategically and financially by integrating learning and transformational capabilities into research and development (R&D) activities based on the dynamic capabilities approach. To achieve this, the authors propose that transformational capabilities in R&D mediate the relationship between learning capabilities in R&D and competitive advantage.Design/methodology/approachUsing a purposive sampling technique and standardized questionnaires, data were collected from 118 R&D and senior managers. To analyze the data, multiple regression analysis, along with SPSS PROCESS macro (Model 4), was used.FindingsThe results support the theoretical assumption that there are direct and indirect positive and significant effects between learning capabilities in R&D and competitive advantage as mediated by transformational R&D capabilities.Originality/valueThis study explores R&D from a dynamic capabilities perspective and suggests that learning capabilities should come first to enhance businesses’ competitive advantage. Furthermore, transformational R&D capabilities can explain the relationship between learning capabilities in R&D and competitive advantage. The authors recommend that researchers should investigate the contributions of R&D to promote competitive advantage.

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