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Pro-innovation culture, ambidexterity and new product development performance: Polynomial regression and response surface analysis

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  • Lee, Kyootai
  • Woo, Han-Gyun
  • Joshi, Kailash

Abstract

This study examines the intervening role of organizational ambidexterity in the relationship between pro-innovation culture and new product development (NPD) performance. The results indicate that organizational ambidexterity positively mediates the relationship between pro-innovation culture and NPD performance. The results show that when both exploration and exploitation are increased simultaneously, after an initial decline, NPD performance shows a rising trend. NPD performance tends to decline generally when there is an imbalance between the two though the plateau is at a point where exploitation is slightly higher than exploration. Additionally, pro-innovation culture can increase the gap between exploration and exploitation for exploration-oriented firms, which can lower their NPD performance. Overall, this study contributes to a deeper understanding of the underlying mechanisms that explain why firms with pro-innovation culture have higher NPD performance. Further, it enhances our understanding of the role of pro-innovation culture as an organizational context for building organizational ambidexterity, and provides new insights that can help reconcile the combined and balanced views of ambidexterity in enhancing NPD performance.

Suggested Citation

  • Lee, Kyootai & Woo, Han-Gyun & Joshi, Kailash, 2017. "Pro-innovation culture, ambidexterity and new product development performance: Polynomial regression and response surface analysis," European Management Journal, Elsevier, vol. 35(2), pages 249-260.
    • Handle: RePEc:eee:eurman:v:35:y:2017:i:2:p:249-260
    DOI: 10.1016/j.emj.2016.05.002
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    3. Lee, Kyootai & Kim, Youngkyun & Joshi, Kailash, 2017. "Organizational memory and new product development performance: Investigating the role of organizational ambidexterity," Technological Forecasting and Social Change, Elsevier, vol. 120(C), pages 117-129.
    4. Amit Kumar Gupta & Narain Gupta, 2019. "Innovation and Culture as a Dynamic Capability for Firm Performance: A Study from Emerging Markets," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 20(4), pages 323-336, December.
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    9. Guo, Jingjing & Zhou, Shasha & Chen, Jin & Chen, Qi, 2021. "How information technology capability and knowledge integration capability interact to affect business model design:A polynomial regression with response surface analysis," Technological Forecasting and Social Change, Elsevier, vol. 170(C).
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