IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v14y2022i11p6501-d824548.html
   My bibliography  Save this article

Organizational Innovativeness in the Circular Economy: The Interplay of Innovation Networks, Frugal Innovation, and Organizational Readiness

Author

Listed:
  • Zahid Yousaf

    (Higher Education Department, Government College of Management Sciences, Mansehra 23100, Pakistan)

  • Daniela Mihai

    (Department of Management and Business Administration, University of Pitesti, 110040 Pitesti, Romania)

  • Umair Tanveer

    (School of Management, University of Bristol, Bristol BS8 1PY, UK)

  • Mădălina Brutu

    (Department of Management and Business Administration, University of Pitesti, 110040 Pitesti, Romania)

  • Smaranda Toma

    (Department of Management and Business Administration, Faculty of Economics and Law, University of Pitesti, 110040 Pitesti, Romania)

  • Sheikh Muhammad Zahid

    (Business School Southlands College, University of Roehampton, London SW15 5SL, UK)

Abstract

Due to technological advancements, all types of businesses confront new opportunities. In the contemporary era of technology, innovation performs a key role in successful commercial landscape operations. Therefore, this research was conducted to examine the effect of the innovation network (IN) on organizational innovativeness (OI). Moreover, the mediating effects of frugal innovation (FI) and the moderating role of organizational readiness (OR) have also been examined. Data collection through a cross-sectional method was conducted for this study from SMEs. Some 442 managers and owners provided correct responses, which were used for further analysis. SEM was used for testing the hypotheses of the current study. The results showed that the innovation network positively affects organizational innovativeness. Furthermore, the outcomes also validated that frugal innovation plays a mediating role between the innovation network and the organizational innovativeness link. The SMEs working in the circular economy are mainly dependent on their innovative activities/actions. In the current dynamic scenario, the survival of SMEs is linked to continuous organizational innovativeness in their products/services.

Suggested Citation

  • Zahid Yousaf & Daniela Mihai & Umair Tanveer & Mădălina Brutu & Smaranda Toma & Sheikh Muhammad Zahid, 2022. "Organizational Innovativeness in the Circular Economy: The Interplay of Innovation Networks, Frugal Innovation, and Organizational Readiness," Sustainability, MDPI, vol. 14(11), pages 1-13, May.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:11:p:6501-:d:824548
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/14/11/6501/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/14/11/6501/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Claiborne, Nancy & Auerbach, Charles & Lawrence, Catherine & Schudrich, Wendy Zeitlin, 2013. "Organizational change: The role of climate and job satisfaction in child welfare workers' perception of readiness for change," Children and Youth Services Review, Elsevier, vol. 35(12), pages 2013-2019.
    2. Tiwari, Rajnish & Herstatt, Cornelius, 2012. "Frugal Innovation: A Global Networks’ Perspective," Die Unternehmung - Swiss Journal of Business Research and Practice, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 66(3), pages 245-274.
    3. Benn Lawson & Danny Samson, 2001. "Developing Innovation Capability In Organisations: A Dynamic Capabilities Approach," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 5(03), pages 377-400.
    4. Mohamed Haffar & Rasim Ozcan & Magdalena Radulescu & Nicoleta Isac & Abdelmohsen A. Nassani, 2021. "Hegemony of Network Capabilities, Frugal Innovation and Innovation Strategies: The Innovation Performance Perspective," Sustainability, MDPI, vol. 14(1), pages 1-12, December.
    5. Subramanian, A. & Nilakanta, S., 1996. "Organizational innovativeness: Exploring the relationship between organizational determinants of innovation, types of innovations, and measures of organizational performance," Omega, Elsevier, vol. 24(6), pages 631-647, December.
    6. Mariangela Piazza & Erica Mazzola & Lorenzo Abbate & Giovanni Perrone, 2019. "Network position and innovation capability in the regional innovation network," European Planning Studies, Taylor & Francis Journals, vol. 27(9), pages 1857-1878, September.
    7. Xie, Xuemei & Fang, Liangxiu & Zeng, Saixing, 2016. "Collaborative innovation network and knowledge transfer performance: A fsQCA approach," Journal of Business Research, Elsevier, vol. 69(11), pages 5210-5215.
    8. Denis Harrisson & Murielle Laberge, 2002. "Innovation, Identities and Resistance: The Social Construction of An Innovation Network," Journal of Management Studies, Wiley Blackwell, vol. 39(4), pages 497-521, June.
    9. Adriana Dima & Alexandru-Mihai Bugheanu & Ruxandra Dinulescu & Ana-Madalina Potcovaru & Constanta Alice Stefanescu & Irinel Marin, 2022. "Exploring the Research Regarding Frugal Innovation and Business Sustainability through Bibliometric Analysis," Sustainability, MDPI, vol. 14(3), pages 1-36, January.
    10. Domenech, Teresa & Bahn-Walkowiak, Bettina, 2019. "Transition Towards a Resource Efficient Circular Economy in Europe: Policy Lessons From the EU and the Member States," Ecological Economics, Elsevier, vol. 155(C), pages 7-19.
    11. Abdelmohsen A. Nassani & Crenguta Sinisi & Daniela Mihai & Loredana Paunescu & Zahid Yousaf & Mohamed Haffar, 2022. "Towards the Achievement of Frugal Innovation: Exploring Major Antecedents among SMEs," Sustainability, MDPI, vol. 14(7), pages 1-12, March.
    12. Vinit Parida & Ossi Pesämaa & Joakim Wincent & Mats Westerberg, 2017. "Network capability, innovativeness, and performance: a multidimensional extension for entrepreneurship," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 29(1-2), pages 94-115, January.
    13. Carlie D. Trott & Andrea E. Weinberg & Laura B. Sample McMeeking, 2018. "Prefiguring Sustainability through Participatory Action Research Experiences for Undergraduates: Reflections and Recommendations for Student Development," Sustainability, MDPI, vol. 10(9), pages 1-21, September.
    14. Johannes Landsperger & Patrick Spieth & Sven Heidenreich, 2012. "How Network Managers Contribute To Innovation Network Performance," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 16(06), pages 1-21.
    15. Roger Th.A.J. Leenders & Jan Kratzer & Jo M.L. Van Engelen, 2007. "Innovation team networks: the centrality of innovativeness and efficiency," International Journal of Networking and Virtual Organisations, Inderscience Enterprises Ltd, vol. 4(4), pages 459-478.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Henrike Holwerda & Willem Haanstra & Jan Braaksma, 2024. "Operationalizing the Circular Economy—A Longitudinal Study on Sustained Circular Action," Sustainability, MDPI, vol. 16(14), pages 1-15, July.
    2. Maria Csutora & Gabor Harangozo & Cecilia Szigeti, 2022. "Factors behind the Consumer Acceptance of Sustainable Business Models in Pandemic Times," Sustainability, MDPI, vol. 14(15), pages 1-18, August.
    3. Al-Omoush, Khaled Saleh & Garcia-Monleon, Fernando & Mas Iglesias, José Manuel, 2024. "Exploring the interaction between big data analytics, frugal innovation, and competitive agility: The mediating role of organizational learning," Technological Forecasting and Social Change, Elsevier, vol. 200(C).
    4. Rosana Fuentes-Fernández & Eduardo Sánchez-García & Javier Martínez-Falcó & Bartolomé Marco-Lajara, 2024. "Uncovering external factors that influence the acquisition of knowledge for innovative purposes," Operational Research, Springer, vol. 24(3), pages 1-28, September.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Yang, Changhui & Zhang, Qiang & Ding, Shuai, 2015. "An evaluation method for innovation capability based on uncertain linguistic variables," Applied Mathematics and Computation, Elsevier, vol. 256(C), pages 160-174.
    2. Abdelmohsen A. Nassani & Crenguta Sinisi & Loredana Paunescu & Zahid Yousaf & Mohamed Haffar & Ahmad Kabbani, 2022. "Nexus of Innovation Network, Digital Innovation and Frugal Innovation towards Innovation Performance: Investigation of Energy Firms," Sustainability, MDPI, vol. 14(7), pages 1-11, April.
    3. Hurmelinna-Laukkanen, Pia & Möller, Kristian & Nätti, Satu, 2022. "Orchestrating innovation networks: Alignment and orchestration profile approach," Journal of Business Research, Elsevier, vol. 140(C), pages 170-188.
    4. Omrane, Amina, 2022. "The main determinants and effects of product innovation: An exploratory study on the pastry companies of the region of Sfax (in Tunisia)," Technological Forecasting and Social Change, Elsevier, vol. 185(C).
    5. Atiyeh Safardoust & Soroush Ghazinoori & Manouchehr Manteghi & Mohammad Naghizadeh & Jahanyar Bamdad Soofi, 2024. "Network Heterogeneity and Firm Performance: the Role of Network Capability," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(2), pages 8020-8052, June.
    6. Susanne Hügel & Markus Kreutzer & Nico B. Rottke, 2019. "Firm Innovativeness In Service Industries: A Construct Validation In The External Environment And Industry Structure Contexts," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 23(06), pages 1-57, August.
    7. Benjamin Weber & Sven Heidenreich, 2016. "Improving Innovation Capabilities By Cooperation: Examining Effects Of Core Network Management Functions And Relational Mechanisms In The Industrial Goods Sector," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(07), pages 1-29, October.
    8. Marchiori, Danilo Magno & Rodrigues, Ricardo Gouveia & Popadiuk, Silvio & Mainardes, Emerson Wagner, 2022. "The relationship between human capital, information technology capability, innovativeness and organizational performance: An integrated approach," Technological Forecasting and Social Change, Elsevier, vol. 177(C).
    9. Zahid Yousaf & Mirela Panait & Umair Tanveer & Alina Cretu & Andrei Hrebenciuc & Sheikh Muhammad Zahid, 2022. "Value Creation through Frugal Innovation, Innovation Capability and Knowledge Sharing in a Circular Economy," Sustainability, MDPI, vol. 14(14), pages 1-14, July.
    10. Mary Beth Rousseau & Blake D. Mathias & Laura T. Madden & T. Russell Crook, 2016. "Innovation, Firm Performance, And Appropriation: A Meta-Analysis," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(03), pages 1-29, April.
    11. Qingzhi Huan & Yiwen Chen & Xincong Huan, 2022. "A Frugal Eco-Innovation Policy? Ecological Poverty Alleviation in Contemporary China from a Perspective of Eco-Civilization Progress," Sustainability, MDPI, vol. 14(8), pages 1-16, April.
    12. Danilo Magno Marchiori & Silvio Popadiuk & Emerson Wagner Mainardes & Ricardo Gouveia Rodrigues, 2021. "Innovativeness: a bibliometric vision of the conceptual and intellectual structures and the past and future research directions," Scientometrics, Springer;Akadémiai Kiadó, vol. 126(1), pages 55-92, January.
    13. Qin, Weiwei, 2024. "How to unleash frugal innovation through internet of things and artificial intelligence: Moderating role of entrepreneurial knowledge and future challenges," Technological Forecasting and Social Change, Elsevier, vol. 202(C).
    14. Mahmoud M. Migdadi & Mohammed K. Abu Zaid & Mohammed Yousif & Ra’d Almestarihi & Khalil Al-Hyari, 2017. "An Empirical Examination of Knowledge Management Processes and Market Orientation, Innovation Capability, and Organisational Performance: Insights from Jordan," Journal of Information & Knowledge Management (JIKM), World Scientific Publishing Co. Pte. Ltd., vol. 16(01), pages 1-32, March.
    15. Adrian MICU & Marius GERU & Angela-Eliza MICU, 2017. "Developing Customer Trust in E-Commerce Using Inbound Marketing Strategies," Proceedings RCE 2017, Editura Lumen, vol. 0, pages 522-531, November.
    16. Najda Hayajneh & Taghrid Suifan & Bader Yousef Obeidat & Mohammd Abuhashesh & Raed Kareem Kanaan, 2020. "The relationship between organizational changes and job satisfaction in the Jordanian telecommunication industry," Journal of Social Sciences (COES&RJ-JSS), , vol. 9(1), pages 1-20, January.
    17. Ayamga, Matthew & Annosi, Maria Carmela & Kassahun, Ayalew & Dolfsma, Wilfred & Tekinerdogan, Bedir, 2024. "Adaptive organizational responses to varied types of failures: Empirical insights from technology providers in Ghana," Technovation, Elsevier, vol. 129(C).
    18. Bruno Michel Roman Pais Seles & Janaina Mascarenhas & Ana Beatriz Lopes de Sousa Jabbour & Adriana Hoffman Trevisan, 2022. "Smoothing the circular economy transition: The role of resources and capabilities enablers," Business Strategy and the Environment, Wiley Blackwell, vol. 31(4), pages 1814-1837, May.
    19. Lawrence, Catherine & Claiborne, Nancy & Zeitlin, Wendy & Auerbach, Charles, 2016. "Finish what you start: A study of Design Team change initiatives' impact on agency climate," Children and Youth Services Review, Elsevier, vol. 63(C), pages 40-46.
    20. Sikandar Ali Qalati & Dragana Ostic & Gu Shuibin & Fan Mingyue, 2022. "A mediated–moderated model for social media adoption and small and medium‐sized enterprise performance in emerging countries," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 43(3), pages 846-861, April.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:14:y:2022:i:11:p:6501-:d:824548. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.