IDEAS home Printed from https://ideas.repec.org/a/pal/palcom/v11y2024i1d10.1057_s41599-024-03588-z.html
   My bibliography  Save this article

Organizational slack, ambidextrous search and high-tech SMEs’ performance: do strategic orientations matter?

Author

Listed:
  • Qingwen Bo

    (Qingdao University)

  • Mengxiao Cao

    (Qingdao University)

  • Yan Wang

    (University of Colorado Boulder)

  • Yuhuan Xia

    (Shandong University)

  • Wei Liu

    (Qingdao University)

Abstract

Ambidextrous search behaviors that jointly looking for technological and market knowledge gain attention in the innovation management literature. This study treats the ambidextrous search behaviors as a technology-market search paradox and examines the effect of organizational slack on the paradox and further explore whether this paradox has synergistic effects on performance in high-tech small medium-sized enterprises (SMEs). Besides, by integrating the literature of ambidextrous search and strategic management, we seek to understand the roles of strategic orientations, including growth-oriented and profit-oriented, in SMEs’ technology-market search paradox. Based on panel data of 547 high-tech SMEs, we find that organizational slack promotes both technology and market search, and ambidextrous search separately enhance high-tech SMEs’ performance, while the interaction of technology search and market search is negatively related to performance. Further, a growth-oriented strategy positively moderates the link between organizational slack and ambidextrous search and a profit-oriented strategy reinforces the relationship between organizational slack and technology search. We further enrich search-related and strategic literature.

Suggested Citation

  • Qingwen Bo & Mengxiao Cao & Yan Wang & Yuhuan Xia & Wei Liu, 2024. "Organizational slack, ambidextrous search and high-tech SMEs’ performance: do strategic orientations matter?," Palgrave Communications, Palgrave Macmillan, vol. 11(1), pages 1-11, December.
  • Handle: RePEc:pal:palcom:v:11:y:2024:i:1:d:10.1057_s41599-024-03588-z
    DOI: 10.1057/s41599-024-03588-z
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1057/s41599-024-03588-z
    File Function: Abstract
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1057/s41599-024-03588-z?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Xiaonan Zhang & Honglei Li, 2023. "Reputation incentive model of open innovation of scientific and technological-based SMEs considering fairness preference," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-11, December.
    2. Jie Wu & Kathryn Rudie Harrigan & Siah Hwee Ang & Zefu Wu, 2019. "The impact of imitation strategy and R&D resources on incremental and radical innovation: evidence from Chinese manufacturing firms," The Journal of Technology Transfer, Springer, vol. 44(1), pages 210-230, February.
    3. Nilanjana Dutt & Will Mitchell, 2020. "Searching for knowledge in response to proximate and remote problem sources: Evidence from the U.S. renewable electricity industry," Strategic Management Journal, Wiley Blackwell, vol. 41(8), pages 1412-1449, August.
    4. Eni Gambeta & Balaji R. Koka & Robert E. Hoskisson, 2019. "Being too good for your own good: A stakeholder perspective on the differential effect of firm‐employee relationships on innovation search," Strategic Management Journal, Wiley Blackwell, vol. 40(1), pages 108-126, January.
    5. Lee, Eun Su & Liu, Wei & Yang, Jing Yu, 2023. "Neither developed nor emerging: Dual paths for outward FDI and home country innovation in emerged market MNCs," International Business Review, Elsevier, vol. 32(2).
    6. Balagopal Vissa & Henrich R. Greve & Wei-Ru Chen, 2010. "Business Group Affiliation and Firm Search Behavior in India: Responsiveness and Focus of Attention," Organization Science, INFORMS, vol. 21(3), pages 696-712, June.
    7. Aviad Pe'er & Ilan Vertinsky & Thomas Keil, 2016. "Growth and survival: The moderating effects of local agglomeration and local market structure," Strategic Management Journal, Wiley Blackwell, vol. 37(3), pages 541-564, March.
    8. Simms, Christopher & Frishammar, Johan, 2024. "Technology transfer challenges in asymmetric alliances between high-technology and low-technology firms," Research Policy, Elsevier, vol. 53(3).
    9. Chi‐Hyon Lee & Manuela N. Hoehn‐Weiss & Samina Karim, 2021. "Competing both ways: How combining Porter's low‐cost and focus strategies hurts firm performance," Strategic Management Journal, Wiley Blackwell, vol. 42(12), pages 2218-2244, December.
    10. William P. Wan & Daphne W. Yiu, 2009. "From crisis to opportunity: environmental jolt, corporate acquisitions, and firm performance," Strategic Management Journal, Wiley Blackwell, vol. 30(7), pages 791-801, July.
    11. Su, Zhongfeng & Peng, Jisheng & Shen, Hao & Xiao, Ting, 2013. "Technological Capability, Marketing Capability, and Firm Performance in Turbulent Conditions," Management and Organization Review, Cambridge University Press, pages 115-138.
    12. Su, Zhongfeng & Peng, Jisheng & Shen, Hao & Xiao, Ting, 2013. "Technological Capability, Marketing Capability, and Firm Performance in Turbulent Conditions," Management and Organization Review, Cambridge University Press, vol. 9(1), pages 115-137, March.
    13. Li, Xing & Hou, Keqiang, 2019. "R&D based knowledge capital and future firm growth: Evidence from China’s Growth Enterprise Market firms," Economic Modelling, Elsevier, vol. 83(C), pages 287-298.
    14. Zhongfeng Su (苏中锋) & Jisheng Peng (彭纪生) & Hao Shen (沈灏) & Ting Xiao (肖婷), 2013. "Technological Capability, Marketing Capability, and Firm Performance in Turbulent Conditions. 技术能力、市场能力与企业绩效:基于环境不确定性的研究," Management and Organization Review, The International Association for Chinese Management Research, vol. 9(1), pages 115-137, March.
    15. Ilídio Barreto & Charles Baden‐Fuller, 2006. "To Conform or To Perform? Mimetic Behaviour, Legitimacy‐Based Groups and Performance Consequences," Journal of Management Studies, Wiley Blackwell, vol. 43(7), pages 1559-1581, November.
    16. Kim, Jae-jin & Hemmert, Martin, 2016. "What drives the export performance of small and medium-sized subcontracting firms? A study of Korean manufacturers," International Business Review, Elsevier, vol. 25(2), pages 511-521.
    17. Wenhong Zhang & Yapu Zhao & Donghan Wang & Haifeng Wang & Jian Li, 2019. "Ambidextrous search and product innovation: moderating effects of resource and structural attributes," The Journal of Technology Transfer, Springer, vol. 44(4), pages 1007-1028, August.
    18. Tom Vanacker & Veroniek Collewaert & Shaker A. Zahra, 2017. "Slack resources, firm performance, and the institutional context: Evidence from privately held European firms," Strategic Management Journal, Wiley Blackwell, vol. 38(6), pages 1305-1326, June.
    19. Barrett, Gillian & Dooley, Lawrence & Bogue, Joe, 2021. "Open innovation within high-tech SMEs: A study of the entrepreneurial founder's influence on open innovation practices," Technovation, Elsevier, vol. 103(C).
    20. Todd A. Gormley & David A. Matsa, 2014. "Common Errors: How to (and Not to) Control for Unobserved Heterogeneity," The Review of Financial Studies, Society for Financial Studies, vol. 27(2), pages 617-661.
    21. Christina Matz Carnes & Kai Xu & David G. Sirmon & Reha Karadag, 2019. "How Competitive Action Mediates the Resource Slack–Performance Relationship: A Meta‐Analytic Approach," Journal of Management Studies, Wiley Blackwell, vol. 56(1), pages 57-90, January.
    22. Köhler, Christian & Sofka, Wolfgang & Grimpe, Christoph, 2012. "Selective search, sectoral patterns, and the impact on product innovation performance," Research Policy, Elsevier, vol. 41(8), pages 1344-1356.
    23. Wei Yu & Maria Minniti & Robert Nason, 2019. "Underperformance duration and innovative search: Evidence from the high‐tech manufacturing industry," Strategic Management Journal, Wiley Blackwell, vol. 40(5), pages 836-861, May.
    24. Andreea N. Kiss & Dirk Libaers & Pamela S. Barr & Tang Wang & Miles A. Zachary, 2020. "CEO cognitive flexibility, information search, and organizational ambidexterity," Strategic Management Journal, Wiley Blackwell, vol. 41(12), pages 2200-2233, December.
    Full references (including those not matched with items on IDEAS)

    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. Dong Wang & Daojun Sun & Xiaofeng Yu & Yihao Zhang, 2014. "The Impact of CEO Duality and Ownership on the Relationship Between Organisational Slack and Firm Performance in China," Systems Research and Behavioral Science, Wiley Blackwell, vol. 31(1), pages 94-101, January.
    2. Katarzyna Bratnicka & Monika Kulikowska-Pawlak, 2016. "Towards an Integrated Framework for Corporate Entrepreneurship (W kierunku zintegrowanej struktury nosnej przedsiebiorczego przedsiebiorstwa)," Problemy Zarzadzania, University of Warsaw, Faculty of Management, vol. 14(62), pages 24-35.
    3. Guo, Feng & Zou, Bo & Zhang, Xiaofei & Bo, Qingwen & Li, Kai, 2020. "Financial slack and firm performance of SMMEs in China: Moderating effects of government subsidies and market-supporting institutions," International Journal of Production Economics, Elsevier, vol. 223(C).
    4. Namal Mete Kaan & Tufan Cenk & Köksal Kemal & Mert İbrahim Sani, 2023. "The Effect of Market and Technological Turbulence on Innovation Performance in Nascent Enterprises: The Moderating Role of Entrepreneur’s Courage," Economics - The Open-Access, Open-Assessment Journal, De Gruyter, vol. 17(1), pages 1-19.
    5. Chege, Samwel Macharia & Wang, Daoping, 2020. "The influence of technology innovation on SME performance through environmental sustainability practices in Kenya," Technology in Society, Elsevier, vol. 60(C).
    6. Bo Yu & Shengbin Hao & David Ahlstrom & Steven Si & Dapeng Liang, 2014. "Entrepreneurial firms’ network competence, technological capability, and new product development performance," Asia Pacific Journal of Management, Springer, vol. 31(3), pages 687-704, September.
    7. Dejin Su & Qixia Du & Dongwon Sohn & Libo Xu, 2017. "Can High-Tech Ventures Benefit from Government Guanxi and Business Guanxi ? The Moderating Effects of Environmental Turbulence," Sustainability, MDPI, vol. 9(1), pages 1-17, January.
    8. Chege, Samwel Macharia & Wang, Daoping & Suntu, Shaldon Leparan & Bishoge, Obadia Kyetuza, 2019. "Influence of technology transfer on performance and sustainability of standard gauge railway in developing countries," Technology in Society, Elsevier, vol. 56(C), pages 79-92.
    9. Ayaz Ahmad & Salniza Md. Salleh & Selvan a/l Perumal, 2018. "Information Technology, Marketing Database and the Process of Integrated Marketing Communications (IMC): A Resource-Capability Nexus," Pakistan Journal of Humanities and Social Sciences, International Research Alliance for Sustainable Development (iRASD), vol. 6(4), pages :544-560, December.
    10. Aboobucker Ilmudeen, 2022. "Leveraging IT-enabled dynamic capabilities to shape business process agility and firm innovative capability: moderating role of turbulent environment," Review of Managerial Science, Springer, vol. 16(8), pages 2341-2379, November.
    11. GuoXiang Tang & Kwangtae Park & Anurag Agarwal & Feng Liu, 2020. "Impact of Innovation Culture, Organization Size and Technological Capability on the Performance of SMEs: The Case of China," Sustainability, MDPI, vol. 12(4), pages 1-14, February.
    12. Wang, Liwen & Jin, Jason Lu & Zhou, Kevin Zheng, 2023. "Technological capability strength/asymmetry and supply chain process innovation: The contingent roles of institutional environments," Research Policy, Elsevier, vol. 52(4).
    13. Riaqa Mubeen & Dongping Han & Jaffar Abbas & Iftikhar Hussain, 2020. "The Effects of Market Competition, Capital Structure, and CEO Duality on Firm Performance: A Mediation Analysis by Incorporating the GMM Model Technique," Sustainability, MDPI, vol. 12(8), pages 1-18, April.
    14. Liwen Wang & Jin Jason Lu & Kevin Zhou, 2023. "Technological Capability Strength/Asymmetry and Supply Chain Process Innovation: The Contingent Roles of Institutional Environments in China," Post-Print hal-03954124, HAL.
    15. Woo, Linda & Mun, Sung Gyun & Seo, Kwanglim, 2024. "Building resilience to crisis through slack resources: A longitudinal analysis of US hotels," Annals of Tourism Research, Elsevier, vol. 106(C).
    16. Syeda Humayra Abedin & Humaira Haque & Tanjina Shahjahan & Md Nurul Kabir, 2022. "Institutional Ownership and Firm Performance: Evidence from an Emerging Economy," JRFM, MDPI, vol. 15(12), pages 1-17, November.
    17. Mirza Waseem Abbas* & Dr. Masood ul Hassan, 2018. "The Moderation Effect of External Environment Turbulence in Tourism Sector: Comparative Analysis of Pakistan & Thailand," The Journal of Social Sciences Research, Academic Research Publishing Group, pages 672-684:2.
    18. Melek Akın Ateş & Robert Suurmond & Davide Luzzini & Daniel Krause, 2022. "Order from chaos: A meta‐analysis of supply chain complexity and firm performance," Journal of Supply Chain Management, Institute for Supply Management, vol. 58(1), pages 3-30, January.
    19. María Agustí & Francisco Velasco & José L. Galán, 2021. "The dynamic slack‐performance relationship from an efficiency perspective," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 42(4), pages 850-862, June.
    20. Zhongfeng Su & Jie Chen & Hai Guo & Donghan Wang, 2022. "Top management team’s participative decision-making, heterogeneity, and management innovation: an information processing perspective," Asia Pacific Journal of Management, Springer, vol. 39(1), pages 149-171, March.

    More about this item

    Statistics

    Access and download statistics

    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:pal:palcom:v:11:y:2024:i:1:d:10.1057_s41599-024-03588-z. 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: https://www.nature.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.