The effect of internal dynamic capabilities on export performance: the mediating role of innovation ambidexterity and strategic planning effectiveness
Dynamic capabilities are the main driving forces of business growth and firm performance, especially in an uncertain business environment. Firms that wish to expand their operations to worldwide markets must upgrade their skills to accommodate foreign market conditions. The theory of dynamic capabil...
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| Format: | Thesis |
| Language: | English English |
| Published: |
2023
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| Subjects: | |
| Online Access: | https://etd.uum.edu.my/11068/1/deposit%20permission.pdf https://etd.uum.edu.my/11068/2/s901710_01.pdf https://etd.uum.edu.my/11068/ |
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| Summary: | Dynamic capabilities are the main driving forces of business growth and firm performance, especially in an uncertain business environment. Firms that wish to expand their operations to worldwide markets must upgrade their skills to accommodate foreign market conditions. The theory of dynamic capabilities argues that reconfiguring and upgrading firms’ dynamic capabilities can sustain international business performance. Drawing upon dynamic capability and internationalization theories, this study aims to study the effect of internal dynamic capabilities (technological capabilities, marketing capabilities, absorptive capacity, and customer relationship management capabilities) on the export performance (EP) of Algerian manufacturers. In addition, the study assessed the mediator effect of innovation ambidexterity and strategic planning effectiveness. Using a cross-sectional survey with self-administered and online questionnaire approaches, data was collected from the managers of exporting SMEs in Algeria's manufacturing sector. For the purpose of testing the hypotheses, a total of 316 questionnaires were distributed and 248 returned questionnaires were considered as valid, with 78,48 percent valid response rate was obtained. The data were analyzed using SPSS and PLS-SEM using Smart-PLS 3.0, which was done to evaluate the study's hypotheses. According to the study findings, (e.g., technological, marketing, innovation ambidexterity, and strategic planning effectiveness) had a positive and significant impact on export performance. While absorptive capacity and customer relationship management recorded an insignificant impact on export performance. The study also found that innovation ambidexterity and strategic planning effectiveness were played a critical role as a mediators on internal dynamic capabilities and export performance link. The study added to the body of knowledge about dynamic capabilities by asserting the need for international dynamic capabilities to be levelled up in order to fit internationalization and join foreign ventures. The study, in addition, addressed several managerial and theoretical implications. |
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