||Technological diversification, ambidextrous innovation and
firm performance: Considering the organizational moderators
||Department of Industrial and Information Management
Although the issue of ambidextrous innovation is receiving increasing attention, its antecedents, moderators, and consequences remain largely unexplored. The goals of this study are therefore not only to investigate the performance effects of such innovation, but also to identify the possible antecedents and moderators. This study used a sample of 1,595 firm-year observations for manufacturing firms in the S&P 500, spanning the period 2001-2013, to test the proposed hypotheses. The results show that a higher level of ambidextrous innovation leads to better performance. A firm with a diversified technological portfolio is thus likely to achieve higher degrees of ambidextrous innovation as well as see better firm performance. The empirical findings also reveal that ambidextrous innovation plays a mediating role in the relationship between technological portfolio and performance. Furthermore, absorptive capacity is found to strengthen the relationship between technological diversification and ambidextrous innovation, while the moderating effect of financial slack on the relationship between technological diversification and ambidextrous innovation is not found.
List of Tables VI
List of Figure VII
1. Introduction 1
1.1. Research Background and Motivations 1
1.2. Research Objectives 5
1.3. The Structure of This Study 7
2. Literature Review 8
2.1. Ambidextrous Innovation 8
2.2. Technological Diversification 10
2.3. Absorptive Capacity 13
2.4. Financial Slack 15
3. Hypotheses Development 18
3.1. The Effect of Ambidextrous Innovation on Performance 18
3.2. The Effect of Technological Diversification on Ambidextrous Innovation 19
3.3. The Mediating Effect of Ambidextrous Innovation 22
3.4. The contingency Perspective 24
3.4.1. The Moderating Effect of Absorptive Capacity 24
3.4.2. The Moderating Effect of Financial Slack 26
4. Data Collection and Measures 29
4.1. Data 29
4.2. Dependent variable 30
4.3. Exploratory variables 30
4.3.1. Technological diversification 30
4.3.2. Ambidextrous Innovation 31
4.3.3. Absorptive capacity 32
4.3.4. Financial Slack 33
4.4. Control variables 33
4.5. Analytical method 36
5. Results 37
5.1. Descriptive Statistics and Correlations 37
5.2. Regression Results 38
5.3. Robustness Tests 44
6. Discussion and Conclusion 46
6.1. Theoretical Implication 47
6.2. Managerial Implication 50
6.3. Research Limitations 51
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