Abstract
This paper develops a conceptual framework and discusses the interrelationships among innovative culture, social networks, environmental characteristic, innovation strategy, and technological capability. Based on resource-based theory, this research employs the innovative culture, social networks and environmental characteristic resources to examine their influences on technological capability. The role of innovation strategy is discussed as a mediator, and the Manufacturing Industry in Malaysia is examined. All of the findings completely or partially support our research hypotheses. We conclude with a discussion of the managerial implications of our findings and directions for future research.
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