Performance effects of entrepreneurial orientation, strategic intent and absorptive capacity within coopetitive relationships

Abstract

PurposeWhile the significance of organizational resources and capabilities is widely discussed, little is known about their interrelationships as well as benefits for firms that are involved in coopetitive relationships. Against this backdrop, the purpose of this paper is to investigate the performance effects of entrepreneurial orientation, strategic intent and potential absorptive capacity as well as their complementarity effects on operational and innovation performance for firms involved in horizontal coopetitive relationships.Design/methodology/approachDrawing upon the resource-based-view, dynamic capabilities and the relational view theories, this study forwards numerous hypotheses between the constructs of interest. The proposed hypotheses are tested utilizing survey data collected from 313 horizontal coopetitive relationships.FindingsThe results clearly suggest that entrepreneurial orientation, strategic intent and potential absorptive capacity could positively impact innovation and operational performance outcomes independently. In addition, the authors also find strategic intent and potential absorptive capacity to have differential moderating effects on the relationships between entrepreneurial orientation and the performance outcomes.Originality/valueThe findings suggest that although strategic intent and potential absorptive capacity could lead to performance benefits independently, when it comes to coopetitive relationships, the use of both these capabilities may not substantially increase the positive impact of entrepreneurial orientation on performance outcomes. Specifically, given that these capabilities could intensify competitiveness as well as hostility between partners, they seem to affect the firm's performance differently.