Abstract
Today's business environment is filled with fierce competition, rapid technological changes and market uncertainty. For survival, organizations have no option but to embrace innovation both in their processes and product. Performance of innovative capabilities depends on the speed and quality of new product and processes. Contingent resource-based view is used in this study to understand the effect of innovative capabilities on various functional performances. Data was gathered from 115 senior-level managers working in engineering or marketing department of manufacturing firms. PLS-SEM is used for outer and inner measurement model validation. Results of this study reveal that process innovation and product innovation complements each other for improving innovation speed and quality. Moreover, in the case innovative products, manufacturing performance is a key to enhance marketing performance and firm competitive capabilities. This research provides various new insights for the research and development concerns and marketer for developing a successful case of introducing a new product in the market.
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