Abstract
The purpose of this study was to investigate the moderating effect of corporate technology configuration capability on the relationship between strategic flexibility and organizational performance throughout the different stages of the technological life cycle. By empirically examining 439 Chinese high-tech organizations, we found that technological configuration capability enhances the effect of strategic flexibility on organizational performance in a complex dynamic environment. However, different impacts were observed on the different stages of the technological life cycle. In addition, we explored the strategic flexibility during the different stages of the technological life cycle based on our empirical study.
Highlights
China’s rapid economic development is undergoing a transformation from “paying attention to quantity” to “improving quality” by developing high-tech companies and promoting innovation-driven development strategies [1]
We examined the effects of strategic flexibility on organizational performance
We found that technological configuration capability enhances the positive relationship between strategic flexibility and an organization’s performance, but the mediating effect is different under different external environments based on the dynamic analytic framework of the technological life cycle
Summary
China’s rapid economic development is undergoing a transformation from “paying attention to quantity” to “improving quality” by developing high-tech companies and promoting innovation-driven development strategies [1]. Maintaining a long-term sustainable competitive advantage is difficult for high-tech firms due to an inability to adapt to high-velocity environments [2,3] As one type of dynamic skill, strategic flexibility enables firms to achieve a competitive advantage in turbulent markets [4]. Strategic flexibility is one type of complementary organizational capability that can help the firm to fully exploit its key resources when used in combination [5,6]. To meet the requirements of fast knowledge diffusion given market demands, high-tech firms must develop dynamic capabilities that enable them to reconfigure their resources and adapt to changing environments [7]. Another study explored the effect of strategic flexibility, especially in relation to organizational performance [14,15,16,17,18,19]
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