Abstract
Survival in today’s dynamic environment requires organizations to have superior performance compared to competitors. In order to achieve this superior performance, this study aimed to examine the effect of both strategic orientation and innovation on organizational performance. It also examined whether innovation acted as a mediator between strategic orientation and organizational performance. Data were gathered from the three telecommunication companies that exist in Jordan. The data were then analysed using Structural Equation Modelling (SEM) and the results revealed that strategic orientation had a significant effect on innovation but not on organizational performance. It was also found that innovation significantly affected organizational performance. Finally, the results indicated that innovation mediated the path between strategic orientation and organizational performance, but only partially.
Highlights
Companies, institutions, and people in most sectors are facing intense competition which makes it extremely difficult for them to compete with their rivals and outperform them
The data were analysed using Structural Equation Modelling (SEM) and the results revealed that strategic orientation had a significant effect on innovation but not on organizational performance
This study was based on existing literature, previous studies have been undertaken in different settings and contexts to the one adopted in this study
Summary
Institutions, and people in most sectors are facing intense competition which makes it extremely difficult for them to compete with their rivals and outperform them. In order to perform better than rivals, firms should gain competitive advantage [1] [2] [3]. Different techniques can be used to achieve such competitive advantage and superior performance [4] [5] [6]. Organizations strive to improve performance by developing and implementing effective business strategies that exploit opportunities in the marketplace while capitalizing on available resources and capabili-. Even though the literature has emphasized the benefits associated with adopting a market orientation, it has been reported that firms need to pursue complementary strategic orientations since market orientation lone may not be comprehensive enough for achieving a competitive advantage [10]
Sign-in/Register to view highlights & summary 
Published Version (
Free)
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call