Innovation Capability Research Articles

An investigation into the innovation-economic growth nexus in Mauritius

This paper extends the existing strand of research, delving into the link between innovation and economic growth for the small island developing state of Mauritius. The innovation-growth relationship is analyzed within a multivariate endogenous growth model, spanning the period 1970 to 2019 and to account for issues of dynamism, endogeneity and omitted variables bias, a vector error correction model is employed. Our results show that, in the long-run, the economic growth elasticity of research and development (R&D) expenditure is 0.02 and a bi-directional causality between R&D expenditure and economic growth is confirmed. Although this research could not confirm a short-run elasticity from R&D expenditure to economic growth, reverse causality from growth in GDP towards growth in R&D expenditure is validated. The policy implications of our findings are multi-fold. Firstly, R&D expenditure should be increased, but increasing expenditure per se should not be a sine quanone to improve the contribution of innovation to economic growth. R&D funders should ensure that proportionately more economic growth occurs with the protracted increased investment through enhanced innovation capability.

How the Digital Intelligence Economy Can Promote Regional High-Quality Development Under the Influence of Economic Policy Uncertainty

Against the backdrop of a global economic slowdown, this study examines the impact of the digital intelligence economy on regional high-quality development across 30 Chinese provinces from 2008 to 2022, considering the moderating role of economic policy uncertainty. Using the entropy method to construct composite indicators for the digital intelligence economy and high-quality development, this study applies benchmark regression, mediation analysis, moderation analysis, spatial Durbin models and threshold models. The results show that the digital intelligence economy significantly promotes regional high-quality development through increased innovation investment, enhanced innovation capabilities and entrepreneurship. However, this impact is non-linear: while it initially hinders high-quality development in less developed regions, it becomes beneficial as the economy matures. Economic policy uncertainty negatively moderates this relationship, especially in the more developed eastern regions. Additionally, the digital intelligence economy exhibits positive spatial spillover effects, driving high-quality development in the neighboring areas. The study concludes that policymakers should prioritize digital infrastructure, stabilize economic policies to reduce uncertainty, and promote interregional collaboration to leverage spillover benefits, and tailored strategies are essential to bridge development gaps. This study fills the gap in understanding the interactive effects of the digital intelligence economy and economic policy uncertainty on regional development.

Effectiveness of Innovative Capability Cultivation in New Business Education Undergraduate Mentorship: A Jiangsu University Case Study

This study explores the effectiveness of the undergraduate mentorship system in New Business Education (NBE) by analyzing a Jiangsu-based university case study. Empirical findings confirm its role in enhancing student engagement in research and academic competitions, fostering innovation capacity. However, challenges such as inadequate research guidance, low participation rates, and suboptimal outputs persist. To address these issues, this paper proposes strategic improvements, including refining the selection mechanism, enhancing performance evaluation, and optimizing talent development frameworks. These insights contribute to advancing mentorship efficacy in cultivating interdisciplinary business professionals.

Smart MXene-based microrobots for targeted drug delivery and synergistic therapies.

MXenes and their composites exhibit remarkable electrical conductivity, mechanical flexibility, and biocompatibility, making them ideal candidates for microrobot fabrication. Their tunable surface chemistry allows for easy functionalization, which enhances their interaction with biological environments, thereby facilitating targeted therapies. Such smart microrobots can be engineered to navigate through complex biological systems with precision via the integration of responsive elements, such as stimuli-sensitive polymers or magnetic components. MXene-based microrobots are able to actively seek out specific tissues or cells. This capability is crucial for applications in cancer treatment, where localized drug delivery minimizes side effects and enhances therapeutic efficacy. The primary advantage of MXene-based microrobots lies in their ability to deliver therapeutic agents directly to diseased cells. Utilizing ligand-receptor interactions, these microrobots can bind to target cells and release their payload in a controlled manner. This targeted delivery system not only improves the effectiveness of the drug but also reduces the required dosage, thus mitigating potential side effects. Moreover, smart MXene-based microrobots can facilitate synergistic therapies by co-delivering multiple therapeutic agents. For instance, combining chemotherapy drugs with immunotherapeutic agents could enhance treatment outcomes in cancer therapy. The ability to simultaneously deliver different types of drugs allows for more comprehensive treatment strategies that can tackle tumor heterogeneity. Significant advancements are anticipated in synergistic therapies, particularly in chemo-photothermal, chemodynamic, and photothermal/photodynamic therapies. These strategies leverage multiple therapeutic modalities to enhance cancer treatment outcomes. Despite their outstanding potential, several challenges remain in the development of MXene-based microrobots namely matters pertaining to scalability, stability in biological environments, and associated regulatory hurdles which ought to be addressed. Future research should focus on optimizing the design and functionality of these microrobots, including enhancing their navigation capabilities and ensuring their safety and effectiveness in vivo. By presenting the innovative capabilities of MXene-based microrobots, this perspective aims to inspire additional explorations in the field of advanced targeted drug delivery systems and synergistic therapies, ultimately contributing to the future of personalized medicine and oncology.

Research on the Impact of Digital Infrastructure Construction on Urban Innovation Quality

Digital infrastructure construction is advancing rapidly around the world and has become an important force in promoting urban innovation and economic development. Digital infrastructure includes technologies such as 5G networks, data centers, the Internet of Things, and cloud computing, which provide cities with efficient information transmission and processing capabilities. Modern cities are gradually relying on these technologies to enhance their innovation capabilities and competitiveness. Digital infrastructure is not only a technical support for urban development, but also a key factor in improving the quality of urban innovation. my country is in a stage of rapid urbanization and digitalization. With the in-depth advancement of new infrastructure construction, many cities have made significant progress in the field of digital infrastructure. However, there are still large differences in the level of digital infrastructure construction and application among different cities, which directly affects the innovation quality and overall development of cities. Cities such as Shenzhen and Hangzhou have shown strong innovation capabilities and economic vitality through the vigorous development of digital infrastructure, becoming models of the digital economy. Studying the impact of digital infrastructure construction on urban innovation quality is not only of great theoretical significance, but also of practical application value. From a theoretical perspective, exploring how digital infrastructure affects urban innovation quality through information circulation, knowledge sharing, enterprise R&D support, and optimization of the innovation ecosystem will help enrich and deepen the theoretical system in the field of digital economy and innovation management. From a practical perspective, the research results can provide a scientific basis for policymakers, and at the same time provide practical guidance for urban planners and managers, promoting the sustainable development of cities and improving their innovation capabilities.

Generative AI capabilities for green supply chain management improvement: extended dynamic capabilities view

ABSTRACT This study aims to develop and evaluate generative artificial intelligence (AI) capabilities to enhance green supply chain management (GSCM) in the automotive industry, Indonesia. Prior studies have concentrated on constructing generative AI metrics; however, there is a lack of emphasis on developing the capabilities to address dynamic environmental challenges in GSCM. This study integrates dynamic capabilities view with organisational learning theory and employs the integrated fuzzy Delphi method and fuzzy synthetic evaluation-decision-making trial and evaluation laboratory approach to ascertain the valid attributes to facilitate GSCM improvement. The findings indicate that dynamic knowledge and innovative learning capabilities and reflexive control and measurement capabilities from the perspective of sensing capabilities, as well as co-evolution capabilities from the perspective of seising capabilities, are key capabilities that need to be prioritised to enhance GSCM. In practices, data gathering and analysis for predictive maintenance, and sales and operations strategy identification must be prioritised.

Research on the impact and action path of tax incentives on the green technology innovation capabilities of small and micro enterprises

enterprises in green technology innovation has become particularly important, as it is directly related to the environmentally friendly transformation and sustainable development of society. In this context, tax incentives, as a key tool for the government to promote enterprise technological innovation, play a vital role in motivating small and micro enterprises to invest in green technology research and development. This study deeply analyzes how tax incentives can stimulate green innovation activities of small and micro enterprises by reducing the financial burden of R&D and improving the expected return on investment. The article first outlines the role of small and micro enterprises in global environmental governance and the background of tax incentives. Then, by constructing a theoretical framework, it discusses in detail the direct and indirect effects of tax incentives on green technology innovation of small and micro enterprises. The direct effect is reflected in reducing R&D costs, enabling enterprises to invest more resources in the development of green technologies; while the indirect effect is reflected in improving the long-term investment environment of enterprises, promoting cooperation between enterprises and scientific research institutions, and enhancing the market orientation and application prospects of R&D. In addition, this paper also points out the challenges that may be encountered in the implementation of tax incentives, such as unclear policy objectives and imprecise implementation details, and puts forward corresponding optimization suggestions. Finally, it is emphasized that when designing and implementing tax preferential policies, more attention should be paid to the operability and effectiveness evaluation of the policies to ensure that they effectively promote green technology innovation of small and micro enterprises.

Entrepreneurial Orientation, Innovation Capabilities and the Performance of Culinary Tourism Centers: The Moderating Role of Social Media in East Surabaya

Aims: The aims of this research to determine the influence of entrepreneurial orientation on innovation ability and SWK performance through social media. The abstract provides a cursory overview of the research endeavor; however, it necessitates refinement in terms of clarity and structural organization. The research objectives should be explicitly articulated in a concise and succinct manner. Furthermore, the methodology section requires expansion to incorporate the primary statistical findings, thereby providing a more comprehensive understanding of the research design. Study Design: The total sample is 184 culinary tourism center traders who are still active. Analysis method using SEM. Place and Duration of Study: This research is quantitative. Sampling was taken using cluster proportional sampling. Methodology: Analysis method using SEM. The results of research on entrepreneurial orientation influence culinary tourism center's innovation ability, innovation capability influences SWK performance, innovation capability as a mediating variable for the influence of entrepreneurial orientation on SWK performance and social media as a moderating variable for the influence of entrepreneurial orientation on culinary tourism center performance in East Surabaya. Results: The results of research on entrepreneurial orientation influence culinary tourism center's innovation ability, innovation capability influences SWK performance, innovation capability as a mediating variable for the influence of entrepreneurial orientation on SWK performance and social media as a moderating variable for the influence of entrepreneurial orientation on culinary tourism center performance in East Surabaya. A concise conclusion summarizing the research findings, significance, and potential implications should be appended to the manuscript.

ENHANCING INNOVATION CAPABILITY THROUGH PROACTIVE AND RESPONSIVE COMPETITOR ORIENTATION: A DYNAMIC CAPABILITY THEORY PERSPECTIVE

BUMDesa has an important role as a driver of the village economy and community empowerment by utilizing local potential and wisdom. However, many BUMDesa still face challenges in adapting to market dynamics and creating relevant innovations. This study aims to examine the effect of proactive and responsive competitor orientations on the innovation capabilities of BUMDesa in Riau Province. Data were collected from 192 advanced BUMDesa through questionnaires distributed directly. Data analysis was conducted using SPSS to test the relationship between competitor orientation and innovation capabilities. The results show that proactive competitor orientation plays a major role in helping BUMDesa detect market opportunities early, while responsive competitor orientation supports the ability to adapt to market changes. Together, both have been shown to increase BUMDesa's innovation capabilities. This study provides practical benefits by encouraging BUMDesa managers to implement more adaptive strategies, utilize technology, and expand cooperation networks. From a policy perspective, these results serve as a basis for local governments to develop relevant training and support programs. Theoretically, this research also enriches the development of Dynamic Capability Theory in the context of community-based organizations, although it is still limited to the scope of the Riau Province area and a quantitative approach, so that it can be a reference for further research. Keywords: Dynamic capability theory, proactive competitor orientation, responsive competitor orientation, Innovative Capability

The Impact of Climate Risk Disclosure on Corporate Green Technology Innovation

Amid escalating global climate challenges, the interplay between corporate climate risk disclosure and green technological innovation has become a pivotal scholarly focus in sustainability research. This study empirically examines the impact of climate risk disclosure on corporate green technology innovation and its underlying mechanisms using data from China’s A-share listed companies spanning 2004 to 2022. Key findings reveal that climate risk information disclosure significantly enhances green innovation capabilities through dual pathways: elevating media attention and reducing agency costs. Specifically, media scrutiny exerts external pressure via reputational incentives and public oversight, driving firms to accelerate green technology deployment. Concurrently, reduced agency costs mitigate information asymmetry between shareholders and management, enabling optimized resource allocation for long-term innovation investments. Heterogeneity analysis indicates that this catalytic effect is more pronounced in larger firms and those facing lower financing constraints. The research theoretically and practically elucidates the dual mechanisms through which climate disclosure propels green innovation, providing empirical support for refining corporate sustainability reporting systems and recalibrating regulatory frameworks. Policy recommendations include adopting differentiated climate disclosure standards, strengthening media and investor oversight, and incentivizing green innovation through executive performance metrics to facilitate low-carbon economic transition.

Product innovation and firm performance: does the technology capacity of a firm matter?

Purpose Technological innovation and development have increasingly become crucial for the survival and growth of enterprises. Although the impact of innovation on performance and the relationship between technological development and performance have been investigated, the interrelationship between the three components has been neglected. The purpose of this paper is to investigate the moderating role of technological capability in product innovation and firm performance in the context of the Vietnamese economy. Design/methodology/approach By using the Generalized Method of Moments (GMM) regression and the xtpcse regression analysis method to address data errors in the time series model, this study uses panel data from 218 listed companies on the Vietnam stock market from 2015 to 2022. Findings The findings suggest that companies innovating their products can enhance firm performance. However, companies with high technological capability may have a negative impact on firm performance and moderate the impact of product innovation on firm performance. Specifically, technological capabilities weaken the effect of product innovation on firm performance. Further analysis by dividing the sample into two groups based on high and low Return on Assets reveals that the moderating variable TECHCAP holds similar significance. Research limitations/implications This study was conducted using data from companies listed on the Vietnam stock market, which may not be fully representative of all firms in the Vietnamese economy. The second limitation comes from differences in recording and disclosing financial information related to product innovation costs specified in Vietnamese Accounting Standards compared to other countries. This leads to some difficulties in collecting data, reporting results and making objective comparisons with studies around the world. Practical implications The findings of this research provide valuable insights for managers in formulating short-term and long-term business strategies. The results also serve as a reference for potential investors in making effective investment decisions. Originality/value This study contributes to the literature by highlighting the complex relationship between technological capability, product innovation and firm performance. It offers a novel understanding of how technological capabilities can moderate the benefits of product innovation, providing a nuanced perspective for both scholars and practitioners.

Exploring the Role of Open Innovation in Enhancing Organizational and Entrepreneurial Outcomes: A Bibliometric Study

This bibliometric study analyzes the impact of open innovation on organizational and entrepreneurial performance from 2012 to 2023, drawing on 44 Scopus-indexed documents. Employing VOSviewer and R's Bibliometrix software, we go beyond traditional publication counts to provide a detailed examination of research trends and patterns. The integration of Bradford’s Law and Lotka’s Law enhances our understanding of publication dynamics and author productivity within the field. Our findings indicate a substantial annual publication growth of 22.11%, reflecting increasing global interest in open innovation's role in improving business competitiveness. Contributions from diverse geographies, including China, Iran, Italy, and Jordan, highlight the widespread application of open innovation across different cultural and economic contexts. The study identifies key themes such as 'organizational performance' and 'collaboration networks,' demonstrating how open innovation can significantly enhance organisational outcomes. This research advances scientometric methods and provides policy recommendations to support innovative ecosystems, enhancing organizational growth and adaptability. It offers insights for future research into the causal impacts of open innovation and suggests policy measures to bolster organizational innovation capabilities.

The impact of artificial intelligence adoption on firms' innovation performance in the digital era: based on dynamic capabilities theory

Based on dynamic capability theory, this study investigates the mechanism through which artificial intelligence (AI) adoption affects firm Using panel data from 634 Chinese listed manufacturing firms during 2018-2023, we find that: (1) AI adoption has a significant positive effect on firm innovation performance; (2) organizational learning capability partially mediates the relationship between AI adoption and firm innovation performance. positive effect on firm innovation performance; (2) organizational learning capability partially mediates the relationship between AI adoption and innovation performance; (3) environmental dynamism positively moderates the relationship between AI adoption and organizational learning capability, such that the positive effect of AI adoption and organizational learning capability is not only on firm innovation performance, but also on firm innovation performance. capability, such that the positive effect of AI adoption on organizational learning capability becomes stronger when environmental dynamism is higher. This study not only enriches the application of dynamic capability theory in the context of digital transformation but also provides important implications for firms to implement AI. This study not only enriches the application of dynamic capability theory in the context of digital transformation but also provides important implications for firms to implement AI strategy and enhance innovation capability.

The impact of digital inclusive finance on enterprise digital technology innovation: empirical evidence from the Chinese manufacturing industry

Enterprise digital technology innovation plays a crucial role in China’s scientific and technological revolution as well as industrial transformation, with digital inclusive finance emerging as a significant catalyst for such innovation and providing robust support for the stable development of the real economy. This study innovatively employs the GLM3 large language model and the BERT model to identify digital technology patents. Based on data from 3313 Chinese A-share manufacturing listed companies from 2011 to 2022, this research investigates the influence pathways and mechanisms through which digital inclusive finance impacts enterprise digital technology innovation. The findings indicate that digital inclusive finance positively drives enterprise digital technological innovation. Expanding the coverage of digital financial services is key to effectively enhancing enterprises’ digital innovation capabilities. Digital inclusive finance significantly boosts enterprise digital technological innovation by alleviating financing constraints and increasing R&D investment. The financial background of executives moderates this relationship negatively, while the intensity of financial regulation exhibits an inverted U-shaped moderating effect on the relationship between digital inclusive finance and enterprise digital technological innovation. The incentive effect of digital inclusive finance on enterprise digital technology innovation is more pronounced in central and western regions and non-state-owned enterprises. This paper proposes a new incentive mechanism to enhance the digital technology innovation capability of manufacturing enterprises, suggesting that relevant departments should accelerate the transformation of the financial regulatory system, construct a targeted, timely, and penetrating regulatory technology system, and effectively guide digital inclusive finance to inject new momentum into the development of enterprise digital technology innovation while preventing and resolving systemic risks.

A study on the relationship between digital transformation elements, innovation capability and digital transformation performance of civil airports

Digital transformation is crucial for civil airports, driving changes in operational efficiency, innovation, and competitiveness. However, the process is complex, involving factors such as technology, management, culture, organization, and the external environment. Many airports face significant challenges, including technology misalignment, low return on investment, and employee resistance. This study examines the elements of digital transformation and its impact on airport performance, offering both theoretical and practical insights. Using a theoretical framework based on resource-based theory and organizational system theory, the study explores the relationships between digital transformation factors, innovation capability, and performance. Innovation capability is proposed as a mediating mechanism. Employing partial least squares structural equation modeling (PLS-SEM) to analyze survey data, the findings indicate that digital transformation elements positively influence both innovation capability and performance. Additionally, product and service innovation capabilities mediate the relationship between digital transformation elements and performance. The study concludes with practical recommendations to enhance airport digital transformation performance.

University Supervisors as Change Agents: The Role of Innovative Capabilities in Enhancing Institutional Performance

Supervisors innovative capabilities refer to their ability to generate adopt and implement new ideas, processes or solution that improves organizational outcomes. Supervisors’ performance encompasses their effectiveness in achieving organizational goals managing teams and maintaining operational efficiency. The current research aims 1) To measure the innovative capabilities of supervisors at the university level.2) To assess performance of supervisors at the university level. There are 12 publics and 6 private universities of Rawalpindi & Islamabad. The present investigation employed a quantitative research methodology. 358 supervisors from the social sciences departments of public and private institutions in Rawalpindi and Islamabad made up the study's population. For the sample selection, a total of 18 public and private universities in Rawalpindi and Islamabad were chosen. A 20% representative sample was used for the final investigation. 186 samples were chosen from a total of 358 students in the social sciences departments of both public and private universities in Rawalpindi and Islamabad using a basic random selection procedure. A self-made questionnaire was created in order to accomplish these goals, and it was distributed to supervisors in the social sciences departments of both public and private institutions in Rawalpindi and Islamabad. Descriptive analysis and Pearson correlation statistical techniques were employed in the processing and analysis of the data using SPSS (Statistical Package for Social Sciences). The study's findings revealed a moderate to significant positive association between supervisory performance and inventive capacities, with a correlation coefficient of 0.579. This implies that supervisors' performance rises in tandem with their capacity for innovation. This suggests that the association is reliable and that the correlation is statistically significant. Supervisors should thus concentrate on encouraging a creative culture, enhancing the inorporation of new technologies, encouraging ongoing professional growth, and utilizing data-driven decision-making. An important area of study in education is the connection between supervisors' performance and their capacity for innovation. Therefore, based on the data gathered, it was determined that the majority of respondents strongly agreed with the statement regarding inventive capabilities.

Navigating the digital terrain: assessing the impact of digital infrastructure on local tax enforcement

ABSTRACT This paper contributes to the existing literature by examining the impact of digital infrastructure on tax enforcement within local government contexts. We leverage the regional disparities resulting from the phased implementation of the ‘China Broadband Strategy’ (CBS) during 2014–2016 as an exogenous shock affecting local government tax enforcement (the degree to which local authorities collect legally mandated taxes from households and businesses). Utilizing panel data encompassing China’s 281 prefecture-level cities from 2004 to 2020 and employing a staggered Difference-in-Differences (DID), our empirical analysis reveals a notable improvement in local government tax enforcement within cities subject to the CBS intervention. Our study suggests that digital infrastructure may directly bolster the tax enforcement capacity of local governments through advancements in enforcement techniques and cost reduction mechanisms. Furthermore, we investigate the nuanced factors that may influence the efficacy of the CBS implementation, finding that cities with well-established IT sectors, flourishing cross-border e-commerce activities, robust innovation capabilities, and heightened levels of information consumption stand to benefit more substantially from the CBS initiative. Moreover, we observe the spillover effects of the policy implementation on neighbouring cities, which positively influence residents’ perceptions of local government tax performance.

Digital innovation and corporate digital information disclosure: ‘say more, do more’ or ‘say less, do more’?

ABSTRACT Digital innovation may have both promoting and inhibiting effects on corporate digital information disclosure. To examine the specific impact of digital innovation on corporate digital information disclosure, this study uses listed companies on the Shanghai and Shenzhen Stock Exchanges from 2007 to 2022 as samples. It is found that, driven by the motive to accommodate market demands and information disclosure pressure, digital innovation plays a promoting role in digital information disclosure. Furthermore, motives such as confidentiality, signalling theory, and agency theory fail to explain this promoting effect. When categorising digital innovation patents into different types, it is observed that invention patents and collaborative digital innovation promote corporate digital information disclosure. In conclusion, we provide practical guidelines for enhancing corporate digitalisation, strengthening digital innovation capabilities, and standardising corporate digital information disclosure from the perspectives of innovation and information disclosure, contributing to policy formulation in these areas.

Quality or Quantity? The Impact of Voluntary Environmental Regulation on Firm’s Green Technological Innovation: Evidence from Green Factory Certification in China

Adequately incentivizing firms to implement green technological innovation (GTI) is pivotal to achieving sustainable development. Green factory certification, a prominent example of voluntary environmental regulation, has garnered significant attention in both theoretical and policy concerns regarding its impact on green technological innovation. Leveraging green factory certification as a quasi-natural experiment, this paper utilizes a multi-timepoint difference-in-differences (DID) approach to systematically investigate its influence on firms’ green technological innovation. The findings reveal several important insights. (1) Green factory certification significantly enhances firms’ green technological innovation capabilities, facilitating substantial enhancements in both the quantity and quality of green technological innovation. (2) Mechanism analysis indicates that green factory certification promotes green innovation via three key channels—promoting the digitalization level, strengthening ESG practices, and facilitating financing constraints. (3) The green innovation incentive effects of green factory certification are particularly pronounced among firms in the eastern region, non-state-owned entities, and those exhibiting lower pollution levels. These findings underscore the critical role of green certification systems in fostering corporate green development, offering both theoretical insights and practical guidance for firms undergoing green transformation while contributing to the broader goal of sustainable development.

Big data analytics capability and dimensions of business model innovation: the mediating role of strategic orientations under varying conditions of market dynamism

Purpose While big data analytics can spur innovation among firms, it is unclear whether it can effectively drive value creation, value proposition, value delivery and value capture to deal with disruptions and the ever-changing demands of customers. This study therefore aims to examine how value creation, value proposition, value delivery and value capture can be improved through big data analytics capability (BDAC). This study advances the discourse by investigating how the market environment and strategic orientations play significant but little-studied roles in enhancing or lessening BDAC’s impact on business model innovation (BMI). Design/methodology/approach Drawing on dynamic capability and contingency perspectives, a model of five hypotheses was developed and validated using survey data from 208 managers of manufacturing firms in Ghana. Covariance-based structural equation modeling was used for the analysis. Findings The findings revealed that BDAC and strategic orientation (market and learning) directly influence the dimensions of BMI (value creation, value proposition, value delivery and value capture). The findings further showed that strategic orientations partially mediate the BDAC–BMI link. The authors also noted that the BDAC–BMI link is amplified at high levels of market dynamism. Practical implications The findings suggest that investing in BDA alone may not be sufficient to drive superior business model innovation. However, market orientation and continuous learning are crucial to fully realizing BDAC’s full potential in enabling value creation, value proposition, value delivery and value capture, especially in a dynamic market environment. Originality/value This study contributes to existing BMI literature by being the first to examine how BDAC facilitates value creation, value proposition, value delivery and value capture in developing countries. This paper also advances BM literature by theorizing and validating important but rarely studied roles of strategic orientations and market dynamism. Thus, this paper extends the understanding of the conditions and mechanisms through which the effect of BDAC on value creation, value proposition, value delivery and value capture can be optimized.