Social Capital and Organizational Ambidexterity: The Moderating Effect of Absorptive Capacity
Document Type
Peer-Reviewed Article
Publication Date
2020
Abstract
Purpose
The purpose of this paper is to examine the impact of social capital on organizational ambidexterity in the context of emerging economies. Moreover, this paper aims to study the moderating influence of absorptive capacity on the relationship between social capital and organizational ambidexterity.
Design/methodology/approach
The authors conducted two studies using survey data collected from 97 Ecuadorian and 100 Chinese small and medium-sized enterprises (SMEs).
Findings
The authors found that social capital, the extent to which organizational members interact, collaborate and share knowledge with one another and with external actors, has a positive effect on the simultaneous implementation of exploratory and exploitative innovations (i.e. organizational ambidexterity). Moreover, the authors found that absorptive capacity positively strengthens the impact of social capital on organizational ambidexterity.
Originality/value
Drawing on the knowledge-based view and the innovation literature, the authors theoretically argue the importance of social capital and absorptive capacity for SMEs to develop and manage exploratory and exploitative innovations simultaneously in emerging economies of different cultures. The authors empirically test proposed hypotheses in Ecuador and China, two emerging markets with important cultural differences, and show the relevance of social capital in multiple settings.
DOI
10.1108/IJOEM-07-2019-0542
Recommended Citation
Lee, Y., Cortes, A. F., Zhuang, Y., & Herrmann, P. (2020). Social capital and organizational ambidexterity: The moderating effect of absorptive capacity. International Journal of Emerging Markets, 16(8). Doi:10.1108/IJOEM-07-2019-0542
