Developing IT-enabled Innovation Capabilities: A Dynamic Capabilities Approach

摘要

With innovation-based competition gaining increased significance over the past few years, a central question for researchers is how Information Technology (IT) can help firms strengthen their innovative capability. To address this question, the present study empirically explores the relationship between IT-enabled dynamic capabilities and a firm's innovative capabilities. Survey data from 322 international firms is analyzed by means of Partial Least Squares Structural Equation Modeling (PLS-SEM). Outcomes indicate that IT-enabled dynamic capabilities have a significant impact on both a firms' incremental and radical innovative capability. By performing split-group analyses, differences are observed between young and established firms regarding the underlying IT-enabled routines that help strengthen their innovative capabilities. Results suggest that young firms present a stronger dependency on IT-enabled capabilities compared to established firms.