Impact of Economic Performance on Organizational Capacity and Capability: A Case Study in Airline Industry

摘要

This paper offers an integrated investigation of the interrelations among economic performance, organizationalcapacity, and organizational capability in airline industry. Airline capacity and capability are measured based onorganizational capacity & capability theories and examined this relationship with structural equationmodelingfrom209 airline companies annual report data. The research findings demonstrate the significant andintertwined roles of economic performance in enhancing the airline capacity and capability.