A contingency view to novelty: The role of product-service strategy, sensing capability and environmental turbulence

Mona Rashidirad, Hamid Salimian, Ebrahim Soltani

Research output: Contribution to journalArticle

Abstract

Purpose: The aim of this study is to examine (i) the impact of the fit between product-service strategy and sensing capability on novelty, and (ii) the potential moderating impact of contextual factors (i.e. technological and market turbulence) on novelty. Design/methodology/approach: In line with the aim of the study, a quantitative approach was adopted and a multi-item scale survey was designed to collect primary data. Using a mixed mode survey, a total number of 491 questionnaires were collected from a sample of UK-based telecommunications firms. Multiple regression was employed to test the hypotheses and predict the outcomes. Findings: The results support the positive contribution of a contingency approach to the study of the impact of the fit between product-service strategy and sensing dynamic capability on novelty. The results also partially confirm the reinforcing impact of technological and market turbulence on novelty. Originality/value: The current study extends research on product-service strategy and sensing capability by adopting a contingency view which intends to serve two purposes: (i)to complement the existing reductionistic explanations, and (ii) to explore how the relationship between product-service strategy and sensing capability could create novelty as well as the degree to which this relationship could be moderated in light of the external contextual factors.
Original languageEnglish
Pages (from-to)218-245
Number of pages28
JournalEuropean Business Review
Volume30
Issue number3
DOIs
Publication statusPublished - 14 May 2018

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