A Systems View Across Time and Space
Table 1 Summarized review on innovation strategy and firm competitiveness
From: Innovation strategy and firm competitiveness: a systematic literature review
Year | Authors name | Title | Study objective | Type of research approach | Findings |
|---|---|---|---|---|---|
2015 | Tugba (2015) | Effects of Innovation Strategy on Firm Performance: A Study Conducted on Manufacturing Firms in Turkey | To explore the effects of innovation strategy on the firm performance | Quantitative | Findings demonstrate the innovation strategy leads these firms to improve their customer performance, internal business processes performance and learning and growth performance |
2019 | Celtekligil1, and Adiguzel (2019) | Analysis of The Effect of Innovation Strategy and Technological Turbulence on Competitive Capabilities and Organizational Innovativeness in Technology Firms | To investigate and analyse how they are successful in industry firms of manufacturing sector in Turkey that is in the order of emerging countries, against rivalry in terms of both technological and innovation strategy | Quantitative | Findings show that firms have innovative strategies and have a positive effect on the development of competitiveness and development of organizational innovation |
2019 | Muigai and Gitau al. (2018) | Effect Of Innovation Strategies On Financial Performance of The Banking Industry In Kenya | Sought to establish effect of innovation strategies on financial performance of firms in the banking industry in Kenya | Quantitative | Findings show that product innovation strategies such as the introduction of new products and services, improvement of existing products and services and offering of a wide range of products than competitors positively affect financial performance of firms in the banking industry in Kenya |
2021 | Koyluoglu and Dogan (2021) | The Impact Of Innovation Strategies On Business Performance: Practices In High Technology Companies In Turkey | To examine the effect of innovation strategies on business performance in enterprises using high technology | Mixed | Findings show that Analytical, defensive, future-oriented, and proactive strategies are effective on product performance, customer-based performance, and financial performance of businesses. As a result, it was determined that innovation strategies affect customer-based performance (R2 = 0.687) and financial performance (R2 = 0.701) of companies more |
2019 | Kiptoo and Koech (2019) | Effect Of Strategic Innovations On Organizational Performance | To examine the effect of strategic innovations on organizational performance of manufacturing firms in Kwale County | Quantitative | The study concluded that the manufacturing firms carry out benchmark activities with the best technology in the industry |
2016 | Riyadi and Sumardi (2017) | The Impact of Innovation Strategy Toward Business Competitiveness of Manufacturing Industry in Surabaya, Indonesia | To examine and analyse the effect of administrative innovation on business competitiveness, technical innovations on business competitiveness, process innovation on business competitiveness, and product innovation on business competitiveness | Quantitative | The results show that innovation strategy that consists of administrative innovation, technical innovation, process innovation, and product innovation can enhance organizational competitiveness in the manufacturing industry context |
2016 | Zainurossalamia et al. (2016) | The Effect of Innovation on Firm Performance and Competitive Advantage | To analyze the effect of innovation on Firm Performance mediated by competitive advantage | Mixed | The study proves that innovation strategy of SMEs in Indonesia are in the ability to make better products, in the production process by using advances in technology, as well as in the technology development and maintenance |
2019 | Cappielloa et al. (2020) | Social capital and its effect on networked firm innovation and competitiveness | To explore social capital and its effect on the networked firm innovation and competitiveness | Quantitative | The study find that the cognitive and structural dimensions of social capital exert positive effects on innovative and competitive performance, while the effects of the relational dimension are more varied. In fact, the relational dimension was positively associated with the formation of innovation, but displayed no significant correlation with the perception that firms had increased their innovativeness and competitiveness |
2020 | Cheah et al. (2020) | Search strategy, innovation and financial performance of firms in process industries | To examine the mediating role of product and process innovation in the external search strategy-financial performance link of firms within process industries, and understand the effect of public and private knowledge sources on their financial performance | Quantitative | The results show that shed light on how firms operating in process Industries can adopt deep external search strategy to draw external knowledge intensively from a few key knowledge sources to achieve superior financial performance through the adoption of complementary product and process innovation processes |
2021 | Ikpe et al. (2021) | Innovation Strategies and Firm Performance: A Study of Femine Mill Nigeria, Calabar | To investigates the role of innovation strategy on performance of Famine Flour Mill Calabar | Quantitative | The study concluded that marketability of our different segmented products and in-depth understanding of customer needs since is a critical source of competitive advantage |
2019 | Kiveu et al. (2019) | Effect of innovation on firm competitiveness: the case of manufacturing SMEs in Nairobi County, Kenya | To analyse the effect of innovation on firm competitiveness in manufacturing SMEs in Nairobi, Kenya | Quantitative | The study recommends the implementation of innovations with high novelty by SMEs to increase their competitiveness |
2017 | Tarus and Boit (2017) | Incremental Innovation And Firm’s Competitive Advantage: A Quantitative Analysis Approach | To investigate the effect of Incremental innovation on a firm’s competitive advantage | Mixed | The study indicates that in order for firms to gain competitive advantage they must adopt incremental innovations in their organizations |
2017 | Jovv-Llopis (2017) | What is the Role of Innovation Strategies? Evidence from Spanish Firms | To determine determinants of two alternative measures of innovative success/output by looking at firm is innovation strategies | Quantitative | The results also show that there is a good fit between the oriented strategy pursued by a firm and its innovation success |
2017 | Srivastava et al. (2017) | Influence of innovation competence on firm level competitiveness: an exploratory study | The study aims to explore the influence of the innovation on the competitive performance | Quantitative | The results discussed unique methodology of using aggregate index method for defining the innovation competence and competitiveness for the firms where the consistency of data is a major issue for such a complex phenomenon |
2020 | Bigliardi et al. (2020) | The influence of open innovation on firm performance | To investigate how the paradigm of open innovation influences firm performance and to provide suggestions for future research avenues | Mixed | The results shows that innovation is crucial for growth and business development, and represents a reliable way through which to gain competitiveness within the marketplace |
2015 | Tavassoli and Karlsson (2016) | Innovation strategies and firm performance: Simple or complex strategies? | To analyse the effect of various innovation strategies (ISs) of firms on their future performance, captured by labour productivity | Mixed | The main findings indicate that those firms that choose and afford to have complex ISs are better off in terms of their future productivity in comparison with those firms that choose not to innovative (base group) and in comparison with those firms that choose simple ISs |
2021 | Tali et al. (2021) | The impact of innovation competitive advantage on product quality for sustainable growth among SMEs | The purpose of this study was to investigate the impact of two components of innovation competitive advantage, that is, customer preference and strategic business model, on product quality for sustainable growth among SMEs | Quantitative | The results revealed that customer preference does not directly affect product quality; however, technology adoption mediates the relationship between customer preference and product quality |
2018 | The Impact Of Marketing Innovation On The Competitiveness Of Enterprise- In The Context Of Industry | To identify the impacts of marketing innovations on competitiveness in connection with Industry 4.0 in business practice | Mixed | The results of the research showed that there are differences in how impacts are seen by SMEs and by large enterprises. The impacts are rated as most important by enterprises from the automotive industry with a European corporate culture | |
2020 | Lestari et al. (2020) | Antecedents and Consequences of Innovation and Business Strategy on Performance and Competitive Advantage of SMEs | The study aims to develop concepts originating through empirical research models to build superior competitiveness and optimal performance achievement | Quantitative | The study also found that the link based on CCT, RBV, and TAM Theory is the right choice of theories, as the foundation of this study was very reliable and valid. Indeed, all of the grounded methods have implications both in theory and in its main application for the business in the online marketplace |
2020 | Ferreira et al. (2021) | Dynamic Capabilities and Mediating Effects of Innovation on the Competitive Advantage and Firm’ s Performance: the Moderating Role of Organizational Learning Capability | To investigate the impact of exploration and exploitation capabilities on competitive advantage (hereafter CA) and performance | Quantitative | The study contributes to the understanding of the direct and indirect impact of exploration and exploitation on CA variables, the mediating role of IC on CA and performance and the moderating effect of OLC in a transition economy |
2022 | Vijayakumar (2022) | Moderating Role of Commercial Capabilities on Firm Performance Through Innovative Capability in Manufacturing | To identify new ideas and work on ideas to implement them into their process to create new or improved products. Innovation | Mixed | The results of the study showed that the innovative capability of manufacturing MSMEs has a significant positive relationship with the firm’s performance |
2023 | Yaskun et al. (2023) | The Effect Of Market Orientation, Entrepreneurial Orientation, Innovation And Competitive Advantage On Business Performance | To determine the effect of market orientation, entrepreneurial orientation, innovation, and competitive advantage on MSMEs (Micro Small and Medium Enterprises) business performance | Quantitative | The results of the Structural Equation Modelling evaluation with the univariate normality test showed an excellent critical skewness ratio value, and the kurtosis indicated data were normally distributed, and the data are feasible to use |
2021 | Borowski (2021) | Innovation strategy on the example of companies using bamboo | To discuss the importance of innovative strategies and presents the results of research carried out on the role of each employee group | Mixed | The cognitive and utilitarian value of completed research lies in the possibility of a broad look at the innovation strategy (including bamboo as an innovative material) and in the possibility of its implementation and application in various enterprises operating on the market |
2023 | Huang (2023) | The roles of competition on innovation efficiency and firm performance: Evidence from the Chinese manufacturing industry | The purpose of this study is to explore the complicated role of competition on innovation efficiency and firm performance | Quantitative | The results show that most Chinese manufacturing firms are inefficient in R&D activities. Competition forces firms to focus on the improvement of innovation efficiency, but at the same time, it also undermines collaboration and leads to unpredictable R&D results |
2023 | Thi et al. (2023) | Innovation and the Sustainable Competitive Advantage of Young Firms: A Strategy Implementation Approach | This study examines the impact of innovation at the strategy level on innovation at the process and system levels, which are considered to be forms of function-level innovation, based on the strategy implantation approach | Quantitative | The findings indicated that the four hypotheses about the effects of strategy innovation on process and system innovation and the effects of process and system innovation on the SCA of young firms in Vietnam were all confirmed |
2023 | Algarni et al. (2023) | The differential effects of potential and realized absorptive capacity on imitation and innovation strategies, and its impact on sustained competitive advantage | To investigate the differential antecedent roles of knowledge-based capabilities such as potential and realized absorptive capacity on imitation and innovation strategies, and to assess how such interactions lead firms to achieve a sustained competitive advantage | Quantitative | The results of this study fill a knowledge gap in the field of innovation management and provide empirical evidence for the interplay between absorptive capacity and the two complementary business strategies—innovation and imitation—which aids organizations in maintaining their competitive advantages |
2016 | Bayraktar (2017) | Competitive strategies, innovation, and firm performance: an empirical study in a developing economy environment | This paper studies the relationships between competitive strategies, innovation, and firm performance within the context of Turkish manufacturing companies | Quantitative | The results show that competitive strategies such as cost-leadership and differentiation can lead to innovation, which, in turn, increase firm performance |
2022 | Farida and Setiawan (2022) | Business Strategies and Competitive Advantage: The Role of Performance and Innovation | This study aims to examine the effect of business strategies to improve the competitive advantages of small and medium enterprises (SMEs) | Quantitative | Findings show that business strategies have a positive impact on competitive advantage. Better business strategies improve the competitive advantage of SMEs. Further, business performance and innovation also mediate the relationship between business strategies and competitive advantages. These results provide evidence of the importance of performance and innovation to improve the competitive advantage |
2021 | Nimfa et al.(2021) | The impact of innovation competitive advantage on product quality for sustainable growth among SMEs:  an empirical analysis | The purpose of this study was to investigate the impact of two components of innovation competitive advantage, that is, customer preference and strategic business model, on product quality for sustainable growth among SMEs | Quantitative | The results revealed that customer preference does not directly affect product quality; however, technology adoption mediates the relationship between customer preference and product quality |
2021 | Edson and Muranda (2021) | The Effect of Competitive Strategies and Innovation on Firm Performance: A Study of Zimbabwean Textile and Clothing Firms | To investigate the impact of competitive strategies and innovation on firm performance | Quantitative | The results show that focus and differentiation strategies have a positive direct relationship with firm performance and innovation. However cost leadership has indirect relationship with firm performance and a positive relationship with innovation which in turn improves firm performance |
2022 | Gao et al. (2018) | Innovation Strategy of Private Firms | To compare innovation strategies of public and private firms based on a large sample over the period 1997–2008 | Quantitative | Findings that public firms’ patents rely more on existing knowledge, are more exploitative, and are less likely in new technology classes, while private firms’ patents are broader in scope and more exploratory |
2023 | Srisathan (2022) | Assessing the effectiveness of open innovation implementation strategies in the promotion of ambidextrous innovation in Thai small and medium sized enterprises | The aim of this study is to understand the implementation of open innovation processes by SMEs while highlighting two critical processes: open innovation implementation (OII) and open ambidextrous innovation practices (OAIP) | Quantitative | The primary finding reveals and confirms a statistically significant positive relationship between the implementation of open innovation and the advancement of ambidextrous innovation practices. This relationship underlines the importance of embracing open innovation, as it fosters ambidextrous innovation, thereby enabling fresh perspectives, accelerating creativity, and facilitating knowledge exchange |
2023 | Salfore et al. (2023) | Business model innovation and firm performance: Evidence from manufacturing SMEs | The aim to investigate this relationship by collecting data from 264 manufacturing SMEs through structured questionnaires | Quantitative | The results indicated that changes in any component of the business model, namely value creation, value proposition, or value capture, had a positive and significant relationship with the performance of manufacturing SMEs |
2023 | Wongsansukcharoen et al. (2023) | Effect of innovations in human resource practices, innovation capabilities, and competitive advantage on small and medium enterprises’ performance in Thailand | This study examines the performance of wholesale and retail small and medium enterprises in Thailand, which are integrating innovations in human resource practices, innovation capabilities, and competitive advantage | Quantitative | The significant success factors of innovations in human resource practices indirectly affect SME performance through the mediation of innovation capabilities and competitive advantage. These outcomes help develop long-term and business performance effectiveness, as the essential human resource factors and innovation capabilities practices of the current extremely competitive industry will intensify with the digital disruption era |
2023 | Carrasco-Carvajala et al. (2023) | Impact of innovation strategy, absorptive capacity, and open innovation on SME performance: A Chilean case study | This study analyses, in the context of SMEs, how absorptive capacity can favour incoming and outgoing open innovation practices, the mediating role that innovation strategy plays in this relationship, and the effect of open innovation practices on performance | Quantitative | The results obtained make a relevant contribution to the literature in two aspects: (1) absorptive capacity has a significant and positive influence on firms' strategies and outbound innovation practices and (2) firm strategies play a complete mediating role between absorptive capacity and inbound open innovation practices and a complementary mediating role between absorptive capacity and outbound open innovation practices |
2023 | Sangari et al. (2023) | Green concept of neuro marketing based on a systematic review using the bibliometric method | This research aimed to provide systematic bibliometric review of neuromarketing methodology up until the end of 2022, contributing to a comprehensive understanding of this concept | Bibliometric | The study presents an integrated framework merging neuromarketing findings with a green perspective, providing a holistic view of the relationship between neural processes and consumer decision-making. By incorporating neuroimaging data and physiological measurements, the framework offers a precise assessment of emotional reactions and their influence on consumer preferences |
2023 | Sana (2023) | The Effects Of Green House Gas Costs On Optimal Pricing And Production Lot size In An Imperfect Production System | The article aimed to deals with an imperfect production system considering costs for green-house gas (GHG) to determine the optimal reserve selling price, sales teams’ efforts and production lot size | Mathematical Approach | The article results with an imperfect production system considering costs for green- house gas (GHG) to determine the optimal reserve selling price, sales teams’ efforts and production lot size and a mathematical model is formulated and analyzed considering various cost factors and interval values of the key parameters. Finally, numerical illustrations are considered to justify the proposed model |
2022 | Sana (2022a) | Sale through dual channel retailing system- A mathematical approach | The article aimed to explore sale through dual channel retailing system with a mathematical approach | Mathematical approach | The findings of the proposed model can help managers/policymakers to understand the important of pricing and inventory level in dual channel marketing to achieve maximum profit in long-term sustainable businesses |
2022 | Sana (2022b) | A structural mathematical model on two echelon supply chain system | The main objective is to find out optimal prices and green quality in order to maximize the profit functions of individual and integrated systems | Mathematical approach | The results show that the mathematical and numerical analyses show that integrated system of manufacturer and retailer generates more profit than individual optimization. Generally speaking, procurement cost of green product is higher than regular products and it adds additional cost for green technology |
2020 | Sana (2020) | Price competition between green and non green products under corporate social responsible firm | The article aimed with a newsvendor inventory model in light of green product marketing of corporate social responsible firms | Mathematical approach | The results show that the consumers are to be attracted towards green product if price are fair and the CSR activities of the firm is more implemented to the society, i.e. the value of r is higher |