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Absorptive capacity and performance: The role of customer relationship and technological capabilities in high-tech SMEs

Tzokas, N and Kim, YA and Akbar, H and Al-Dajani, H (2015) 'Absorptive capacity and performance: The role of customer relationship and technological capabilities in high-tech SMEs.' Industrial Marketing Management, 47. 134 - 142. ISSN 0019-8501

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Abstract

© 2015 Elsevier Inc. This study focuses on how the interplay between a firm's absorptive capacity (ACAP), and its technological and customer relationship capability contributes to its overall performance. Using structural equation modeling in a sample of 158 firms (316 questionnaires, two respondents per firm) from South Korea's semiconductor industry, we find that a firm's ACAP leads to better performance in terms of new product development, market performance and profitability when used in combination with the firm's capability to engage state of the art technologies in its new product development program (NPD) (technological capability) as well as cultivate strong customer relationships to gain customer insight in NPD (customer relationship capability). By highlighting the interactive nature of absorptive capacity's antecedents and how these relate to firms' performance, this study contributes to the understanding of the role of ACAP as a mechanism for translating external knowledge into tangible benefits in high-tech SMEs, thus leading to important theoretical and practical implications.

Item Type: Article
Subjects: H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management
Divisions: Faculty of Social Sciences > Essex Business School
Depositing User: Young Kim
Date Deposited: 14 Apr 2015 10:06
Last Modified: 17 Aug 2017 17:57
URI: http://repository.essex.ac.uk/id/eprint/13516

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