CeFEO Research seminar

Technological Turbulence and Competition Intensity as Drivers of Business Model Innovation in Family SMEs: The Role of Strategic Innovation Readiness

Mercedes Gracia Laborda (presenter)

(co-authored with Carolina Lopez Nicolas and Angel Luis Meroño Cerdan)

(Mercedes is a visiting PhD candidate from the University of Murcia)

February 3, 12:00-13:00 CEST

B6046 and Zoom

Zoom link: http://cefeo.se/zoom

ABSTRACT: Drawing on the Resource-Based View and the Socioemotional Wealth approach, this study proposes and tests a model that extends the knowledge of BMI’s external drivers, competition intensity and technological turbulence. More precisely, we provide new insights to the relationship between these drivers and BMI novelty and scope, being mediated by strategic innovation readiness. We test the contingent effect of family firm on this model. To assess the relationships proposed, data were obtained from a European Commission international project. 417 Small and Medium-sized Enterprises and analysed using partial least squares structural equation modelling. The results indicate that competition intensity positively affects BMI novelty through the full mediation of strategic innovation readiness. In addition, strategic innovation readiness acts as a partial complementary mediator in the relationship between competition intensity and BMI scope as well as technological turbulence and BMI types. Furthermore, a multigroup analysis reveals that the impact of competition intensity on BMI is greater for non-family than for family SMEs. An important implication relates to the paramount role of strategic innovation readiness both for family and non-family SMEs to thrive in a turbulent technological environment. When developing the firm culture and strategic orientation, managers should embed strategic innovation readiness into their business processes and activities to enable a rapid response to external changes through BMI.