Dynamic capabilities, firm innovation and competitive advantage of companies listed at Nairobi Securities Exchange
View/ Open
Date
2022-09-12Author
Chemutai, P
Ogollah, K.
Bolo, Z. A.
Owino, J.
Type
ArticleLanguage
en_USMetadata
Show full item recordAbstract
Recent studies show that dynamic capabilities as high order organizational capabilities
enable firms to attain a competitive advantage. Additionally, firm innovation which
entails the creation of products, processes as well markets result in competitive
advantage. However, dynamic capabilities have an influence on firm innovation which
in turn results in a competitive advantage. The purpose of this study was to examine
the effect of firm innovation on the relationship between dynamic capabilities and
competitive advantage of companies listed at Nairobi Securities Exchange. The study
applied cross sectional descriptive survey as its research design and all the sixty-three
firms listed at the NSE formed the study population. In order to ascertain the
mediation, the hypothesis was tested by following Baron and Kenny four steps. The
study established that firm innovation partially mediates the relationship between
dynamic capabilities and competitive advantage of companies listed at Nairobi
Securities Exchange. The study recommends that the listed firms should not only
emphasize on the development of dynamic capabilities for combating environmental
challenges but also invest in firm innovation as it will result in the achievement of a
competitive advantage. The results contribute to theory development, policy and
management practice from the importance of dynamic capabilities and firm innovation
in achieving competitive advantage. The study points out room for more research using
a larger population, more organizational factors and incorporating other companies
that are not listed at Nairobi Securities Exchange.
URI
http://uonjournals.uonbi.ac.ke/ojs/index.php/DBAAMR/article/view/1119http://erepository.uonbi.ac.ke/handle/11295/161376
Citation
Chemutai, P Ogollah, K. Bolo, Z. A. Owino, J. (2022). Dynamic capabilities, firm innovation and competitive advantage of companies listed at Nairobi Securities Exchange. DBA Africa Management Review 12(3), 44-56Publisher
DBA Africa Management Review