Assessing the Intermediary Role of Relationship Ending Capability and Dark Side Between Network Embeddedness and SMEs’ Innovation Performance
Hong yun Tian, Courage Simon Kofi Dogbe, Bylon Abeeku Bamfo, Wisdom Wise Kwabla Pomegbe, Prasad Siba Borah
Keywords:
competitiveness, network embeddedness, innovation performance, relationship ending capability darkside,
SMEs
Abstract:
A key driver of firm competitive advantage is the firm’s ability to develop along with the everchanging
business environment and associated market demands by being innovative. Small
and medium-sized enterprises (SMEs), however, often lack adequate resources to develop
innovation, so they search for external resources to augment the deficiency of their internal
resources. Network embeddedness has many advantages for the firm, but it also has a dark side
which has a negative effect on the network relationship. In order to take advantage of a network,
firms should cultivate the capability to deal with the dark side of inter-firm relationships. Firstly,
this study assesses the effect of network embeddedness on the innovation performance of SMEs.
Secondly, the authors investigated the moderating role of this dark side in the relationship
between network embeddedness and the innovation performance of SMEs. Finally, the role
of relationship ending capability in neutralizing the negative effect of dark side we presented.
Empirical analysis was based on 388 SMEs. Various validity and reliability checks were
conducted before the presentation of the analysis itself, which was conducted using the ordinary
least squares approach in SPSS (v.23). The findings showed the dark side negatively moderated
the relationship between network embeddedness and the innovation performance of SMEs.
This negative effect is, however, reduced by SMEs with a high relationship ending capability by
freeing up firm’s limited resources for more fruitful business relationships.
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 Assessing the Intermediary Role of Relationship Ending Capability and Dark Side Between Network Embeddedness and SMEs’ Innovation Performance [PDF file] [Filesize: 1.13 MB]
 10.7441/joc.2021.01.09
Tian, H., Dogbe, C. S. K, Bamfo, B. A., Pomegbe, W. W. K., & Borah, P. S. (2021). Assessing the
Intermediary Role of Relationship Ending Capability and Dark Side Between Network Embeddedness
and SMEs’ Innovation Performance. Journal of Competitiveness, 13(1), 146–163. https://doi.org/10.7441/joc.2021.01.09
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