How do learning orientation and strategy yield innovativeness and superior firm performance?

• Main Authors: M. Dülger, G. Alpay, C. Yılmaz, M. Bodur
• Format: Article
• Language: English
• Published: AOSIS 2014-06-01
• Series: South African Journal of Business Management
• Online Access: https://sajbm.org/index.php/sajbm/article/view/123

This paper attempts to shed light on the role of learning orientations of firms and their adoption of Porter’s generic strategies on four dependent variables: Behavioral innovativeness, product innovativeness, technological innovativeness and, ultimately, firm performance. Hierarchical regressions were run with data from a random sample of 121 firms operating in Turkey. Findings indicate that internally-focused learning, market-focused learning and differentiation strategy have significant effects on the three innovativeness dimensions. When firm performance is included as the eventual outcome variable into the analysis, internally-focused learning, focus strategy and product innovativeness emerge as its main predictors. In fast-paced, highly unpredictable market environments, managers can make use of these findings to their benefit in terms of elevating their firms’ innovativeness and performance levels.