The impacts of ambidextrous innovation on organizational obsolescence in turbulent environments

Abstract

PurposeThe authors aim to measure the effects of ambidextrous innovation and its mix strategy on organizational obsolescence with the moderating roles of environmental turbulence.Design/methodology/approachHierarchical regression analysis was used to test the hypotheses on the basis of the survey data of 198 firm employees in China.FindingsBoth exploratory and exploitative innovations significantly restrain organizational obsolescence. The complementary strategy of ambidextrous innovation is negatively correlated to organizational obsolescence, but the impact of balanced strategy is not significant. Environmental turbulence negatively moderates the relationship between exploratory innovation and organizational obsolescence, whereas it cannot moderate the effect of exploitative innovation.Originality/valueThe empirical and conceptual findings have important implications for organizations countering obsolescence through the construction of a mix strategy of ambidextrous innovation. This study enriches and extends obsolescence theory by introducing the joint mechanism of ambidextrous innovation and environmental turbulence.