Network Ambidextrous Capabilities, Routine Replication, and Opportunity Iteration of Digital Startups—Evidence from China

Abstract

Amid the rapid advancement of digital technology, a surge of digital startups has emerged, intensifying competitive pressures that pose significant challenges to the growth and survival of these enterprises in China. This study constructs a theoretical model based on optimal distinction theory and upper echelon theory, incorporating network ambidextrous capabilities (network exploitation and network exploration), routine replication (general routines replication and flexible routines replication), digital leadership, and opportunity iteration. Utilizing data collected from surveys distributed to 372 digital startups in China and employing hierarchical regression analysis, we investigate the impact and scope of network ambidextrous capabilities on opportunity iteration. The results indicate that both network exploitation and network exploration capability positively influence opportunity iteration. General routines replication partially mediates the relationship between network exploitation capability and opportunity iteration, while flexible routines replication partially mediates the relationship between network exploration capability and opportunity iteration. Furthermore, digital leadership positively moderates the mediating effect of general routines replication on the relationship between network exploitation capability and opportunity iteration, as well as the mediating effect of flexible routines replication on the relationship between network exploration capability and opportunity iteration, demonstrating moderated mediation effects. This study enhances the understanding of opportunity iteration and offers new insights and solutions for digital startups to adapt to opportunities in response to environmental changes.