Managing Innovation From an S-D Logic Perspective

Abstract

Innovation has traditionally been studied under a goods-dominant (G-D) logic perspective, focusing on product designs and innovations in production, manufacturing, and traditional value chain functions. However, with the development of information technologies and the increasingly competitive business service environment, a services-dominant (S-D) logic has emerged, emphasizing relational interactions among network stakeholders (e.g. partners, suppliers, and customers). Using a services-dominant (S-D) logic perspective coupled with a resource-based perspective, this study examines how resources and capabilities influence innovative strategy, leading to enhanced innovative performance. Employing 200 valid survey data using questionnaires from firms located in Vietnam, this study confirms that basic operant resources and dynamic capabilities significantly affect firms’ innovation performance either directly or indirectly through a mediation effect of S-D logic orientation.