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Offshoring and Organizational Innovation: The Moderating Roles of Absorptive Capacity and Inter-Functional Integration

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  • Mahmoud Fallatah

Abstract

The paper extends previous research on the relationship between offshoring and organizational innovation. Building on prior research that suggested a curvilinear relationship between offshoring and innovation, the paper aims to increase our understanding about the relationship by introducing two moderators. It proposes that when offshoring, organizations with higher absorptive capacity are more likely to innovate than those with lower levels. Additionally, it suggests that organizations with higher levels of inter-functional integration are expected to benefit more from offshoring than those with lower levels. The paper concludes with discussions on managerial implications as well as areas for future research.

Suggested Citation

  • Mahmoud Fallatah, 2019. "Offshoring and Organizational Innovation: The Moderating Roles of Absorptive Capacity and Inter-Functional Integration," International Business Research, Canadian Center of Science and Education, vol. 12(10), pages 57-63, October.
    • Handle: RePEc:ibn:ibrjnl:v:12:y:2019:i:10:p:57-63
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    References listed on IDEAS

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    More about this item

    Keywords

    absorptive capacity; functional integration; innovation; offshoring;
    All these keywords.

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

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