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Adaptive Capability, Social Media Agility, Ambidextrous Marketing Capability, and Business Survival: A Mediation Analysis

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  • Onamusi Abiodun Babatunde

    (Department of Management and Accounting, Lead City University, Ibadan, Oyo State, Nigeria)

Abstract

This study assessed the effect of adaptive capability and social media agility on survival firms in multiple industries in five countries. Furthermore, it established the mediating effect of ambidextrous marketing capability on the interaction between adaptive capability, social media agility, and firm survival, and examined the interaction between social media agility and adaptive capability. The study adopted a survey design and a sample of 416 firms in Nigeria, Canada, the United States, Australia, and the United Kingdom, and conducted the regression analysis to test the hypotheses formulated therein. The results showed that adaptive capability and social media agility had a positive and significant effect on business survival. Further analysis showed that when ambidextrous marketing capability was incorporated into the two models respectively and forming multiple regression analysis, the coefficient of ambidextrous marketing capability had a significant effect on business survival; however, the coefficient of adaptive capability and social media agility became insignificant suggesting that a full mediation effect was established. Lastly, social media agility had a positive and significant effect on the firm’s adaptive capability. The findings suggest that adaptive capability and social media agility enhance firm survival through the mechanism of ambidextrous marketing capability. The study recommends that firms strengthen their adaptive capability infrastructure; develop a robust, agile social media interface, and commit resources to enhance connectivity with the market, supplier, and customers (outside-in). Likewise, enhance internal organizational knowledge, skill, and ability (inside-out) to offer incremental and radical products to address changing market demand.

Suggested Citation

  • Onamusi Abiodun Babatunde, 2021. "Adaptive Capability, Social Media Agility, Ambidextrous Marketing Capability, and Business Survival: A Mediation Analysis," Marketing and Branding Research, EUROKD, vol. 8(1), pages 31-47.
    • Handle: RePEc:bco:mbraaa::v:8:y:2021:p:31-47
    DOI: 10.33844/mbr.2021.60328
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    References listed on IDEAS

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