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Contextual ambidexterity in SMEs: the roles of internal and external rivalry

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  • Dirk Clercq
  • Narongsak Thongpapanl
  • Dimo Dimov

Abstract

This article seeks to extend research on small to medium-sized enterprises (SMEs) and ambidexterity by investigating contingency factors that influence the relationship between contextual ambidexterity and SME performance. Acknowledging the importance of internal knowledge flows in leveraging ambidexterity, it offers unique insights into how internal and external rivalry conditions influence performance outcomes related to an ambidextrous posture. Using a sample of Canadian-based SMEs, the study shows that the contextual ambidexterity–performance relationship is suppressed at higher levels of internal rivalry and amplified at higher levels of external rivalry. The findings suggest that developing an ambidextrous posture should not be an end by itself, and they point to the need for SMEs to understand how the features of their internal and external environments affect the performance consequences of such posture. Copyright Springer Science+Business Media New York 2014

Suggested Citation

  • Dirk Clercq & Narongsak Thongpapanl & Dimo Dimov, 2014. "Contextual ambidexterity in SMEs: the roles of internal and external rivalry," Small Business Economics, Springer, vol. 42(1), pages 191-205, January.
  • Handle: RePEc:kap:sbusec:v:42:y:2014:i:1:p:191-205
    DOI: 10.1007/s11187-013-9471-2
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    5. Gayoung Kim & Woo Jin Lee & Hoshik Shim, 2022. "Managerial Dilemmas and Entrepreneurial Challenges in the Ambidexterity of SMEs: A Systematic Review for Execution System," Sustainability, MDPI, vol. 14(24), pages 1-22, December.
    6. Yi Zhang & Feng Wei & Constance Van Horne, 2019. "Individual Ambidexterity And Antecedents In A Changing Context," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 23(03), pages 1-25, April.
    7. Lee, Kyootai & Woo, Han-Gyun & Joshi, Kailash, 2017. "Pro-innovation culture, ambidexterity and new product development performance: Polynomial regression and response surface analysis," European Management Journal, Elsevier, vol. 35(2), pages 249-260.
    8. Elena Druica & Ana-Maria Grigore, 2017. "Fixed effects models to assess the effectiveness of entrepreneurial diversification strategy in SMEs," Romanian Statistical Review, Romanian Statistical Review, vol. 65(1), pages 39-55, March.
    9. Angeloantonio Russo & Rosamartina Schena, 2021. "Ambidexterity in the context of SME alliances: Does sustainability have a role?," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 28(2), pages 606-615, March.
    10. Elisa Thomas & Rhiannon Pugh & Danny Soetanto & Sarah L. Jack, 2023. "Beyond ambidexterity: universities and their changing roles in driving regional development in challenging times," The Journal of Technology Transfer, Springer, vol. 48(6), pages 2054-2073, December.
    11. McAdam, Rodney & Miller, Kristel & McSorley, Carmel, 2019. "Towards a contingency theory perspective of quality management in enabling strategic alignment," International Journal of Production Economics, Elsevier, vol. 207(C), pages 195-209.
    12. Ilkay Eraslan & Erkut Altindag, 2021. "The effects of organizational ambidexterity and justice on organizational learning," International Journal of Research in Business and Social Science (2147-4478), Center for the Strategic Studies in Business and Finance, vol. 10(1), pages 1-14, January.
    13. Caroline Danièle Mothe & Jean-Christophe Bogaert, 2019. "Adaptative ambidexterity and dynamic environment: a longitudinal study of an SME [Ambidexteridad adaptativa y entorno dinámico: un estudio longitudinal de una pequeña y mediana empresa]," Post-Print halshs-02376305, HAL.
    14. Song, Hua & Yang, Xuan & Yu, Kangkang, 2020. "How do supply chain network and SMEs’ operational capabilities enhance working capital financing? An integrative signaling view," International Journal of Production Economics, Elsevier, vol. 220(C).
    15. Jan Jöhnk & Philipp Ollig & Patrick Rövekamp & Severin Oesterle, 2022. "Managing the complexity of digital transformation—How multiple concurrent initiatives foster hybrid ambidexterity," Electronic Markets, Springer;IIM University of St. Gallen, vol. 32(2), pages 547-569, June.
    16. Wenke, Kathrin & Zapkau, Florian B. & Schwens, Christian, 2021. "Too small to do it all? A meta-analysis on the relative relationships of exploration, exploitation, and ambidexterity with SME performance," Journal of Business Research, Elsevier, vol. 132(C), pages 653-665.

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    More about this item

    Keywords

    Ambidexterity; Knowledge; Rivalry; Contingencies; SMEs; M10; M19; L26;
    All these keywords.

    JEL classification:

    • M10 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - General
    • M19 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Other
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship

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