IDEAS home Printed from https://ideas.repec.org/a/wly/sustdv/v31y2023i4p2636-2655.html
   My bibliography  Save this article

Dynamic capabilities and sustainability performance: Exploring the moderating role of environmental dynamism in the Norwegian fishing industry

Author

Listed:
  • Magoti Daniel Harun
  • Heidi Hogset
  • Deodat Mwesiumo

Abstract

This study examines the effect of dynamic capabilities (DCs) on economic performance (ECOP), social performance (SOP), and environmental performance (ENVP) under different levels of environmental dynamism (EnvD). Based on preliminary interviews and survey data collected from Norwegian fishing firms, the analysis was conducted using partial least squares structural equation modeling and necessary conditions analysis. The results show that firms that acquire a set of DCs are more likely to improve their economic, social, and environmental sustainability performance. More so, firms' economic performance is a necessary condition for social performance, but not for ENVP. Interestingly, the results show that the effect of DCs on economic and environmental sustainability performance is even stronger when the level of EnvD is higher. However, EnvD does not have a significant effect on the relationship between DCs and social sustainability performance. Our findings provide guidance to managers on how and when to invest in and leverage DCs to improve sustainability performance in the food industry.

Suggested Citation

  • Magoti Daniel Harun & Heidi Hogset & Deodat Mwesiumo, 2023. "Dynamic capabilities and sustainability performance: Exploring the moderating role of environmental dynamism in the Norwegian fishing industry," Sustainable Development, John Wiley & Sons, Ltd., vol. 31(4), pages 2636-2655, August.
    • Handle: RePEc:wly:sustdv:v:31:y:2023:i:4:p:2636-2655
    DOI: 10.1002/sd.2536
    as

    Download full text from publisher

    File URL: https://doi.org/10.1002/sd.2536
    Download Restriction: no
    File URL: https://libkey.io/10.1002/sd.2536?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Daniel Krause & Davide Luzzini & Benn Lawson, 2018. "Building the Case for A Single Key Informant in Supply Chain Management Survey Research," Journal of Supply Chain Management, Institute for Supply Management, vol. 54(1), pages 42-50, January.
    2. Beske, Philip & Land, Anna & Seuring, Stefan, 2014. "Sustainable supply chain management practices and dynamic capabilities in the food industry: A critical analysis of the literature," International Journal of Production Economics, Elsevier, vol. 152(C), pages 131-143.
    3. Rigdon, Edward E., 2016. "Choosing PLS path modeling as analytical method in European management research: A realist perspective," European Management Journal, Elsevier, vol. 34(6), pages 598-605.
    4. Rodríguez-Espíndola, Oscar & Cuevas-Romo, Ana & Chowdhury, Soumyadeb & Díaz-Acevedo, Natalie & Albores, Pavel & Despoudi, Stella & Malesios, Chrisovalantis & Dey, Prasanta, 2022. "The role of circular economy principles and sustainable-oriented innovation to enhance social, economic and environmental performance: Evidence from Mexican SMEs," International Journal of Production Economics, Elsevier, vol. 248(C).
    5. Zhang, Feng & Zhu, Lei, 2021. "Social media strategic capability, organizational unlearning, and disruptive innovation of SMEs: The moderating roles of TMT heterogeneity and environmental dynamism," Journal of Business Research, Elsevier, vol. 133(C), pages 183-193.
    6. Graham, Stephanie & Graham, Byron & Holt, Diane, 2018. "The relationship between downstream environmental logistics practices and performance," International Journal of Production Economics, Elsevier, vol. 196(C), pages 356-365.
    7. Sarkis, Joseph & Zhu, Qinghua & Lai, Kee-hung, 2011. "An organizational theoretic review of green supply chain management literature," International Journal of Production Economics, Elsevier, vol. 130(1), pages 1-15, March.
    8. Siems, Erik & Land, Anna & Seuring, Stefan, 2021. "Dynamic capabilities in sustainable supply chain management: An inter-temporal comparison of the food and automotive industries," International Journal of Production Economics, Elsevier, vol. 236(C).
    9. Stefan Gold & Stefan Seuring & Philip Beske, 2010. "Sustainable supply chain management and inter‐organizational resources: a literature review," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 17(4), pages 230-245, July.
    10. Sarstedt, Marko & Hair, Joseph F. & Cheah, Jun-Hwa & Becker, Jan-Michael & Ringle, Christian M., 2019. "How to specify, estimate, and validate higher-order constructs in PLS-SEM," Australasian marketing journal, Elsevier, vol. 27(3), pages 197-211.
    11. Ratna Nurhayati & Grantley Taylor & Rusmin Rusmin & Greg Tower & Bikram Chatterjee, 2016. "Factors determining social and environmental reporting by Indian textile and apparel firms: a test of legitimacy theory," Social Responsibility Journal, Emerald Group Publishing Limited, vol. 12(1), pages 167-189, March.
    12. Waleed Omri, 2015. "Innovative behavior and venture performance of SMEs," European Journal of Innovation Management, Emerald Group Publishing Limited, vol. 18(2), pages 195-217, May.
    13. Leo Paul Dana & Teresa E. Dana, 2005. "Expanding the scope of methodologies used in entrepreneurship research," International Journal of Entrepreneurship and Small Business, Inderscience Enterprises Ltd, vol. 2(1), pages 79-88.
    14. David J. Teece, 2007. "Explicating dynamic capabilities: the nature and microfoundations of (sustainable) enterprise performance," Strategic Management Journal, Wiley Blackwell, vol. 28(13), pages 1319-1350, December.
    15. Thomas J. Kull & Josip Kotlar & Martin Spring, 2018. "Small and Medium Enterprise Research in Supply Chain Management: The Case for Single†Respondent Research Designs," Journal of Supply Chain Management, Institute for Supply Management, vol. 54(1), pages 23-34, January.
    16. Maurizio Zollo & Sidney G. Winter, 2002. "Deliberate Learning and the Evolution of Dynamic Capabilities," Organization Science, INFORMS, vol. 13(3), pages 339-351, June.
    17. Stéphane J. G. Girod & Richard Whittington, 2017. "Reconfiguration, restructuring and firm performance: Dynamic capabilities and environmental dynamism," Strategic Management Journal, Wiley Blackwell, vol. 38(5), pages 1121-1133, May.
    18. Ratna Nurhayati & Grantley Taylor & Rusmin Rusmin & Greg Tower & Bikram Chatterjee, 2016. "Factors determining social and environmental reporting by Indian textile and apparel firms: a test of legitimacy theory," Social Responsibility Journal, Emerald Group Publishing Limited, vol. 12(1), pages 167-189, March.
    19. Armstrong, J. Scott & Overton, Terry S., 1977. "Estimating Nonresponse Bias in Mail Surveys," MPRA Paper 81694, University Library of Munich, Germany.
    20. Kumar, Gopal & Subramanian, Nachiappan & Maria Arputham, Ramkumar, 2018. "Missing link between sustainability collaborative strategy and supply chain performance: Role of dynamic capability," International Journal of Production Economics, Elsevier, vol. 203(C), pages 96-109.
    21. David J. Teece & Gary Pisano & Amy Shuen, 1997. "Dynamic capabilities and strategic management," Strategic Management Journal, Wiley Blackwell, vol. 18(7), pages 509-533, August.
    22. Li, Da-yuan & Liu, Juan, 2014. "Dynamic capabilities, environmental dynamism, and competitive advantage: Evidence from China," Journal of Business Research, Elsevier, vol. 67(1), pages 2793-2799.
    23. Richter, Nicole Franziska & Hauff, Sven, 2022. "Necessary conditions in international business research–Advancing the field with a new perspective on causality and data analysis," Journal of World Business, Elsevier, vol. 57(5).
    24. Jayani Ishara Sudusinghe & Stefan Seuring, 2020. "Social Sustainability Empowering the Economic Sustainability in the Global Apparel Supply Chain," Sustainability, MDPI, vol. 12(7), pages 1-18, March.
    25. Kathleen M. Eisenhardt & Jeffrey A. Martin, 2000. "Dynamic capabilities: what are they?," Strategic Management Journal, Wiley Blackwell, vol. 21(10‐11), pages 1105-1121, October.
    26. Bouncken, Ricarda B. & Kraus, Sascha, 2013. "Innovation in knowledge-intensive industries: The double-edged sword of coopetition," Journal of Business Research, Elsevier, vol. 66(10), pages 2060-2070.
    27. Gaurav Jyoti & Ashu Khanna, 2021. "Does sustainability performance impact financial performance? Evidence from Indian service sector firms," Sustainable Development, John Wiley & Sons, Ltd., vol. 29(6), pages 1086-1095, November.
    28. Yu, Wantao & Jacobs, Mark A. & Chavez, Roberto & Yang, Jiehui, 2019. "Dynamism, disruption orientation, and resilience in the supply chain and the impacts on financial performance: A dynamic capabilities perspective," International Journal of Production Economics, Elsevier, vol. 218(C), pages 352-362.
    29. Wu, Lei-Yu, 2010. "Applicability of the resource-based and dynamic-capability views under environmental volatility," Journal of Business Research, Elsevier, vol. 63(1), pages 27-31, January.
    30. Catherine M. Paul & Donald Siegel, 2006. "Corporate social responsibility and economic performance," Journal of Productivity Analysis, Springer, vol. 26(3), pages 207-211, December.
    31. Yu-Hsien Lin & Yu-Shan Chen, 2017. "Determinants of green competitive advantage: the roles of green knowledge sharing, green dynamic capabilities, and green service innovation," Quality & Quantity: International Journal of Methodology, Springer, vol. 51(4), pages 1663-1685, July.
    32. Chelariu, Cristian & Bello, Daniel C. & Gilliland, David I., 2006. "Institutional antecedents and performance consequences of influence strategies in export channels to Eastern European transitional economies," Journal of Business Research, Elsevier, vol. 59(5), pages 525-534, May.
    33. Guo, Hai & Xu, Erming & Jacobs, Mark, 2014. "Managerial political ties and firm performance during institutional transitions: An analysis of mediating mechanisms," Journal of Business Research, Elsevier, vol. 67(2), pages 116-127.
    34. Ji, Guojun & Gunasekaran, Angappa & Yang, Guangyong, 2014. "Constructing sustainable supply chain under double environmental medium regulations," International Journal of Production Economics, Elsevier, vol. 147(PB), pages 211-219.
    35. Westhead, Paul & Wright, Mike & Ucbasaran, Deniz, 2001. "The internationalization of new and small firms: A resource-based view," Journal of Business Venturing, Elsevier, vol. 16(4), pages 333-358, July.
    36. Sidney G. Winter, 2003. "Understanding dynamic capabilities," Strategic Management Journal, Wiley Blackwell, vol. 24(10), pages 991-995, October.
    37. Hediyeh Mahmoodi & Jafar Heydari, 2021. "Consumers' preferences in purchasing recycled/refurbished products: an empirical investigation," International Journal of Services and Operations Management, Inderscience Enterprises Ltd, vol. 38(4), pages 594-609.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Magoti Harun & Gladness Salema & Mordecai Matto, 2025. "Achieving desired compliance performance in public procurement: Does embedding a culture of performance orientation matter?," Future Business Journal, Springer, vol. 11(1), pages 1-21, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Pinho, José Carlos & Prange, Christiane, 2016. "The effect of social networks and dynamic internationalization capabilities on international performance," Journal of World Business, Elsevier, vol. 51(3), pages 391-403.
    2. Seong Hun Kim & Yae Rim Yang, 2025. "The Effect of Digital Quality on Customer Satisfaction and Brand Loyalty Under Environmental Uncertainty: Evidence from the Banking Industry," Sustainability, MDPI, vol. 17(8), pages 1-44, April.
    3. Li, Shenxue & Easterby-Smith, Mark & Hong, Jacky F.L., 2019. "Towards an understanding of the nature of dynamic capabilities in high-velocity markets of China," Journal of Business Research, Elsevier, vol. 97(C), pages 212-226.
    4. Shore, Adam & Tiwari, Manisha & Tandon, Priyanka & Foropon, Cyril, 2024. "Building entrepreneurial resilience during crisis using generative AI: An empirical study on SMEs," Technovation, Elsevier, vol. 135(C).
    5. Qaiyum, Sameer & Wang, Catherine L., 2018. "Understanding internal conditions driving ordinary and dynamic capabilities in Indian high-tech firms," Journal of Business Research, Elsevier, vol. 90(C), pages 206-214.
    6. Bitencourt, Claudia Cristina & de Oliveira Santini, Fernando & Ladeira, Wagner Junior & Santos, Ana Clarissa & Teixeira, Eduardo Kunzel, 2020. "The extended dynamic capabilities model: A meta-analysis," European Management Journal, Elsevier, vol. 38(1), pages 108-120.
    7. Richter, Philipp Clemens & Brühl, Rolf, 2020. "Ahead of the game: Antecedents for the success of shared service centers," European Management Journal, Elsevier, vol. 38(3), pages 477-488.
    8. Byungjoo Paek & Heesang Lee, 2018. "Strategic entrepreneurship and competitive advantage of established firms: evidence from the digital TV industry," International Entrepreneurship and Management Journal, Springer, vol. 14(4), pages 883-925, December.
    9. Hua Shang & Renfei Chen & Zhongwen Li, 2020. "Dynamic sustainability capabilities and corporate sustainability performance: The mediating effect of resource management capabilities," Sustainable Development, John Wiley & Sons, Ltd., vol. 28(4), pages 595-612, July.
    10. Owais Khan & Tiberio Daddi & Fabio Iraldo, 2020. "The role of dynamic capabilities in circular economy implementation and performance of companies," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(6), pages 3018-3033, November.
    11. Trujillo-Gallego, Mariana & Sarache, William & Sousa Jabbour, Ana Beatriz Lopes de, 2022. "Digital technologies and green human resource management: Capabilities for GSCM adoption and enhanced performance," International Journal of Production Economics, Elsevier, vol. 249(C).
    12. Siems, Erik & Land, Anna & Seuring, Stefan, 2021. "Dynamic capabilities in sustainable supply chain management: An inter-temporal comparison of the food and automotive industries," International Journal of Production Economics, Elsevier, vol. 236(C).
    13. Maren Schlömer & Hendrik Wilhelm & Indre Maurer & Frank Wallau, 2013. "Die Wirkung dynamischer Fähigkeiten auf die Effektivität und Effizienz operativer Prozesse," Schmalenbach Journal of Business Research, Springer, vol. 65(3), pages 214-243, May.
    14. Zhang, Yucheng & Hou, Zhongwei & Yang, Feifei & Yang, Miles M. & Wang, Zhiling, 2021. "Discovering the evolution of resource-based theory: Science mapping based on bibliometric analysis," Journal of Business Research, Elsevier, vol. 137(C), pages 500-516.
    15. Glyptis, Loukas & Hadjielias, Elias & Christofi, Michael & Kvasova, Olga & Vrontis, Demetris, 2021. "Dynamic familiness capabilities and family business growth: A longitudinal perspective framed within management accounting," Journal of Business Research, Elsevier, vol. 127(C), pages 346-363.
    16. von den Driesch, Till & Eva Susanne da Costa, Maika & Christina Flatten, Tessa & Brettel, Malte, 2015. "How CEO experience, personality, and network affect firms' dynamic capabilities," European Management Journal, Elsevier, vol. 33(4), pages 245-256.
    17. Zhang-Zhang, YingYing & Rohlfer, Sylvia & Varma, Arup, 2022. "Strategic people management in contemporary highly dynamic VUCA contexts: A knowledge worker perspective," Journal of Business Research, Elsevier, vol. 144(C), pages 587-598.
    18. Huy-Cuong Vo-Thai & Shihmin Lo & My-Linh Tran, 2021. "How Capability Reconfiguration in Coping With External Dynamism Can Shape the Performance of the Vietnamese Enterprises," SAGE Open, , vol. 11(3), pages 21582440211, July.
    19. Richard Arend, 2013. "Ethics-focused dynamic capabilities: a small business perspective," Small Business Economics, Springer, vol. 41(1), pages 1-24, June.
    20. Changwei Pang & Qiong Wang, 2024. "How Digital Transformation Promotes Disruptive Innovation? Evidence from Chinese Entrepreneurial Firms," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(2), pages 7788-7818, June.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wly:sustdv:v:31:y:2023:i:4:p:2636-2655. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://onlinelibrary.wiley.com/journal/10.1002/(ISSN)1099-1719 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.