Core Technological Competence and Competitive Advantage: A Study on Chinese High-Tech SMEs
Tong Tong1,2, Kashif Iqbal3, Azmawani Abd Rahman2
1Department of Literature, Sichuan Minzu College, Kangding, China.
Frontiers in Psychology
|August 8, 2022
Summary
High-tech SMEs gain competitive advantage by strengthening infrastructure, technology, and organizational flexibility. Innovative R&D capability significantly impacts competitive advantage, with organizational flexibility mediating this effect, especially during COVID-19.
Area of Science:
- Business & Economics
- Technology Management
Background:
- High-tech SMEs face challenges in maintaining competitive advantage, particularly under the influence of global events like COVID-19.
- Core technology competence is crucial for SME success in rapidly evolving markets.
Purpose of the Study:
- To investigate the impact of core technology competence on the competitive advantage of high-tech SMEs in China.
- To analyze the mediating role of organizational flexibility in the relationship between innovative R&D capability and competitive advantage.
Main Methods:
- Survey data from 379 high-tech SMEs in China.
- Structural Equation Modeling (SEM) to test the research model.
Main Results:
- Infrastructure and technology, state-of-the-art technology, and innovative R&D capability significantly enhance competitive advantage.
- These core technology components also significantly improve organizational flexibility.
- Organizational flexibility acts as a mediator, amplifying the effect of innovative R&D capability on competitive advantage.
Conclusions:
- Strengthening enterprise infrastructure, technology, and organizational flexibility are key strategies for high-tech SMEs to achieve competitive advantage, especially during the COVID-19 pandemic.
- Understanding the interplay between core technology competence, organizational flexibility, and competitive advantage is vital for SME survival and growth.
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