Strategic Ambidexterity Role in Product Innovativeness of Industrial Small and Medium-Sized Enterprises in Jordan: A Conceptual Paper

Abstract

The level of product innovativeness in Jordan is low. It is therefore beneficial to maintain a balance between exploration and exploitation to improve the innovativeness of products. This conceptual study aims to examine the factors that influence the product innovativeness in Jordanian industrial SMEs. Three anchor theories have been used to conceptualise product innovativeness: Resource-based theory, Dynamic capability theory and Contingency theory. This study examines product innovativeness from the dynamic capability perspective, while also considering the impact of a firm’s resources from the resource -based perspective and the environment in which a firm operates based on Contingency theory. The quantitative method employed, and data gathered through cross-sectional questionnaires. The data was analysed using the Smart-PLS 3.3.3 structural equation model. This study has proven beneficial for 1753 Jordanian industrial SMEs. The findings of this study provide practical recommendations and guidelines for policymakers and the government to assess their current policies and strategies to establish a framework for promoting product innovation in Jordanian industrial SMEs.