Implications of Contextual Ambidexterity and Digital Platform Capability on SME Performance: The Role of Absorptive Capacity as a Moderator
Implikasi kedwicekatan kontekstual dan keupayaan platform digital terhadap prestasi PKS: Peranan kapasiti penyerapan sebagai penyederhanaan

Faculty of Management and Economics
Universiti Pendidikan Sultan Idris
35900 Tanjong Malim, Perak, MALAYSIA.

rohieszan@fpe.upsi.edu.my

Faculty of Economics and Management
Universiti Kebangsaan Malaysia
43600 UKM Bangi, Selangor, MALAYSIA.

iza@ukm.edu.my

Faculty of Industrial Management
Universiti Malaysia Pahang Al- Sultan Abdullah
Lebuhraya Persiaran Tun Khalil Yaakob 26300, Kuantan Pahang, MALAYSIA.

ashykin@umpsa.edu.my

Faculty of Management
Universiti Teknologi Malaysia
81310 Johor Bahru, Johor, MALAYSIA.

nursyazwani.mohdfuzi@utm.my

Faculty of Humanities, Management and Science
Universiti Putra Malaysia
Kampus Bintulu Sarawak, Jalan Nyabau, 97008 Bintulu, Sarawak, MALAYSIA.

sharon.ong@upm.edu.my

School of Business Management, College of Business
Universiti Utara Malaysia
06010 Sintok Kedah, MALAYSIA.

nuryuhainis@uum.edu.my

Abstract

Contextual ambidexterity and digital platform capability can help SMEs achieve long-term success. However, achieving a balance between exploration and exploitation of contextual ambidexterity for integrating and reconfiguring organisations using digital platform capability is challenging to SMEs. The inherent disadvantage of size and lack of resources plaguing SMEs limits their market competitiveness. In this digital age, it is pertinent for SMEs to focus on capabilities development, especially capabilities that can leverage digital infrastructure to compensate for resource deficiencies. To address this issue, this study examines the implications of contextual ambidexterity and digital platform capability on SMEs performance, and the role of absorptive capacity as a moderator. Using a quantitative method, 157 responses from Malaysian SME managers were analysed using PROCESS Macro. The results show that both contextual ambidexterity and digital platform capability have positive relationships with SME performance, while absorptive capacity positively moderates the relationship between contextual ambidexterity and digital platform capability, enhancing SMEs performance. Overall, this study contributes to the current literature by highlighting contextual ambidexterity and digital platform capabilities as critical dynamic capabilities for SMEs. The findings demonstrate that organisational learning elements represented by absorptive capacity could strengthen the interplay of dynamic capabilities to achieve the competitive advantage. This study can also help SME managers in developing countries to develop strategic actions to achieve superior performance through continuous and sustainable learning, as well as provide some suggestions for future research.

Keywords

absorptive capacity; contextual ambidexterity; digital platform capability; organisational learning; SMEs performance

Citation

Ramdan, M. R., Abdullah, N. L., Abd Aziz, N. A., Mohd Fuzi, N., Ong, S. Y. Y., & Ab. Wahab, N. Y. (2024). Implications of Contextual Ambidexterity and Digital Platform Capability on SME Performance: The Role of Absorptive Capacity as a Moderator. Jurnal Pengurusan, 71, –.

@article{ramdan2024implications,
  title={Implications of Contextual Ambidexterity and Digital Platform Capability on SME Performance: The Role of Absorptive Capacity as a Moderator},
  author={Ramdan, Mohamad Rohieszan and Abdullah, Nor Liza and Abd Aziz, Nurul Ashykin and Mohd Fuzi, Nursyazwani and Ong, Sharon Yong Yee and Ab. Wahab, Nur Yuhainis},
  journal={Jurnal Pengurusan},
 

volume={71},
  number={},
  pages={—},
  year={2024},
  doi={},
  publisher={Penerbit UKM},
}

Export Bibliography:

No. of views: 124

   

Article received:  
Accepted for publication:  
Available online: 

Issue logo

71 (2024) –

Download PDF

Share via:

Similar Articles

  1. Revisiting SMEs’ Business Strategy: Shifting Outsourcing to Crowdsourcing Practices to Enhance SMEs’ Performance

Receive updates when new articles are published