Skip to content
Review Open access

Firm Age as A Strategic Contingency: Strengthening the Effects of Innovation and Branding Capabilities on Competitive Advantage and Performance

Sep 2026 · Gadjah Mada International Journal of Business · Vol 28, pp. 364-391 · 0 citations · 66 references

Abstract

Purpose – This study examines whether firm age conditions relationships among innovation capability, branding capability, competitive advantage, and business performance. Design/methodology/approach – Survey data from 306 owners and managers of medium-sized batik enterprises in Madura, Indonesia, were analysed using PLS-SEM. Findings – Innovation capability strengthened branding capability, competitive advantage, and performance; branding capability strengthened competitive advantage but not performance directly; competitive advantage improved performance. Firm age positively moderated the four tested capability–outcome relationships. Research limitations/implications – The single-industry, single-region design limits generalisability. Practical implications – Managers should align innovation and branding investments with organisational maturity. Social implications – Capability development may support the sustainability of culturally embedded batik enterprises. Originality/value – The study positions firm age as a strategic contingency explaining when internal capabilities translate into competitive outcomes.

Read PDF

Similar papers

Review Open access 2026

The Influence of Institutional Environment and Innovation Capacity on Supply Chain Performance and Competitive Advantage: Empirical Evidence from Ghana

Purpose – This study examines the extent to which institutional environment influences innovation capacity, supply chain performance, and competitive advantage among small and medium enterprises (SMEs) in Ghana, drawing insights from institutional theory. Design/methodology/approach – The study employed a quantitative...

Emmanuel Nii Tackie, Sheriff Adjei Odonkor · 0 citations
Review Open access Sep 2026

Small Firms, Big Moves: How Strategic Orientations Drive Innovation and Resilience in Qatar—A PLS-SEM Approach to Capability Development and Business Performance

In Qatar’s rapidly evolving economy, small- and medium-sized enterprises (SMEs) play a vital role in driving economic diversification and sustainable development. However, they face persistent challenges, including limited resources, capability gaps, intense competition, restricted access to finance, and environmental...

Mohamed Mohd Ali Al Haifi, A. Al-Swidi, Mohd. Nishat Faisal · 0 citations
Open access Sep 2026

Managerial capability, market orientation, and business performance in coastal agribusiness SMEs: the mediating role of innovation capability in South Sulawesi, Indonesia

Business performance in coastal agribusiness SMEs is increasingly challenged by environmental uncertainty, fluctuating market conditions, and limited organizational resources. While previous studies have highlighted the importance of organizational capabilities, limited attention has been given to how these capabil...

S. Sulhan, Eliza Meiyani, Rosita Marhan et al. · 0 citations
Review Open access Sep 2026

Sustainable Business Practices and Competitive Advantage of Fast-Moving Consumer Goods Firms: The Moderating Role of Technological Innovation in Lagos State

This study examines whether technological innovation strengthens the effect of sustainable business practices on competitive advantage among fast-moving consumer goods (FMCG) firms in Lagos State, Nigeria. Drawing on the Natural Resource-Based View and Dynamic Capabilities Theory, the study conceptualises sustainable b...

P. Worimegbe, Temitope Mariam Worimegbe, E. Dogo et al. · 0 citations
Review Open access Sep 2026

Entrepreneurial Orientation, Marketing Capability, Marketing Innovation and Market Performance: The Serial Mediating Roles of Innovation Capability and Sustainable Competitive Advantage Among Vietnamese SMEs

This study investigates the effects of entrepreneurial orientation (EO), marketing capability (MC) and marketing innovation (MI) on market performance (MP) through the serial mediating roles of innovation capability (IC) and sustainable competitive advantage (SCA) among Vietnamese small and medium enterprises (SMEs). G...

Le Thi Phuong Hang, Ta Quoc Trung · 0 citations
Sep 2026

Green Innovation as a Strategic Driver of Competitive Advantage: Mediating and Moderating Effects of Green Corporate Image and Firm Resources

The study aims to examine the impact of green innovation on competitive advantage, focusing on the mediating role of green corporate image and the moderating role of firm resources. The simple random sampling technique was employed, and a self-administered structured questionnaire was distributed among 323 managers in...

L. R. Rupasinghe, M. Pushpakumari, G. D. N. Perera · 0 citations

We use cookies to run the site and, with your consent, for analytics and to show ads. See our Cookie Policy.