The role of innovative work behaviour and knowledge-based dynamic capabilities in increasing the innovative performance of agricultural enterprises

Abstract

The purpose of this study is to examine the interrelationships among the variables of the entrepreneurial orientation (EO) of agrarian management, innovative work behaviour (IWB) of employees, knowledge-based dynamic capabilities (KBDC) and innovative performance (IP) of agrarian enterprises. We analysed not only direct effects but also the possibilities of mediating these effects to increase the overall effect on IP. A questionnaire survey was used to collect data from managers of agribusinesses in Slovakia (175 respondents). We used the partial least squares structural equation modelling method and the appropriate software to test the theoretical research model and the proposed hypotheses to examine the relationships among the individual selected constructs in more depth. The findings point to the existence of a statistically significant relationship between EO and IP, which, however, is weaker than the overall effect of the involvement of mediation variables. Each mediation variable (IWB and KBDC) increases the overall effect separately, but their joint mediation action is of the greatest importance, when full mediation takes place. The strength of the relationship between the two main variables is also influenced by the size of the agrarian enterprise such that being larger has a negative moderation effect. Significant differences were also identified in the legal forms of business in favour of companies over agricultural co-operatives (ACs).

Keywords

• agricultural management
• agriculture
• entrepreneurial orientation
• innovation
• organisational performance