Journal of Innovation & Knowledge (Jan 2024)
Strategic imperatives for new product success: An internal stakeholder perspective
Abstract
Purpose: Due to a high failure rate of new products, there is an urgent need to probe the drivers of new product success, by probing internal and external factors. Thus, our study empirically examines the synergistic effects of market orientation and entrepreneurial orientation (external focus) on new product success and investigates the mediating and moderating role of employee job satisfaction and intention to stay (internal focus) on this relationship. Design/methodology/approach: Data were generated through questionnaire from a sample of 226 employees in the competition-and technology-intensive sector. Hierarchical multiple regression was used to test the study's hypotheses. Findings: The results indicate significant and positive synergistic effects of market and entrepreneurial orientation on new product success and also confirm the partial mediation of employee job satisfaction. The interaction effects of market (and entrepreneurial) orientation with intention to stay are found to be significant but negative, revealing that even at a lower level of staying intention, the influence of market (and entrepreneurial) orientation on new product success is strong. Practical implications: The study offers novel insights for policy makers to adopt a market-oriented culture along with entrepreneurial orientation to enhance the level of employees’ satisfaction, which would enhance their skills and energies toward the attainment of new product success. Theoretical contributions: The strategic management literature has analysed the synergistic effects of market orientation and entrepreneurial orientation on the business performance but only from a managerial perspective. However, exploring this relationship from employees’ perspective remains sparse, more particularly when studying the influence of these strategic orientations on new product success.
