Organizational slack, ambidextrous search and high-tech SMEs’ performance: do strategic orientations matter?

Abstract

Abstract Ambidextrous search behaviors that jointly looking for technological and market knowledge gain attention in the innovation management literature. This study treats the ambidextrous search behaviors as a technology-market search paradox and examines the effect of organizational slack on the paradox and further explore whether this paradox has synergistic effects on performance in high-tech small medium-sized enterprises (SMEs). Besides, by integrating the literature of ambidextrous search and strategic management, we seek to understand the roles of strategic orientations, including growth-oriented and profit-oriented, in SMEs’ technology-market search paradox. Based on panel data of 547 high-tech SMEs, we find that organizational slack promotes both technology and market search, and ambidextrous search separately enhance high-tech SMEs’ performance, while the interaction of technology search and market search is negatively related to performance. Further, a growth-oriented strategy positively moderates the link between organizational slack and ambidextrous search and a profit-oriented strategy reinforces the relationship between organizational slack and technology search. We further enrich search-related and strategic literature.