The antecedents and outcomes of innovation ambidexterity: A study on high-tech SMEs in China

In an era of rapid technological advancements and global competition, high-tech small and medium-sized enterprises (SMEs) must adopt strategic approaches to sustain innovation and enhance performance. This study examines the effects of Strategic Orientation, Digital Marketing Capability, and Innovation Climate on Innovation Ambidexterity while also exploring how Innovation Ambidexterity and Innovation Climate influence SME performance in China’s high-tech sector. Additionally, it investigates the mediating role of Innovation Climate in the relationship between Strategeic Orientation and Innovation Ambidexterity. Data were collected through survey questionnaires from 362 owners and managers of high-tech SMEs in Guangdong and Zhejiang provinces, China. The data were analyzed using Partial Least Squares-Structural Equation Modeling (PLS-SEM). The findings indicate that both Strategic Orientation and Digital Marketing Capability significantly enhance Innovation Climate. Additionally, Innovation Ambidexterity has a positive impact on SME performance, reinforcing its critical role in driving business success. However, Innovation Climate does not have a significant direct effect on SME performance. Nontheless, Innovation Climate mediates the relationship between Strategic Orientation and Innovation Ambidexterity, highlighting its role in fostering an innovation-driven environment. This study is grounded in two key theoretical frameworks: the Dynamic Capability View (DCV) and Innovation Theory, which together provide a comprehensive understanding of how firms develop and sustain competitive advantages through innovation. The findings offer valuable insights for policymakers, industry practitioners, and business leaders, emphasizing the need for well-designed policies and strategic support to empower high-tech SMEs. By fostering an ambidextrous innovation strategy, firms can enhance their adaptability, promote sustainable growth, and strengthen their competitive position in dynamic markets.