Identifying the resource conditions that maximize the relationship between ambidexterity and new product performance

Purpose: Organizational ambidexterity is argued to be a prerequisite for successful new product development, especially for firms operating in highly competitive emerging markets. Despite growing attention to the importance of ambidexterity, the conditions under which specific forms of ambidexterity are more or less beneficial to new product performance (NPP) remain unclear. This study aims to investigate the contingent value of two specific resource conditions that favor the pursuit of the balanced dimension versus combined dimension of ambidexterity to achieve superior NPP. Design/methodology/approach: Survey data were drawn from a sample of 156 high-tech large firms operating in the Middle East and tested through a hierarchical regression analysis. Findings: This study highlights the important role of slack resources and social networking capability in enhancing the benefits of the combined dimension of ambidexterity over the balanced dimension of ambidexterity to drive NPP. Originality/value: This study extends prior research which has mainly examined organizational characteristics that facilitates organizational ambidexterity and sheds light on the specific resource conditions under which high-technology firms operating in an emerging economy should pursue balanced dimension of ambidexterity or combined dimension of ambidexterity to achieve superior NPP.