Page 239 - UKZN Proceedings of the Conference Report

often reacting to changes without a coherent strategic alignment. Their diverse approaches to seizing opportunities reflect a complex interplay of internal and external influences, akin to the emergent and adaptive capacities described by Levinthal and March (1993).
To establish a link between dynamic capabilities and the modified innovation strategies, the theory of dynamic capabilities was employed as a theoretical framework. Dynamic capabilities, which encompass the abilities of sensing, seizing, and transforming, were examined in relation to each of the five innovation strategy categories. Researchers contend that dynamic capabilities are deeply embedded in organisational processes and are aimed
at enabling organisational change and development (Eisenhardt & Martin, 2000; Zott, 2001). These attributes allow the business to adjust its resources and respond to market changes in order to gain a competitive edge. Specifically in this study, we aimed to explore the extent to which various innovation strategies adopted by agricultural firms were influenced by their inherent capabilities to sense environmental changes, seize emerging opportunities, and transform internal processes in alignment with strategic objectives.
Table 1 presents a summary illustration of how dynamic capabilities directly shape and manifest within different innovation strategy categories.
table 1 Mapping innovation strategies to dynamic capabilities
Innovation Strategy
dynamic Capability of sensing
dynamic Capability of seizing
dynamic Capability of transforming
Proactive
Firms actively scan the external environment for emerging trends, technologies, and market shifts.
Firms rapidly capitalise on identified opportunities with a proactive approach to innovation execution.
Firms adeptly transform internal processes and resources to align with strategic objectives and emerging trends.
active
Firms maintain a moderate level of environmental awareness, focusing on specific changes relevant to their industry.
Firms showcasing a balanced approach, seizing opportunities by leveraging existing internal capabilities and external collaborations.
Firms demonstrate a moderate ability to adapt and align internal processes to accommodate innovation initiatives.
reactive
Firms possess a limited capacity to sense changes in the environment, often relying on external sources to identify opportunities.
Firms that respond to opportunities as they arise, leveraging external expertise and partnerships to execute innovation initiatives.
Firms exhibit a limited capacity to transform internal processes, often relying on external resources for implementation.
Passive
Firms lack a structured sensing mechanism, primarily relying on external institutions for insights into potential innovations.
Firms adopt a passive approach to innovation, responding minimally to external changes and relying heavily on external resources.
Firms exhibit a low inclination to transform internal processes, often delegating the responsibility to external entities.
Stagnant Innovators
Firms display varied levels of environmental awareness, often responding to changes without a clear alignment with established innovation strategies.
Firms exhibit diverse approaches to seizing opportunities, with responses that do not neatly
fit into traditional innovation strategy categories.
Firms’ ability to transform is heterogeneous, reflecting their unique contexts and adaptive capacities.
Analysing the effects of innovation strategies on innovation outcomes
Drawing from the classification of the different innovation strategies that were employed by the different firms, a regression model was developed that seeks to assess the relationship between the different adopted innovation strategies and the innovation outcomes of agricultural firms. The regression analysis used in this study operates
within the framework of innovation strategies which was conceptualised as strategic choices to focus on specific innovation activities which guided firms through the complexities and challenges of the Covid-19 pandemic. Dodgson et al.’s (2008) innovation strategy framework informed the selection of variables, capturing firms’ distinct approaches to innovation under the spectre of the pandemic.
Proceedings of the conference on Public innovation, develoPment and sustainability | 237