Recombine supplier-side search via innovation ambidexterity

Purpose: The purpose of this paper is to investigate the individual effects of boundary-spanning search from suppliers (supplier-side search (SS)). It is proposed that SS contributes to innovation ambidexterity (IA) and then business performance (BP). Further, this paper includes buyer–supplier relationships (BSRs) and competitive intensity (CI) as moderators to clarify boundary conditions. Design/methodology/approach: An ordinary least squares regression was employed to test hypotheses, based on 184 sets of data from Hong Kong manufacturing firms. The SPSS version of PROCESS was utilized. Findings: The results show that IA partially mediates the relationship between SS and BP. Contingently, the direct effect is negatively moderated by BSRs and CI. Research limitations/implications: This paper confirms the partial mediating effect of IA on the relationship between SS and BP. Additional mediators, such as organizational innovation and marketing innovation, can be examined in the future. Practical implications: This paper contributes to practice by suggesting that suppliers are a rewarding single source for firms to undertake boundary-spanning search. IA plays a significant role in reinforcing the effects of SS on BP and should be implemented with sustaining efforts. BSRs and CI can be detrimental and should be responded to cautiously. Originality/value: This paper highlights the individual effects of SS on BP. Furthermore, the underlying process and boundary conditions are analyzed. The exploitation-exploration framework is applied throughout the entire study.