How information technology influences opportunity exploration and exploitation firm's capabilities

Jose Benitez, Javier Llorens, Jessica Braojos

Research output: Indexed journal article Articlepeer-review

96 Citations (Scopus)

Abstract

Understanding how and why some firms have proficiency in exploring and exploiting opportunities is a cutting-edge research problem. Our central thesis is that information technology (IT) performs a key role in firms’ opportunity exploration and exploitation. We test the proposed theory using partial least squares path modeling on a combination of survey and secondary data from 203 Spanish firms. We find that: (1) IT infrastructure provides the foundation to build business experimentation and the flexibility to sense and explore business opportunities; and (2) IT-enabled business flexibility helps firms to develop the operational proficiency to exploit opportunities and increase their performance.

Original languageEnglish
Pages (from-to)508-523
Number of pages16
JournalInformation and Management
Volume55
Issue number4
DOIs
Publication statusPublished - Jun 2018
Externally publishedYes

Keywords

  • Business flexibility
  • Business opportunities
  • Business value of IT
  • Exploration and exploitation
  • IT infrastructure

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