– The purpose of this paper is to demonstrate the relationship between intellectual capital and innovative performance, and to specify the boundary conditions and mechanisms of the relationship from a knowledge-based dynamic capability perspective.
– This study empirically analyzes the impact of intellectual capital on innovative performance and the role knowledge-based dynamic capability plays with a sample of 217 firms in China. To test the research hypotheses, regression analysis is applied.
– The results show that intellectual capital positively affects innovative performance, and knowledge-based dynamic capability is a mediator rather than a moderator which partly mediates the relationship between intellectual capital and innovative performance.
– The findings suggest that realizing superior innovative performance is dependent on a firm’s intellectual capital and its ability to sense opportunities and threats, to make timely and correct decisions, and to facilitate necessary changes efficiently.
– This study is the first to clarify whether knowledge-based dynamic capability plays a moderating role or a mediating role between intellectual capital and innovative performance. The present study thus helps move forward the understanding on the conditions and mechanisms of the effects of intellectual capital.
