An Improvement of Organizational Effectiveness through the Analysis of the Relationship between Entrepreneurship and Dynamic Capabilities in IT Venture Business

Soo-Young Kim, Wang-Jin Yoo, Sang-Jin Lee

Abstract


A purpose of this study is to learn about the impact on organizational effectiveness by analyzing the relationship between entrepreneurship and dynamic capabilities. Investigation was based on the theory of dynamic capabilities of Teece (2002), and established a research model to study the details accordingly. The research hypothesis is as follows. First, entrepreneurship will have a significant impact on dynamic capability. Second, dynamic capabilities will have a significant impact on organizational effectiveness. Survey was conducted for employees in IT ventures, which was used to analyze 412 additional. The results are as follows. Has had a significant impact on organizational effectiveness is the relationship between entrepreneurship and dynamic capabilities. In particular, this shows that a high impact on the organizational effectiveness of the organization’s dynamic capabilities are assimilation exploitation capabilities, not the absorptive transformation capability of dynamic capabilities. CEO should actively consider whether the employees of the organization are developing the assimilation exploitation capabilities to make an impact on their organization’s effectiveness.


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