How to deal with technological turbulence for improving innovation performance

In the past few decades, technologies, such as mobile communication, computer and digital technologies, change rapidly. Technological turbulence has become a remarkable phenomenon faced by companies. Research has suggested that technological turbulence can be regarded as a driving force, which contributes to innovation performance improvement. However, the process of how technological turbulence influences innovation performance remains unknown. It is not clear through which path can enterprises improve innovation performance to deal with technological turbulence. In addition, the relationship between customer/supplier involvement (SI/CI) and technological turbulence is uncertain yet. In response to the research gap, this study analyses how technological turbulence is related to SI/CI, and clarify the mechanism how companies cope with technological turbulence to improve innovation performance. In this study we collect data from 213 manufacturing Chinese firms using stratified random sampling method. Results show first, technological turbulence is positively related to SI/CI. Second, flatness moderates the relationship between technological turbulence and CI. Third, SI/CI mediates the relationship between technological turbulence and innovation performance. Moreover, flatness moderates the mediation effect of CI between technological turbulence and innovation performance.