ABSTRACT
This article presents a comprehensive dataset from the annual reports of China's public-listed companies, the China Stock Market and Accounting Research Database, and the Wind database, focusing on digital transformation and strategic risk taking. This dataset covers 14 years from 2008 to 2021 with 17,089 firm-year observations. Digital transformation is calculated using text mining techniques and keyword frequency analyses based on the firms' annual reports. Then, strategic risk taking is a composite strategic index that combines long-term debt, R&D expenditure, and capital expenditure. The dynamic capability is measured by a comprehensive index that includes three dimensions: absorptive capacity, adaptive capability, and innovation capability. This dataset can serve as a reference base for future studies on the effect of digital transformation on corporate strategic behavior. It can also be integrated into building core competencies to assist managers in identifying the role of dynamic capability.
ABSTRACT
While most studies have viewed strategic flexibility as a capability to cope with the environmental turbulence and promote the product innovation, few of them investigate the mediating mechanism in the relationship between the strategic flexibility and product innovation. According to the resource-based view, we regard the bricolage as a concrete activity of recombining the different resources in the product development process and explore the underlying mechanism. Our results reveal that strategic flexibility has a positive and significant effect on bricolage. The effect of strategic flexibility on product innovation is partially mediated by bricolage. Furthermore, environmental turbulence moderates the relationship between strategic flexibility and bricolage positively. We contribute to the strategic flexibility research by exploring the effect of strategic flexibility on the bricolage and product innovation form a mediating perspective and offering a more nuanced and in-depth understanding of the impact of strategic flexibility. This research also provides new evidence on the effect of strategic flexibility on product innovation in transition economies such as China, where strategic flexibility is essential for firms to adapt to an uncertain environment.