ARTÍCULOS ORIGINALES
ISSN 2389-8186
E-ISSN 2389-8194
Vol. 10, No. 1
Enero-junio de 2023
doi: https://doi.org/10.16967/23898186.813
pp. 6-25
rpe.ceipa.edu.co
* PhD Business Administration. Gebze Technical University, Gebze, Turkey. E-mail: mcelikyay@gmail.com. ORCID: 0000-0003-4243-896X.
Google Scholar: https://scholar.google.com.co/citations?hl=en&user=29LPou0AAAAJ.
** PhD Business Administration. Bartin University, Bartin, Turkey. E-mail: fsonmez@bartin.edu.tr. ORCID: 0000-0001-5845-9162. Google
Scholar: https://scholar.google.com.co/citations?hl=en&user=IxIrwuMAAAAJ.
*** PhD Business Administration. Sakarya University of Applied Sciences, Sakarya, Turkey. E-mail: zaferadiguzel@subu.edu.tr.
ORCID: 0000-0001-8743-356X. Google Scholar: https://scholar.google.com.co/citations?hl=en&user=gqZP7-8AAAAJ. Scopus Author
ID: https://www.scopus.com/authid/detail.uri?authorId=57211239990.
Analysis of Innovation and Performance
Relationships of Companies Serving in
the Information and Communication
Sector
MEHMET CELIKYAY*
FATMA SONMEZ CAKIR**
ZAFER ADIGUZEL***
ISSN 2389-8186
E-ISSN 2389-8194
Vol. 10, No. 1
Enero-junio de 2023
doi: https://doi.org/10.16967/23898186.813
COMO CITAR ESTE ARTÍCULO
How to cite this article:
Celikyay, M., Sonmez, F. and
Adiguzel, Z. (2023). Analysis
of Innovation and Performance
Relationships of Companies
Serving in the Information and
Communication Sector. Revista
Perspectiva Empresarial, 10(1),
6-25.
Recibido: 22 de noviembre de 2022
Aceptado: 28 de abril de 2023
ABSTRACT Objective. Explorer the relationship between strategic orientation, Porter’s
generic competitive strategy, innovative capacity of rm, and products technical performance
in the Turkish ICT —Information and Communication Technology— sector. Methodology.
This study employed a quantitative research design in which 573 questionnaires applied to
people who work in various ICT companies located in Turkey. The research data were examined
using mediation eect and path analysis techniques. SmartPLS version 3.2 was used for
the abovementioned analyses. Results. The ndings revealed a positive and signicant
correlation between strategic orientation with the innovative capacity of rms and the
products technical performance. The results also indicate that Porter’s generic competitive
strategies play a mediating role in the relationships between strategic orientation, innovative
capacity of rms, and products technical performance. Conclusions. The importance of
integrating strategic orientation and competitive strategies in order to innovative capacity
of rms or products technical performance is concluded, particularly in ICT companies.
KEY WORDS Strategic orientation, Competitive strategies, Firm innovativeness, Product
technical performance, Turkish ICT sector.
Análisis de las relaciones entre innovación y rendimiento de las empresas
del sector de la información y la comunicación
RESUMEN Objetivo. Explorar la relación entre la orientación estratégica, la estrategia
competitiva genérica de Porter, la capacidad innovadora de la empresa y el rendimiento
técnico de los productos en el sector turco de las tecnologías de la información y la
comunicación —TIC—. Metodología. Para llevar a cabo esta investigación se empleó un diseño
cuantitativo en el que se recogieron 573 cuestionarios aplicados a personas que trabajan
en diversas empresas TIC ubicadas en Turquía. Los datos de la investigación se examinaron
mediante técnicas de efecto de mediación y análisis de trayectorias. Los análisis mencionados
se realizaron con la versión 3.2 de SmartPLS. Resultados. Los resultados mostraron una
correlación positiva y signicativa de la orientación estratégica con la capacidad innovadora
de las empresas y el rendimiento técnico de los productos. Los resultados también indican
que las estrategias competitivas genéricas de Porter desempeñan un papel mediador en
las relaciones entre la orientación estratégica, la capacidad innovadora de las empresas
y el rendimiento técnico de los productos. Conclusiones. Se concluye la importancia de
integrar la orientación estratégica y las estrategias competitivas para mejorar la capacidad
innovadora de las empresas o el rendimiento técnico de los productos, especialmente en
las empresas del sector de las TIC.
PALABRAS CLAVE orientación estratégica, estrategias competitivas, innovación
empresarial, rendimiento técnico de los productos, sector turco de las TIC.
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ARTÍCULOS ORIGINALES
MEHMET CELIKYAY, FATMA SONMEZ CAKIR, ZAFER ADIGUZEL
Revista Perspectiva Empresarial, Vol. 10, No. 1, enero-junio de 2023, 6-25
ISSN 2389-8186, E-ISSN 2389-8194
Análise das relações entre inovação e desempenho de empresas do setor
de informação e comunicação
RESUMO Objetivo. Explore a relação entre a orientação estratégica, a estratégia
competitiva genérica de Porter, a capacidade inovadora da empresa e o desempenho
técnico dos produtos no setor turco de tecnologias de informação e comunicação
—TIC—. Metodologia. Para a realização desta investigação foi utilizado um desenho
quantitativo no qual foram recolhidos e aplicados 573 questionários a pessoas que
trabalham em diversas empresas de TIC localizadas na Turquia. Os dados da pesquisa
foram examinados por meio de técnicas de efeito de mediação e análise de trilha. As
análises citadas foram realizadas com SmartPLS versão 3.2. Resultados. Os resultados
mostraram uma correlação positiva e signicativa da orientação estratégica com
a capacidade inovadora das empresas e o desempenho técnico dos produtos. Os
resultados indicam também que as estratégias competitivas genéricas de Porter
desempenham um papel mediador nas relações entre a orientação estratégica,
a capacidade inovadora das empresas e o desempenho técnico dos produtos.
Conclusões. Conclui-se a importância de integrar a orientação estratégica e as
estratégias competitivas para melhorar a capacidade inovadora das empresas ou o
desempenho técnico dos produtos, especialmente nas empresas do setor das TIC.
PALAVRAS CHAVE orientação estratégica, estratégias competitivas, inovação
empresarial, desempenho técnico de produtos, setor turco de TIC.
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ARTÍCULOS
MEHMET CELIKYAY, FATMA SONMEZ CAKIR, ZAFER ADIGUZEL
Revista Perspectiva Empresarial, Vol. 10, No. 1, enero-junio de 2023, 6-25
ISSN 2389-8186, E-ISSN 2389-8194
Introduction
In recent years, with the increasing speed
of technological change and development, and
businesses that have to survive in the global
competitive environment, they have to act more
strategically than their other competitors in
order to maintain their competitive advantages.
It is stated that businesses that can notice the
rapid changes in the demands or demands of the
consumers before their competitors can gain a
competitive advantage against others by rapidly
reorganizing their production, marketing and
managerial processes (Porter, 1980). In order
for these enterprises to continue their existence
and competitive advantage, they constantly strive
to follow the trends in the current markets and
changing environmental conditions; in other
words, they need to have strategic directionality.
The reason why strategic directionality is seen as
one of the most important factors affecting the
success of the enterprises emerges at this point.
Strategy can be seen as the process of adapting
functional strategies to each other and corporate
strategy to the demands, opportunities and risks
Kandemir and Boer, 2012). While strategy indicates
the long-term direction of an institution, orientation
refers to a general or enduring direction of thought,
disposition or interest. Masa’deh et al. (2018) stated
that strategic directionality is the primary way of
formulation and implementation processes seems
to have become an important issue in strategic
management and business policy studies for
more than three decades. Strategically oriented
companies are constantly obliged to produce
new products and services in order to gain a
competitive advantage against their competitors
innovation and product technical performance can
be considered as an important strategy that should
be implemented for businesses in a competitive
market. When the related literature is examined,
directionality, it deals with how companies react
to the rapidly changing competitive environment.
In these studies, it is seen that various typologies
are suggested for functionalizing the concept of
strategic stance and for the strategic orientation
of companies or general competitive strategies
these studies, Miles et al. (1978) is one of the most
relationship between the strategic orientation of
companies and their performance, probably the
best known and widely used. This typology was
subsequently studied and found strong support,
particularly in developed countries, industries
follow one of four strategic orientations, namely
researcher, advocate, analyzer and reactor, to
are many studies examining strategic directionality
current literature, Information Communication and
Technology —ICT— sector companies, which follow
all or a few of these four strategic orientation types,
are one of the competitive strategies in achieving
the targeted innovation and product technical
performance results. It is also seen that researches
to answer the question of whether it is effective or
has been operating in Turkey and in the ICT sector
adopts the strategic orientation of the company,
innovativeness and product technical performance
of the company has been examined the relationship
between. In addition, the role of competitive
advantage strategies in the relationship between
and product technical performance is analyzed.
have a mediator role in these relationships. In
the remainder of the article, literature review is
made about our variables, hypotheses are formed,
research model and methodology are presented,
experimental results obtained from our analysis
are presented and results are presented.
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ARTÍCULOS ORIGINALES
MEHMET CELIKYAY, FATMA SONMEZ CAKIR, ZAFER ADIGUZEL
Revista Perspectiva Empresarial, Vol. 10, No. 1, enero-junio de 2023, 6-25
ISSN 2389-8186, E-ISSN 2389-8194
Literature and hypothesis
development
Strategic Orientation
Porter (1980) claims that the success
of an organization depends on an external
(environment) and internal (strategy, structure,
processes, and ideology) adaptation process. This
process starts by adapting the organization to the
market in order to meet or help shape customers’
adaptation process (Martins et al., 2014). Strategic
a company takes to create appropriate behaviors
for superior and continuous performance. This
competitive environment and their reactions to
human and organizational resources is its ability
to achieve superior performance (Ferraresi et al.,
dynamic capabilities in rapidly changing
environments. Strategic orientation has stated
organizations such as customers, competitors
and technology, and its strategic orientation has
competitor, and technology directionality (Zhou
and Li, 2010). Early studies on strategic orientation
competitive environments. In these studies, it is
observed that the most frequently discussed sub-
concepts as components of strategic orientation
are Entrepreneurial, Market, Technology and
2009). Similarly, strategic orientation is expressed
as a combination of progressive decision-making,
social responsibility, and organicity variables
the research, the effects of strategic orientation
as an independent variable on cost leadership,
product technical performance are examined.
Generic Competitive Strategies
There are three different approaches that
address the general competitive strategies
(differentiation, cost leadership, focus) of Porter
(1980, 1985). Porter (1980) argued that the three
general strategies differ in dimensions other
than functional differences and that different
resources and skills are required to successfully
implement them.
In the Cost Leadership Strategy, it is said that
resources and aims to be a multi-cost producer in
the sector follows a sustainable cost leadership
strategy (Tanwar, 2013). The basic principle
here is to reduce the cost of all actions in order of
importance, especially starting from unnecessary
actions. Thus, the gap between prices and costs in
competitive advantage by earning high income
or is capable of achieving the lowest production
costs in an industry.
In the Differentiation Strategy
in its sector with some features valued by most
buyers and is positioned to meet these needs. The
in various dimensions (Kurt and Zehir, 2016).
The basic principle of this strategy is to channel
customer choices to their goods and services by
doing different things than each competitor. In cases
where standard goods and services cannot meet
solutions to the special needs of customers. In
addition, the differentiation strategy aims to
create a competitive advantage by offering unique
products that are characterized by valuable features
such as quality, innovation and customer service
(Prajogo, 2007).
competitive strategy is a completely different way
of creating a sustainable competitive advantage.
leadership and differentiation strategies or else
it will be stuck in the middle without a coherent
competitive strategies pointed out by Porter, namely
11
ARTÍCULOS
MEHMET CELIKYAY, FATMA SONMEZ CAKIR, ZAFER ADIGUZEL
Revista Perspectiva Empresarial, Vol. 10, No. 1, enero-junio de 2023, 6-25
ISSN 2389-8186, E-ISSN 2389-8194
differentiation and cost leadership strategies, are
discussed and the effect of these strategies on the
innovation and technical product performance will
be investigated.
Firm Innovativeness
Firm innovativeness is a “desire to change”,
that is, openness to new ideas as an aspect of a
measures is used as a set of behaviors, products,
processes, markets, and strategic components in
the conceptualization of innovation (Ferraresi et al.,
2012). For organizational innovation is required:
(i) Changes in the structure and processes of an
organization due to the implementation of new
management and working concepts and practices
such as teamwork in production, supply chain
management or quality management systems;
(ii) new management practices, new organization,
new marketing concepts and new corporate
organizational method in business practices,
workplace organization or external relations are
orientations —the strategic directions applied by a
superior performance— are key predictors of
innovativeness is examined as the dependent
variable. The effects of strategic orientation, cost
innovation are examined.
Product Technical Performance
factors of new product development in performance
as full new product development process and
corporate culture, and participation of high-ranking
Walker Jr. and Ruekert (1995) suggested that
professional managers should consider criteria
such as new product development, new product
quality, new product design, design satisfaction,
successful sales target, budget control and
Dewberry (2004) explained the new product
development performance with cost, delivery
time, external and internal quality, and program
follow-up. Souder and Song (1997) stated that
correct product design and market selection will
affect new product development performance
and emphasized that companies should perceive
the uncertainty of the market. In addition, they
recommended performance scales such as the
speed of launching the new product, the harmony
between development cost and budget, sales rate,
market share, contribution to corporate image,
contribution to improving corporate techniques,
and satisfaction of employees, auditors and
customers (Liu and Tsai, 2009). In this context,
product technical performance is examined as a
dependent variable in the research.
The Relationship between Strategic
Orientation and Cost Leadership and
Dierentiation Strategies
In research examination of the relationship
between strategic orientation and competitive
strategies and bank performance, a positive and
orientation and cost leadership and differentiation
strategies. In addition, it is stated that competitive
strategies have a mediator (moderator) effect in
the relationship between strategic orientation and
bank performance (Jassmy and Bhaya, 2016). It
has been found that entrepreneurial orientation
the relationship between competitive strategies
2018). For Galbreath et al. (2020), and Zehir, Can
and Karaboga (2015) based on these studies, it can
will
Strategic orientation and competitive strategies,
which can be applied separately, simultaneously
and together. For this reason, it is seen that there
different types of orientations expressed under
the name of strategic orientation and Porter’s
competitive strategies. Therefore, the following
hypothesis can be put forward:
on the Cost Leadership Strategy.
on the Differentiation Strategy.
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ARTÍCULOS ORIGINALES
MEHMET CELIKYAY, FATMA SONMEZ CAKIR, ZAFER ADIGUZEL
Revista Perspectiva Empresarial, Vol. 10, No. 1, enero-junio de 2023, 6-25
ISSN 2389-8186, E-ISSN 2389-8194
The Relationship between Strategic
Orientation and Firm Innovativeness
The link between innovation and strategy is
essential for effective innovation management
study on the relationship between strategic
orientation, innovation and performance, it is
seen that the strategic directionality that provides
competitive advantage has an important and
the enterprises and there are strong opinions that
the innovations increase the business performance
has been shown that proactive market orientation,
proactive entrepreneur orientation and technology
innovativeness capability (Tutar, Nart and Bingöl,
Mahmoud (2020) on SME, it was found that market,
customer and supplier orientations have a positive
innovation acts as a mediator between technology
of view, it can be stated that there is a very close
relationship between strategic orientation and
company innovativeness, so that it must have a
strategic orientation in order to reach sustainable
processes and ways. Therefore, the following
hypothesis can be put forward:
on Firm Innovativeness.
The Relationship between Strategic
Orientation and Product Technical
Performance
Past research shows that the true value
of strategic orientation in the new product
development process is its potential to improve
the organization’s performance in the market, and
that strategic orientation is a critical determinant
of new product performance (Song and Parry,
1997). In assessing product performance, here
attention needs to be paid to differences in the
various dimensions measured, for example,
variations in customer tastes, expectations of
a superior innovation in competition must have a
(2014) research on new product development,
strategic orientation and product quality did not
quality of competitor and technology orientation,
found between manufacturing orientation and
entrepreneurial and technological orientation have
on new product development performance. In
many clear and numerous empirical studies on the
direct impact of various dimensions of strategic
orientation on product technical performance.
Therefore, we put forward the following hypothesis
regarding the role of strategic orientation as a
composite variable on product performance:
on Product Technical Performance.
The Relationship between Generic
Competition Strategies and Firm
Innovativeness
Companies can gain competitive advantage at
the economy scale by using cheaper raw materials,
mass production and distribution, R&D, service,
sales and marketing activities, and effective systems
to reduce the cost of human resources and minimize
the internal differentiation of technical product
features, but also by the market requirements, the
competitive situation and the strategic orientation
of the company. Bayraktar et al. (2017) found a
cost leadership and differentiation strategies
and innovation. In addition, it was stated that
innovativeness has a mediator effect on the
relationship between competitive strategies and
relationship between generic competitive
strategies and product innovation success, which
sense. From this point of view, a company should
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ARTÍCULOS
MEHMET CELIKYAY, FATMA SONMEZ CAKIR, ZAFER ADIGUZEL
Revista Perspectiva Empresarial, Vol. 10, No. 1, enero-junio de 2023, 6-25
ISSN 2389-8186, E-ISSN 2389-8194
be expected to implement a differentiation strategy
in order to present new products, services, ideas
and patents before its competitors in the market,
and a cost leadership strategy to produce them at a
lower cost than their counterparts in the market. In
this context, applications of competitive strategies
will force or encourage this company to be more
innovative than its competitors in the sector. For
this reason, the hypotheses below are formed:
effect on Firm Innovativeness.
on Firm Innovativeness.
The Relationship between Generic
Competition Strategies and Product
Technical Performance
Firms can achieve sustainable competitive
advantage thanks to low cost and products with
equivalent or superior performance and different
technical features compared to their peers
(Coeurderoy and Durand, 2004). In fact, these
companies can achieve higher differentiation
by increasing the technical performance of their
products in response to the changing market
environment. Thanks to the technological
capabilities and differentiation strategy of a
technologically oriented company, it improves
product quality, adds features and value, and
increases product performance, thus competitive
advantage (Porter, 1985).
Basbeth et al. (2009) found that individual
entrepreneurship orientation has a moderator
role in the relationship between differentiation
a different approach, it has been found that
competitive strategies have a moderator effect in the
relationship between entrepreneurial orientation
negative effect, and differentiation strategy has
a positive effect (Galbreath et al., 2020). While a
between product quality, which can be regarded
as another expression of product performance, and
differentiation strategy, it was observed that there
This highlights the effect of differentiation strategy
in determining quality performance (Prajogo,
and product quality and process improvement
performance, but found that quality management
has a moderator effect in the relationship between
cost leadership and this performance. In the light
of these arguments, this study suggests that
competitive strategies have a positive effect on
product technical performance. Therefore, the
following hypotheses have been put forward:
impact on Product Technical Performance.
on Product Technical Performance.
The Generic Competitive Strategies
Eects in the Relationship between
Strategic Orientation and Firm
İnnovativeness and Product Technical
Performance
Galbreath et al. (2020) found that competitive
strategies act as a moderator effect on the
relationship between entrepreneurial orientation
and firm performance. Jassmy and Bhaya
(2016) found that competitive strategies have a
moderating effect on the relationship between
strategic orientation and bank performance.
In another study, it was found that competitive
strategies have a mediator (moderator) effect
between entrepreneurial orientation and
2018). Zehir, Can and Karaboga (2015) stated
that differentiation strategy has a mediator
effect on the relationship between entrepreneur
orientation and firm performance and innovation
performance. In addition, it has been found
that differentiation strategy plays a mediator
role in the relationship between entrepreneur
orientation and innovativeness performance.
Bayraktar et al. (2017) found that innovation plays
a mediator role between competitive strategies
(2018) stated that competition strategies
have a moderator role between dysfunctional
competition and product innovation performance.
In another study, it was revealed that the effect
of international entrepreneurial orientation
14
ARTÍCULOS ORIGINALES
MEHMET CELIKYAY, FATMA SONMEZ CAKIR, ZAFER ADIGUZEL
Revista Perspectiva Empresarial, Vol. 10, No. 1, enero-junio de 2023, 6-25
ISSN 2389-8186, E-ISSN 2389-8194
on international performance increases with
the adoption of a competitive strategy and that
innovation is a necessary condition for competitive
2016). Therefore, the following hypotheses have
been put forward:
variable effect on the relationship between Strategic
variable effect on the relationship between Strategic
variable effect on the relationship between Strategic
variable effect on the relationship between Strategic
Methodology
The SmartPLS 3.2 program was used for factor,
PLS-SEM path and mediation effect analysis of
surveys collected from 573 employees as part
of the study. Descriptive analysis was used in
demographic information. In the questions using
Likert scale, factor analysis and reliability and
validity analysis were performed. Correlation
analysis in examining the relationships between
variables; path analysis was used to test the
conducted before the full use of the scale was
carried out, and the scale was rearranged because
some expressions were not understood. 573 white-
collar employees working in different departments
answered the questionnaire in accordance with
The SEM model for path analysis has been
established in the application section. The highlight
of PLS-SEM is that the method allows researchers
to predict many structures, indicator variables and
structural pathways and complex models without
et al., 2019). The reason for using PLS-SEM in
this study is that the prediction of the dependent
variable is focused.
Common Method Bias —CMB— problem
may be encountered when measuring different
dimensions on the same people. In order to prevent
this, anonymity was provided in the questionnaire
application, the required time was given to the
participants and the number of questions was kept
variables are included in the model as dependent
variables, others as independent variables, also the
VIF values for the Inner Model have been examined.
Since all of these values are less than 3.3, it has been
revealed that there is no CMB problem.
The Purpose of Research
In this study, companies operating in the
information and communication sector have
been preferred. The reason for this is that
product innovation activities and competition
occur intensely within this sector. The reason
for the selection of white-collar employees
(administrative personnel) for the sample
population is that they play a role in both product
innovation and product technical performance.
In addition, it has authority and responsibilities
in the implementation of competitive strategies.
Therefore, the purpose of this research it is the
evaluation and analysis of service companies in
terms of both strategic orientation and innovation
survey was conducted using a questionnaire. The
main body of the research consists of companies
operating in the information and communication
was prepared and sent to the company employees,
survey response time was ended. Participation
in the survey was done on a voluntary basis. The
research model developed within the context of
this study is presented in Figure 1.
Measures (Scales)
Survey questions consist of questions
representing 5 variables. For the Strategic
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ARTÍCULOS
MEHMET CELIKYAY, FATMA SONMEZ CAKIR, ZAFER ADIGUZEL
Revista Perspectiva Empresarial, Vol. 10, No. 1, enero-junio de 2023, 6-25
ISSN 2389-8186, E-ISSN 2389-8194
used in the study by Grimmer et al. (2017) were
included in the analysis after being subjected to
factor and reliability analysis. The scale developed
by Lumpingan (2018) was used for the Cost
Leadership Strategy variable. Differentiation
Strategy, Islami et al. (2020) the scale developed was
et al. (2020) the scale developed was used. The
Product Technical Performance scale developed
Findings
573 participants answered the questionnaire
in accordance with the criteria. 449 (78.4 %) male
and 124 (21.6 %) female white collar responded to
our survey. While 210 of the participants (36.7 %)
are between the 30-40 age group; 285 of them
(49.7) are in the 41-50 age group. The number of
managers over the age of 51 is 78 (13.6 %). While
131 (22.9 %) of the employees who answered the
questionnaire are college graduates, 366 (63.9 %)
of them are university graduates; 69 (12 %) of
them have a master’s degree, 7 (1.2 %) of them
have a doctorate degree.
Research Framework
Based on the literature review, a research model
created. This model is given in Figure 1.
Figure 1. Research Model. Source: author own elaboration.
existence of a direct relationship between variables.
effects of the moderator. Before moving on to the
hypotheses part of the study, the factor analysis
results of the current scale are given.
the establishment of the structural model. There
are two types of models in SEM, namely the Inner
Model (Structural), which shows the relationship
between dependent and independent variables, and
hidden variables and their observable indicators.
between variables provide information about the
direction of the relationship.
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ARTÍCULOS ORIGINALES
MEHMET CELIKYAY, FATMA SONMEZ CAKIR, ZAFER ADIGUZEL
Revista Perspectiva Empresarial, Vol. 10, No. 1, enero-junio de 2023, 6-25
ISSN 2389-8186, E-ISSN 2389-8194
Figure 2. PLS-SEM path analysis. Source: author own elaboration.
The arrows between the 5 factors in the model
show the alleged direction of the relationship.
Each of the measurements is linearly related to
the factors, and the strength of this relationship
is determined from the factor loadings (DeCoster,
1998). These loads can be interpreted as standard
the arrows between the factors give the path
statements show the connection between factor and
expressions. The values written above the arrows
show the factor loadings. The values written in the
factor indicators are R square values.
Results
was performed to investigate the construct validity
level of Bartlett’s test of sphericity is 0.000 (for
factor analysis. In the pretest part of the study,
our variables prepared according to the 5-point
Likert scale were measured with a 48-statement
questions were excluded from the scale since they
did not show a factor distribution and fell into
different factors by reducing the reliability. The
remaining 32 questions are distributed according
to 5 factors. The expressions subjected to factor
analysis together with their factor loadings and
their factors are given in Table 1.
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ARTÍCULOS
MEHMET CELIKYAY, FATMA SONMEZ CAKIR, ZAFER ADIGUZEL
Revista Perspectiva Empresarial, Vol. 10, No. 1, enero-junio de 2023, 6-25
ISSN 2389-8186, E-ISSN 2389-8194
Table 1. Factor analysis results of expressions
Factors Items O.L. O.W. VIF T Stat.
Firm Innovativeness
FI1 0.770 0.203 1.861 11.960*
FI2 0.840 0.201 2.981 20.940*
FI3 0.854 0.211 3.276 24.782*
FI4 0.867 0.204 2.955 25.373*
FI5 0.798 0.193 2.387 19.185*
FI6 0.810 0.203 2.387 19.564*
Dierentiation Strategy
DS1 0.741 0.090 2.481 13.621*
DS2 0.768 0.106 2.696 14.640*
DS3 0.707 0.100 2.001 11.355*
DS4 0.737 0.112 2.062 14.318*
DS5 0.804 0.115 2.618 20.791*
DS6 0.749 0.128 2.538 14.859*
DS7 0.725 0.121 2.623 12.305*
DS8 0.751 0.125 2.491 14.241*
DS9 0.745 0.102 2.694 12.486*
DS10 0.787 0.106 3.267 18.051*
DS11 0.728 0.106 3.067 12.895*
DS12 0.796 0.116 3.889 18.785*
Cost Leadership Strategy
CLS1 0.750 0.238 2.486 8.884*
CLS2 0.808 0.285 2.808 11.460*
CLS3 0.833 0.369 2.383 21.914*
CLS4 0.872 0.326 2.754 31.409*
Product Technical Performance
PTP1 0.760 0.205 1.836 12.207*
PTP2 0.831 0.295 1.986 23.203*
PTP3 0.786 0.236 1.924 14.538*
PTP4 0.828 0.247 2.104 20.954*
PTP5 0.823 0.255 2.047 14.752*
Strategic Orientation
SO1 0.697 0.201 1.559 10.493*
SO2 0.809 0.270 1.934 23.557*
SO3 0.835 0.247 2.403 18.276*
SO4 0.894 0.242 3.421 34.973*
SO5 0.862 0.254 2.694 28.008*
Note: O.L.: Outer Loading; O.W.: Outer Weight; VIF: Value Inflation Factor; *: p value<0.05.
Source: author own elaboration.
18
ARTÍCULOS ORIGINALES
MEHMET CELIKYAY, FATMA SONMEZ CAKIR, ZAFER ADIGUZEL
Revista Perspectiva Empresarial, Vol. 10, No. 1, enero-junio de 2023, 6-25
ISSN 2389-8186, E-ISSN 2389-8194
value. When the squares of these loads are taken,
the indicator reliability value is obtained. Factor
Factor loadings less than 0.70 are not suitable for
the program, but an expression under the Strategic
statement was not omitted because it did not make a
the scale. If Table 1 is examined, it can be seen that all
Factor Weights values are positive. This result may
indicate that there are no connectivity problems
such as Multilinearity. Whether these factor
loadings are also important for latent variables
need to be tested. T values were checked for this.
value is a criterion of whether one independent
variable, and the other independent variable have
a multiple linearity problem in the regression model
no multi-linearity problem. Details of these values
are presented in Table 1.
Construct Reliability and Validity values
obtained for the research model are given in Table 2.
consistency of the measurement that takes into
account the average relationship between questions.
Table 2. Construct Reliability vs. Validity Values
Latent
Variables
Number
of Items
Cronbach’s
Alpha rho_A CR AVE Q Square
(CCR)
CLS 40.836 0.854 0.889 0.667 0.055
DS 12 0.931 0.932 0.940 0.568 0.048
FI 60.905 0.905 0.927 0.679 0.457
PTP 50.866 0.874 0.903 0.650 0.274
SO 50.878 0.886 0.912 0.676
Source: author own elaboration.
indicate that the scale has internal consistency.
scale shows whether factor items are reliable
above 0.70. This result again shows that the scale
is a consistent scale. Composite Reliability —CR—
criteria used to measure content validity. CR value is
convergent gives the validity value. To be able to say
the largest value of all the values in the correlation
matrix by row and column. These results will be
detailed while giving Fornell-Larcker criteria. If the
Q Square value takes a value greater than 0 for any
Endogenous variable, it is obtained that the PLS
this structure. For all cases, Q square values were
obtained as greater than 0. Total Q square values
for CCR are given in Table 2.
Discriminant validity values should also
be given in order to comment on the scale.
Table 3 shows Fornell Larcker criteria results,
and correlation values.
19
ARTÍCULOS
MEHMET CELIKYAY, FATMA SONMEZ CAKIR, ZAFER ADIGUZEL
Revista Perspectiva Empresarial, Vol. 10, No. 1, enero-junio de 2023, 6-25
ISSN 2389-8186, E-ISSN 2389-8194
Table 3. Discriminant Validity and Correlation Values
Fornell Larcker Criterion Heterotrait-Monotrait Ratio
Latent
Variables CLS DS FI PTP SO CLS DS FI PTP
CLS 0.817
DS 0.455* 0.754 0.493
FI 0.552* 0.793* 0.824 0.616 0.859
PTP 0.479* 0.524* 0.511* 0.806 0.549 0.569 0.567
SO 0.308* 0.317* 0.420* 0.502* 0.822 0.347 0.341 0.467 0.576
Source: author own elaboration.
value in the cell against which a latent variable is
compared with itself has the highest value in the
row and column in which it is located, it means that
the parsing validity is provided. The values shown
in bold colors are the criteria values obtained as
a result of comparing each criterion with itself,
and all values are the highest values of the row
and column in which it is located. Numbers with
(*) symbols in the table show the correlation
important values for Discriminant Validity is the
(Gold, Malhotra and Segars, 2001), it means that
Discriminant Validity could not be achieved. When
the reference intervals are examined, it can be said
that the prepared scale has reliability and validity
values. With these results, it can be said that the
scale has validity and reliability criteria.
revealed, the process of testing the hypotheses was
the degree to which the structures in the model
affect each other, t test results showing whether the
indicates that a variable has a positive effect on the
other variable. If the value is negative, the variable
has a negative effect on the other variable.
Table 4. Path coecients and test results for hypotheses
HPaths T Statistics P Values
H1 CLS 0.308 2.929 0.004
H2 DS 0.317 3.858 0.004
H3 FI 0.149 2.243 0.025
H4 PTP 0.330 3.371 0.001
H5 CLSFI 0.210 3.295 0.001
H6 CLSPTP 0.235 2.157 0.032
H7 DSFI 0.650 12.049 0.000
H8 DSPTP 0.312 3.402 0.001
Source: author own elaboration.
20
ARTÍCULOS ORIGINALES
MEHMET CELIKYAY, FATMA SONMEZ CAKIR, ZAFER ADIGUZEL
Revista Perspectiva Empresarial, Vol. 10, No. 1, enero-junio de 2023, 6-25
ISSN 2389-8186, E-ISSN 2389-8194
positive. This situation shows that all the
are meaningful if the test statistics values obtained
1.96. In addition, since the p-value values are less
than 0.05, all of the hypotheses can be accepted.
In the mediation variable analysis, the
relationships between generic competitive
and product technical performance have been
results taken from SmartPLS.
Table 5. Mediation Eect Results (a) path coecient
H Paths
Sample
T Stat. P value
H9 SOCLSFI 0.095 0.033 2.879 0.004
H10 SODSFI 0.206 0.056 3.687 0.000
H11 SOCLSPTP 0.102 0.040 2.550 0.011
H12 SODSPTP 0.099 0.040 2.458 0.014
Source: author own elaboration.
given in Table 5. The existence of the mediation
the path results obtained, the mediation effect
value method suggested by Nitzl, Roldan and
of the indirect effect to the total effect gives the
mediator effect size.
Table 6. Mediation Eect Results (b) Eect Sizes
HPaths (a) (b) (c) VAF
H9 SOCLSFI 0.308 0.210 0.149 0.303 Partial
H10 SODSFI 0.317 0.650 0.149 0.580 Partial
H11 SOCLSPTP 0.308 0.235 0.330 0.378 Partial
H12 SODSPTP 0.317 0.312 0.330 0.230 Partial
Source: author own elaboration.
and 80 % is partial and more than 80 % means full
21
ARTÍCULOS
MEHMET CELIKYAY, FATMA SONMEZ CAKIR, ZAFER ADIGUZEL
Revista Perspectiva Empresarial, Vol. 10, No. 1, enero-junio de 2023, 6-25
ISSN 2389-8186, E-ISSN 2389-8194
Discussion
This research emphasizes the relationship
between strategic orientation, cost leadership
to the analysis results, there is a statistically
strategy orientation and cost leadership and
the relevant literature (Galbreath et al., 2020; Rua,
analysis results, it was determined that there is a
between strategic orientation and product technical
relationship between competitive strategies
supported. These results are consistent with the
Sogbossi (2017). In addition, it has been determined
relationship between competitive strategies and
the studies of Galbreath et al. (2020) and Bayraktar
et al. (2017). Finally, according to the results of the
regression analysis, it shows that cost leadership
and differentiation strategies mediate the effect
although these results show parallelism with the
are included in a single conceptual model and
product technical performance. The fact that there is
a research model that examines the mediating effect
of competitive strategies and that there are very
few studies similar to the research model makes
this study different from the others.
Conclusions
The results of this study show that the
strategic orientation and competitive strategies
owned and implemented by the companies
cause the production of innovative products
and services with high technical performance in
the sector in which they operate and positively
affect the competitive advantage of themselves.
of understanding that strategic orientation and
and product technical performance. Findings that
strategic orientation has positive and meaningful
relationships with both competitive strategies
innovation have important implications for
managers and industry practitioners.
First, a positive relationship has been found
between strategic orientation and competitive
sub-dimensions (entrepreneur, technological
performance what increases with the adoption
and Bhaya, 2016). Managers apply cost leadership
and differentiation strategies to take part in
competitive market conditions. It is understood
and meaningful relationships with cost leadership;
while differentiation strategies will give those
companies a stronger bargaining power that
develops with the contribution of critical resources
such as better technical skills, use of new technology,
improving the production process, and special
technical knowledge and software that can provide
a competitive advantage (Li, 2005). In this respect,
companies should pay more attention to competitive
strategies, which play an important role as a bridge
between their strategic orientation and innovation
and product performance. For this purpose, they
should give importance to strategic tools such as
systems, quality circles, analysis methods and
technology management. Cost leadership should
be targeted by reducing marketing and production
process costs, reducing unnecessary maintenance
22
ARTÍCULOS ORIGINALES
MEHMET CELIKYAY, FATMA SONMEZ CAKIR, ZAFER ADIGUZEL
Revista Perspectiva Empresarial, Vol. 10, No. 1, enero-junio de 2023, 6-25
ISSN 2389-8186, E-ISSN 2389-8194
and repair expenses, increasing the speed of product
and service launch, and constantly renewing the
design of the product or service.
Second, the fact that strategic orientation has
to be in line with the results of previous studies
It is understood that the effective use of strategic
management tools and techniques in all business
processes will increase the innovation ability and
capacity of companies. It must be constantly in
search of new ways, new ideas and new methods.
In addition, from the top management to the
lowest level, it is necessary to attach importance
to R&D (research-development) and production-
development (production-development), to ensure
to invest in the latest technology. In addition, it
is recommended that the company handles all
external stakeholders and other companies in the
ecosystem within a discipline of innovation project
management.
found between strategic orientation and product
project management it may be suggested to use
strategic management tools and techniques. In
this way, the company can discover the quality and
performance differences between the products or
services of its competitors and business partners
in the industry and its own, and close the gap by
changing the technical performance characteristics
of the product in the fastest way possible. In this
way, it can gain a competitive advantage in its
products and services.
Finally, it has been observed that competition
strategies have a mediator effect between strategic
2018; Liu and Gima, 2018). It shows that the more
effective the cost leadership and differentiation
strategies are used, the greater the impact of the
product technical performance.
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