Breaking Through Innovation Barriers: Linking Effectuation Orientation to Innovation Performance

This study aims to understand how firms overcome market-based innovation barriers and achieve innovation performance using the effectuation orientation construct. In so doing, we provide more nuanced insights into how the combination of mindsets and actions helps firms to overcome barriers. Based on a quantitative research design, data from 157 established organizations show variations in how effectual actions are related to perceived innovation barriers. Among the conclusions we draw from the results is the fact that effectual contingency and effectual means orientation are negatively associated with market-based innovation barriers, which are in turn negatively associated with a firm’s innovation performance. Overall, the empirical results provide new insights into the literature of both innovation and entrepreneurship.