Investigating innovation capability and organisational performance in service firms

Abstract

Innovation is crucial for businesses to address key challenges anticipated by the changes in socioeconomic and environmental issues. Innovation capability is largely seen as a vital source for generating sustainable competitive advantage. The paper investigates the determinants of innovation capability, and their relationship with organisational performance in service organisation context. The study contributes to the limited knowledge on the innovation capabilities in developing countries by providing empirical evidence from the Jordanian banking sector.