Employing big data capability in the face of fierce competition

What is it about?

Big data capability is the integration of human, business, and technology resources. Market orientation enhances innovation and marketing management capability through big data capability (partial mediation). Big data capability has a greater impact in industries with intense competition. Competitive intensity moderates the effect of big data capability on marketing management capability & innovation capability.

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Photo by Growtika on Unsplash

Photo by Growtika on Unsplash

Why is it important?

Fueled by big data, the information age offers firms opportunities to enhance marketing efficiency and drive innovation. For that, based on conceptualizing big data capability as a three-factor construct integrating business, human, and technology resources and employing a resource-based view (RBV) and dynamic capabilities theory (DCT), we build a model showing how market orientation leads to the advancement of marketing and innovation capabilities through the effective use of big data, thereby, positioning big data capability as a mediating factor. We then highlight how the competitive intensity of a firm's industry, as a moderator, strengthens the capacity for big data to translate to capabilities. This model highlights the operational impact of big data capability and extends the RBV and DCT by integrating the moderating effects of competitive intensity on these capabilities. This investigation introduces an advanced understanding of the link between market orientation and big data capability. It offers theoretical contributions and practical recommendations for professionals in competitive markets.

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