IMPACT OF STRUCTURAL CAPITAL AND INNOVATION CAPABILITY ON FIRM PERFORMANCE, (CASE STUDY OF PHARMA INDUSTRY IN KARACHI-PAKISTAN)
Abstract
For firms, modifications and changes are quicker than their speed in obligation and the ability for adjustment. On this competitive world of technology and changes, firms are faced with possibilities and threats. Consequently, every invention and innovation causes alternate that may create possibility for employer. Having the right structural capital and innovation capability mind is very essential. Organizations should develop their new products and share clean vision to decorate the effectiveness in their new product improvement and performance. The objective of this research was to analyze the position of Structural capital and Innovation capability on company performance. The majority applicable SC & IC areas including Systems and Programs, R and D, Culture, Knowledge and environment, Along with IC areas Organizational and Employees innovation, Product innovation and launching have been selected for the research. The primary data were collected from 100 employees from different Pharmaceutical corporations in Karachi using closed ended questionnaire on 5 Likert scale. Secondary data was composed from the published reports, research articles and case studies. For the data analysis objective statistical tools, Descriptive analysis, Correlation and Regression were tested through SPSS. Results indicated that all SC & IC practices were strongly correlated with the Firm performance. This research designated that companies exercise these practices efficiently on a broader level produces top performance. To endure and maintain for the prospect expectations, it is vital that the Pharmaceutical industry be supposed to put these factors (Structural Capital and Innovation Capability) into a practice for the improvement of their performances.
Keywords: Structural Capital, Innovation Capability, Firm Performance, Pharmaceutical Industry
CITATION: Abdirahman, M. D., & Tarique, R. (2020). Impact of structural capital and innovation capability on firm performance, (Case study of Pharma industry in Karachi-Pakistan). The Strategic Journal of Business & Change Management, 7(1), 736 – 748.
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DOI: http://dx.doi.org/10.61426/sjbcm.v7i1.1539
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