An Empirical Study on Firm Dynamic Capabilities Influencing Innovation Performance

According to the dynamic capabilities theory, firm competitive advantage results from dynamic capacities in turbulenten environments. Dynamic capabilities are defined as the firm´s ability to integrate, build, and reconfigure internal and external competences to improve the operating capabilities and make further contribution to the adaptation to the rapidly changing environments. This study collects data from the Chinese aviations industry. Firstly, based on the literature and empirical research, the paper proposes the measurement about dynamic capabilities and innovation performance. Secondly, the structural relationship between dynamic capabilities and innovation performance is verified by the structural equation modeling. Finally, according to the research findings, we draw up some suggestions with academic implications for the future research.