Title: Unravelling the digital transformation-product innovation nexus: the significance of knowledge sharing and transformational leadership in SMEs

Authors: Minh-Tri Ha; Dang-Tan Nguyen; Quang Nhut Ho; Cong Tam Trinh

Addresses: School of Business, International University, Ho Chi Minh City, 71300, Vietnam; Vietnam National University, Quarter 6, Linh Trung Ward, Thu Duc City, Ho Chi Minh City, 71300, Vietnam ' School of Business, International University, VNU-HCM, Vietnam ' School of Economics, Finance and Accounting, International University, VNU-HCM, 71300, Vietnam ' School of Economics, Finance and Accounting, International University, VNU-HCM, 71300, Vietnam

Abstract: This study applies social exchange theory to explore how digital transformation (DT) influences product innovation (PI). It concentrates on the mechanisms of tacit (TKS) and explicit knowledge sharing (EKS) as mediators, and transformational leadership (TL) as a moderator. A questionnaire survey was implemented and completed by 402 managers and employees from various sectors in Ho Chi Minh City (HCMC), Vietnam, including service, production, processing, manufacturing, engineering, and administration. This quantitative approach was implemented. For the purpose of participant recruitment, convenience and snowball sampling techniques were implemented. The results indicated that TKS partially mediates the DT-PI relationship, and that TL functions as a moderator. However, contrary to expectations, DT did not demonstrate a substantial direct effect on PI. By clarifying the mediation and moderating functions of TKS and TL, the outcomes add to the extant literature and offer a more thorough knowledge of the dynamics of how DT affects PI.

Keywords: digital transformation; product innovation; knowledge sharing; transformational leadership; structural equation modelling; Vietnam.

DOI: 10.1504/JGBA.2023.141432

Journal for Global Business Advancement, 2023 Vol.16 No.4, pp.533 - 558

Received: 20 Jul 2024
Accepted: 23 Jul 2024
Published online: 12 Sep 2024 *

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