The Effect Of Information Interaction Capabilities On Value Co-creation And Competitive Advantage Of Firms

The new wave of technological change and industrial revolution is rising in the 21 st century.The next generation information technology is radically shifting the core competence,the meaning of value creation,and sources of competitive advantage,which is represented by mobile internet,internet of things,cloud computing,and big data.This study proposes that firms need build new capabilities in environment of next generation information technology.The study discusses two basic problems: what are information interaction capabilities and why are information interaction capabilities.Firstly,this study answers the question of what information interaction capabilities.The study develops information interaction capabilities in environments of next generation information technology and trends of new business.The study explores concepts of information interaction capabilities and factors,objectives,characteristics,and discrimination.This study uses logical reasoning method and reveals the influence of information interaction capabilities on competitive advantage based on resources-based theory,value co-creation theory and information interaction theory.The study initially develops theoretical analysis framework of the influence of information interaction capabilities on competitive advantage.Through method of exploratory case analysis,this study takes Xiaomi Company as research object,explores resources of competiti ve advantage,and initially tests research framework of information interaction capabilities affecting value co-creation and competitive advantage.Taking account of Chinese firms,this study induces four types of information interaction capabilities and develops scale by methods and processes of scale development after a series of interviews and documents.After project analysis,exploratory factor analysis,and confirmatory factor analysis,the scale has reliability and validity.And the empirical study suggests that the scale is reasonable and effective.Secondly,this study answers the question of why information interaction capabilities.This study dissects such problems: what can information interaction capabilities bring to firms,what is the strategic meaning and value of information interaction capabilities,why do firms need to develop information interaction capabilities,and how to build information interaction capabilities.Through literature review and logical reasoning method,this study develo ps mechanism model of information interaction capabilities affecting value co-creation and competitive advantage.This study respectively analysis the influence of information interaction capabilities on competitive advantage,the influence of information interaction capabilities on value co-creation,the influence of value co-creation on competitive advantage,and the mediated effect of value co-creation.And then,the hypotheses are proposed;next,the “information – value co-creation – competitive advantage” model is verified through empirical study using the big sample acquired by survey.Internal consistency reliability,convergent validity,discriminant validity,confirmatory factor analysis,descriptive statistics,correlation analysis,hierarchical regression analysis,and structural equation modeling are synthetically applied to analysis the data utilizing SPSS 22.0 and Amos 20.0.Afterwards,a series of discussion are made according to the results.Lastly,this study found that information interaction capabilities are sources of competitive advantage and kinds of core capabilities through assembling,integrating,and deploying information interaction resources under next generation information technology circumstances,which take users as the core and realize value co-creation with partners of value network.Information interaction capabilities have positive effects on value co-creation and are important methods of value co-creation.Both value co-creation and information interaction capabilities have consistent internally and reinforce each other.Value co-creation is cause of information interaction capabilities and criterion of measuring performance of information interaction capabilities,which throughout processes of information interaction capabilities.Information interaction capabilities are sources of competitive advantage,which have valuable,rare,imperfectly imitable,and exploitable by the firm's organization.Information interaction capabilities are kinds of core capabilities which have global and strategic significance.The results show that information interaction capabilities have positive influence on competitive advantage,as well as value co-creation.Value co-creation has positive influence on competitive advantage,which has a mediated effect in relationship between information interaction capabilities and competitive advantage.Lots of emerging internet enterprises spring up over the years.These enterprises insight and develop information interaction capabilities.Thereby,some of them achieve significant competitive advantage.Information interaction capabilities and its research framework have significance on theory and practice from the following two aspects: at first,research on information interaction capabilities is rare.This study proposes concepts of information interaction capabilities and scale,research framework from management perspective.This study is succession and development of Resources-based Theory.Meanwhile,this study enriches theoretical system of value co-creation and provides ideas for local enterprise management in the Chinese context.In practice,most firms,especially traditional manufacturing enterprise,do not understand the strategic value of information interaction capabilities yet,not build the global and strategic capabilities making use of organizational resources.Information interaction capabilities are regarded as kinds of new but normal technical capabilities.Therefore,the research on the influence of information interaction capabilities on value co-creation and competitive advantage has implication for Chinese enterpris e,in particular,in process of transformation and upgrading for traditional firms.