Indispensable components of creativity, innovation, and FMCG companies' competitive performance: a resource-based view (RBV) of the firm

Purpose A total of 210 valid paper-and-pencil questionnaires were received from fast-moving consumer goods/small and medium-sized enterprises (FMCG-SMEs) to empirically test the proposed model. Structural equation modelling approach was performed assess model fit, measurement structural models for exogenous endogenous constructs, nonlinearity. Design/methodology/approach In hyper-competitive world, while essence strategy making is often focussed on environmental market-based analysis or structure market, important role resources capabilities in determining firm performance overall formulation within SMEs begs attention. Grounded resource-based view (RBV) firm, organisational improvisation theory componential creativity, purpose this research look beyond determinants innovation proposes a theoretical investigating organisations formative formulation. Findings The results imply that intrinsic motivation, extrinsic creativity-related processes expertise as firm's positively influence improvisational also impact compositional creativity. Surprisingly, motivations are not conducive relationships between motivation creativity well nonlinear. Furthermore, both found be predictors FMCG-SMEs. Practical implications Thus, specifically FMCG-SMEs can increase level if they formulate strategies motivate employees intrinsically extrinsically, further, boost their companies through hiring nurturing experts. Originality/value Less attention has been paid innovation, linkages prominent source competitive advantages among FMCG-SMEs, especially developing countries. Theoretically, introducing strategic management perspectives, empirical findings illustrate lead improved This study provides evidence nonlinear nature relationship