Volume 30, Issue 1, 2021
DOI: 10.24205/03276716.2020.2060
INTRAPRENEURSHIP AND PROCESS INNOVATION IN THE BANKING SECTOR: THE MEDIATING ROLE OF ORGANIZATIONAL STRUCTURE
Abstract
As the main determinants of competitiveness change from classical low-cost labor and economies of scale to innovations, innovative companies have started redefining competition and base their strategies on factors driving process innovation, such as intrapreneurship. This study empirically investigates the determinants of process innovation at the company level (micro). Employees of public and private banks operating in the banking sector of Turkey were surveyed. Considering intrapreneurship as a determinant of innovation and organization structure as an impact factor, we conduct analyses based on regression and structural equation modelling. We conclude that there is a positive relationship between process innovation and intrapreneurship, and that organizational structure has a partial mediating role in the decisiveness of intrapreneurship on innovation. These results are in line with the findings in the literature.
Keywords
innovation, process innovation, intrapreneurship, organizational structure, mediation, banking sector