The interplay of leadership, absorptive capacity, and organizational learning culture in open innovation: Testing a moderated mediation model

Researchers have used several constructs to explain the success and failure of organizations' open innovation initiatives. Building upon the resource-based view of the firm, we develop a model to explain how leadership interacts with absorptive capacity and organizational learning culture to influence open innovation outcomes. The model is tested empirically using data sourced from managers working in diverse sectors in India. Results reveal that empowering leadership leads to enhanced open innovation outcomes through the intervention of organizational learning culture. Results, however, do not confirm a significant impact of the interaction of organizational culture and absorptive capacity on open innovation. A discussion of these findings along with implications for theory and practice is presented.