Strategic resilience: linking social control to product innovation performance in startups

Purpose This study analyzes the mediating effects of strategic resilience on the relationship between social control and product innovation performance in startups. Grounded in dynamic capability theory, the research posits that startups must embed resilience in their strategies to optimize processes and resources amid market changes, with social control influencing innovation performance. Design/methodology/approach Structural equation modeling was applied to the data collected in a survey with 129 managers of Brazilian startups in the traction phase of their life cycle. Findings The results reveal that strategic resilience, through its dimensions of proactive behaviors and improvisational agility, is fostered by social control and contributes to improved product innovation performance. A possible mediating effect is observed in improvisational agility, contrasting with proactive behaviors, in the relationship between social control and product innovation performance. Research limitations/implications The multilevel analysis of strategic resilience has important implications, revealing that proactive behaviors do not show a mediating effect, while improvisational agility does, highlighting the relevance of social and organizational elements in promoting innovation within startups. Originality/value The study advances understanding the role of strategic resilience in the relationship between social control and innovation performance in startups. It addresses a gap in the literature by exploring how the two core dimensions of strategic resilience connect these two research domains. Gaining insight into the importance of startups’ proactive behaviors and improvisational agility in uncertain and dynamic environments can provide valuable guidance for developing strategic resilience in the face of adversity.