Unraveling the impact of IT resources on firm performance: a mediated-moderated model

Purpose This study examines the impact of IT resources on firm performance, emphasizing the mediating role of product innovation and the moderating influence of organizational ambidexterity within a mediated-moderated model framework. It elucidates how IT resources drive firm performance through innovation while leveraging ambidexterity to enhance this relationship. Design/methodology/approach Using survey data from 535 firms, this study employs partial least squares structural equation modeling to test the hypothesized relationships. The model captures both direct and indirect effects, offering insights into the mechanisms by which IT resources contribute to firm success in dynamic markets. Findings The results highlight that IT resources significantly enhance firm performance, with product innovation playing a pivotal mediating role. Moreover, organizational ambidexterity strengthens this link, demonstrating that firms capable of integrating exploratory and exploitative activities maximize the value derived from IT investments. This interplay fosters sustained innovation and competitive advantages. Practical implications This study provides actionable insights for managers, emphasizing the need to align IT investments with ambidextrous capabilities and innovation-driven strategies. Firms that integrate these elements can enhance adaptability, sustain long-term growth and achieve competitive advantages. Originality/value This research advances the resource-based view, innovation theory and dynamic capabilities perspectives by introducing a novel mediated-moderated model. It offers a strategic framework illustrating the interactive effects of IT resources, product innovation and organizational ambidexterity in shaping firm performance.