Power advantage and unit ambidexterity: A tripartite mediation framework

Abstract While research on unit‐level ambidexterity is burgeoning, the role of a unit's power advantage has been largely overlooked. Yet, organizational units are interdependent, and gaining an advantageous position across a network of multiple power relationships with other units enables them to create a context favorable to pursuing both exploration and exploitation. This study, therefore, examines how a unit's power advantage shapes its ability to achieve ambidexterity through a tripartite mediation of affective, behavioral, and cognitive contextual factors. Employing a multisource, time‐separated sample of 146 marketing units engaging in 901 dyadic (power) relationships with other units, we find that power‐advantaged units are more likely to attain ambidexterity directly or indirectly through fostering unit positive affect and cognitive diversity, but not through behavioral autonomy. We conclude by discussing the theoretical and practical implications of our findings.