Navigating the Institutional Landscape: The Dynamics of Operant Resources and Value Co-Creation for Service Innovation in Pakistani ICT Firms

Document Type : Research Paper

Authors

Hailey College of Commerce, University of The Punjab, Lahore, Pakistan

Abstract

This research investigates the factors influencing service innovation within Pakistan's ICT SME software development sector to address challenges hindering global competitiveness. A quantitative research approach was adopted, utilizing Partial Least Squares Structural Equation Modelling (PLS-SEM) to analyze the data collected from a sample of 336 software firms. The study integrates Service-Dominant Logic (SDL), Resource Advantage (RA) Theory, and Institutional Theory to explore the interplay of variables affecting service innovation. The results indicate that company-customer relationships, knowledge valuation, and customizing capability significantly impact value co-creation and service innovation. Moreover, institutional logics, particularly cognitive and normative logics, were found to moderate these relationships. This research comprehensively examines the factors influencing service innovation in the Pakistani ICT sector. It extends the application of SDL and Institutional Theory to a specific emerging market context, contributing valuable insights to the field of service innovation.

Keywords

Main Subjects

References

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Interdisciplinary Journal of Management Studies
Volume 18, Issue 4
October 2025
Pages 751-774

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