The Effect Of Entrepreneurial Orientation On Ambidexterity Innovation In The Perspective Of Knowledge Inertia

In a rapidly changing environment, companies not only need to exploratory innovation to meet future needs, but also for the continuation of its existing business model to exploitation innovation in order to maintain a certain stability and current income. Therefore, the ambidexterity innovation has become a hot topic in the present study. Entrepreneurial orientation is an important guarantee to achieve innovation. Entrepreneurial Orientation and ambidexterity innovation are two highly related concepts, but the outcome is still a lack of existing research on its impact mechanism and paths.KBV argue that knowledge is the most important resource for the corporate. From entrepreneurial orientation to innovation occurs, knowledge changes will undoubtedly have an important role. Knowledge has taken to the competitive advantage for businesses, while also because of over-reliance on existing knowledge resources and previous experience, and customary use of the existing organizational processes to solve current problems will appear the phenomenon of knowledge inertia. Then there is a lack of empirical research that whether the existence of knowledge inertia would affect the relationship between entrepreneurial orientation and ambidexterity or not currently. Based on the empirical literature review, this paper discusses the influence mechanism of entrepreneurial orientation and ambidexterity innovation, while the introduction of the concept of knowledge inertia, explore whether knowledge inertia has the moderating effects from entrepreneurial orientation to ambidexterity innovation.The conclusion is as follows:first, each dimension of EO, i.e., innovativeness, proactiveness, risk taking stimulates exploratory innovation, whereas only innovativeness and proactiveness facilitate exploitative innovation while risk taking does not impede exploitative innovation. Second, this paper also verified the moderating effect of knowledge inertia. The results show that the inertia of knowledge has a significant negative moderating effect between entrepreneurial orientation and exploration innovation, whereas has not significant moderating effect on the relationship of entrepreneurial orientation and exploitative innovation.