How Technological Leadership Drives Breakthrough Innovation:A Dynamic Capabilities Perspective

DOI: https://doi.org/10.62517/jmsd.202512615

Author(s)

Yuanjin Liu1,*, Yuzi Xiao1, Bingling Liu2

Affiliation(s)

1School of Economics and Management, Jiangxi Normal University, Nanchang, Jiangxi, China 2Daxin Certified Public Accountants LLP Jiangxi Branch, Nanchang, Jiangxi, China *Corresponding Author

Abstract

Against the backdrop of increasingly fierce global technological competition, breakthrough innovation has become a critical path for firms to achieve sustainable development. Based on the dynamic capabilities theory, this paper constructs a theoretical framework of "technological leadership--dynamic capabilities --breakthrough innovation" to reveal how technological leadership drives breakthrough innovation through the three stages of dynamic capabilities: sensing, seizing, and reconfiguring. The study finds that technological leadership, with "technological expertise, forward-looking vision, and organizational transformation" at its core, facilitates breakthrough innovation and effectively mitigates its inherent uncertainty through the strengthening of dynamic capabilities. This mechanism is validated in the practices of Tesla and Huawei. By leveraging technological leadership as their strategic anchor, both companies have transformed technological foresight and change execution into systemic innovation advantages via the three-stage process of dynamic capabilities. Consequently, they have successfully effected paradigm shifts, including key technological breakthroughs and the restructuring of industrial ecosystems. Theoretically, this study provides a new perspective for exploring the interplay among technological leadership, dynamic capabilities, and breakthrough innovation. Practically, it offers a decision-making reference for firms in selecting their technological innovation paths.

Keywords

Technological Leadership; Breakthrough Innovation; Dynamic Capabilities; Tesla; Huawei

References

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