Intellectual Capital and Financial Performance in Small Manufacturing Companies: The Moderating Effect of Managerial Ambidexterity

We verify the moderating effect of managerial ambidexterity on the relationship between intellectual capital and financial performance of small manufacturing companies in Peru. This study used a quantitative, nonexperimental, cross-sectional design. The sample consisted of 506 small manufacturing firms. To determine the validity and reliability of the hypothesized model, we performed exploratory factor analysis using a rotated component matrix to group questions within their corresponding constructs. Next, we assessed convergent and discriminant validity using measures such as Cronbach’s alpha, composite reliability, and average variance extracted. Finally, we tested the model hypotheses using structural equation modelling. SPSS 27 and AMOS 24 were used for all the analyses. This study showed that managerial ambidexterity has a partial moderating effect on the relationship between intellectual capital and the financial performance of small manufacturing firms in Peru. Additionally, statistical analysis showed that managerial ambidexterity moderates the direct relationship between structural capital and relational capital with financial performance, while no moderating effect was observed for human capital. This research constitutes a pioneering study within developing economies, as investigating the moderating effect of managerial ambidexterity on the relationship between intellectual capital and the financial performance of small manufacturing companies in Peru provides valuable information that closes knowledge gaps within this field of study. Additionally, it offers valuable insights for the business sector to analyse the relationship between the hypothesized variables and make informed decisions regarding the benefits and sustainability of companies.