I am investigating the effect of balanced ambidexterity and combined ambidexterity on firm performance, with moderating variables environmental dynamism and environmental munificence.
While my main relation is insignificant, the interaction effect of my moderating variable is significiant.
How do I need to interpret this, and can I give support to the proposed hypothesis of a positive moderating effect if the main effect is insiginificant?
Note: for the moderating variables, variable * BD or variable * CD stands for interaction term with m
Code:
**Dependent: Sales Growth 3 year | Model 0 | Model 1 | Model 2 | Model 3 | Model 4 | Model 5 | Model 6 | Model 7 | Model 8 | |
Independent variable | ||||||||||
Balanced Ambidexterity | -.348 | -.358 | 0.044 | .049 | ||||||
Combined Ambidexterity | .019 | .024 | .016 | .014 | ||||||
Moderator variables | ||||||||||
Environmental Dynamism Environmental Dynamism * balanced ambidexterity Environmental Dynamism * combined ambidexterity | -0.862 -.195 | -1.090 .053 | -1.244 .065 | -1.223 0.032 | ||||||
Environmental Munificence Environmental Munificence * Balanced Ambidexterity Environmental Munificence * Combined ambidexterity | 30.155** 3.951** | 34.137** 1.135** | 30.145** 4.054** | 34.193** 1.179** | ||||||
Control variables | ||||||||||
Exploration | -.287 | .052 | -.469 | -.063 | -.483 | -.383 | -.512 | -.395 | -.521 | |
Exploitation | .036 | .388 | .023 | .450 | -.024 | -.042 | .014 | -.551 | .013[EM1] | |
Industry type | -.424** | -.424** | -.420** | -.398** | -0.394** | -.212* | -.229** | -.186** | -.202** | |
Firm size | -.342** | -.342** | -.340** | -.339** | -.338** | -.296** | -.302** | -.295** | -.300** | |
Firm age | -.035** | -.035** | -.036** | -.035** | -.035** | -.315** | -.035** | -.032** | -.032** | |
Year dummies | Yes | Yes | Yes | Yes | Yes | Yes | Yes | Yes | Yes | |
Observations | 2412 | 2412 | 2412 | 2412 | 2412 | 2412 | 2412 | 2412 | 4212 | |
Number of firms | 402 | 402 | 402 | 402 | 402 | 402 | 402 | 402 | 402 | |
Wald Chi-square | 38.21 | 32.83 | 32.04 | 32.89 | 32.90 | 89.25 | 130.12 | 88.71 | 128.16 | |
Log-likelihood | ||||||||||
P > Chi-square | 0.000** | 0.000** | 0.000** | 0.000** | 0.000** | 0.000** | 0.000** | 0.000** | 0.000** | |
**. is significant at the 0.05 level. *. is significant at the 0.10 level. Year dummies are not reported. |
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