Leveraging Dynamic Capabilities for the Adoption of Disruptive Technologies - A Qualitative Study of Technology-Based Firms

Abstract

In today’s rapidly evolving environment, technology-based firms (TBF) face growing pressure to remain adaptable and competitive in the face of technological disruption. As a result, leveraging dynamic capabilities has become increasingly important for managing such change, particularly with the rise of artificial intelligence (AI) as one of the most prominent disruptive technologies today. This study explores how technology-based firms develop and utilize dynamic capabilities to effectively manage the adoption of disruptive technologies. The study was conducted using a qualitative research strategy, incorporating an adaptive approach and a multiple case study design. Primary data was collected through semi-structured interviews with leaders of technology-based firms, generating rich insights into their responses to disruption. The empirical findings are supported and contextualized through relevant theoretical frameworks established in the literature review. The results highlight a range of internal and external strategies, such as stakeholder involvement, continuous learning, and market analysis, that support successful adoption. These initiatives enable firms to navigate uncertainty, foster adaptability, and maintain competitiveness in a rapidly changing environment. Drawing on the dynamic capabilities framework and the Dynamic Technology Capability Model (DTCM) by McLaughlin (2017), this study offers a comprehensive framework for technology-based firms seeking to adapt to disruptive technologies. Ultimately, it emphasizes the importance of technology leadership, management, integration, and alignment in driving successful technological transformation.