Construction of Frugal Innovation Path in the Context of Digital Transformation: A Study Based on NCA and QCA

Round 1

Reviewer 1 Report

The research results confirm that digital transformation and organizational resilience are contributive and necessary conditions for frugal innovation. Failed learning has a direct effect on frugal innovation, and design thinking is an important supplementary condition for frugal innovation. The paper proposes some ideas to help enterprises explore frugal innovation opportunities more effectively, such as establishing digital platforms to invest limited resources more reasonably, enhancing organizational resilience through accumulated learning, seeing failed learning as a learning opportunity, and applying design thinking to better meet customer needs.

This research provides theoretical support for the empirical investigation about the effective construction of frugal innovation. It enriches the path selection of enterprises when facing new market development under the condition of limited resources and provides reference for enterprises to identify the pre-conditions and to implement frugal innovation.

The research methods were interesting and relevant and the results were informative and based on sound evidence and processes.

However the paper needs to be professionally edited. The grammar varies from good, to poor with clear meaning, to poor with unclear meaning. A professional editor should normalize the grammar and clarify the authors’ intended meaning.

 

Some issues:

Referencing style – please follow MDPI template. This style is incorrect - (Jaideep P & Wenjing L).

According to the statistics of 2021, about 87.1% of the people with low general salary in China account for 87.1%. ??

Although scholars have confirmed the fact that frugal innovation is affected by many factors, few studies on the relationship between organizational resilience and enterprise frugal innovation are rarely involved. ??

These are two examples of unclear meaning that need to be clarified first before being edited for grammar.

Author Response

1Referencing style has been corrected.

2 “According to the statistics of 2021, about 87.1% of the people with low general salary in China account for 87.1%.” This place has been corrected “According to the statistics of 2021, the people with low and general salary in China accounted for 87.1%.”

3 “Although scholars have confirmed the fact that frugal innovation is affected by many factors, few studies on the relationship between organizational resilience and enterprise frugal innovation are rarely involved.” This place has been corrected “ Some scholars have confirmed the fact that frugal innovation is affected by many factors.”

4 The whole text has been syntactically corrected.

Author Response File: Author Response.pdf

Reviewer 2 Report

Kindly find the reviewer’s comments attached. 

Comments for author File: Comments.docx

Author Response

1. The whole text has been syntactically corrected.
2. Give a detailed description of the innovation points.  

The Literature review must have a logical sequence contemplating the description of the work topic, research problem (threshold of knowledge), justification, hypotheses, and objectives. Also, the papers listed below should be added to the Literature review section:

https://www.tandfonline.com/doi/abs/10.1080/17509653.2021.1991851

https://onlinelibrary.wiley.com/doi/abs/10.1002/mde.3507

https://www.tandfonline.com/doi/abs/10.1080/08956308.2022.2095759

https://link.springer.com/article/10.1007/s10639-021-10739-1

3. The paper content has been added more illustrations.
4. The Methodology applied in this paper has been added more illustrations. The selected significant variables has been added more illustrations.
5. The reason why select fsQCA as method in this study has been added in “3.1. Research methods” And added reference.
6. The paper has been write more about proposed model and the results obtained at Line 86-102.

Author Response File: Author Response.pdf

Reviewer 3 Report

It is a well-structured paper with interesting results; however it requires further improvements before publication:

 

1. In my opinion the current version of the abstract is not suitable. It should clearly state the manuscript main contribution to the body of knowledge, and the motivation that lead the author to this research. 

 

2. The references are applicable but not sufficient. Please, study more to make your work more convincing. 

 

3. There are several papers in the field covered by this work that are not currently taken into account by the author. In my opinion a proper literature review section should be included in the paper in order to clearly help stating what your main contributions are. 

 

4. A deep and accurate comparison of your approach with the current state of the art should be added in your manuscript.

 

5. The inspiration of your work must be highlighted. For example, https://doi.org/10.1088/1361-6501/ac9a61; https://doi.org/10.1016/j.ymssp.2022.109422; https://doi.org/10.3934/mbe.2023090and so on

6. In the Section of 3.1 Analysis of necessary conditions, "the value of effect d is low level, 0.1 to 0.3 level, 0.3 to 0.5 level". Why the value of effect d is divided into 3 levels? 

 

Author Response

1. The abstract has been corrected. 
2. The references has been added.
3. The paper’s main contributions has been added at Line270-277. 
4. The paper’s theoretical significance has been added at Line 576-595.
5. The inspiration of your work been corrected.
6. In the Section of 3.1 Analysis of necessary conditions, "the value of effect d is low level, 0.1 to 0.3 level, 0.3 to 0.5 level". The value is reference previous scholar has added reference.

Author Response File: Author Response.pdf

Reviewer 4 Report

The paper sounds interesting. It has been structured very well and reads clearly. In my opinion, it can be published after a minor revision.

The authors need to compare their findings more critically with the existing studies.

Future directions for further research need more in-depth discussion. Please be more specific and try to come up with some well-formulated research avenues for the future.

Author Response

1. The references has been added.
2. The paper’s limitation and prospect has been added at Line 631-641.

Round 2

Reviewer 1 Report

There is still potential to improve the writing quality through the use of a professional editor. This will enhance the impact and readability of the paper.

Author Response

The paper had already revised thoroughly.

And references had already cited by correct way.  

Reviewer 2 Report

None of my comments has been addressed. Based on the listed comments, the paper in its current form is not valid to be published as it suffers from scientific immaturity

· There are numerous spelling and grammatical errors. Please revise the manuscript thoroughly. Sentences are also not complete, and references are also cited in a rough manner.  

·  The novelty of this research is ordinary.   

·  The Literature review must have a logical sequence contemplating the description of the work topic, research problem (threshold of knowledge), justification, hypotheses, and objectives. Also, the papers listed below should be added to the Literature review section:

https://www.tandfonline.com/doi/abs/10.1080/17509653.2021.1991851

https://onlinelibrary.wiley.com/doi/abs/10.1002/mde.3507

https://ascelibrary.org/doi/abs/10.1061/%28ASCE%29CO.1943-7862.0002222

https://www.tandfonline.com/doi/abs/10.1080/08956308.2022.2095759

https://link.springer.com/article/10.1007/s10639-021-10739-1

The paper's content needs major improvements. It appears to be a technical report rather than a technical paper.

Because the methodology used in this research is unclear, further illustrations are required. Furthermore, the Methodology section requires greater rationale and discussion of the major variables chosen.

How do the authors know that the "fsQCA" is important enough to be employed in this study? Then, what research has been reviewed to support these claims?

 

The Authors should explain more about your proposed model and the outcomes. What is novel about their research? What distinguished their research from others in the literature? What is their recommended model's limitation? What is required to create a more dependable model?

 

 

Author Response

1 the paper’s innovation had already revised. ( The innovation points of this paper are as follows: First, most of the existing scholars' research methods used qualitative or quantitative single methods to explore, and mostly analyzed from a single influencing factor or the interaction between inflencing factors, lacking the use of qualitative and quantitative mixed methods to study frugal innovation. Therefore, this paper uses fuzzy set qualitative comparative analysis (fsQCA) and necessary condition analysis (NCA) to comprehensively explore "qualitative case" and "quantitative variable", which is beneficial to explore how to promote frugal innovation of enterprises. Second, existing studies have shown that the "black box" that reveals how digital transformation, organizational resilience, failure learning and design thinking promote frugal innovation is an important basis for exploring the internal logic of enterprise frugal innovation. However, from the perspective of con-figuration, there are few researches on the relationship between multiple elements and the combination path. Based on the perspective of configuration, this paper explores how to coordinate and linkage among multiple elements to promote frugal innovation. Third, most of the existing researches on the influencing factors of frugal innovation focus on the macro or micro level with national, provincial and industrial levels as the research objects, and ignore the development differences at the enterprise level, that is, different enterprises have different paths to develop frugal innovation.

Therefore, based on the perspective of configuration, this paper applies fuzzy set qualitative comparative analysis (fsQCA) and necessary condition analysis (NCA) to analyze the sufficient and necessary causal links among digital transformation, organizational resilience, failure learning, design thinking and naive innovation, and further explores the complex linkage relationship between multiple factors and frugal innovation. In order to provide scientific decision basis for emerging markets to solve the contradiction between supply and demand under the new normal.) 

 

The Literature review had already correct. Also, the papers had already added to references.( 1[1]. Shen, L., Zhang, X. and Liu, H. D.(2021) Digital technology adoption, digital dynamic capability, and digital transformation per -formance of textile industry: Moderating role of digital innovation orientation. Managerial and Decision Economics, 43(6). 2038-2054. https://doi.org/10.1002/mde.3507

[1]3 David, R., Jim, E.(2022). An Interview with David RogersJim Euchner talks with David Rogers about the ways digital technology is changing strategy and what leaders can do to manage the pace and complexity of the digital world. Research-Technology Management.65(5):11-17. https://doi.org/10.1080/08956308.2022.2095759

19 Ali, S., Odey, A. and Ola, H.(2021). A Gaussian mixture model evaluation of construction companies’ business acceptance capabilities in performing construction and maintenance activities during COVID-19 pandemic. International Journal of Management Science and Engineering Management.17(2): 112-122. https://doi.org/10.1080/17509653.2021.1991851

22. 22. Shehadeh, A., Alshboul, O. and Hamedat, Ola.( 2022) Risk Assessment Model for Optimal Gain–Pain Share Ratio in Target Cost Contract for Construction Projects. Journal of Construction Engineering and Management,148(2):04021197 https://doi.org/10.1061/（ASCE）1943-7862.0002222

3[1]. Mohamed, H. M. A., Tlemsani, I., and Matthews, R.(2021) Higher education strategy in digital transformation. Education and information technologies,(3):21-25. https://doi.org/10.1007/s10639-021-10739-1

3 The paper’s methodology had already illustrations. (.In order to better explore the necessary and sufficient causality between different variables and frugal innovation under the background of digital transformation. Firstly, data of proposed variables were collected through questionnaire survey, and descriptive analysis was carried out with SPSS software to observe the correlation be-tween each antecedent variable. Secondly, R language is used for NCA analysis to measure the necessity of each antecedent condition, and then the reliability of the test results is analyzed with the single factor necessary in software fsQCA. Finally, fuzzy set analysis is carried out in fsQCA software to construct the driving path of the result variable. This paper reveals the complex causal mechanism that promotes frugal in-novation under the background of digital transformation.)

And the paper’s major variables chosen had already correct. (Referring to the existing maturity questionnaires, we discussed with the relevant scholars, and made appropriate adjustments to the description of the existing questionnaires, so that the final adjusted questionnaires can better express the research topic. This paper use Likert Scale Level Five to measure the items of each variable, 1 expresses "Strong opposition" and 5 expresses "Very much agree". The scale of frugal innovation is designed by referring to the scale proposed by Thomas et al.(2020)[ ], combined with the typical characteristics of frugal innovation, evaluated from the aspects of realization form and product composition, including ten items. For example, "The enterprise pays attention to the requirements of cost reduction and ensures the quality of products and services", " The enterprise pays attention to the consumption view, values and lifestyle of BOP groups ".The scale of digital transformation is designed by referring to the scale proposed by Loonam et al. (2018), combined with the practice of enterprises digital transformation, digital technology reform and other aspects, including three items. For example, "Optimizing products and service systems through digital technology", "Using digital technology to establish an effective cooperation mechanism". The scale of organizational resilience is designed by referring to the scale proposed by Martina et al.(2019), measured from the risk resistance, emergency management and other aspects, including three items. For example, "The enterprise can quickly change from the daily business model to respond to the crisis state" and "In addition to dealing with daily business activities, the enterprise has the ability to deal with some emergencies". The scale of learning from failure is designed by referring to the scale proposed by Geissdoerfer et al (2016)[ ]. The internal learning from failure is mainly measured from the aspects of advantages and disadvantages and causes of failure, including four items. For example, "The enterprise can effectively manage the internal relationship", "The enterprise can clearly understand its own advantages and disadvantages ". External learning from failure is mainly measured from the aspects of external perception and alertness, including four items. For example, " The enterprise can always pay attention to and analyze potential competitors in the industry", " The enterprise can effectively manage external relations". The scale of design thinking is designed by referring to the scale proposed by Anderson and Lillis (2011), including twelve items. For example, " The enterprise often consider and communicate from the point of view of each other (users or other relevant people)","The enterprise constantly refine its ideas and deny itself until getting satisfactory results from users ".)

4 The reason why use the "fsQCA" had been added. And added reviewed .( As a type of QCA, fuzzy set qualitative comparative analysis (fsQCA) can not only explain the complex causality mechanism of multiple concurrency between multiple antecedent conditions and result variables, and obtain the linkage relationship be-tween antecedent conditions and result variables, but also can measure the detailed subordination scores of each antecedent condition in order to reveal the asymmetry of frugal innovation in enterprises’ management practice. At the same time, NCA meth-od can test whether there is an inevitable relationship between result variable and a certain antecedent condition, measure the effect quantity of the necessary conditions, and effectively explore which antecedent conditions are necessary and sufficient to promote frugal innovation. Therefore, the combination of fsQCA and NCA is more valuable.) (Furnari, S., Crilly, D., Misangyi, V. F., Thomas, G., Peer, C. Fiss., and Ruth, V. A.(2020).Capturing causal complexity: heuristics for configurational theorizing. Academy of Management Review. 46,1-50. https://doi.org/10.5465/amr.2019.0298)

5 The paper’s novel and distinguished about research add at Line 86-102. (The innovation points of this paper are as follows: First, most of the existing scholars' research methods used qualitative or quantitative single methods to explore, and mostly analyzed from a single influencing factor or the interaction between influencing factors, lacking the use of qualitative and quantitative mixed methods to study frugal innovation. Therefore, this paper uses fuzzy set qualitative comparative analysis (fsQCA) and necessary condition analysis (NCA) to comprehensively explore "qualitative case" and "quantitative variable", which is beneficial to explore how to promote frugal innovation of enterprises. Second, existing studies have shown that the "black box" that reveals how digital transformation, organizational resilience, failure learning and design thinking promote frugal innovation is an important basis for exploring the internal logic of enterprise frugal innovation. However, from the perspective of configuration, there are few researches on the relationship between multiple elements and the combination path. Based on the perspective of configuration, this paper explores how to coordinate and linkage among multiple elements to promote frugal innovation. Third, most of the existing researches on the influencing factors of frugal innovation focus on the macro or micro level with national, provincial and industrial levels as the research objects, and ignore the development differences at the enterprise level, that is, different enterprises have different paths to develop frugal innovation.

Therefore, based on the perspective of configuration, this paper applies fuzzy set qualitative comparative analysis (fsQCA) and necessary condition analysis (NCA) to analyze the sufficient and necessary causal links among digital transformation, organizational resilience, failure learning, design thinking and frugal innovation, and further explores the complex linkage relationship between multiple factors and frugal innovation. In order to provide scientific decision basis for emerging markets to solve the contradiction between supply and demand under the new normal.)

The model's limitation add at Line 623-633.( First of all, although the research objects of this paper include state owned enterprises, Sino foreign joint ventures, private enterprises, foreign funded enterprises, all of these enterprises are Chinese enterprises, the application and promotion in international scenarios are not considered. We will select foreign enterprises across international regions and industries as objects in the future research. Secondly, based on digital transformation, this paper studies the antecedent variables of frugal innovation. However, limited by the number of variables, whether other factors affect frugal in-novation needs to be further studied. Finally, future research can be combined with dynamic QCA to carry out configuration evolution research and explore effective ways to promote enterprises’ frugal innovation under the digital ecosystem.)

Reviewer 3 Report

This paper can be accepted now.

Author Response

Thanks for your accept.

Round 3

Reviewer 2 Report

This paper provides an interesting approach to the study of digital transformation by combining Network Component Analysis (NCA) and Qualitative Comparative Analysis (QCA). After the first round of review, the authors present a clear and concise overview of the research process, which is well-structured and easy to follow. The results of the study are also clearly presented and discussed in detail. Overall, this paper provides useful insight into the construction of simple innovation paths in the context of digital transformation. The following minor comments are required:

1. Some English proofreading will be beneficial.

2. Adding the following references are vital:

https://doi.org/10.3390/su15010542

https://doi.org/10.1061/(ASCE)ME.1943-5479.0001003

https://doi.org/10.3390/su15010337

https://doi.org/10.3390/buildings12081166

3. Adding a separate section within the conclusion for the theoretical and practical implications of the study is critical. 

 

Author Response

Dear Reviewer,
Thank you for reviewing the manuscript for us in your busy schedule. According to your request, we have made the following modifications：
1. English proofreading has been completed
2. We added the paper https://doi.org/10.3390/su15010542 as reference [16] and https://doi.org/10.3390/su15010337 as reference [35] in our paper.
This two paper https://doi.org/10.1061/(ASCE)ME.1943-5479.0001003(the title is Governmental Investment Impacts on the Construction Sector Considering the Liquidity Trap) and https://doi.org/10.3390/buildings12081166( the title is Machine Learning-Based Model for Predicting the Shear Strength of Slender Reinforced Concrete Beams without Stirrups) have nothing to do with our study. We can not add them in the paper.
3. We added a separate section 5.2 and 5.3 in the conclusion for the theoretical and practical implications. 
All parts we modified are in red font, please check. Please let us know if you have any questions. Thank you again for your help and guidance.

Author Response File: Author Response.pdf