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Drawing on the resource-based view and dynamic-capability view, this study examines the impact of the digital technology and entrepreneurial support policy on the competitive advantage of digital new ventures in China, with a particular emphasis on the interaction role between them. We also examine the roles of digital capability as a mediator and strategic flexibility as a moderator. We tested related hypotheses using a sample of 234 digital new ventures in the Chinese emerging economy. The empirical results offer broad support for these predictions and indicate potential elements that could achieve competitive advantage for digital new ventures.

Leveraging resources to achieve high competitive advantage for digital new ventures: an empirical study in China