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Abstract:
This paper aimed at analysing key areas that influence a firm's strategy in managing digital innovations and its performance. Digital innovation strategy framework has been applied to IT firms to assess whether user experience, value proposition, digital environment scanning, skills and improvisation influence firm's digital innovation strategy. Data from managerial representatives of IT firms was collected through a close ended questionnaire. The statistical analysis reveals that user experience, value proposition and digital environment scanning are positively associated with firm's performance whereas digital innovation skills are negligibly associated with firm's performance on digital innovation. Moreover, improvisation was found to be weakly associated with organisational performance. Future research directions are recommended to expand framework to incorporate political, regulatory and internal organisational factors.
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