Omer Shabbir, Fouzia Zakiullah Khan, Mujahid Latif, Shandana Nawaz
Organizations face several challenges by environment which is usually characterized by changing needs of the customers, rough competition, speed of technological changes, dynamism, complexity etc. Firms rethink about their strategies and involve them in innovation continuously to strengthen their competitive advantage and performance. In this particular perspective, the current paper seeks the need of the firms to deal with the paradoxical innovation strategies that have been based on exploration of the new skills or exploitation of their existing ones. The paper concludes presenting a proposed theory based on the available literature suggesting when the organizations need to involve in exploiting their existing capabilities and at the same time exploring the new ones under specific set of conditions. Future research may test the theory presented in the following paper to provide empirical support to the paper.