Leveraging Strategic Foresight for Long-Term Competitive Advantage

Abstract

The dynamic nature of the digital era calls for embedding digital technologies within the core strategies of organizations. In this research, the application of strategic foresight as an approach to anticipation and preparation for competition is analyzed to see how digital capabilities facilitate long-term competitive advantage. In a mixed-method study combining a quantitative survey among 250 managers and executives in 50 technology-intensive firms with qualitative interviews, the relationships between digital capabilities, strategic decisions, and organizational performance are explored. Furthermore, the study emphasizes that organizations capable of integrating foresight practices with digital transformation initiatives are more likely to adapt effectively to rapidly changing market conditions and technological disruptions. Using SEM and regression models, the digital capability has a considerable effect on strategic decision-making (β = 0.58, t = 6.12, p < 0.001) that further positively impacts organizational performance (β = 0.62, t = 7.05, p < 0.001). At the same time, organizational culture plays the role of a moderator (β = 0.21, t = 2.34, p = 0.020). The mean values of all constructs surpass 3.88 in a 5-point Likert scale. The contribution of this paper is an innovative four-horizon Strategic Foresight Architecture and suggestions for managerial action. Suggestions for future research include longitudinal comparison across nations and exploration of other moderating variables such as regulatory environment and competitive intensity.