Understanding the Interplay of Digital Technology Resources, Digital Technology–business Alignment and Government Digital Support to Shape Digital Business Capability: A Multi-Method Approach

Grounded in the resource-based theory, this research investigates how tangible, human, and intangible digital technology (DT) resources shape the digital business capability of organizations. To capture both linear and configurational effects, a multi-method approach integrating partial least squares structural equation modeling (PLS-SEM) with fuzzy-set qualitative comparative analysis (fsQCA) was employed. The outcomes of PLS-SEM indicate that digital technology infrastructure and digital employee skills significantly enhance digital business capability, whereas digital organizational culture alone does not exert a direct effect. DT–business alignment weakens the positive influence of digital technology infrastructure, suggesting that overly rigid alignment may constrain the benefits of digital investments. Complementing these findings, the fsQCA results identify multiple equifinal resource configurations through which firms can develop digital business capability under different levels of DT–business alignment and government digital support. Overall, this study advances theoretical understanding of how digital resources collectively contribute to capability formation and offers practical guidance for firms seeking to allocate resources strategically and strengthen their competitive advantage.