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The results reveal that knowledge-based dynamic capabilities are associated with firm performance and that the relationship is partially mediated by a firm\u2019s entrepreneurial orientation. This mediation could be explained by the fact that an entrepreneurial orientation to identify and utilize new opportunities is integral to knowledge value creation and extraction, and to avoid pervasive rigidities. Our study sheds light on the mechanisms through which knowledge-based dynamic capabilities are associated with firm performance and helps to explain performance differences among firms. In addition, we provide management insight on how firms can deploy their knowledge-based dynamic capabilities and extract value from them to face change and promote their entrepreneurial orientation and performance.<\/jats:p>","DOI":"10.1007\/s11846-023-00691-4","type":"journal-article","created":{"date-parts":[[2023,8,11]],"date-time":"2023-08-11T18:02:22Z","timestamp":1691776942000},"page":"2781-2813","update-policy":"https:\/\/doi.org\/10.1007\/springer_crossmark_policy","source":"Crossref","is-referenced-by-count":31,"title":["How knowledge-based dynamic capabilities relate to firm performance: the mediating role of entrepreneurial orientation"],"prefix":"10.1007","volume":"18","author":[{"ORCID":"https:\/\/orcid.org\/0000-0001-7836-4670","authenticated-orcid":false,"given":"Remedios","family":"Hern\u00e1ndez-Linares","sequence":"first","affiliation":[]},{"ORCID":"https:\/\/orcid.org\/0000-0002-6204-9825","authenticated-orcid":false,"given":"Mar\u00eda Concepci\u00f3n","family":"L\u00f3pez-Fern\u00e1ndez","sequence":"additional","affiliation":[]},{"ORCID":"https:\/\/orcid.org\/0000-0003-2625-6795","authenticated-orcid":false,"given":"Gema","family":"Garc\u00eda-Piqueres","sequence":"additional","affiliation":[]},{"ORCID":"https:\/\/orcid.org\/0000-0001-6724-2440","authenticated-orcid":false,"given":"Miguel","family":"Pina e Cunha","sequence":"additional","affiliation":[]},{"ORCID":"https:\/\/orcid.org\/0000-0003-0883-0511","authenticated-orcid":false,"given":"Arm\u00e9nio","family":"Rego","sequence":"additional","affiliation":[]}],"member":"297","published-online":{"date-parts":[[2023,8,11]]},"reference":[{"issue":"1\u20132","key":"691_CR1","doi-asserted-by":"publisher","first-page":"11","DOI":"10.1002\/sej.4","volume":"1","author":"SA \u00c1lvarez","year":"2007","unstructured":"\u00c1lvarez SA, Barney JB (2007) Discovery and creation: alternative theories of entrepreneurial action. 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