THE Influence of Dynamic Capabilities and Total Quality Management Practices on Competitive Advantage among Insurance COMPANIES

Abstract

In today’s competitive insurance landscape, achieving and sustaining a competitive advantage is vital for organizational survival and long-term success, yet it remains a major challenge amid rapid industry changes and heightened market pressures. This study explored the extent to which dynamic capabilities and Total Quality Management (TQM) practices influence the competitive advantage of insurance companies operating in Davao City, Philippines. A descriptive-correlational research design was employed, involving 200 purposively selected employees from leading life insurance companies in Davao City. Adapted survey questionnaires served as the primary data collection instrument. The data were analyzed using descriptive and inferential statistics, including Pearson’s r and regression analysis. The findings revealed that both dynamic capabilities and TQM practices were strongly demonstrated across the surveyed companies. Moreover, the level of competitive advantage was found to be very high, indicating that it is very evident within the industry. Statistical analysis confirmed that both dynamic capabilities and TQM practices significantly influence competitive advantage. Notably, seventy-five percent of the variance in competitive advantage can be attributed to the combined influence of these two factors.