Purpose Service innovation (SI) is critical for tourism enterprises to sustain competitive advantage. However, tourism firms are characterized by high levels of Customer participation (CP), which may both foster and hinder SI. Drawing on the Job Demands-Resources model, this research investigates how CP translates into stimulating and hindering pathways through the mediating roles of skill variety and coordinative complexity, and the moderating role of ambidextrous leadership. The study aims to elucidate how tourism enterprises can harness the benefits of CP while mitigating its drawbacks. Design/methodology/approach The measurement instruments were first validated via a pilot study (179 employees, 48 teams). Subsequently, the main survey (327 employees, 67 teams) tested the hypotheses. Findings The results indicate a positive main effect of customer participation on service innovation. Mediation analysis confirms significant parallel mediating roles for both skill variety and coordinative complexity. Furthermore, a two-level hierarchical linear model confirmed that ambidextrous leadership positively moderates the impact of skill variety on service innovation at a cross-level. Originality/value This research reveals the mechanism through which customer participation positively influences employee service innovation. In addition, it highlights the necessity for ambidexterity leadership in teams and the importance of controlling the degree of ambidexterity.
Wen et al. (2026) studied this question.
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