Abstract
In dynamic markets, newly established ventures look for com petitive strategies and skills to ensure their survival and to avoid failure. This paper examines the influence of venture internal capabilities including intellectual capital and entrepreneurial strategy on new venture performance by using com petitive advantage as a mediator. We collected data from 227 ventures through a structured questionnaire in addition to interviewing 17 entrepreneurs. The findings of the study indicate that intellectual capital, entrepreneurial strategy and com petitive advantage have a significant positive influence on new venture performance. Similarly, intellectual capital and entrepreneurial strategy significantly positively contribute to com petitive advantage. Furthermore, com petitive advantage fully mediates the relationshi p between intellectual capital and new venture performance as well as it plays a partial medi-ating role in the relationshi p between entrepreneurial strategy and new venture performance. The results suggest that the aforementioned internal capabilities play a significant role in new venture success which might be beneficial for owners and managers to achieve com petitive position in a turbulent market.