Validating Dynamic Digital Capability Measures in Creative Youth Communities: A Partial Least Squares Study

Abstract

Digital technologies increasingly shape how creative youth communities coordinate activities, exchange knowledge, and pursue opportunities. However, Dynamic Digital Capability (DDC) measures have mainly been examined in formal organizational settings, leaving their applicability to community-based contexts uncertain. This study evaluates adapted measures of Digital Environment, Community-Based Entrepreneurial Orientation, Digital Learning Capability, Digital Literacy, and DDC and examines their proposed direct relationships. Data were collected from 170 individual representatives of 42 creative youth communities in Yogyakarta and analyzed using Partial Least Squares Structural Equation Modeling with 5,000 bootstrap subsamples. Internal consistency and convergent validity were satisfactory. However, the Heterotrait–Monotrait ratio between Digital Learning Capability and DDC was 0.903, indicating insufficient discriminant validity under the 0.90 criterion. Digital Learning Capability showed a significant large effect on DDC (β = 0.585, p < 0.001, f² = 0.540), while Digital Literacy showed a significant small effect (β = 0.270, p < 0.001, f² = 0.108). Digital Environment and Community-Based Entrepreneurial Orientation had no significant direct effects. The model explained 68.6% of DDC variance (R² = 0.686; SRMR = 0.080). The findings provide preliminary nomological evidence while indicating the need for further measurement refinement and community-level validation.