Open innovation, network embeddedness and incremental innovation capability

2020 ◽  
Vol 58 (12) ◽  
pp. 2655-2680
Author(s):  
Shaojie Han ◽  
Yibo Lyu ◽  
Ruonan Ji ◽  
Yuqing Zhu ◽  
Jingqin Su ◽  
...  

PurposeThis study aims at developing a better understanding of the relationship between network embeddedness and incremental innovation capability and further examines the moderating effect of open innovation.Design/methodology/approachThis paper adopts hierarchical regressions to validate the theoretical model and collect the patent data of the top 54 firm patentees in the smartphone industry as empirical sample. Using patent citation network data, this paper estimates the relationship between open innovation, network embeddedness and incremental innovation capability.FindingsThis paper empirically shows that structural embeddedness exerts a negative effect on incremental innovation capability, while relational embeddedness is positively related to incremental innovation capability. And open innovation strengthens the relationship between network embeddedness and incremental innovation capability.Originality/valueThis paper shifts the focus of the determinants of incremental innovation capability from internal factors to the external network features by exploring the linkage between network embeddedness and incremental innovation capability. A counterintuitive conclusion is that structural embeddedness shows a negative effect on firm's incremental innovation capability. Furthermore, in contrast to most previous studies, which only focus on the direct effect of open innovation on the firm's incremental innovation capability, our study examines the moderating effect of open innovation on the relationships between network embeddedness and incremental innovation capability. At last, the results provide practical guidance for firms to occupy the beneficial network positions and adopt appropriate open innovation strategies to improve their incremental innovation capability.

2018 ◽  
Vol 31 (3) ◽  
pp. 581-597 ◽  
Author(s):  
Xiaoxiao Shi ◽  
Qingpu Zhang

Purpose The purpose of this paper is to analyze the impact of inbound open innovation and organizational inertia on radical innovation capability (RIC). It also seeks to explore whether the existence of organizational inertia has a moderating effect and influence on the relationship between inbound open innovation and RIC. Design/methodology/approach In this empirical research, the authors collected sample of patents in smart phone industry over the 2000-2016 period. Then, the authors examined the direct roles of inbound open innovation and organizational inertia, and the moderating role of organizational inertia by using hierarchical regression analysis. Findings Results found that cognitive inertia (CI) has a positive influence on firms’ RIC, but network inertia (NI) has a negative influence on RIC. CI also has a significant moderating effect on the relationship between inbound open innovation and RIC, but NI only has a significant moderating effect on the relationship between open search breadth and RIC. Inbound open innovation directly affects RIC. Research limitations/implications The authors collected the patent data of this study within the single industry and excluded other types of industries. And it may limit the generalization of the findings. Practical implications The paper includes implications for adopting an appropriate open search strategy and developing a better understanding of organizational inertia on firms’ radical innovation behavior. The findings suggest future directions to technology intensive industries for improving their RIC. Originality/value This study contributes to the relationship between organizational inertia and RIC within the framework of inbound open innovation.


2018 ◽  
Vol 56 (6) ◽  
pp. 1217-1231 ◽  
Author(s):  
Marta Peris-Ortiz ◽  
Carlos Alberto Devece-Carañana ◽  
Antonio Navarro-Garcia

PurposeThe purpose of this paper is to investigate the relationship between open innovation (OI) and radical and incremental innovation success in knowledge-based companies. The company’s human resources and organizational learning capability are considered as the fundamental nexus of this relationship.Design/methodology/approachAt the conceptual level, the paper analyzes the relationships between dynamic capabilities and OI and between OI and innovation success. Fuzzy-set qualitative comparative analysis (fsQCA) was used to study how innovation is implemented in 29 companies.FindingsFsQCA identifies combinations of factors that facilitate incremental innovations. These combinations reveal the path to implementing company policies that enable incremental innovation and foster radical innovation.Research limitations/implicationsThe nature of the study sample means that the findings should be generalized with precaution. The most valuable implication is the identification of combinations of factors that help companies manage innovation.Originality/valueScarce literature links organizational learning factors and OI to different types of innovation. The use of fsQCA to analyze the cases also marks a breakthrough in the innovation literature.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Xiaoxiao Shi ◽  
Lu Lu ◽  
Wei Zhang ◽  
Qingpu Zhang

Purpose This paper aims to propose the following questions: How do structural network embeddedness influence firms’ incremental innovation capability? Does technology cluster moderate the relationships between them? Design/methodology/approach In this empirical research, the authors collected a sample of patent data in the smartphone industry over the period of 2000-2018. Then, the authors examined the direct roles of structural network embeddedness on firms’ incremental innovation capability and the moderating role of technology cluster by using ordinary linear squares regression. Findings The empirical results show that occupying the central position positively affects firms’ incremental innovation capability, and clustering strengthens this linear relationship. Furthermore, bridging structural holes has an inverted U-shaped effect on incremental innovation capability, and clustering positively moderated this nonlinear relationship, while bridging ties across different clusters plays a negative moderation role in this relationship. Originality/value This empirical research provides new insights into whether and how firms can grasp the benefits of structural network embeddedness to conduct incremental innovations and the moderation effects of technology cluster contingencies. It further contributes to the structural network embeddedness–incremental innovation capability issue by extending its research context to the smartphone industry.


2020 ◽  
Vol 35 (9) ◽  
pp. 1243-1259
Author(s):  
Ines Amara ◽  
Hichem Khlif ◽  
Anis El Ammari

Purpose This paper aims to investigate the relationship between the strength of auditing and reporting standards (SARS) and money laundering, and test whether the SARS moderates the association between corruption and money laundering. Design/methodology/approach The sample consists of 348 country-year observations over the period 2015–2017. Data on money laundering are collected from Basel Anti-Money Laundering Reports for 2015–2017, while data on SARS and corruption are collected from the Global Competiveness Reports for the same years. Findings The findings of this study suggest that the SARS is negatively associated with money laundering, while corruption has an insignificant effect on the same variable. The effect of corruption on money laundering becomes positive and significant after removing the SARS. This result implies that the SARS and corruption represent two concurrent forces influencing money laundering phenomenon with a prevailing negative effect for the SARS. When testing for the moderating effect of SARS on the positive association between corruption and money laundering, findings show that the positive association remains stable under low SARS environments, while it is mitigated under high SARS. This moderating effect is further confirmed when using an interaction variable between the SARS dummy variable and corruption as this interaction variable has a negative effect on money laundering. Originality/value The findings emphasize the role played by the SARS in reducing money laundering and mitigating the positive association between corruption and money laundering. These results may have policy implications for governments aiming to combat this phenomenon.


2019 ◽  
Vol 10 (3) ◽  
pp. 342-361 ◽  
Author(s):  
Hongjun Cao ◽  
Zewen Chen

Purpose Green innovation strategy is not only a new idea to achieve green development but also the inevitable choice for enterprises to upgrade. At present, the research on the driving forces of green innovation strategy mainly focus on direct impact of single factor, lacking the overall consideration of internal and external environment. At the same time, research on the contingency effect of top management’s environmental awareness is scarce. This paper aims to explore how external environment pressures (policy pressures and market pressures) and internal environment driving force (innovation resources and innovation capability) make enterprises to choose green innovation strategy with moderating effect of top management’s environmental awareness. Design/methodology/approach Based on the sample of 216 enterprises, this paper explores the relationship between policy pressure, market pressure, innovation resources, innovation capability and the green innovation strategy with moderating effect of top management’s environmental awareness from inside and outside driving angle. Findings The results of the hierarchical regression model show, first, the driving effect of factors in the external environment. The coercive policy has an inverted U-shaped impact on the green innovation strategy. The incentive policy and the market pressure both have a significant positive impact on the green innovation strategy. Second, the driving effect of factors in the internal environment. The innovation capability has a significant positive impact on the green innovation strategy. The innovation resources have no significant impact on the green innovation strategy. Third, the moderating effect of top management’s environmental awareness. The relationship between the green innovation strategy and the coercive policy is stronger when the top management’s environmental awareness higher. The relationship between the green innovation strategy and the market pressure is stronger when the top management’s environmental awareness higher. The relationship between the green innovation strategy and the innovation resources is stronger when the top management’s environmental awareness higher. Otherwise, the relationship between the green innovation strategy and the innovation capability is weaker when the top management’s environmental awareness higher. And there is no significant change about the relationship between the green innovation strategy and the incentive policy when the top management’s environmental awareness higher. Originality/value First, the authors have promoted the integrated research on the drivers of the enterprise’s green innovation strategy. From the perspective of internal and external environment driving forces, this paper analyzes the key factors influencing the decision-making of the green innovation strategy. Second, the study has contributed to the strategic choice theory. This paper studies the driving mechanism of the green innovation strategy from a new perspective of the strategic choice theory.


2017 ◽  
Vol 21 (3) ◽  
pp. 656-674 ◽  
Author(s):  
Yueqi Wang ◽  
Bin Guo ◽  
Yanjie Yin

Purpose The purpose of this study is to explore organizational factors that act as antecedents of open innovation search. The authors aim to empirically examine whether the extent to which the organizational slack is absorbed determines its influence on firms’ openness in innovation search. In addition, the authors also examine the moderating effect of absorptive capacity on the relationship between slack and open innovation search. Design/methodology/approach This study adopted secondary data from multiple sources (NBER, Compustat and US census) and then constructed a ten-year balanced panel dataset of 298 manufacturers. The generalized least square method was used to explore the determinants of open innovation search among manufacturing firms. Findings The results of this study reveal that the absorption level of organizational slack indeed determines the openness in innovation search. Specifically, absorbed slack negatively affects a firm’s openness in innovation search, whereas unabsorbed slack promotes open innovation search. Additionally, the relationship between absorbed slack and open innovation search will be less negative with the increase of absorptive capacity. Originality/value Different from most previous studies that have examined the performance effect of open search among high-tech and large enterprises, this study focuses on the antecedents of open search strategy in both high- and low-tech, large and small firms. The findings reveal that different forms of organizational slack divergently influence a firm’s open search strategy, contributing to the understanding of the relationship between organizational slack and knowledge search behavior in a broader context, as well as the understanding of the moderating effect of absorptive capacity.


2017 ◽  
Vol 117 (6) ◽  
pp. 1166-1184 ◽  
Author(s):  
Juyeon Ham ◽  
Byounggu Choi ◽  
Jae-Nam Lee

Purpose Many studies have investigated the relationship between the adoption of open innovation and performance in large firms. However, limited research is available with regard to the use of open innovation in small and medium enterprises (SMEs). SMEs are important because of their contribution to innovation in almost all economies. The purpose of this paper is to extend the current literature by focusing on SMEs. Using complementarity and knowledge-based theories, this study develops three hypotheses to identify the effect of knowledge sourcing approaches for innovation on SMEs’ innovation performance. Design/methodology/approach Surveys collected from 196 SMEs in Korea were analyzed using the supermodularity function to test the hypotheses. Findings Results indicate that an external knowledge-oriented approach has no significant effect, whereas an internal knowledge-oriented (i.e. closed) approach has a positive effect on innovation performance. Interestingly, this study found that open innovation has a negative effect on SMEs’ innovation performance (i.e. both internal knowledge-oriented and external knowledge-oriented approaches have a substitutive relationship). Originality/value This study sheds new light on open innovation and knowledge management research by identifying the relationship between knowledge sourcing approaches for innovation, and innovation performance in SMEs. Practical implications highlight that open innovation could impede SMEs’ innovation performance.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Minrui Han ◽  
Bing Sun ◽  
Xiao Su

Purpose This study aims to explore the influence of a region’s network location characteristics and indirect connections on its innovation capability. The aim is to assist regions in different network locations to use innovation resources to improve their innovation capabilities more efficiently. Design/methodology/approach This paper represents the Chinese regional innovation network using the gravity model. A theoretical framework is developed to explore the relationships between a region’s innovation capability and its network location. Hypotheses are tested using hierarchical regressions. Findings First, this paper finds that a region’s network centrality can promote its innovation capability. Second, a structural hole can positively adjust the relationship between a region’s centrality and innovation capability. Third, a region’s indirect connections can inhibit its innovation capability while exhibiting a U-shaped relationship in moderating centrality and innovation capability. Originality/value This study uses a multi-index system to construct an innovation network covering 29 regions in China. This network represents the innovation cooperation and overall situation of innovation in China. The paper is one of the first attempts at investigating the relationship between regional network locations and innovation capability. It is also the first attempt at testing the influence of indirect connections on a region’s innovation capability. The findings provide a new perspective on the factors influencing regional innovation capacity and a new way for regions to improve their innovation capability.


2015 ◽  
Vol 53 (3) ◽  
pp. 625-647 ◽  
Author(s):  
Colin C.J. Cheng ◽  
Eric C. Shiu

Purpose – Despite extensive published research into the relationship between open innovation (OI) activities and performance, the nature and direction of the relationship remain inconclusive. The purpose of this paper is to investigate the relationship as to how firms’ inbound and outbound OI activities, as well as their interaction influence incremental and radical innovation performance. The authors also consider the potentially mediating roles of knowledge learning and organizational capabilities in such a relationship. Design/methodology/approach – To investigate this relationship, data were collected from a cross-industry survey of 304 leading Taiwanese-based firms. Three-stage least square analysis was employed to test the model. Findings – Analyses reveal that knowledge learning and organizational capabilities mediate the OI activities-innovation performance relationship. In addition, a firm focussing on inbound activities enhances its radical innovation performance, but hinders its incremental innovation performance, while focussing on outbound activities produces the opposite effects. Among the findings, it is worth emphasizing that the effect of the interaction between inbound and outbound activities on innovation performance can be counter-productive. Research limitations/implications – The findings demonstrate that existing studies only partially explain the effects of OI activities on innovation performance. Understanding how OI activities influence innovation performance will facilitate more informed decision making, leading to more effective use of OI activities. Practical implications – The results suggest that managers need to consider knowledge learning and organizational capabilities in order to fully capture the potential effects of OI activities. Managers also need to be aware of the limitations of OI activities. Originality/value – The theoretical model presented here offers a timely contribution to the theory base underpinning the development of OI activities for innovation performance.


2019 ◽  
Vol 23 (1) ◽  
pp. 45-68 ◽  
Author(s):  
Nuria Viejo-Fernández ◽  
María José Sanzo-Pérez ◽  
Rodolfo Vázquez-Casielles

Purpose Customer journey is more omnichannel than ever. Currently, one of the most influential omnichannel behaviors is research shopping in its two predominant forms: webrooming and showrooming. The purpose of this study is to determine the possible moderating effect of each of these behaviors from a cognitive-affective perspective. Design/methodology/approach The proposed theoretical framework was applied to a sample of 636 mobile phone users. Findings The results indicated that research shopping moderated the intensity of the relationship between emotions and perceived value and between emotions and satisfaction. The analysis of the moderating effect of each concrete type of research shopping behavior indicated that negative emotions had a more intense negative effect on perceived value and satisfaction in the case of webrooming than in the case of showrooming. Originality/value This study focused on determining the possible moderating effect of research shopping vs one-stop shopping and webrooming vs showrooming on the intensity of the relationship between emotions, perceived value and satisfaction, considering determining factors of customer engagement to retailers (Han and Jeong, 2013). To achieve this objective, the authors performed a quantitative research in the Spanish market, choosing mobile phones as a reference product. The results will contribute to the current state of omnichannel retailing research by the analysis – through a cognitive-affective approach – of the consequences that research shopping and each of its two basic types (webrooming and showrooming) have on retailers.


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