Does internationalization encourage state-owned enterprises to utilize subsidies to innovate? Evidence from high-tech and automobile manufacturing industries of Chinese listed companies

2022 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Yu Xie ◽  
Francis Boadu ◽  
Hongjuan Tang

Purpose Drawing on the resource-based view, institutional logic and isomorphic pressure theories, this study constructed a theoretical model to explore the correlations between government subsidies and innovation performance. Particularly, this study aims to investigate the moderating effects of ownership types and degree of internationalization on these relationships. Design/methodology/approach To empirically test the relationships, the authors use panel data from high-tech manufacturing and automobile manufacturing industries in Chinese A stock listed companies for the period 2011–2015 and performed regression analysis. Findings Results indicate that government subsidies positively enhance enterprises’ innovation performance; there is a big gap between government subsidies’ incentive effect on innovation performance between state-owned enterprises (SOEs) and private-owned enterprises (POEs); with the improvement of internationalization, the promotion effect of government subsidies on enterprise innovation performance is strengthened; there is a three-way interaction between government subsidies, degree of internationalization and ownership types, such that in the presence of a low degree of internationalization, there is a big gap in the incentive effect of government subsidies on the innovation performance of SOEs and POEs; in the presence of a high degree of internationalization, the gap is significantly reduced. Originality/value This is an empirical study on the impact mechanism of ownership types and internationalization on the relationship between government subsidies and innovation performance in China. It provides valuable insights to show how internationalization can dramatically improve SOEs’ efficiency disadvantages in the allocation of government subsidies to innovation activities.

2019 ◽  
Vol 119 (8) ◽  
pp. 1638-1654 ◽  
Author(s):  
Gang Fang ◽  
Qing Zhou ◽  
Jian Wu ◽  
Xiaoguang Qi

Purpose Innovation networks provide an efficient mechanism for organizations to realize their potential for knowledge learning and innovation improvement. Firms situated within innovation networks require specific abilities to acquire the knowledge and the complementary assets that facilitate their innovation performance. Motivated by recent research studies in the area of social network and RBV, the purpose of this paper is to improve the understanding of the precise manner in which network capability affects a firm’s innovation performance. Design/methodology/approach Based on the data obtained from Chinese high-tech firms, the hypotheses are tested by using hierarchical multiple regressions. Findings This study identifies two types of network capabilities: network structural capability and network relational capability. The findings suggest that network structural capability has a greater positive impact on innovation performance than network relational capability does within an exploration-orientated network. However, network relational capability is more positively associated with innovation performance within an exploitation-orientated network. Practical implications A firm can enhance the value of its ego network by shaping and adjusting network configurations, rather than by passively reaping the benefits from existing relationships or ties with partners. Originality/value This paper contributes to strategic management theory and social network theory by illustrating how a networked firm can enable network value and appropriate this value according to its strategic purposes and by suggesting that a firm can improve its ego network’s value through exerting its network capabilities to shape and adjust network configurations. This paper also advances the contingent approach within social network research by offering a new complementary perspective and new evidence from a Chinese context.


2018 ◽  
Vol 47 (2) ◽  
pp. 535-554 ◽  
Author(s):  
Erez Yaakobi ◽  
Jacob Weisberg

Purpose The purpose of this paper is to develop a framework for predicting three facets of employee performance (quality, innovation and efficiency) based on the evaluation of individual (self and occupational), group (collective) and organizational (means) efficacies. Design/methodology/approach A sample of 109 managers employed mainly in high-tech industries evaluated their employees’ quality, innovation and efficiency performance. The employees’ efficacies were also evaluated on three organizational levels. Findings Evaluation of employees’ self-efficacy accounted for most of the explained variance for all performance facets. Evaluation of group efficacy added incremental explained variance to the general performance as well as to the innovation performance and efficiency performance. Evaluation of means efficacy (provided to employees) added incremental explained variance to the general performance as well as to the innovation performance and the efficiency of performance. Male managers differed from female managers in their predictions of employees’ performance. Originality/value This is the first study to examine the concurrent effects of four types of efficacies, based on three organizational levels, in predicting performance. It also examines three facets of performance instead of only a general performance measure. It presents a model of the relative importance of these efficacies in predicting facets of performance.


2017 ◽  
Vol 18 (2) ◽  
pp. 400-418 ◽  
Author(s):  
Lara Agostini ◽  
Anna Nosella ◽  
Roberto Filippini

Purpose The purpose of this paper is to investigate the association between the strength of intellectual capital (IC) and small- and medium-sized enterprise (SME) innovation performance. Design/methodology/approach Primary data of 150 SMEs belonging to manufacturing medium-high tech industries were collected through a survey. The methodology consists of a confirmatory factor analysis and a cluster analysis, complemented by a t-test, to assess whether there is a significant difference in terms of innovation performance of SMEs characterized by a different strength of IC. Findings Overall, the findings show that SMEs of the sample can be divided into two groups characterized by a different strength of IC, and those SMEs disclosing a higher strength of IC, in terms of human capital, innovation capital and relational capital, exhibit a significantly higher radical and incremental innovation performance. Practical implications The present study provides SME entrepreneurs and managers with an empirical evidence that possessing strong IC in its three dimensions seems to help SMEs reinforce their ability to generate both radical and incremental innovation. This calls that SME entrepreneurs and managers need to identify and effectively manage IC in order to strengthen and effectively leverage their investments on IC. Originality/value This study is particularly relevant because, instead of focusing on single categories of IC as previous studies mainly do, it adopts an overarching perspective of the dimensions of IC and their impact on both radical and incremental innovation performance. Moreover, it focuses on the SME context which has been less investigated than large firms within the domain of IC.


2020 ◽  
Vol 14 (4) ◽  
pp. 895-913
Author(s):  
Shuangying Chen ◽  
Feng Fu ◽  
Tingting Xiang ◽  
Junli Zeng

Purpose Extant research on the crowding-out effects of government subsidies on the positive role of firm innovation resources or activity remains limited. This paper aims to investigate the crowding-out effects of subsidies on the utilization of technological capabilities and also the contingency mechanisms of market-oriented economy based on the resource-based view (RBV), given the co-existence of the subsidies and technological capabilities for firm innovation in transitional economy. Design/methodology/approach This paper used panel data of 115 Chinese high-tech firms from 2002 to 2010. Fixed-effects model was used to test several hypotheses. Findings This paper empirically demonstrates that the subsidies crowd out the utilization of firms’ technological capabilities for invention outcomes in the near-term. Furthermore, this paper finds that the crowding-out effects are weaker when firms have high export intensity or are located in provinces with high market-oriented systems. Research limitations/implications The findings of this paper apply to Chinese firms. Future research could test their generalizability to different samples and other transitional economies. Practical implications This paper highlights the crowding-out effects of the subsidies, revealing that high-tech firms should balance the direct effects and crowding-out effects of the subsidies. Originality/value This paper highlights the neglected interactions between the subsidies and technological capabilities based on RBV and provides a more nuanced understanding of the crowding-out effects of the subsidies in transitional economy.


2019 ◽  
Vol 23 (9) ◽  
pp. 1729-1746 ◽  
Author(s):  
Xiongfeng Pan ◽  
Ma Lin Song ◽  
Jing Zhang ◽  
Guangyou Zhou

Purpose This paper aims to identify the influence of innovation network and technological learning on innovation performance of high-tech cluster enterprises. Design/methodology/approach Using a questionnaire, data are collected from Dalian High-tech Industrial park in China. In addition, structural equation model is used to identify the influence of innovation network and technological learning on the innovation performance of high-tech cluster enterprise. Findings The findings of this study show that the centrality of network location and the strength of the network relationship have a direct positive effect on technology acquisition, technology digestion and technology exploit of high-tech cluster enterprises. Meanwhile, technology acquisition has a direct positive effect on technology digestion, technology digestion has a direct positive effect technology exploit, and technology exploit has a direct positive effect innovation performance of high-tech cluster enterprises. Practical implications To improve innovation performance, high-tech cluster enterprises should not only nurture and optimize innovation networks but also improve technological learning ability. Originality/value This paper empirically supports the significant influence of innovation network and technological learning on innovation performance. While the results provide guidance for researchers and practitioners, it also adds value to innovation-related research.


Kybernetes ◽  
2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Farzad Nazari ◽  
Amir Rahimipour Anaraki ◽  
Seyedeh Safiyeh Taghavi ◽  
Behzad Ghasemi

Purpose The purpose of this paper is to investigate the impact of knowledge-based dynamic process capabilities (KBDPCs) on innovation performance, considering the mediator role of innovation processes in the Iranian knowledge-based high-tech companies. Design/methodology/approach Based on an in-depth review of previous studies, the indicators pertaining to the research constructs were extracted. Then, exploratory and confirmatory factor analyses were applied to identify and confirm the research constructs. Partial least squares-based structural equation modeling was used to investigate the intended relationships. Findings The results of the direct effect showed that KBDPCs have a significant positive effect on innovation performance. Further, moderation analysis demonstrated that innovation processes are moderated by the relationship between KBDPCs and innovation performance. Accordingly, the findings revealed that KBDPCs affect product innovation performance and exploratory innovation and transitional innovation increase this effect. Also, the mediator role of exploitation innovation in the relationship between KBDPCs and process innovation performance was proved. Research limitations/implications As this research was performed in the Iranian context, caution should be taken regarding the generalizability of the findings. Practical implications This paper provides a roadmap based on existing scenarios to enhance innovation performance for the surveyed-companies, in particular, and other companies, in general. Social implications The social implication of this study is to respond to the challenge of the managers of Iranian knowledge-based high-tech companies to improve innovation performance through KBDPCs and innovation processes and to grow and develop a sustainable business. Originality/value Given rare studies that have so far been conducted on the research field, this study extends the theories of KBDPCs, innovation processes and innovation performance. The constructs of the research model and relationships intended among them are also significant.


2015 ◽  
Vol 7 (1) ◽  
pp. 2-19 ◽  
Author(s):  
M Muzamil Naqshbandi ◽  
Sharan Kaur ◽  
Rashmi Sehgal ◽  
Indra Devi Subramaniam

Purpose – The role of organizational culture in determining success or failure of firms stands proven beyond doubt in numerous studies. The purpose of this paper is to examine organizational culture of the Malaysian high-tech sector and highlights the organizational culture dimensions most and least dominant in this sector. The study also examines differences with respect to organizational culture across the high-tech industries and different ownership types. Design/methodology/approach – Questionnaire survey method is used to collect the data from middle and top managers working in Malaysian high-tech industries. Findings – Five dimensions of organizational culture emerge in this study. Results indicate that harmony and social responsibility are the most and least dominant dimensions of organizational culture respectively. Significant differences are found in organizational culture across industries and ownership types. Originality/value – While organizational culture seems to be a fairly well-researched topic in Malaysia, there seems to be a dearth of studies investigating the issue of culture prevalent in the high-tech industries in Malaysia; this despite the paramount contribution of the high-tech industries to the Malaysian economy. This study identifies the culture of Malaysian high-tech industries, examines what cultural dimensions they focus on and do not, and compares organizational culture differences across industries and ownership structures.


2021 ◽  
Vol 275 ◽  
pp. 03070
Author(s):  
Kun Xie ◽  
Zhengluan Zhang

Can government subsidies improve enterprises’ technological innovation performance? Based on the A-share high-tech listed enterprises in Shanghai and Shenzhen Stock Exchange from 2015 to 2019, this paper empirically tests the micro policy effect of government subsidies on innovation performance of enterprises under the background of economic transformation, and the moderating effect of regional corruption, market competition and enterprise ownership concentration on this effect. The results show that the high quality signal transmitted by government subsidies is helpful for innovative enterprises to broaden the source of innovation resources and encourage enterprises to actively carry out innovative activities. Moderate level of regional corruption will promote the government subsidy effect, too high or too low level of corruption is not conducive to enterprise innovation; The higher the degree of market competition, the weaker the promoting effect of government subsidies on enterprise innovation; Corporate ownership concentration has a U-shaped moderating effect on government subsidies and innovation performance. Therefore, to improve the independent innovation ability of enterprises, on the one hand, we should continue to strengthen the government innovation subsidy and improve the subsidy system; on the other hand, we should strictly crackdown on corruption activities and supervise the establishment and improvement of the internal control system of enterprises, so as to give full play to the effect of government subsidies.


2017 ◽  
Vol 55 (6) ◽  
pp. 1143-1162 ◽  
Author(s):  
Li Zhao ◽  
Yang Xiang ◽  
Qiulu Yi

Purpose As a resource input in enterprise technological innovation, patents play an important role in influencing innovation performance. The purpose of this paper is to investigate the impact of fuzzy front end (FFE) patent management on innovation performance, and the mediating role of patent commercialization and the moderating effect of technological lock-in. Design/methodology/approach This paper adopts a questionnaire survey from a sample of 203 high-tech Chinese enterprises across multiple industries. Structural equation modeling and the hierarchical regression method were used to test the hypothesis. Findings The results show that the FFE of patent management, namely, patent acquisition and patent protection, positively affect innovation performance. Specifically, patent commercialization mediates the relationship between FFE patent management and innovation performance. Moreover, technological lock-in moderates the relationship between patent management and innovation performance. Practical implications This study puts forward suggestions relating to institution innovation and mechanism innovation for effective patent management in firms, and provides some guidelines for firms to efficiently utilize patents to improve innovation performance. Originality/value This paper provides certain empirical evidence for the study of organizational structure, strategic management, and knowledge governance. As the main participators in technology innovation, high-tech enterprises should utilize both inside and outside resources to acquire patents.


2020 ◽  
Vol 120 (5) ◽  
pp. 863-882 ◽  
Author(s):  
Haidi Zhou ◽  
Qiang Wang ◽  
Xiande Zhao

PurposeThe purpose of this study was to examine how firms' corporate social responsibility (CSR) strategies affect their innovation performance via two mediating variables, employee involvement and supplier collaboration, and compare how this mechanism works in the service and manufacturing industries.Design/methodology/approachThe conceptual model was built on stakeholder theory, the resource-based view (RBV) and service-dominant logic (SDL). Based on survey data from 686 service firms and 1,646 manufacturing firms, the hypothesized relationships were tested using structural equation modeling (SEM).FindingsThe empirical results showed that CSR positively affected service innovation and product innovation in service firms and manufacturing firms, respectively, and that these effects were positively mediated by employee involvement and supplier collaboration. However, compared with manufacturing firms, the effect of CSR on innovation performance was greater for service firms. Supplier collaboration and employee involvement also played a stronger role in service firms when mediating the relationship between CSR and innovation performance.Originality/valueBy analyzing and validating the direct and indirect effects of CSR on innovation performance in both the service and manufacturing industries, this study addressed the strategic benefit of CSR and extended research focused on the financial benefits of CSR. Therefore, its findings contribute to our understanding of sustainability and innovation issues. From a theoretical perspective, this study extended the RBV, SDL and stakeholder theory to the context of the CSR-innovation relationship, and showed that firms could align CSR and innovation initiatives to achieve strategic synergy. It also revealed the similarities and differences between service and manufacturing firms regarding the mechanism through which CSR affects innovation.


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