Knowledge base, technology gap and technology development speed in technological catch-up: innovation choice for China's knowledge-intensive enterprises (KIEs)

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Zhengyi Zhang ◽  
Jun Jin ◽  
Ting Wen ◽  
Zan Chen
Keyword(s):  
Knowledge Base ◽  
Product Innovation ◽  
Technology Innovation ◽  
Technology Development ◽  
Process Innovation ◽  
Knowledge Bases ◽  
Technology Gap ◽  
Content Type ◽  
Innovation Activities ◽  
Catch Up

PurposeWith the fierce competition in a knowledge economy, knowledge-intensive enterprises (KIEs) make technological progress in their catching-up processes through implementing product innovation and process innovation. In this study, the aim is to understand the determinants of enterprise innovation type in China's catch-up environment. Further, this paper intends to deal with two related questions. First, what effect does the internal knowledge base have on KIEs' technology innovation activities? Second, considering the technology gap and technology development speed, what are the different impacts of the knowledge base on the type of technology innovation activities?Design/methodology/approachThis paper collected data from 212 KIEs in China through a two-stage questionnaire survey, combined with statistical data for research. The hypothesis was tested by regression analysis. Specifically, descriptive statistics and regression analysis are introduced to test the hypothetical relationship between the knowledge base and technology innovation. Meanwhile, multiple regression is used to test whether there is any difference in the influence of technology gap and technology development speed on enterprise knowledge base and technology innovation. Finally, the corresponding robustness tests are done.FindingsThis study finds that in a sample of Yangtze River Delta KIEs, firms' knowledge base influences innovation types. Specifically, the knowledge base width (KBW) and knowledge base depth (KBD) positively influence process innovation, and KBD positively affects product innovation. Regarding the effects of catch-up context factors on KIEs’ innovation choice, a wide technology gap tends to positively influence product innovation in industries with high levels of KBW. Moreover, when technology development speed is high, its potential positive influence on process innovation will be more significant for industries with deeper knowledge bases.Originality/valueThis paper fills the research gap that existing studies ignore the relationship between types of technology innovation and knowledge base dimensions, especially for KIEs. First, this paper deepens the understanding of the impact mechanism of KIEs' existing knowledge base on innovation activities; the unique use of resources by enterprises is the basis of enterprises' competitive advantage and will become enterprises' competitive advantage. Second, this study indicates that against different backdrops of technology gap and technology development speed, enterprises with different knowledge bases will adopt different types of technology innovation activities. Third, this paper shows that a wider technology gap provides broader innovation space, so the technology gap plays a pulling role in KBW and product innovation, thus pushing forward enterprises' technological catch-up.

Industry 4.0 technology provision: the moderating role of supply chain partners to support technology providers

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Guilherme Brittes Benitez ◽  
Mateus Ferreira-Lima ◽  
Néstor F. Ayala ◽  
Alejandro G. Frank
Keyword(s):  
Supply Chain ◽  
Customer Loyalty ◽  
Open Innovation ◽  
Industry 4.0 ◽  
Technology Innovation ◽  
Technology Development ◽  
Competitive Strategies ◽  
Content Type ◽  
Innovation Activities ◽  
Long Run

Purpose The provision of Industry 4.0 solutions demands a vast range of technology domains. To provide these solutions, small and medium-sized enterprises (SMEs) may need the support of different supply chain actors through an inbound open innovation strategy. The authors study the contribution of four types of supply chain actors for inbound open innovation: suppliers, competitors with complementary technologies, R&D centers and customers. The authors analyze how these four actors moderate the effect of integrated Industry 4.0 solutions on three main competitive strategies: cost, focalization and differentiation. Design/methodology/approach The authors conducted a survey on 77 SMEs from the automation sector, using OLS regression with moderating effects. They considered the integration of 15 technologies and 7 classic automation activities in the provision of Industry 4.0 solutions. The authors also studied three competitive outputs – technology cost reduction (cost), customer loyalty (focalization) and technology innovation (differentiation) – as well as four supply chain actors (moderators). Findings Expanding the provision of Industry 4.0 technologies increases customer loyalty and technology innovation. Collaboration with competitors (complementary technologies) leverage these results and reduce technology costs. Integration between customers and R&D centers elevates costs but R&D centers can foster long-run innovation. Originality/value This study is the first to empirically investigate inbound open innovation in the supply chain for technology development in the context of Industry 4.0. The authors discuss how these actors contribute to four inbound open innovation activities: technology scouting; horizontal technology collaboration; vertical technology collaboration; and technology sourcing.

Latecomers’ path-creating catch-up strategy in ICT industry

2019 ◽  
Vol 11 (2) ◽  
pp. 234-257 ◽  
Author(s):  
Dae Bong Kim ◽  
Min Jae Park
Keyword(s):  
Technology Innovation ◽  
Technology Development ◽  
External Environment ◽  
Content Type ◽  
Moderation Effect ◽  
Innovation Capacity ◽  
Catch Up ◽  
The Government ◽  
Medium Enterprises ◽  
Innovation Leadership

Purpose This study aims to empirically examine the conditions for latecomers to successfully pursue path-creating catch-up strategies. In particular, the company is divided into two conditions: the external environment, which refers to the gap in the market share between the leaders and latecomers, and the internal capacities of the company, such as the company’s absorptive capacity, re-combinative capabilities and technological innovation leadership. Design/methodology/approach Because firms supported by the government tend to be conservative in their decision-making and technology development strategies, governmental assistance is likely to negatively affect path-creating catch-up strategies. This study surveyed small to medium enterprises in the Korea IT industry and analyzed the latecomers’ catch-up strategies from internal and external environment perspectives. Findings After ensuring its innovation capacity by developing of internal capacity, it turned out to lead to path-creative catch-up strategy and market disparity and government dependence moderates this relation. While market disparity has a positive moderation effect, government dependence showed a negative moderation effect. Originality/value The authors proposed and tested hypotheses of how a firm’s path-creative catch-up strategy is adopted and succeeds. Regarding the internal conditions, the authors statistically proved that absorptive capabilities, re-combinative capabilities and technology innovation leadership are important factors for a firm’s technology innovation capacity.

From collaborative research to new product development: why a central or brokered network position is not enough

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jian Li ◽  
Yue Yu
Keyword(s):  
Product Development ◽  
Knowledge Base ◽  
New Product Development ◽  
Product Innovation ◽  
Collaborative Research ◽  
New Product ◽  
Knowledge Bases ◽  
Structural Holes ◽  
Content Type ◽  
Network Position

Purpose Although collaborative research is believed to be an important means of accessing external knowledge, research on whether taking a strategic network position benefits new product development (NPD) is inconclusive. This study aims to unravel the conditions under which taking a strategic position within a collaborative research network is conducive for a firm’s NPD. Design/methodology/approach Drawing on social network theory, absorptive capacity theory and knowledge recombinant studies, this study examines how strategic network positions (i.e. degree centrality and structural holes) and knowledge base cohesion (i.e. local and global cohesion) in tandem affect a firm’s NPD. A panel data set of 366 firms in the Chinese automobile sector (2002–2010) is empirically analyzed, using the panel negative binomial approach with random effects and several alternate estimation approaches. Findings This study reveals that, rather than the volume of a firm’s knowledge base, its cohesion determines how it absorbs and uses knowledge accrued from collaborative research for NPD. Specifically, this paper finds that centrally positioned firms have greater NPD when their knowledge bases are locally cohesive, while firms spanning structural holes have more NPD when their knowledge bases are globally cohesive. Originality/value Successfully transferring collaborative research outcomes into product innovation is difficult. This study contributes to the literature on strategic network positions and NPD. The findings advance the understanding of knowledge base cohesion’s moderating role in explaining how firms absorb and exploit external knowledge for internal innovation. The findings also have important implications for managers who wish to promote product innovation by engaging in collaborative research with external partners.

“Lean in”: the moderating effect of female ownership on the relationship between human capital and organizational innovation

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Yanli Fu ◽  
Ruiming Liu ◽  
Jifeng Yang ◽  
Hao Jiao ◽  
Yuke Jin
Keyword(s):  
Human Capital ◽  
Educational Level ◽  
Product Innovation ◽  
Organizational Innovation ◽  
Process Innovation ◽  
Content Type ◽  
Innovation Activities ◽  
The Relationship ◽  
Average Educational Level ◽  
Female Ownership

PurposeWith the aim of shedding new light on the characteristics of human capital in its relationship with organizational innovation, this paper develops a novel theoretical and empirical exploration of the characteristics of human capital, both executives' experience and employees' average education level, as well as the moderating effect of female ownership, on two different aspects of organizational innovation.Design/methodology/approachData were obtained from the World Bank's China private manufacturing enterprise questionnaire survey. The study employs regression analysis of a logistic model using 1,598 samples, because the dependent variable of an organization's innovation index is a binary variable.FindingsUsing World Bank survey data of Chinese private manufacturing enterprises, the authors find that executives' experience has a significantly positive effect on process innovation. Female ownership strengthens the relationship between executives' experience and process innovation. Moreover, the results indicate that employees' average educational level has a significantly positive effect on product innovation. Female ownership strengthens the relationships between employees' average educational level and organizational innovation including product innovation and process innovation. This study highlights the importance of simultaneously testing the effects of human capital and gender heterogeneity on organizational innovation activities.Originality/valueThis study explores the impact of human capital on organizational innovation activities in the context of the Chinese manufacturing industry. Moreover, organizational innovation activities are divided into two aspects: product innovation and process innovation. This study separately discusses the effect of human capital on these two kinds of innovation in detail. Finally, female ownership is selected as a moderating variable, and it is demonstrated that interactions of female owners with executives' experience and employees' average educational level have a positive impact on increasing different kinds of organizational innovation. The authors identify new boundary conditions for the domain of female research that are sorely lacking in the present literature.

The Role of Strategic Innovation in the Sustainability of Healthcare Service Businesses in Zimbabwe: The Case of PSMI Limited

2020 ◽  
Vol 11 (1) ◽  
pp. 140-140
Author(s):  
Frederick Farai Muchena ◽  
Osaro Aigbogun
Keyword(s):  
Linear Regression ◽  
Product Innovation ◽  
Healthcare Service ◽  
Positive Relationship ◽  
Technology Innovation ◽  
Service Innovation ◽  
Process Innovation ◽  
Strategic Innovation ◽  
Unit Increase ◽  
Service Businesses

This study evaluates the extent to which product, technology, service, and process innovations influence the sustainability of Healthcare service businesses. The context of the study is Premier Service Medical Investments (PSMI) Limited, Zimbabwe. A quantitative research, with a deductive approach was conducted using a self-administered structured questionnaire which was anchored on a 7-point Likert scale for gathering survey primary data. A purposively recruited sample of 350 employees with leadership responsibilities, were drawn from executive, middle management and supervisory levels. After testing and validating the reliability and validity of the questionnaire measures, a logistic regression was run to test the research hypotheses. The results reveal the following: Service Innovation had a positive relationship with Sustainability, indicating that a unit increase in Service Innovation has an effect of a 256% increase in odds of Sustainability. Product Innovation had a negative relationship with Sustainability, indicating that a unit increase in Product Innovation has an effect of a 13% decrease in odds of Sustainability. Technology Innovation had a positive relationship with Sustainability, indicating that a unit increase in Technology Innovation has an effect of a 25% increase in odds of Sustainability. Process Innovation had a positive relationship with Sustainability, indicating that a unit increase in Process Innovation has an effect of a 117% increase in odds of Sustainability. Moreover, using the linear regression method, the variable Service Innovation indicated that with an additional service, Sustainability increases by 27.1%. Technology Innovation showed that with an additional technology, sustainability increases by 4.3%. Process Innovation indicated that with an additional process, Sustainability increases by 36.6%. From the results, using the both the logistic and linear regression models, the findings indicate that strategic innovation significantly influences sustainability of healthcare services business in Zimbabwe. Arising from this research, sustainability of healthcare care business is seen to be triggered and driven by all 4 types of innovation evaluated in this research, namely: service, process, product and technology. It is recommended that these innovation dimensions be implemented within a defined internal environment supported by an innovation hub. Keywords: Sustainability, Strategic Innovation, Logistic Regression, Linear Regression, Process Innovation, Service Innovation, Product Innovation, Technology Innovation

Innovation mediating relationship between TQM and performance: cases of industrial certified companies

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Meriem Khalfallah ◽  
Anis Ben Salem ◽  
Hajer Zorgati ◽  
Lassaad Lakhal
Keyword(s):  
Financial Performance ◽  
Product Innovation ◽  
Process Innovation ◽  
Reciprocal Relationship ◽  
Mediating Effect ◽  
Operational Performance ◽  
Equation Modeling ◽  
Manufacturing Companies ◽  
Content Type ◽  
Research Studies

PurposeThe purpose of this research is to analyze the reciprocal relation between total quality management (TQM) and innovation (product innovation and process innovation) and their impact on operational and financial performance.Design/methodology/approachThe data were obtained from a survey of 205 manufacturing companies. Structural equation modeling (SEM) was performed to evaluate the research model.FindingsThe results reveal that there is a reciprocal relationship between TQM and innovation. Moreover, the findings indicate a significant positive effect of product innovation and process innovation on operational performance and insignificant direct impact of TQM on operational performance. However, this effect is significant when it is mediated through product innovation and process innovation.Research limitations/implicationsThis paper helps practitioners to understand how TQM practices support both product and process innovation and the role of the latter in promoting the implementation of TQM practices and ensuring operational performance.Originality/valueThis study presents an innovative approach since it is among the first research studies that provide empirical evidence to a reciprocal association between TQM and innovation. Additionally, this paper examines the dimensions studied in different aspects. It considered financial performance and operational performance, and with respect to innovation, this dimension was analyzed through two different perspectives, namely product innovation and process innovation. This study is also among the first and few research studies that have studied the mediating effect of innovation.

The ‘Perfect Technology Syndrome’

2010 ◽  
pp. 159-170
Author(s):  
Seppo J. Hänninen
Keyword(s):  
Knowledge Base ◽  
Product Innovation ◽  
Technology Development ◽  
Research Literature ◽  
Common Interest ◽  
Complementary Resources ◽  
Innovation Projects ◽  
Publicly Supported ◽  
Intensive Development ◽  
Proper Balance

Recent research literature in product innovation has paid attention to the fact that technological discipline can lead to dominance by a knowledge base. Technology-intensive development is often partially and publicly supported and problems in finding a proper balance in technology development are in common interest. The objective of this study is to deepen the understanding of the dominance by technological knowledge base with reference to the sources, consequences and solutions of this overemphasis. Finnish publicly supported technology-intensive product innovation projects are studied. In the case studies, examples of the ‘perfect technology syndrome’ are identified and their sources are analyzed. This syndrome describes the intention to achieve the ultimate level in the technology development. Solutions proposed to the unfavorable consequences included alliances with organizations having complementary resources, careful pretesting of products with key partners and developing the technological products to specific target groups.

New ventures, product innovation and business intermediaries

2014 ◽  
Vol 8 (2) ◽  
pp. 241-257 ◽  
Author(s):  
Aiqi Wu ◽  
Shengxiao Li ◽  
Huafeng Wang
Keyword(s):  
Product Innovation ◽  
New Ventures ◽  
Positive Influence ◽  
Business Services ◽  
Content Type ◽  
Innovation Activities ◽  
Innovation Product ◽  
Knowledge Intensive ◽  
The Impact ◽  
The Relationship

Purpose – The purpose of this paper is to examine the impact of knowledge-intensive business services (KIBS) intermediary ties on new ventures’ product innovation. Product innovation is a critical strategy for new ventures’ survival and growth. However, as a result of smallness and newness, new ventures usually face considerable difficulties in product innovation and require support to help their innovation search and innovation activities. Design/methodology/approach – A questionnaire survey of 145 Chinese new ventures is used to test presented hypotheses empirically. Findings – This study finds that the intensity of KIBS intermediary ties has a positive influence on innovation, while the diversity of KIBS intermediary ties has no influence on new ventures’ product innovation. Moreover, the relationship between the intensity of KIBS intermediary ties and new ventures’ product innovation is moderated by the degree of their international venturing and ties with other firms. Originality/value – This study enriches understanding of the important roles of KIBS intermediary ties on new ventures’ product innovation.

Entrepreneurial orientation and innovation performance: insights from Korean ventures

2019 ◽  
Vol 23 (4) ◽  
pp. 675-695 ◽  
Author(s):  
Ribin Seo
Keyword(s):  
Performance Indicators ◽  
Entrepreneurial Orientation ◽  
Product Innovation ◽  
Technology Innovation ◽  
Innovation Performance ◽  
Future Research ◽  
Curvilinear Relationship ◽  
Sales Growth ◽  
Content Type ◽  
Curvilinear Relationships

Purpose The purpose of this paper is to explore the curvilinear relationship between entrepreneurial orientation (EO) and innovation performance in ventures of Korea, where this topic has been unexplored. Design/methodology/approach This study used 1,837 ventures’ responses in a panel data of the 2015 Korea’s Venture Business Investigation Survey. The measurements of EO based on the Miller/Covin and Slevin scale were used from the survey. The author adopted and independently measured three different indicators of innovation performance: technology innovation, product innovation and sales growth. Findings The results of the regression analysis show the significant curvilinear relationships of EO with technology innovation and product innovation, while the relationship between EO and sales growth remains linear. The author also found that multiplicative EO construct explains the changes in R2 better than the summative EO construct for the improvement of innovations in technology and product. Originality/value This paper provides empirical evidence on the EO–innovation performance relationships from Korean ventures – an underexplored area of research. It also takes into account the curvilinear relationships of summative and multiplicative EO constructs with different performance indicators. Future research can benefit from the use of the multiplicative EO estimation and multiple performance indicators to capture a clearer picture of the causal relationships.

The power of strategic knowledge management in the relationship between innovation and the performance of large manufacturing firms in Malaysia

2022 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Nagwan Abdulwahab AlQershi ◽  
Gamal Abdualmajed Ali ◽  
Hussein Abu Al-Rejal ◽  
Amr Al-Ganad ◽  
Ebrahim Farhan Busenan ◽  
...  
Keyword(s):  
Knowledge Management ◽  
Product Innovation ◽  
Empirical Work ◽  
Innovation Process ◽  
Process Innovation ◽  
Manufacturing Firms ◽  
Strategic Knowledge ◽  
Content Type ◽  
Strategic Knowledge Management ◽  
The Way

Purpose This study aims to explore the interaction of strategic knowledge management (SKM) and innovation on the performance of large manufacturing firms (LMFs) in Malaysia. Design/methodology/approach This study used a quantitative approach in investigating this interaction. Smart partial least-squares analysis was performed to test the hypotheses. Findings It was observed that administrative innovation, process innovation and product innovation were effective drivers of LMF performance. It was also ascertained that SKM has no moderating effect on the product innovation relationship with performance, although it does moderate the relationships between LMF performance and administrative innovation and process innovation, respectively. Research limitations/implications The main limitation of this study is its focus on Malaysian LMFs. It nevertheless contributes to the literature by extending understanding of SKM and innovation dimensions from multi-faceted perspectives. As this is largely ignored in the literature, the study paves the way for additional research. Practical implications The findings may be used as guidelines for chief executive officers, particularly on the way SKM and innovation can be developed for enhanced LMF performance, in the context of South Asian countries. Originality/value To the best of the authors’ knowledge, this is the first empirical work to confirm the main drivers of SKM, including in the analysis the effect of administrative innovation, process innovation and product innovation and performance, in the context of the manufacturing sector. In support of an original conceptual model, the insights contribute to the literature on innovation, LMFs, SKM and emerging economies.

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