How the egocentric alliance network impacts firm ambidextrous innovation: a three-way interaction model

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Guiyang Zhang ◽  
Chaoying Tang

PurposeThe purpose of the paper is to advance a framework that can analyze the impact of the egocentric alliance network on firm ambidextrous innovation holistically. On this purpose, the framework involves and integrates structural holes (SH), alliance functional diversity (AFD) and alliance partner geographical diversity (APGD) that measure network characteristics from structural, relational and nodal perspectives, respectively.Design/methodology/approachThe authors collected multi-source matching panel data including alliance deals, technical patents and financial information during 2000–2017 of the 106 top high-tech firms in the computer, communications, electronics and biopharmaceutical industries and conducted a three-way interaction model to uncover the complex mechanisms from a contingency perspective.FindingsEmpirical results show that SH as structural capital is positive to both exploitative and exploratory innovation. Both AFD as relational capital and APGD as cognitive capital positively moderate the SH-exploitative innovation nexus rather than the SH-exploratory innovation nexus. APGD and AFD co-moderate the relationship between SH and firm ambidextrous innovation in the way that when APGD and AFD are both high, SH has the strongest positive impacts on firm exploitative and exploratory innovation.Originality/valueThis research provides new insights into the benefit-cost paradox of the structural brokerage position (SH) by uncovering relational (AFD) and nodal (APGD) network characteristics that impact the trade-off. Also, it contributes to social capital theory by differentiating three dimensions of network capital (structural, relational and cognitive capital) and integrating them into ambidextrous innovation research. Finally, the findings give firms enlightenment to configure their egocentric alliance network for innovation ambidexterity.

2015 ◽  
Vol 21 (6) ◽  
pp. 898-917 ◽  
Author(s):  
Yosra Mani ◽  
Lassaad Lakhal

Purpose – The purpose of this paper is to investigate how internal social capital – as a part of the familiness resources– affects family firm performance. The social capital theory states that internal social capital within family businesses is composed of three dimensions: the structural dimension, the relational dimension, and the cognitive dimension. The aim of the paper is to study the relationship between each dimension of internal social capital and family firm performance. Design/methodology/approach – The paper employs an empirical investigation which is based on a sample of 114 Tunisian family firms. Findings – Results demonstrate that the structural and relational dimensions are positively associated with financial and non-financial family firm’s performance. However, the cognitive dimension has a significant positive effect on financial performance but not on non-financial family firm performance. Originality/value – The proposed model aims to test the direct effect of internal social capital dimensions on financial and non-financial family firm’s performance. Besides, there is a lack of empirical evidence aiming at understanding the impact of structural, cognitive and relational social capital on the performance of family firms.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
JungYun Han ◽  
Ribuga Kang

PurposeWhile prior alliance literature has focused on how firms exploit alliance strategies to enhance performance and innovation, little is known about whether market uncertainty increases, decreases or has no effect on innovation outcomes of firms involved in alliances, and under what conditions these firms promote innovation in an uncertain market through alliances. Relatedly, innovation research has examined the impact of environmental uncertainty on innovation; however, this line of research does not answer the question in the alliance context.Design/methodology/approachUsing data of firms engaged in alliances in the US pharmaceutical and biotechnical industries between 1990 and 2015, the authors examine firms' alliance partner characteristics and innovation outputs in terms of innovation quantity and exploratory innovation.FindingsWe find that market uncertainty hampers innovation quantity and exploratory innovation of firms involved in alliances, because in this environment, relational risks and coordination challenges outweigh the benefits of knowledge sharing from partners. However, the authors find that alliance partners' characteristics such as a different industry and different country origins mitigate the negative effect of market uncertainty on these firms' innovation by offering new business opportunities and enhancing their learning capability.Originality/valueThis study contributes to the alliance literature by addressing a significant question of whether and how market uncertainty matters in the innovation output of firms involved in alliances and how these firms address the environmental challenges and promote innovation. The study also contributes to innovation research by delineating the nature of market uncertainty and its impact on innovation in an alliance context.


2016 ◽  
Vol 31 (6) ◽  
pp. 794-807 ◽  
Author(s):  
Yao Li ◽  
Yu Zhang ◽  
Songyue Zheng

Purpose Social capital is critical for firms to conduct business activities; however, whether it is always beneficial for exploratory innovation and the specific and contingent effects of each dimension remain unknown. This paper aims to examine the role of three dimensions of social capital in determining exploratory innovation and investigate how firms’ portfolio management capabilities shape these links. Design/methodology/approach Survey data from 276 firms in high-tech industries in China are used to test the hypotheses. Findings The authors find that cognitive social capital negatively affects exploratory innovation, whereas relational and structural social capital both demonstrate inverted U-shaped relationships with exploratory innovation. In addition, portfolio management capability positively moderates the relationships between the three dimensions of social capital and exploratory innovation. Practical implications Given the advantages and disadvantages, managers should be prudent in the establishment of social capital; moreover, firms should develop and improve their portfolio management capabilities to effectively manage their relationships in the pursuit of exploratory innovation. Originality/value This research contributes to the social capital theory and innovation literature in two ways. First, it provides a multi-dimensional examination of the effects of social capital on exploratory innovation and the empirical evidence of the negative side of social capital. Second, it extends the extant literature by introducing a more holistic perspective and proposing that portfolio management capability helps firms to overcome the negative effects and strengthen the positive effects of social capital on exploratory innovation.


2017 ◽  
Vol 40 (3) ◽  
pp. 254-269 ◽  
Author(s):  
Xun Li ◽  
Qun Wu ◽  
Clyde W. Holsapple ◽  
Thomas Goldsby

Purpose This paper aims to investigate the impact of three critical dimensions of supply chain resilience, supply chain preparedness, supply chain alertness and supply chain agility, all aimed at increasing a firm’s financial outcomes. In a turbulent environment, firms require resilience in their supply chains to prepare for potential changes, detect changes and respond to actual changes, thus providing superior value. Design/methodology/approach Using survey data from 77 firms, this study develops scales for preparedness, alertness and agility. It then tests their hypothesized relationships with a firm’s financial performance. Findings The results reveal that the three dimensions of supply chain resilience (i.e. preparedness, alertness and agility) significantly impact a firm’s financial performance. It is also found that supply chain preparedness, as a proactive resilience capability, has a greater influence on a firm’s financial performance than the reactive capabilities including alertness and agility, suggesting that firms should pay more attention to proactive approaches for building supply chain resilience. Originality/value First, this study develops a comparatively comprehensive definition for supply chain resilience and explores its dimensionality. Second, this study provides empirically validated instruments for the dimensions of supply chain resilience. Third, this study is one of the first to provide empirical evidence for direct impact of supply chain resilience dimensions on a firm’s financial performance.


2017 ◽  
Vol 37 (10) ◽  
pp. 1366-1385 ◽  
Author(s):  
Hanna Bahemia ◽  
Brian Squire ◽  
Paul Cousins

Purpose This paper explores openness within new product development (NPD) projects. The purpose of this paper is to examine the impact of breadth, depth and partner newness on product innovativeness and product competitive advantage. The authors also seek to examine the contingent effects of the appropriability regime. The authors make suggestions to academics and practitioners based on the findings. Design/methodology/approach The authors use a structured survey instrument producing an empirical analysis of 205 NPD projects in the manufacturing sector in the UK. The authors use an ordinary least squares regression model to test hypothesised relationships between openness (breadth, depth and partner newness), product innovativeness, product competitive advantage and the appropriability regime. Findings The authors find that each of the three dimensions of openness, depth, breadth and partner newness, have a significant but differing impact on product innovativeness. Specifically, the study indicates that breadth has a positive effect but only in the presence of a strong appropriability regime, partner newness has a direct positive effect, and depth a direct negative effect. The authors also find that product innovativeness has a positive impact on product competitive advantage. Research limitations/implications Further research should focus on replicating the findings in other countries, search for further moderating factors, such as the stage of the NPD process, and analyse the longitudinal impact of openness within NPD projects. Practical implications Organisations are encouraging managers to be more open in their approach to NPD. The authors’ findings suggest that managers need to think about the three dimensions of openness, breadth, depth and partner newness. Their engagement with each of these dimensions depends on the desired outcomes of the innovation project and the strength of patents. Originality/value The research extends the extant supplier involvement in new product development literature to examine the effect of up to 11 types of external actor in NPD projects. The authors test a new multi-dimensional measurement scale for the openness construct. The authors show that each dimension has a different relationship with product innovativeness.


2017 ◽  
Vol 30 (6) ◽  
pp. 872-887 ◽  
Author(s):  
Hongli Wang

Purpose Creativity itself does not necessarily lead to idea implementation. The purpose of this paper is to deeply understand the impact of the individual culture value orientation on employees’ motivation on whether they want to push creative ideas into implementation. Design/methodology/approach In this study, drawing on socially desirable responding (SDR) theory, the author reasons that individual value on power distance and superficial harmony and that these two factors interact to influence employees transform their creativity into implementation. The author argues that prevalence of the failure where creativity cannot be transformed into implementation results from the lack of understanding for two elusive individual culture value orientations: individual superficial harmony orientations (ISHO) and individual power distance orientations (IPDO). Data from 66 middle managers and 301 members of five high-tech firms provide a considerable support for the hypothesized model. Findings The results showed that individuals were able to improve the possibility of putting their creative ideas into practice when they are both lower in IPDO and ISHO. Originality/value Such findings help the author to understand how individual cultural value orientation complements each other to generate joint impact on the relationship between their creative ideas to idea implementation.


2018 ◽  
Vol 23 (4) ◽  
pp. 351-376 ◽  
Author(s):  
Yiyi Fan ◽  
Mark Stevenson

Purpose This paper aims to investigate how supply chain risks can be identified in both collaborative and adversarial buyer–supplier relationships (BSRs). Design/methodology/approach This research includes a multiple-case study involving ten Chinese manufacturers with two informants per organisation. Data have been interpreted from a multi-level social capital perspective (i.e. from both an individual and organisational level), supplemented by signalling theory. Findings Buyers use different risk identification strategies or apply the same strategy in different ways according to the BSR type. The impact of organisational social capital on risk identification is contingent upon the degree to which individual social capital is deployed in a way that benefits an individual’s own agenda versus that of the organisation. Signalling theory generally complements social capital theory and helps further understand how buyers can identify risks, especially in adversarial BSRs, e.g. by using indirect signals from suppliers or other supply chain actors to “read between the lines” and anticipate risks. Research limitations/implications Data collection is focussed on China and is from the buyer side only. Future research could explore other contexts and include the supplier perspective. Practical implications The types of relationships that are developed by buyers with their supply chain partners at an organisational and an individual level have implications for risk exposure and how risks can be identified. The multi-level analysis highlights how strategies such as employee rotation and retention can be deployed to support risk identification. Originality/value Much of the extant literature on supply chain risk management is focussed on risk mitigation, whereas risk identification is under-represented. A unique case-based insight is provided into risk identification in different types of BSRs by using a multi-level social capital approach complemented by signalling theory.


2016 ◽  
Vol 7 (4) ◽  
pp. 347-365 ◽  
Author(s):  
Ana Brochado ◽  
Paulo Rita ◽  
Ana Margarido

Purpose This paper presents an analysis of the impact of current technologies on customer experiences in upscale hotels and assesses the potential of the latest technologies for enhancing customers’ stay. Design/methodology/approach A two-step approach was applied in this study. The qualitative phase included an examination of upscale hotel websites, interviews with hotel managers and an internet search regarding the latest technological innovations in hotels. In the quantitative stage, a questionnaire was developed for hotel guests, generating a sample of 310 valid completed questionnaires. Findings The results reveal that hotel guests value digital involvement in their hotel experience. Moreover, business travellers and younger generations give greater importance to latest technologies. Originality/value This study analyses the most innovative technologies, providing guidance for hoteliers wishing to upgrade or implement new technologies. Based on the findings, hoteliers can achieve greater differentiation by offering the most important and latest technology to guests, enhancing their experience and attracting new customers, which can potentially lead to increased revenues. The study’s results are also important because they include the perceptions of both managers and customers.


2019 ◽  
Vol 23 (9) ◽  
pp. 1747-1763 ◽  
Author(s):  
N. Nuruzzaman ◽  
Deeksha Singh

Purpose This paper aims to attempt to examine the effect of firm-customer exchange characteristics, frequency and specificity, on the likelihood of the firm to generate customer-driven innovation. The authors draw from social capital theory and argue that repetitive and customer-specific exchange improves the trusts between firm and customers, which in turn ease the flows of tacit knowledge from customers to the firm. From the perspective of customer knowledge management, the authors contribute by examining the mechanism by which a firm can acquire knowledge from and about customers. The authors further argue that a firm’s ability to absorb knowledge from customers and turn them into innovation also depends on its internal capability. A firm that consistently upgrades its capacity is more likely to generate customer-driven innovation than those that do not. Also, the authors argue that the joint effect of exchange characteristics and internal capability upgrading can further increase the likelihood of customer-driven innovation. Such a joint force implies the positive moderating effect of internal capability upgrading to the relationship between exchange characteristics and customer-driven innovation. Design/methodology/approach The authors test the hypotheses on 3,000 firms from six countries in Latin America. They take advantage of the 2017 World Bank Enterprises Survey. This most recent of the survey asks questions on various types of innovation and firm-customers exchange characteristics and other firm-level variables. Findings The authors find support for our hypotheses that repeated exchange and exchanges tailored to specific customers have a positive effect on customer-driven innovation. Also, they find the support that internal capability upgrading, in the form of investment in product design, marketing and organizational development has a positive effect on customer-driven innovation. The authors also find that investment in product design positively moderates the impact of exchange characteristics on the likelihood of customer-driven innovation. Originality/value While past studies focus on strategies to acquire and manage customers’ knowledge, little has been said about how exchange attributes can encourage or discourage innovation? This question is important because various theoretical perspectives may have a different prediction on the effect of firm-customer relationship and innovation. This study attempts to bridge such theoretical tension.


2017 ◽  
Vol 36 (4) ◽  
pp. 290-305 ◽  
Author(s):  
David Baldridge ◽  
Alison M. Konrad ◽  
Mark E. Moore ◽  
Yang Yang

Purpose Persons with childhood-onset disabilities are among the most marginalized populations, often unemployed or underemployment in jobs providing neither adequate hours for financial self-sufficiency nor fulfillment through skill-utilization. The purpose of this paper is to examine the extent to which social capital in the form of strong ties with family and friends is associated with enhanced employment outcomes for persons with childhood-onset disabilities. Design/methodology/approach Questioning the current theoretical consensus that strong social ties are unimportant to employment quality, the authors draw on disability research and opportunity, motivation and ability social capital theory to propose a model of the impact of strong ties with family and friends on paid-work-hours and skill-utilization as well as the potential moderating role of gender and disability severity. The authors then test this model using data from 1,380 people with childhood-onset disabilities and OLS regression analysis. Findings As theorized, family-of-origin-size is positively associated with hours worked. Family-of-origin-size is also associated with having more close friends and children. These strong ties, in turn, are positively associated with hours worked. The impact of having more children on hours worked and skill-utilization, however, is positive for men but non-significant for women. Originality/value This study breaks new ground by focusing on the association between strong ties with family and friends and employment quality for people with childhood-onset disabilities – a marginalized and understudied group. Findings further indicate the particular vulnerability of women with disabilities.


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