Consequences of Performance-Related CEO Dismissal for Firm Innovation Outcomes

Purpose The purpose of this paper is to analyze the inverted U-shaped relationship between external search in the collaboration network and firm innovation outcomes. It also seeks to explore whether these curvilinear relationships are moderated by the network centrality and structural holes in the knowledge network. Design/methodology/approach In this empirical research, the authors collected a sample of patents in the smartphone industry over the period of 2000-2017. Then the authors examined the direct roles of external search breadth and depth in the collaboration network and the moderating role of network embeddedness in the knowledge network by using negative binomial regression. Findings Results found that external search in the collaboration network contributes more to firm innovation outcomes when the breadth and depth of the external search are moderate rather than high or low. Furthermore, both network centrality and structural holes in the knowledge network have positive effects on the external search breadth – innovation outcomes and external search depth – innovation outcomes relationships. Research limitations/implications The authors collected the patent data within the single industry and excluded other types of industries. This may limit the generalization of the findings. Practical implications The paper has practical implications for adopting appropriate search strategies in the collaboration network and developing a better understanding of the effect of network embeddedness in the knowledge network on firm innovation outcomes. The findings suggest future directions for technology-intensive industries to improve their innovation output. Originality/value This study adds value to open innovation literature by pointing out a curvilinear relationship (inverted U-shaped) between external search breadth/depth and innovation outcomes in collaboration networks, in contrast to studies focused on firms’ external collaboration strategies in a certain industry context. Furthermore, this study reinforces the key contingent role of embeddedness in knowledge networks. This study provides a valuable theoretical framework of innovation outcome determinants by connecting the network perspective of open innovation theory with an embeddedness view.

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Competition, Technology Licensing-in, and Innovation

Organization Science ◽

10.1287/orsc.2019.1337 ◽

2020 ◽

Vol 31 (4) ◽

pp. 1012-1036

Author(s):

Solon Moreira ◽

Thomas Maximilian Klueter ◽

Stefano Tasselli

Keyword(s):

Longitudinal Design ◽

Technology Licensing ◽

Firm Innovation ◽

Important Relationship ◽

Organizational Action ◽

Endogenous Selection ◽

Exerted Pressure ◽

The Relationship ◽

Selection Of ◽

Innovation Outcomes

Although the relationship between competition and firm innovation has long been of scholarly interest, prior research has predominantly considered changes in internal research and development (R&D) as a strategic response to competitors’ actions. In this study, we focus on one of the most important and commonly observed contractual mechanisms used to acquire external technologies: technology licensing. Surprisingly, licensing has been mostly overlooked by prior studies examining the effect of competition on firms’ allocation of R&D. We take into account the unique properties of licensing and systematically link them to the demands arising from the competitive pressure caused by rivals’ launches of new products. Furthermore, we discuss how licensing-in decisions ultimately shape a firm’s subsequent innovation in areas where they are threatened by competitors and how such innovation depends on the cumulative R&D investments inside the organization into which licensed knowledge is added. We test our theoretical model through a longitudinal design that tracks the licensing-in and innovation outcomes of firms in the global biopharmaceutical industry. Accounting for the endogenous selection of firms into licensing, our findings illustrate that licensing-in is motivated by competitive pressures. We also find that licensing-in increases a firm’s capacity to innovate in areas where competitors have exerted pressure, particularly in the presence of cumulative R&D investments. In so doing, the paper anchors technology licensing as a key organizational action that helps increase our understanding of the important relationship between competition and innovation.

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The effectiveness of R&D subsidies in fostering firm innovation: The role of knowledge-sourcing activities

BRQ Business Research Quarterly ◽

10.1177/2340944420933629 ◽

2020 ◽

pp. 234094442093362

Author(s):

Sergio Afcha ◽

Abel Lucena

Keyword(s):

New Product ◽

Jel Classification ◽

Two Dimensions ◽

Policy Intervention ◽

Knowledge Sourcing ◽

Firm Innovation ◽

Technology Markets ◽

Product Launches ◽

Innovation Outcomes

This article presents a novel conceptual framework that uses the notion of knowledge sourcing to explain how firms realize benefits from R&D subsidies in terms of innovations. The study considers two dimensions of the firm’s knowledge sourcing: its R&D effort and level of openness to technology markets. This article proposes that the policy-induced effects of R&D subsidies on the knowledge-sourcing process increase firms’ innovation outcomes, thus making this policy intervention effective in promoting innovation. By using panel data from Spanish manufacturing firms, this article presents evidence consistent with the hypothesis that by changing the knowledge sourcing of firms, National R&D subsidy programs in Spain also favor more firm innovation, measured by patent applications and new product launches. It is also documented that the granting of R&D subsidies does not affect firm innovation directly but rather through inducing changes in the firm’s R&D effort and openness to technology markets. JEL CLASSIFICATION: O32, O36, O38

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Board Chair Career Variety, Selection of Independent Directors, and Firm Innovation Outcomes

Academy of Management Proceedings ◽

10.5465/ambpp.2020.14119abstract ◽

2020 ◽

Vol 2020 (1) ◽

pp. 14119

Author(s):

Wei Chi ◽

Jing Zhou ◽

Xiaoye Qian

Keyword(s):

Independent Directors ◽

Firm Innovation ◽

Board Chair ◽

Variety Selection ◽

Selection Of ◽

Innovation Outcomes

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Supplier and Customer Involvement in New Product Development Stages: Implications for New Product Innovation Outcomes

International Journal of Innovation and Technology Management ◽

10.1142/s0219877018500049 ◽

2018 ◽

Vol 15 (01) ◽

pp. 1850004 ◽

Cited By ~ 3

Author(s):

Hakil Moon ◽

Jean L. Johnson ◽

Babu John Mariadoss ◽

John B. Cullen

Keyword(s):

Supply Chain ◽

Product Development ◽

New Product Development ◽

New Product ◽

New Product Introduction ◽

Product Introduction ◽

Cross Sectional Survey ◽

Cross Sectional ◽

Firm Innovation ◽

Innovation Outcomes

This paper investigates the relationships among supply chain participants’ involvement at various stages of new product development (NPD) and a firm’s innovation outcomes in terms of number of new product introduction and new product radicalness. A total of 107 questionnaires were collected from a cross-sectional survey of NPD managers. Results show significant impacts of suppliers’ and customers’ involvement on the firm innovation outcomes in the various NPD stages. Suppliers’ involvement in the firm NPD process influences negatively or is not related to firm innovation success in the various NPD stages. However, customers’ involvement affects positively or is not related to firm innovation success in the various NPD stages. This indicates that the distinct features of the various NPD stages make customer or supplier involvement more or less appropriate at each stage. Therefore, this paper provides significant managerial implications for supply chain practitioners regarding with whom, when, and how they set up supply chain strategy to improve their innovation performance.

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Speeding-Up Innovation with Business Hackathons

Conference Proceedings of the Academy for Design Innovation Management ◽

10.33114/adim.2019.11.263 ◽

2019 ◽

Vol 2 (1) ◽

Cited By ~ 2

Author(s):

Myrna FLORES ◽

Matic GOLOB ◽

Doroteja MAKLIN ◽

Christopher TUCCI

Keyword(s):

United Kingdom ◽

Open Innovation ◽

Entrepreneurial Ecosystems ◽

The United Kingdom ◽

Short Period ◽

User Centric ◽

Specific Challenge ◽

Innovation Outcomes ◽

The Way

In recent years, the way organizations innovate and develop new solutions has changed considerably. Moving from ‘behind the closed doors’ style of innovating to open innovation where collaboration with outsiders is encouraged, organizations are in the pursuit of more effective ways to accelerate their innovation outcomes. As a result, organizations are establishing creative and entrepreneurial ecosystems, which not only empower employees but also involve many others to co-create new solutions. In this paper, we present a methodology for organizing hackathons, i.e. competition-based events where small teams work over a short period of time to ideate, design, prototype and test their ideas following a user-centric approach to solve a specific challenge. This paper also provides insights into two different hackathons organized in the United Kingdom, and Mexico, as well as a series of 5 hackathons organized in Argentina, Mexico, Switzerland, United Kingdom and in Senegal.

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