The roles of entrepreneurial orientation and government support in the open innovation of manufacturing firms: empirical evidence from South Korea

Abstract

Purpose

This study investigates the effect of entrepreneurial orientation and government support on the innovation openness of South Korean manufacturing firms. By compartmentalizing entrepreneurial orientation and government support, this study seeks to elucidate their effects on the breadth and depth of firms' knowledge searches.

Design/methodology/approach

The study utilizes Poisson regression analysis with empirical data from 2,353 South Korean manufacturing firms collected from Korean Innovation Survey data.

Findings

Analysis reveals nuanced influences of various factors on firms' open innovation activities. Innovativeness positively affects knowledge search breadth and depth, highlighting the role of innovation-oriented processes, while competitive aggressiveness influences depth, thereby underscoring the pursuit of specialized knowledge acquisition. Proactiveness positively affects breadth but negatively affects depth, suggesting the importance of maintaining broad perspectives. Government support scope positively affects both breadth and depth, reflecting the significance of external support in encouraging inclusive knowledge exploration. The importance of government support positively influences depth, emphasizing its vital role in establishing collaborative relationships to enhance in-depth knowledge acquisition.

Originality/value

This study provides novel insights by exploring the nuanced implementation of open innovation in latecomer economies, especially South Korea, which experienced rapid economic development by leveraging innovation. The identification of specific factors influencing knowledge search breadth and depth contributes to the literature on open innovation by providing strategic guidelines for firms and policymakers. This practical implications of this study suggest that firms should align their strategies with entrepreneurial orientation while leveraging pertinent government support.

Citation

Yoon, J. and Oh, S.J. (2024), "The roles of entrepreneurial orientation and government support in the open innovation of manufacturing firms: empirical evidence from South Korea", Cross Cultural & Strategic Management, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/CCSM-08-2023-0166