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Structural network embeddedness and firm incremental innovation capability: the moderating role of technology cluster

Xiaoxiao Shi (School of Management, Harbin Institute of Technology, Harbin, China)
Lu Lu (School of Management, Harbin Institute of Technology, Harbin, China)
Wei Zhang (School of Public and Management, Central China Normal University, Wuhan, China)
Qingpu Zhang (School of Management, Harbin Institute of Technology, Harbin, China)

Journal of Business & Industrial Marketing

ISSN: 0885-8624

Article publication date: 4 April 2020

Issue publication date: 10 November 2021

788

Abstract

Purpose

This paper aims to propose the following questions: How do structural network embeddedness influence firms’ incremental innovation capability? Does technology cluster moderate the relationships between them?

Design/methodology/approach

In this empirical research, the authors collected a sample of patent data in the smartphone industry over the period of 2000-2018. Then, the authors examined the direct roles of structural network embeddedness on firms’ incremental innovation capability and the moderating role of technology cluster by using ordinary linear squares regression.

Findings

The empirical results show that occupying the central position positively affects firms’ incremental innovation capability, and clustering strengthens this linear relationship. Furthermore, bridging structural holes has an inverted U-shaped effect on incremental innovation capability, and clustering positively moderated this nonlinear relationship, while bridging ties across different clusters plays a negative moderation role in this relationship.

Originality/value

This empirical research provides new insights into whether and how firms can grasp the benefits of structural network embeddedness to conduct incremental innovations and the moderation effects of technology cluster contingencies. It further contributes to the structural network embeddedness–incremental innovation capability issue by extending its research context to the smartphone industry.

Keywords

Acknowledgements

The authors are indebted to Prof Fawaz Baddar ALHussan and two anonymous reviewers for their many constructive insights and suggestions. This research was supported by the National Nature Science Foundation of China (Grant No. 71573064, 71490724, 71801169, 71771161, 71804056), Humanities and Social Sciences Research Project of the Ministry of Education of China (Grant Nos. 18YJC630250) and China Postdoctoral Science Foundation (Grant Nos. 2018M642033).

Citation

Shi, X., Lu, L., Zhang, W. and Zhang, Q. (2021), "Structural network embeddedness and firm incremental innovation capability: the moderating role of technology cluster", Journal of Business & Industrial Marketing, Vol. 36 No. 11, pp. 1988-2000. https://doi.org/10.1108/JBIM-05-2019-0253

Publisher

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Emerald Publishing Limited

Copyright © 2020, Emerald Publishing Limited

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