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Article
Publication date: 6 April 2020

Yinjuan Yang

This paper aims to explore how to build firm’s radical innovation capability from its own knowledge resources. It proposes the impact of knowledge base on radical…

Abstract

Purpose

This paper aims to explore how to build firm’s radical innovation capability from its own knowledge resources. It proposes the impact of knowledge base on radical innovation and outlines why and how appropriability regimes are important throughout the radical innovation capability development process.

Design/methodology/approach

Questionnaire and in-depth interviews were used to empirically test the relationship between knowledge base, appropriability regimes and radical innovation capability. To correct for potential endogeneity, a two-stage regression model was used to test the interaction effects

Findings

By examining 237 firms involved in R&D activities in high-tech manufacturing firms in China, this paper finds that when a firm have a deep knowledge base, strategic appropriability regime may reduce concerns about problems such as knowledge leakage and innovation appropriation associated with deep knowledge bases. In contrast, legal appropriability regime will also tend to strengthen the positive effect of knowledge breadth on radical innovation capability.

Research limitations/implications

In this study, self-reported measures are used because of their potential for concept specific accuracy; future research might wish to replicate our model and test it with objective data.

Practical implications

The paper includes implications for the fit between the existing internal knowledge base and the way a firm appropriates from its knowledge, and provides entrepreneurs and managers with direct implications about how to manage knowledge resources for radical innovation capability development.

Originality/value

This paper provides a more nuanced understanding of how knowledge base and value appropriability mechanisms jointly affect radical innovation capability development.

Details

VINE Journal of Information and Knowledge Management Systems, vol. 51 no. 3
Type: Research Article
ISSN: 2059-5891

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Book part
Publication date: 2 August 2016

Marco Ceccagnoli and Frank T. Rothaermel

This chapter explores the extent to which an innovator is able to capture innovation rents. After examining the two main drivers of such rents, the strength of the…

Abstract

This chapter explores the extent to which an innovator is able to capture innovation rents. After examining the two main drivers of such rents, the strength of the appropriability regime and the ownership of specialized complementary assets, the chapter examines how their interaction is so critical in affecting imitation, commercialization options, and firm performance. After reviewing the underlying conceptual framework and empirical evidence, and using a perspective that cuts across both time and industries, the authors then discuss the implications of innovation profits for the resources to be devoted to the discovery of new or improved product and processes.

Details

Technological Innovation: Generating Economic Results
Type: Book
ISBN: 978-1-78635-238-5

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Article
Publication date: 18 September 2017

Wenhong Zhang, Yapu Zhao, Longwei Tian and Dong Liu

The purpose of this paper is to explore how boundary-spanning demand-side search (BSDSS) fuels radical technological innovations as well as how innovation appropriability

Abstract

Purpose

The purpose of this paper is to explore how boundary-spanning demand-side search (BSDSS) fuels radical technological innovations as well as how innovation appropriability moderates this relationship. In particular, based on Teece’s (1986) argument regarding the appropriability of innovation, the authors divide factors to influence innovation appropriability into two types: external institution related and internal capability related.

Design/methodology/approach

This study employs a survey methodology. Specifically, the authors collected a sample composed of 150 high-tech manufacturing Chinese firms.

Findings

Results show that BSDSS has a positive effect on radical technological innovations. Further, the authors find that dysfunctional competition and political ties negatively moderate the main effect, whereas firms’ legal and IPRs protection capabilities positively moderate the main effect.

Research limitations/implications

One major limitation is that the findings are based on data derived from Chinese firms, which may limit the generalization of the findings.

Practical implications

The findings suggest that firms competing Chinese market, both Chinese and foreign firms, should actively leverage BSDSS to boost radical technological innovations. Chinese firms should pay attention to the negative roles of appropriability hazards originating from external institutional environment. Foreign firms in Chinese market should be cautious on potential dysfunctional competition from local competitors, such as imitation and intelligence property violation, and enhance appropriability through building internal capabilities, such as legal and IPRs capabilities.

Originality/value

The study highlights the crucial roles of BSDSS in radical technological innovations, as well as the moderating roles of innovation appropriability. These results provide new insights into the drivers of radical technological innovations.

Details

Management Decision, vol. 55 no. 8
Type: Research Article
ISSN: 0025-1747

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Article
Publication date: 28 January 2014

Satu Nätti, Pia Hurmelinna-Laukkanen and Wesley J. Johnston

The purpose of this study is to increase understanding of service innovation in networks. Especially the most loosely coupled forms of innovation networks, innovation…

Abstract

Purpose

The purpose of this study is to increase understanding of service innovation in networks. Especially the most loosely coupled forms of innovation networks, innovation communities, can be valuable in service innovation, but may not be manageable in the traditional sense. Rather, they may require orchestration characterized by discreet guidance that also accommodates the specific nature of services. Through informed orchestration, it is possible to deal with several contingencies, and influence the absorptive capacity at the network level to generate new service innovations.

Design/methodology/approach

These issues are examined through literature review and a case study.

Findings

The findings suggest that individual orchestration mechanisms may be more closely connected to certain contingencies than others, and that both orchestration mechanisms and contingency factors have a role in absorptive capacity development within service innovation networks.

Research limitations/implications

While the case study approach limits the possibility to make wide generalizations, the in-depth insights provide valuable knowledge.

Practical implications

There has been a shift from inter-firm competition towards competition between networks of organizations, increasing relevance of absorptive capacity at the network level.

Originality/value

Despite the recent increase in service innovation literature, research on service innovation taking place in networks is scant. Knowledge on some aspects can be derived from more traditional notions on technological innovation, but both the distinctive features of services and central characteristics of innovation networks make it necessary to reconsider some of the established views. In particular, managing – or rather orchestrating – service innovation is still a challenging area.

Details

Journal of Business & Industrial Marketing, vol. 29 no. 2
Type: Research Article
ISSN: 0885-8624

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Book part
Publication date: 1 July 2012

Peter T. Gianiodis and Jill A. Brown

We extend the literature on scientific discovery and commercialization by examining entrepreneurial action by university-based scientists. Specifically, we investigate the…

Abstract

We extend the literature on scientific discovery and commercialization by examining entrepreneurial action by university-based scientists. Specifically, we investigate the decision process and the paths to commercialize academic technologies. University-based technology transfer involves multiple stakeholders with competing interests; hence, we believe researchers should apply a multilevel theoretical lens, which starts with the disclosure of discoveries made by scientists in their labs. We build a multilevel framework that views the scientists’ choice to first disclose viable discoveries to pursue entrepreneurial action as a function of three factors: (i) a scientist's rent orientation, (ii) a university's rent doctrine, and (iii) the rent doctrine of the scientific field in which the scientist conducts research. We suggest that commercial disclosure most often occurs when there is alignment between these three factors. Lastly, we advance an agenda for future empirical research by developing specific propositions about the key constructs and relationships concerning university-based entrepreneurial action.

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Article
Publication date: 21 September 2015

M.Muzamil Naqshbandi and Sharan Kaur

– The purpose of this paper is to empirically investigate the effectiveness of innovation protection mechanisms in four high-tech industries in Malaysia.

Abstract

Purpose

The purpose of this paper is to empirically investigate the effectiveness of innovation protection mechanisms in four high-tech industries in Malaysia.

Design/methodology/approach

A questionnaire survey is administered to 339 managers working in four Malaysian high-tech industries.

Findings

The authors find that in most industries, patents are considered as the most effective innovation protection mechanism, while lead time is considered as least effective. In firms with private and foreign ownerships, patents and in firms categorized as “others” “moving quickly down the learning curve” are considered as the most effective protection mechanisms. It also emerges that “being first to market (lead time)” is considered as the least effective protection mechanism under all ownership structures. Further, young and middle-aged firms report patents, while old firms report secrecy as the most effective innovation protection mechanisms.

Research limitations/implications

This paper restricted analysis to the high-tech sector in Malaysia, and thus, the findings are not generalizable to other industries. Second, this paper took into consideration only four innovation protection mechanisms. The authors suggest that future research should investigate the issue at hand in other industries and consider other innovation protection mechanisms to have a holistic view of how Malaysian firms view different innovation protection mechanisms.

Practical implications

In addition to providing inputs for policy-making, the results of this paper are expected to help practitioners in deciding on the right kind of innovation protection mechanisms for their innovations based on their industry, ownership structure and firm age.

Originality/value

This paper is the first of its kind conducted in the Malaysian high-tech sector and as such is expected to help policy-makers to design and implement effectively innovation protection policies.

Details

Management Research Review, vol. 38 no. 9
Type: Research Article
ISSN: 2040-8269

Keywords

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Article
Publication date: 14 August 2017

Dario Milesi, Vladimiro Verre and Natalia Petelski

The purpose of this paper is to show how science-industry R&D cooperation (SIRC) generates effects on the strategy developed by firms to appropriate the benefits of…

Abstract

Purpose

The purpose of this paper is to show how science-industry R&D cooperation (SIRC) generates effects on the strategy developed by firms to appropriate the benefits of innovations. Given the plurality of cooperation patterns between firms and public R&D institutions and the variety of appropriation mechanisms used by firms to protect generated knowledge or to strengthen their market position, this paper investigates to what extent different forms of cooperation are associated with different effects on appropriation strategy.

Design/methodology/approach

As evidence of this, the authors carry out a multiple case study, covering nine biopharmaceutical Argentine firms whose innovation projects are developed in cooperation with public R&D institutions. Using critical dimensions identified by public-private R&D cooperation literature, the paper analyzes the characteristics of cooperation in the cases studied, looking for different patterns. Given the existence of various appropriation mechanisms identified by appropriability literature, the paper analyzes how firms use (or not) those mechanisms within the specific context of jointly generated innovation.

Findings

The paper shows that SIRC generates opposing effects on the various appropriation mechanisms used by firms, both challenging and strengthening them. Likewise, the identification of three cooperation patterns in Argentine biopharmaceutical sector, namely, contract R&D, internalization and coordination, allows appreciating how each pattern affects differently the appropriation mechanisms used by firms, being the coordination one, the most functional to the appropriation strategy of firms analyzed.

Research limitations/implications

The arguments presented here are necessarily limited to the biopharmaceutical Argentine sector, which is strategic to the country, for accumulated capabilities in scientific and business aspects. The analysis could be enriched by extending it to other industries with similar innovation characteristics and to other countries, where patents have a similar weight (emerging countries) or a different one (developed countries).

Practical implications

Innovation and public-private collaboration policies may benefit from the analysis presented here, which helps to assess advantages and challenges of different SIRC logics on firms’ appropriation issues and to considerate which aspects allow cooperation and appropriation combining in a more virtuous form.

Originality/value

There is no paper that explicitly examines the effects generated by different SIRC patterns on the appropriation strategy of firms, conceived as a combination of different mechanisms which may include patents but is not limited to them.

Details

European Journal of Innovation Management, vol. 20 no. 3
Type: Research Article
ISSN: 1460-1060

Keywords

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Article
Publication date: 16 March 2010

Pia Hurmelinna‐Laukkanen and Paavo Ritala

Profiting from service innovations can be challenging. It is not only a question of pricing and marketing the services appropriately, but also of keeping competitors from…

Abstract

Purpose

Profiting from service innovations can be challenging. It is not only a question of pricing and marketing the services appropriately, but also of keeping competitors from imitating them. The purpose of this paper is to discuss how service innovation differs from technology/product innovation in terms of protection, and how this shows in collaborative innovation activities.

Design/methodology/approach

The paper offers a literature review combining discussion related to service research and strategic management. Empirical evidence is provided in the form of a multifaceted case study illustrating some of the aspects of collaborative service innovation.

Findings

The results indicate that characteristics separating service innovations from product or process innovations influence the efficacy of protection. This, in turn, may make or break the subsequent value appropriation. Furthermore, as service innovation typically includes collaborative activities, there is another twist to protection: companies must protect knowledge that brings them competitive advantage, but on the other hand they need to foster knowledge sharing, which may be in conflict with protective measures. As a result, service innovators cannot rely solely on intellectual property right strategies, as their counterparts working with products might do, but the service element requires taking a wider look around, and utilizing means such as human resource management, lead time, and contracting.

Originality/value

The novelty of this paper lies in its analysis of two very recent trends: collaboration (and coopetition) in innovation, and the tendency to introduce business models that bring service innovations to the core of the offering. Augmenting prior knowledge, the paper brings forth issues that need to be acknowledged when service innovations are created, protected, and appropriated.

Details

Journal of Service Management, vol. 21 no. 1
Type: Research Article
ISSN: 1757-5818

Keywords

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Article
Publication date: 10 July 2017

Alexander Brem, Petra A. Nylund and Emma L. Hitchen

The purpose of this paper is to study the relationship between open innovation and the use of intellectual property rights (IPRs) in small- and medium-sized enterprises…

Abstract

Purpose

The purpose of this paper is to study the relationship between open innovation and the use of intellectual property rights (IPRs) in small- and medium-sized enterprises (SMEs). The authors consider patents, industrial designs (i.e. design patents in the USA), trademarks, and copyrights.

Design/methodology/approach

The relationships between open innovation, IPRs, and profitability are tested with random-effects panel regressions on data from the Spanish Community Innovation Survey for 2,873 firms spanning the years 2008-2013.

Findings

A key result is that SMEs do not benefit from open innovation or from patenting in the same way as larger firms. Furthermore, the results show that SMEs profit in different ways from IPR, depending on their size and the corresponding IPR.

Research limitations/implications

The different impact of IPRs on the efficiency of open innovation in firms of varying sizes highlights the importance of further investigation into IP strategies and into open innovation in SMEs.

Practical implications

Industrial designs are currently the most efficient IPR for SMEs to protect their intellectual property in open innovation collaborations. Depending on the company size, the use of different IPRs is recommended. Moreover, firms should seek to increase the efficiency of open innovation and the use of IPRs.

Social implications

The high impact of SMEs on employment highlights the importance of fomenting efficient innovation processes in such firms.

Originality/value

This paper opens the black box of IPR in relation to open innovation in SMEs, and draws distinctive conclusions with regards to patents, industrial designs, trademarks, and copyrights.

Details

Management Decision, vol. 55 no. 6
Type: Research Article
ISSN: 0025-1747

Keywords

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Article
Publication date: 1 October 2004

John P. Ulhøi

This paper addresses innovations based on open source or non‐proprietary knowledge. Viewed through the lens of private property theory, such agency appears to be a true

Abstract

This paper addresses innovations based on open source or non‐proprietary knowledge. Viewed through the lens of private property theory, such agency appears to be a true anomaly. However, by a further turn of the theoretical kaleidoscope, we will show that there may be perfectly justifiable reasons for not regarding open source innovations as anomalies. The paper is based on three sectorial and generic cases of open source innovation, which is an offspring of contemporary theory made possible by combining elements of the model of private agency with those of the model of collective agency. In closing, the paper addresses implications for further research, practitioners and other policy‐makers.

Details

Management Decision, vol. 42 no. 9
Type: Research Article
ISSN: 0025-1747

Keywords

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