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We address the following research questions: (1) Is the innovation trajectory of the acquirer affected by previous acquisitions? (2) In which direction knowledge recombination from the acquisition is pushed further? (3) Is the technological acquisition more a means for knowledge exploration and radical innovation or, on the contrary, a way for consolidating previous technological specialization?

The nature of this study is exploratory; therefore, we opted for an inductive approach based on the L'Oréal case study analysis. Data were triangulated from different sources: (a) the L'Oréal website and press releases collected in the 2009–2015 period; (b) journal articles and books on the global cosmetics industry and the insightful work of Jones (2010); (c) the Questel Orbit database containing data on patents; and (d) the Zephyr – Bureau van Dijk database containing information on the acquisitions of firms.

Empirical evidence from a patent data analysis reveals a paradoxical path. On the one hand, acquisitions enable the company to explore new technological spaces; on the other hand, they allow it to reinforce a preexisting technological trajectory, even when the knowledge base of the target is distant from that of the acquirer. Thus, in our case study, the absorption and recombination of knowledge from a variety of domains support specialization more than diversification technology strategies.

We add to innovation management literature a new perspective, by offering a detailed analysis, through patent data, of the knowledge recombination process, led by technological acquisitions.

This paper aims to address the gap that, to date, no systematic review has been carried out on the role that structural social capital (SC) plays for knowledge transfer and innovation at the interpersonal, inter-unit and inter-firm levels. Individuals and organisations are becoming increasingly involved in collaboration networks to share knowledge and generate innovation. SC theory has been adopted in several areas of study to explain how individuals, groups and organisations manage relationships to generate innovation.

This review covers studies of SC in organisational behaviour, strategy and management over a period of 20 years.

The literature review shows that knowledge types and knowledge transfer processes are the missing links in the relationship between structural SC and innovation. Moreover, the paper demonstrates that seemingly opposite configurations of SC are complementary to each other (structural holes vs dense networks; strong vs weak ties) and that contextual factors should be considered when discussing the effects of SC on knowledge transfer and innovation. In addition, it is the balance of different configurations of SC which enables an individual or a company to explore, access, assimilate and combine different knowledge types, which will lead to improved innovation outcomes.

This review facilitates understanding of the role of SC for knowledge transfer processes and the mediating role of knowledge transfer processes and knowledge types in the relationship between structural SC and innovation.

Previous research has analyzed the consequence of network stability; however, little is known about how partner type diversity influence network stability in R&D network. Based on knowledge-based view and social network theory, the purpose of this paper is to unravel the internal mechanisms between partner type diversity and network stability through the mediating role of knowledge recombination in R&D network.

The authors collected an unbalanced panel patent data set from information communication technology industry for the period 1994–2016. Then, the authors tested the different dimensions of partner type variety and its relevance in the R&D network and the mediating role of knowledge recombination through adopting the multiple linear regression.

Results indicate an inverted U-shaped relationship between partner type diversity (variety and relevance) and network stability, whereas knowledge recombination partially mediate these relationships.

From the perspective of R&D networks, this paper explores that there are the under-researched phenomena the antecedent of network stability through nodal attributes (i.e. partner type variety and partner type relevance). Moreover, this paper empirically examined the mediating role of knowledge recombination in the partner type diversity–network stability relationships. The novel perspective allows focal firm to recognize importance of nodal attributes, which are critical to fully excavate the potential capabilities of cooperating partners in R&D network.

Post-merger integration (PMI) is driven by coevolving processes. By integrating the literature on acquisitions with that of knowledge networks, this paper highlights different reconstruction mechanisms for dual knowledge networks during PMI – namely, internal knowledge network coupling and external knowledge network embeddedness. This paper aims to examine their coevolutionary relationships with PMI.

A coevolutionary framework is tested using a latent growth model and cross-lagged models. The analysis is based on longitudinal data collected from 116 Chinese technology-sourcing overseas merger and acquisition firms.

This paper unearths a novel idea that variations in post-merger reconstruction of dual knowledge networks can explain why some acquirers increase the degree of integration faster than the others. The results show that the internal knowledge network coupling leads to more knowledge similarity and, in turn, causes a higher degree of integration. The external knowledge network embeddedness also causes higher relative network status of the acquirer, which consequently leads to a higher degree of integration. Furthermore, results from cross-lagged models confirm that an increase in the degree of integration positively influences subsequent changes in the internal knowledge network coupling and external knowledge network embeddedness, thus forming a coevolutionary relationship over time.

This paper responds to recent calls for more insights into the dynamics of PMI. By highlighting different reconstruction mechanisms for internal and external knowledge networks during PMI, this paper explains why it is important to understand PMI dynamics from a dual knowledge network perspective. This paper is the first to adopt a coevolutionary perspective and provide a more comprehensive dynamic framework between PMI and reconstruction of dual knowledge networks. Besides, this paper contributes to the research on emerging market multinational corporations’ cross-border merger and acquisition integration from a dynamic perspective, revealing the time effects of traditionally favored light-touch integration.

To adapt to the rapidly changing market environment, firms must constantly adjust and change their knowledge base to develop new technologies. The purpose of this paper is to analyze the improvement path of firms’ breakthrough innovation from the perspective of knowledge recombination in the context of dynamic change in the knowledge base. By analyzing the influencing mechanism of environmental dynamism on the relationship between the two, this paper provides a theoretical foundation for managers to make knowledge recombination decisions under a dynamic external environment while further enriching the firm’s innovation achievements.

Using data from 220 manufacturing firms listed on the Shanghai and Shenzhen A-share stock from 2010 to 2018, an extensive panel data set was constructed to investigate the effect of knowledge recombination, which was divided into recombination creation and recombination reuse, on firms’ breakthrough innovation. In addition, the authors differentiated environmental dynamism as market dynamism and technological dynamism and then examined its moderating role in the above relationships.

The research results show that various recombination behaviors of knowledge elements have a differentiated effect on firms’ breakthrough innovation presented as follows: Knowledge recombination creation is significantly positively correlated with firms’ breakthrough innovation, while knowledge recombination reuse is significantly negatively correlated with firms’ breakthrough innovation. In addition, environmental dynamism has a considerable moderating effect between knowledge recombination and firms’ breakthrough innovation further, emphasizing that the moderating effect on different types of knowledge recombination behaviors is significantly distinct.

First, given that this study refers to several Chinese noted databases to collect second-hand data for empirical analysis, future research could use first-hand data by collecting questionnaire survey and interview to provide a more practical and detailed research conclusion. Second, the authors focused on the contextual variable to explore the moderating role of environmental dynamism on the relationship between knowledge recombination and breakthrough innovation. Nevertheless, the indirect effects of other internal factors were not discussed. The authors advocate future studies to involve other moderators from employee social and phycological perspectives, such as trust in colleagues in the proposed theoretical models in this study.

This study is conducive for managers to attach great attention to knowledge management practices in the firm and to understand the critical role of knowledge recombination in affecting innovation performance under dynamic environmental changes. Moreover, this study provides practical guidance and serves as a reference for firms to strengthen their knowledge recombination ability as full utilization of existing knowledge elements and exploration of new knowledge values.

Primarily, from the perspective of dynamic changes in the knowledge base, this paper explores how the knowledge recombination behaviors affect firms’ breakthrough innovation, thereby enriching and extending the relationship theory between knowledge recombination capabilities and breakthrough innovation, while new and valuable ideas are provided in the study of issues related to the firms’ breakthrough innovation; Moreover, this study analyzes the moderating effects of diverse types of environmental dynamism on the relationship between knowledge recombination and firms’ breakthrough innovation from a multi-dimensional perspective proposing that the moderating effects of environmental dynamism on different knowledge recombination behaviors are distinct.

A firm's inventions provide technical information for product planning and technical support for new product development (NPD). In the knowledge-based theory, inventing is regarded as a process of knowledge combination. This paper aims to classify the firm's inventive capabilities based on the combinatorial view and investigate the effects of inventive capabilities on NPD performance.

Four types of inventive capabilities are identified concerned with the knowledge used to combine in the inventive activities. By utilizing a dataset of 572 firms from China's automotive manufacturing industry, the roles of different inventive activities in the generation of new inventions are compared. Then the effects of different inventive capabilities on NPD performance are empirically examined by using negative binomial regression analysis.

The time series for the number of patented inventions derived from different types of combinations generally exhibits a steady upward trend, and the number of patents derived from recombination is much higher. The empirical results demonstrate that the inventive capabilities associated with reused recombination and creative recombination exhibit positive effects on NPD performance, and the inventive capabilities associated with novel combination and original combination exhibit non-linear effects on NPD performance.

The findings contribute to NPD literature by investigating the effects of different inventive capabilities on NPD performance. This study also provides guidelines for manufacturing managers to improve NPD performance by building appropriate inventive capabilities.

Our focus on external growth and related competence development as a process required observing and jointly examining a large number of variables that influence growth processes and, in particular, the complex relationships among them (Huber & Van de Ven, 1995). The heterogeneity of the phenomenon requires rich and deep descriptions aimed at assessing the abstractions and generalizations that can be meaningfully attempted (Davidsson, 2005, p. 56).

Strategy scholars have long argued that breakthrough innovation is generated by recombining knowledge from distant domains. Even if firms have the ability to access and absorb knowledge from distant domains, however, they may fail to pay attention to such knowledge because it is seemingly irrelevant to their tasks. We draw attention to this problem of knowledge relevance and develop a theoretical model to illuminate how ideas from seemingly irrelevant (i.e., peripheral) domains can generate breakthrough innovation through the cognitive process of analogical reasoning, as well as the conditions under which this is more likely to occur. We situate our theoretical model in the context of teams in order to develop insight into the microfoundations of knowledge recombination within firms. Our model reveals paradoxical requirements for teams that help to explain why breakthrough innovation is so difficult.

The purpose of this paper is to provide insights into the overarching role of learning capabilities by presenting a framework to describe how learning capability development is captured by combining the three main elements of internal marketing orientation, exploratory capabilities and resource recombination.

This is a conceptual paper building upon the theoretical integration approach of Mayer and Sparrowe (2013) to establish competitive empowerment through learning capability development, effective internal response and resources recombination.

The competitive learning capability model provides a firm’s foundation for theorizing organizational competitive models from an internal perspective, by mastering learning capability development at the centre of the model.

The paper emphasizes the competitive connotation of learning capabilities as a construct in strategic management. It shows the underlying role of learning across organizational processes; hence, its theoretical significance through the learning capabilities model.

This paper argues that learning is at the centre of organizational competitiveness. Firms can achieve more fruitful results by continuously implementing resource integration strategies built on their learned experiences.

The principal significance of this paper lies in the achievement of conceptualizing learning from a strategic management perspective. Insight in this area helps bridge organizational efforts in pursuit of competitive advantage by exploiting key core learning competencies embedded in a firm’s resources and capabilities.

The purpose of this paper is to understand if and how the adoption of an open innovation (OI) strategy, that is acquiring externally developed knowledge, influences the innovation performance of firms and how this relationship is moderated by the recruitment of highly educated employees and the implementation of employee training activities.

The authors conducted an analysis based on the results of the 2010-2012 Italian Innovation Survey and considered only manufacturing firms. Accordingly, the econometric analysis was based on 2,836 firm-observations.

The study reveals that acquiring externally developed knowledge positively affects the innovation performance of firms. Additionally, while the moderation effect due to recruiting highly educated employees is not statistically significant, the implementation of training activities negatively moderates the investigated relationship.

The present research confirms the positive effects of the adoption of OI strategies on the innovation performance of firms and, additionally, shows that implementing employee training activities may negatively influence the abovementioned relationship.

The present study suggests that firms acquiring externally developed knowledge should be careful in performing employee training activities, since they may hinder the positive effects of adopting OI strategies.

This study contributes to the OI literature, by showing the positive effects of the acquisition of externally developed knowledge on the innovation performance of firms and by analysing the moderating role of human resources management practices, which is an aspect scantly discussed in the literature.