Search results

1 – 10 of 123
Article
Publication date: 27 July 2012

Justin Doran

The purpose of this paper is to provide an empirical analysis of whether differing forms of innovation act as complements or substitutes in Irish firms’ production functions.

1729

Abstract

Purpose

The purpose of this paper is to provide an empirical analysis of whether differing forms of innovation act as complements or substitutes in Irish firms’ production functions.

Design/methodology/approach

The approach adopted by this paper is empirical in nature. Data are obtained for approximately 582 firms from the Irish Community Innovation Survey 2004‐2006. In total, four forms of innovation activity are identified: new to firm product, new to market product, process and organisational innovation. Formal tests for complementarity and substitutability are applied to these types of innovation to assess whether they have a complementary effect on firms’ turnover.

Findings

The results suggest that there is a substantial degree of complementarity among different forms of innovation. Out of six possible innovation combinations, three are complementary while none exhibits signs of substitutability.

Social implications

From a business perspective, the importance of organisational change to facilitate technological innovation is highlighted, while from a policy perspective the importance of the incentivisation of organisation and process innovation is also highlighted.

Originality/value

To date, most research has focused on the impact of various forms of innovation, in isolation, on firms’ productivity. They do not consider whether these forms of innovation may in fact be linked, and that by implementing two or more innovations simultaneously, the combined benefits may be greater than the sum of the parts.

Details

European Journal of Innovation Management, vol. 15 no. 3
Type: Research Article
ISSN: 1460-1060

Keywords

Article
Publication date: 22 July 2022

Omid Aliasghar and Venus Kanani Moghadam

Searching for knowledge from outside firms' boundaries has been proved to be a critical strategy to develop innovation. However, the existing body of research has mainly focused…

Abstract

Purpose

Searching for knowledge from outside firms' boundaries has been proved to be a critical strategy to develop innovation. However, the existing body of research has mainly focused on the high-tech sector in developed countries, largely neglecting the considerable role of low- and medium-technology sectors (LMT) in emerging contexts. The authors discuss the fact that knowledge search patterns and the role of internal R&D intensity differ for firms operating in LMT sectors.

Design/methodology/approach

A sample of 1,365 firms operating in LMT sectors in Iran was used to test the proposed conceptual model, using logistic regression analysis.

Findings

The findings show that a firm will learn from its collaboration with value chain partners only if it has a strong in-house R&D capacity. In addition, while a high level of internal research development capacity increases the impact of knowledge acquired from value chain partners, the authors did not find evidence for complementarity between the investment in internal technology development and knowledge acquired from university and science-based partners.

Originality/value

Unlike previous studies in open innovation that have mainly investigated the role of knowledge search on product innovation in developed countries, this study contributes to the literature by connecting the concepts of R&D intensity and selective search, discussing that businesses operating in challenging contexts follow different knowledge search strategies to develop process-related innovation activities.

Details

Journal of Manufacturing Technology Management, vol. 33 no. 7
Type: Research Article
ISSN: 1741-038X

Keywords

Open Access
Article
Publication date: 26 July 2022

Yuping Yin, Frank Crowley, Justin Doran, Jun Du and Mari O'Connor

This paper examines the innovation behavior of family-owned firms versus non-family-owned firms. The role of internal family governance and the influence of external stimuli…

2621

Abstract

Purpose

This paper examines the innovation behavior of family-owned firms versus non-family-owned firms. The role of internal family governance and the influence of external stimuli (competition) on innovation are also considered.

Design/methodology/approach

The data of 20,995 family and non-family firms across 38 countries are derived from the World Bank Enterprise Survey during the period 2019–2020. Probit models are used to examine the impact of family ownership, family governance, and competition on innovation outcomes.

Findings

Family firms are more likely to make R&D investments, acquire external knowledge, engage in product innovation (including innovations that are new to the market) and process innovation, relative to non-family firms. However, a high propensity of family member involvement in top management positions can reduce innovation. Competition has a negative impact on innovation outcomes for both family and non-family firms, but it has a positive moderating effect on the innovation activities of family firms where a higher level of family member involvement in management is present.

Originality/value

This paper provides novel insights into family firm innovation dynamics by identifying family firms as more innovative than non-family firms for all types of indicators, debunking the idea that family firms are conservative, reluctant to change, and averse to the risks in innovation activities. However, too much family involvement in decision making may stifle some innovation activities in family firms, except in cases where the operating environment is highly competitive; this provides new insights into the ownership-management dynamic of family firms.

Details

International Journal of Entrepreneurial Behavior & Research, vol. 29 no. 1
Type: Research Article
ISSN: 1355-2554

Keywords

Article
Publication date: 29 September 2023

Shubh Majumdarr, Shilpee A. Dasgupta and Rayees Farooq

Compared to their counterparts in developed economies, businesses established in emerging economies continuously struggle due to resource and time constraints. Open innovation

Abstract

Purpose

Compared to their counterparts in developed economies, businesses established in emerging economies continuously struggle due to resource and time constraints. Open innovation (OI) allows these firms to bridge the gap and advance towards technological advancements; however, the scholarly knowledge on the subject is not systematized. Thus, this study synthesizes the extant literature, proposes a framework and highlights future research avenues for domain advancements.

Design/methodology/approach

Based on the Scientific Procedures and Rationales for Systematic Literature Reviews (SPAR-4-SLR) framework, the study evaluates 79 journal publications from Scopus and Web of Science (WoS). The bibliometric analysis highlights annual publication trends and research clusters, whereas TCCM analysis provides deep analysis into applied theories, context and characteristics, i.e. OI–performance linkage, barriers, mediators and moderators, followed by employed methodologies in the domain.

Findings

The bibliometric results showcase a rising publication trend, significant research clusters and trends, whereas the content analysis via TCCM framework identifies theories, contexts and methodologies employed in the domain. In terms of characteristics, the OI–performance relation and barriers at diverse levels, followed by the moderating and mediating mechanism, are further explained in detail.

Originality/value

This is the first study to examine OI and firm performance in the context of emerging economies and employ rigorous frame-based bibliometric and content analysis measures, establishing the foundations for a comprehensive understanding.

Details

Management Decision, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0025-1747

Keywords

Article
Publication date: 1 February 2005

Simon Mosey

This study aims to understand how small‐ to medium‐sized enterprises (SMEs) can build a dynamic capability for new‐to‐market product development.

4786

Abstract

Purpose

This study aims to understand how small‐ to medium‐sized enterprises (SMEs) can build a dynamic capability for new‐to‐market product development.

Design/methodology/approach

Five innovative and ambitious case firms were selected and studied longitudinally over the course of five years.

Findings

Within this group distinct development processes are identified that enable them to satisfy the unmet needs of new customers using their current technologies. However to sustain this activity managers need to empower cross‐functional teams to evaluate new technologies with an ever‐increasing number of pioneering partners. An ideal sequence is proposed for them to achieve this by systematising learning between projects and thereby reconfiguring their development processes to meet the changing needs of the market.

Research limitations/implications

This method appears most suited to SMEs able to develop new‐to‐market products in conjunction with technologically discerning customers and suppliers. As such it may be less applicable outside the observed business‐to‐business markets.

Originality/value

The five cases studied aptly illustrate the interplay of certain paths, positions and processes in terms of how they relate to new‐to‐market product development performance. The implication for researchers and managers is that consideration of all of these factors is necessary.

Details

International Journal of Operations & Production Management, vol. 25 no. 2
Type: Research Article
ISSN: 0144-3577

Keywords

Book part
Publication date: 24 June 2015

Sandra Corredor, Clemente Forero and Deepak Somaya

This paper examines the extent to which different sources of ideas for innovation are associated with novelty of innovation outcomes. We measure the novelty of product innovation

Abstract

This paper examines the extent to which different sources of ideas for innovation are associated with novelty of innovation outcomes. We measure the novelty of product innovation using three well-established categories, ranging from highly novel new-to-world products to new-to-firm products that are essentially imitative, with products that are new-to-country (but not the world) being an intermediary category. In turn we investigate how knowledge derived from different external and internal (within-firm) sources of ideas can help firms increase innovation with different degrees of novelty. Our empirical analyses are conducted on a large sample of manufacturing firms from the South American emerging market of Colombia and show that many of the same sources of knowledge – such as scientific sources, production departments and managers – are associated with higher innovation in all three categories of novelty. However, some sources – notably external clients and internal interdisciplinary groups – are more significantly associated with more novel innovation than imitation. The implications of these findings for the literatures on innovation and imitation, and innovation by emerging market firms are discussed.

Details

Emerging Economies and Multinational Enterprises
Type: Book
ISBN: 978-1-78441-740-6

Keywords

Article
Publication date: 8 March 2021

João M. Lopes, Paulo Silveira, Luís Farinha, Márcio Oliveira and José Oliveira

Regional innovation performance is an important indicator for decision-making regarding the implementation of policies intended for regional development. However, regional…

Abstract

Purpose

Regional innovation performance is an important indicator for decision-making regarding the implementation of policies intended for regional development. However, regional development policies have led economies to very different competitive positions in matters of innovation. To address these issues, this paper aims to identify the variables that most contribute to the positioning of economies in terms of performance innovation in Europe.

Design/methodology/approach

The data for this study were collected at the regional innovation scoreboard. This paper uses a quantitative methodology through a multivariate statistical technique (discriminant analysis).

Findings

The results suggest that specific innovation strategies explain the competitive positioning of economies within each group of countries. It was possible to demonstrate that economies with leader classification show greater comparative robustness in the variables “Small and medium enterprise (SMEs) with product or process innovations,” “SMEs with product or process innovations,” “research and development (R&D) expenditure public sector” and “population with tertiary education,” constituting an effective instrument of innovation policy. Furthermore, it was possible to show that the economies belonging to the modest group do not have a competitive advantage in any of the variables under study, thus providing a reflection opportunity for policymakers at this level.

Originality/value

The present research identifies which variables are most relevant to the classification considering the regional innovation performance in leader, strong, moderate and modest. Several suggestions were given to companies, policymakers and higher education institutions in the sense that the regions where they operate can improve their innovative performance, which may help to a change in their current classification.

Article
Publication date: 3 March 2023

Batkhuyag Ganbaatar, Khulan Myagmar and Evan J. Douglas

By examining the impact of product innovation on abnormal financial returns following the launch of new products, this study aims to test the explanatory power of a new compound…

Abstract

Purpose

By examining the impact of product innovation on abnormal financial returns following the launch of new products, this study aims to test the explanatory power of a new compound measure of product innovativeness (Ganbaatar and Douglas, 2019).

Design/methodology/approach

It is a longitudinal study in which the authors used the compound product innovativeness score (CPIS) for the first time to measure product innovativeness. The abnormal financial returns are estimated through the event study design, where four different models are used. Artificial neural network analysis is done to determine the impact of the CPIS on abnormal returns by utilising a hexic polynomial regression model.

Findings

The authors find effect sizes that substantially exceed practically significant levels and that the CPIS explain 65% of the variance in the firm’s abnormal returns in market valuation. Moreover, new-to-the-market novelty predicts 83% of the variation, while new-to-the-firm (catch-up) innovation insignificantly impacts firm value.

Research limitations/implications

This paper demonstrates how the CPIS, an objective and direct measure of product innovativeness, can be used to gain more insight into the innovation effect.

Practical implications

Implications for the business practice of this study include the necessity of relentless innovation by firms in contested differentiated markets, particularly where technological advance is ongoing. Larger and mature firms must practice corporate entrepreneurship to renew their products on a continuous basis to avoid slipping backwards in their markets. Innovation leadership, rather than following the leader, is also important to increase competitive advantage, given the result that innovation followship does not produce abnormal financial returns.

Originality/value

In this study, the authors focused on the effect of product innovativeness on firm performance. While the literature affirms a positive relationship between innovation and firm performance, the effect size of this relationship varies, due largely to the authors contend to simplistic measures of innovativeness. In this study, the authors adopt the relatively novel “compound” measure of product innovativeness (Ganbaatar and Douglas, 2019) to better encapsulate the nuances of both technical novelty and market novelty. This measure of product innovativeness is applicable to firms of all sizes but is more easily applied to entrepreneurial new ventures and SMEs, and it avoids the shortcomings of prior firm-level and subjective measures of innovativeness for both smaller and larger firms. Using a more effective analytical method (Artificial Neural Network), the authors investigated whether there is a “practically” significant effect size due to product innovation, which could be valuable for entrepreneurs in practice. The authors show that the CPIS measure can very effectively explain abnormalities in the stock market, exhibiting a moderate effect size and explaining 65% of the variation in abnormal returns.

Details

International Journal of Innovation Science, vol. 16 no. 1
Type: Research Article
ISSN: 1757-2223

Keywords

Article
Publication date: 18 April 2017

Cristina Bayona-Saez, Claudio Cruz-Cázares, Teresa García-Marco and Mercedes Sánchez García

The purpose of this paper is to extend the knowledge into the relationship between open innovation (OI) and firm’s innovative performance. Specifically, the authors aim to…

6017

Abstract

Purpose

The purpose of this paper is to extend the knowledge into the relationship between open innovation (OI) and firm’s innovative performance. Specifically, the authors aim to determine whether the benefits of OI practices are different for Food and Beverage (FnB) firms as compared to those of other sectors. The FnB industry is relevant in terms of employment GDP generation in the UE, characterised by high integration and low-tech intensity.

Design/methodology/approach

In order to achieve the goal and obtain robust results, the authors consider four OI dimensions and four innovation performance measures using panel data (2004-2011) from 10,771 FnB and non-FnB firms using Tobit and Logit models by random effects.

Findings

The authors test and confirm the presence of the classical inverted U-shape relationship between OI and firm innovative performance for FnB and non-FnB companies. However, the optimal number of external sources of knowledge used is lesser for FnB than the rest of the companies.

Originality/value

The paper compares the OI effects in a traditional and low-tech industry vs other industries considering four innovation outputs (product innovations, process innovations, incremental innovation and radical innovation).

Article
Publication date: 7 November 2016

Nazila Yousefi, Gholamhossein Mehralian, Hamid Reza Rasekh and Hossein Tayeba

Pharmaceutical market value in Iran exceeded to more than US$4bn in 2013, indicating annually over 20 per cent growth. In the past decades, Iranian pharmaceutical industry was…

1144

Abstract

Purpose

Pharmaceutical market value in Iran exceeded to more than US$4bn in 2013, indicating annually over 20 per cent growth. In the past decades, Iranian pharmaceutical industry was supported by government policies, namely, generic substitution, import limitation and local production support; however, the local pharmaceutical manufacturer’s market share in value has been decreased gradually. This study aims to provide historical data on Iran pharmaceutical market to show the importance of new product development to attain greater market share and tries to motivate the pharmaceutical industry located in developing countries to develop more innovative medicines.

Design/methodology/approach

This is a descriptive cross-sectional study that investigates the Iranian pharmaceutical market by focusing on new products over a five-year period (2009-2014), and that was augmented by an expert panel to rank subjectively firms’ performance indicators to shed light on the importance of new product development to firms’ performance.

Findings

The expert panel results find out that new product development is one of the most important “result indicators” for Iranian pharmaceutical companies. Historically, in line with the experts’ opinion on the new product development, the Iranian pharmaceutical industry has shown its capability to develop new medicines by developing 3,095 new products (mostly new-to-firm) across about 100 firms. Despite this fact, the share of local manufacturers in new medicines’ market decreased from 52 per cent at the beginning of studied period to 24 per cent at the end, and the gap between the unit value of imported and domestically produced medicines has been significantly increased due to low-innovative medicines locally produced.

Research limitations/implications

This research was challenged with limitations such as lack of reliable published data on new medicines in the Iran pharmaceutical market.

Practical implications

This study highlights the fact that developing more innovative products in the generic pharmaceutical industry such as Iran can grant its market share.

Originality/value

This is an original study that shows the effect of innovative product development on market share through historical data.

Details

International Journal of Pharmaceutical and Healthcare Marketing, vol. 10 no. 4
Type: Research Article
ISSN: 1750-6123

Keywords

1 – 10 of 123