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Article
Publication date: 25 February 2020

Dale A. Cake, Vikas Agrawal, George Gresham, Douglas Johansen and Anthony Di Benedetto

The purpose of this paper is to develop a radical innovation launch model that shows the relationship of the market, entrepreneurial and learning orientations with each…

Abstract

Purpose

The purpose of this paper is to develop a radical innovation launch model that shows the relationship of the market, entrepreneurial and learning orientations with each other, with radical innovation launch marketing capabilities and the subsequent effect on radical innovation launch success. It will provide practitioners with best practices and add to current marketing theory.

Design/methodology/approach

An online survey was done, resulting in a usable sample of 176 radical innovation launch practitioners from a cross-section of US companies, namely, small to large, business-to-business and business-to-consumer firms offering a variety of products and services. A partial least squares structural equation modeling technique was used to test construct relationships and the effect on each other.

Findings

An organizational learning orientation has a direct effect on the market and entrepreneurial orientations. Learning and marketing orientations are critical links to having radical innovation launch marketing capabilities. While an entrepreneurial orientation has a direct effect on radical innovation launch success, proper, dynamic marketing capabilities are a significant driver. Over 40% of the variance in radical innovation launch success is directly or indirectly affected by the three studied strategic orientations and radical innovation launch marketing capabilities.

Research limitations/implications

This study was conducted only in the USA. A cross-cultural study could be undertaken. Type and size of firm, type of external environment, radical innovation department structure, transformational leadership strength and competitive intensity effect could be studied. New, up-to-date adaptable marketing capabilities should be researched and validated.

Practical implications

For radical innovation launch success, it is critical that a firm develop the market, entrepreneurial and learning orientations and have specific, dynamic marketing capabilities in place. Existing managers should be trained, or new talent hired, to give the firm the capability to develop unique, radical innovation launch strategic, brand identity and new target market plans, to select and manage new downstream partners, and to have quick, customer launch feedback mechanisms in place.

Originality/value

An empirical study of the effect of all three strategic orientations on radical innovation launch marketing capabilities and subsequent radical innovation launch success has not been previously addressed.

Details

Journal of Business & Industrial Marketing, vol. 35 no. 10
Type: Research Article
ISSN: 0885-8624

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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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Article
Publication date: 17 June 2019

Hao Shen, Nan Mei and Yu Gao

The purpose of this paper is to investigate the proper matches between institutional business ties (to state-owned enterprises (SOEs) and to banks) and firm capabilities

Abstract

Purpose

The purpose of this paper is to investigate the proper matches between institutional business ties (to state-owned enterprises (SOEs) and to banks) and firm capabilities (technological capability and marketing capability) in impacting the radical innovation of manufacturing firms in China.

Design/methodology/approach

Using the samples of 208 manufacturing firms in China, this study runs three regression models to test all hypotheses.

Findings

Ties to SOEs and ties to banks are positively related to radical innovation of manufacturing firms in China. Further, the technological capability and marketing capability have different functions on moderating the relationship between institutional business ties and radical innovation.

Practical implications

The results imply that managers of manufacturing firms should strive to establish close connections to those organizations that are set-up by government in China. In addition, managers should cautious about the synergies between different institutional business ties and different internal capabilities, and properly matching them to develop radical innovation.

Originality/value

This study enriches and extends the managerial ties literature by going beyond previous narrow focus on either business ties or political ties to address a particular type of organization that is set-up by the governments but operate in the business world. The findings of proper ties-capabilities matches provide nuanced understandings to dynamically manage external resources and internal capabilities for the synergetic benefits (e.g. radical innovation). This study also offer a theoretical paradigm (i.e. resource management model) for manufacturing firms to lessen the striking tension between the urgent needs for radical innovation and the hostile ground for conducting radical innovation.

Details

Journal of Manufacturing Technology Management, vol. 30 no. 7
Type: Research Article
ISSN: 1741-038X

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Article
Publication date: 10 April 2019

Chao Li, Shuihua Han, Sameer Kumar and Wei-Xi Feng

The purpose of this paper is to define the conceptualization and measurement of informatization according to a capability perspective reflected in three aspects: IT…

Abstract

Purpose

The purpose of this paper is to define the conceptualization and measurement of informatization according to a capability perspective reflected in three aspects: IT managerial capability, IT-enabled capability and IT infrastructure capability.

Design/methodology/approach

Manufacturing enterprises in China’s Northeast and Pearl River Delta regions in China were selected to empirically examine, using structural equation modeling, the association between a firm’s senior executive support informatization and radical innovation performance.

Findings

Results show a significant positive relationship between senior executive support and IT-enabled capability. However, there are no significant positive influences uncovered between senior executive support and IT managerial capability and IT infrastructure capability. The authors find significant positive effects of IT managerial capability, IT-enabled capability and IT infrastructure capability on radical innovation performance. Lastly, the joint effect of senior executive support and external institutional environment has no significant influence on informatization.

Originality/value

This study offers improved understanding for enterprises and academia about the effect of senior executive support informatization on radical innovation performance. It also suggests taking effective measures to highlight the management level and enterprises’ radical innovation performance.

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Article
Publication date: 7 November 2016

Emilio Domínguez Escrig, Francisco Fermín Mallén Broch, Ricardo Chiva Gómez and Rafael Lapiedra Alcamí

The purpose of this paper is to provide empirical evidence of the relationship between altruistic leader behavior and radical innovation, using organizational learning as…

Abstract

Purpose

The purpose of this paper is to provide empirical evidence of the relationship between altruistic leader behavior and radical innovation, using organizational learning as an explanatory variable.

Design/methodology/approach

To confirm the hypotheses, structural equations were used on a data set from a survey carried out on Spanish firms with recognized excellence in human resources management.

Findings

The study empirically validates the conceptual model. Results suggest that organizational learning capability fully mediates the relationship between altruistic leader behavior and radical innovation.

Research limitations/implications

The database used in the study is very heterogeneous. Future research might delimit the database by organization size or sector.

Practical implications

Results suggest ideas for organizations that want to implement a working environment that fosters innovation performance in order to achieve radical innovations.

Originality/value

This is one of the few studies to concentrate on altruistic leader behaviors as such. This paper contributes to understanding how altruistic leader behavior affects radical innovation and the key role played by organizational learning capability.

Details

Leadership & Organization Development Journal, vol. 37 no. 8
Type: Research Article
ISSN: 0143-7739

Keywords

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Article
Publication date: 12 September 2016

Colin C.J. Cheng and Eric Shiu

While service scholars have generally supported the idea that service modularity enhances firm performance, the literature offers very little evidence of the actual…

Abstract

Purpose

While service scholars have generally supported the idea that service modularity enhances firm performance, the literature offers very little evidence of the actual process through which service modularity continuously contributes to firm performance. The purpose of this paper is to examine the link from a capability perspective: service modularity capabilities-service modularity-new service advantage-firm performance, as well as the moderating role of radical innovation capability in the effect of service modularity on new service advantage.

Design/methodology/approach

To examine this link, data were collected from a cross-industry survey of 231 leading service firms. Structural equation modeling and hierarchical moderated regression analyses were employed to test the model.

Findings

Analyses reveal that new service advantage mediates the service modularity-firm performance relationship. Moreover, service modularity capabilities act in an important antecedent role to configure service modularity. Among the findings, it is worth emphasizing that radical innovation capability not only strengthens the positive effect of, but also alleviates the negative effect of, service modularity on new service advantage.

Originality/value

This study provides a more complete understanding of how service modularity enhances firm performance by discovering the hidden role of new service advantage that bridges service modularity and firm performance, clarifying the role of service modularity capabilities in configuring service modularity, and confirming the important role of radical innovation capability in sustaining the effectiveness of service modularity.

Details

Journal of Service Theory and Practice, vol. 26 no. 5
Type: Research Article
ISSN: 2055-6225

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Article
Publication date: 9 July 2018

César Camisón, Montserrat Boronat-Navarro and Beatriz Forés

The purpose of this paper is to enrich the explanation of the interplay between internal and external – or district shared – exploration and exploitation capabilities as…

Abstract

Purpose

The purpose of this paper is to enrich the explanation of the interplay between internal and external – or district shared – exploration and exploitation capabilities as antecedents of a firm’s radical and incremental innovation. Previous studies do not differentiate between exploration and exploitation in district shared capabilities and how they interact with internal capabilities.

Design/methodology/approach

The paper uses hierarchical regression analysis to test the quadratic and moderating effects in a sample of 1,019 Spanish firms.

Findings

Results show an increasingly positive effect on radical innovation of exploration capabilities, enhanced by shared capabilities in exploration. In the case of incremental innovation, the study finds evidence of an increasingly positive influence of exploitation capabilities and a concave relationship of exploration capabilities. Moreover, shared exploitation capabilities weaken the effect of internal exploitation capabilities and also have a direct effect on incremental innovation. Therefore, the two capabilities are interchangeable in the effect they have on incremental innovation.

Practical implications

Depending on the firm’s innovation strategy, intra-district firms should develop specific capabilities and/or concentrate on adopting the shared capabilities in the destination.

Originality/value

The study furthers the understanding of the relationship between exploration and radical innovation, and between exploitation and incremental innovation, which is more complex than previously depicted. The study also differentiates between exploration and exploitation in shared capabilities, enriching understanding of the competitiveness of district firms.

Details

Management Decision, vol. 56 no. 7
Type: Research Article
ISSN: 0025-1747

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Article
Publication date: 3 June 2021

Tu Ngoc Nguyen, Chao Hong Shen and Phong Ba Le

The purpose of this study is to explore the influence of transformational leadership (TL) on a firm's radical and incremental innovation. It also deepens the understanding…

Abstract

Purpose

The purpose of this study is to explore the influence of transformational leadership (TL) on a firm's radical and incremental innovation. It also deepens the understanding of appropriate mechanisms and conditions to improve specific aspects of innovation by examining the mediating role of knowledge management capability (KMC) and moderating mechanism of collaborative culture.

Design/methodology/approach

This study utilized structural equation modeling (SEM) and cross-sectional design to test hypotheses in the proposed research model using survey data collected from 365 participants in 86 manufacturing and service firms.

Findings

The findings indicate that TL induces greater effect on radical innovation compared to its effect on incremental innovation. The mediating role of KMC between TL and aspects of innovation capability is also supported. Especially, the influences of KMC on specific aspects of innovation capability are different and depend on the degree of collaborative culture in an organization.

Research limitations/implications

Future research should examine the mediating mechanisms of knowledge acquisition, knowledge sharing and knowledge application to provide deeper insight into specific roles of knowledge management's constituents in linking TL and innovation capability.

Practical implications

The paper significantly contributes to increasing the understanding of the link between TL and specific aspects of innovation capability by highlighting the important role of KMC and positive effects of collaborative climate in an organization.

Originality/value

The paper is unique in the attempts to provide a prospective solution for firms to pursue and improve innovation based on the meaningful insights into the mediating role of KMC and moderating effect of collaborative culture in the relationship between TL and specific dimensions of innovation capability.

Details

Kybernetes, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0368-492X

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Article
Publication date: 13 October 2020

Phong Ba Le

Given the important role of innovation capability in helping firms to innovate and adapt to a fast-paced and unpredictable environment, the purpose of this study is to…

Abstract

Purpose

Given the important role of innovation capability in helping firms to innovate and adapt to a fast-paced and unpredictable environment, the purpose of this study is to investigate and deepen knowledge of how transformational leadership affects radical and incremental innovation via the mediating role of positive psychological capital.

Design/methodology/approach

The paper used structural equation modeling and cross-sectional design to test proposal hypotheses based on the empirical data collected from 379 participants in 89 manufacturing and service firms.

Findings

The results of this study revealed the positive and significant influence of transformational leadership on radical and incremental innovation. The findings highlighted the mediating role of individual psychological capital in the relationship between transformational leadership and aspects of innovation capability.

Practical implications

Organizations should invest and stress on practicing transformational leadership style for their managers/directors to foster and enhance individual psychological capital and innovation capabilities.

Originality/value

The paper has extended theory of innovation management by discussing and highlighting the important role of transformational leadership and psychological capital in fostering specific aspects of innovation namely radical and incremental innovation.

Details

Asia-Pacific Journal of Business Administration, vol. 12 no. 3/4
Type: Research Article
ISSN: 1757-4323

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Article
Publication date: 21 May 2021

Linnan Gui, Hui Lei and Phong Ba Le

The purpose of this study is to clarify the effects of transformational leadership (TL) on radical and incremental innovation through the mediating roles of knowledge…

Abstract

Purpose

The purpose of this study is to clarify the effects of transformational leadership (TL) on radical and incremental innovation through the mediating roles of knowledge sharing (KS) behaviors. This study also attempts to bring deeper insight of the correlation among the latent factors by examining how knowledge-centered culture (KCC) moderates the effects of TL on KS behaviors and innovation capability.

Design/methodology/approach

This study conducts a questionnaire survey and Structural Equation Modeling to test the proposal research model based on a sample of 321 participants in 85 service and manufacturing firms.

Findings

The results revealed that KS behaviors significantly mediate the relationship between TL and two types of innovation. Specifically, knowledge collecting has more significant effect on incremental innovation compared with influence of knowledge donating. By contrast, knowledge donating has a greater effect on radical innovation compared with effect of knowledge collecting. The paper also highlights the important role of KCC in enhancing the effects of TL on KS activities and innovation capabilities.

Research limitations/implications

The study has highlighted the important role of KCC as it positively moderates the influences of TL on KS and innovation capability.

Practical implications

The study provides evidence that TL style is the main driving force of KS processes. Managers should prioritize practicing this leadership style to improve employees' KS behaviors and firm's innovation capability.

Originality/value

The study significantly fills the gaps in the literature that emphasizes how KS behaviors induce different impacts on specific aspects of innovation capability. By exploring the moderator of KCC, the paper significantly contributes to advancing the understanding of how transformational leaders foster employees' KS behaviors for improving radical and incremental innovation.

Details

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

Keywords

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