Innovation project embeddedness as a driver of innovation novelty and business performance
2011 (English)Conference paper (Refereed)
This study explores innovation development in subsidiaries of the multinational corporation and offers a finegrained analysis of innovations in networks. We develop a conceptual model linking innovation project embeddedness to the degree of innovation in terms of novelty and innovation related business performance at the subsidiary level. We confront our conceptual model with a data set comprising 85 innovation development projects using partial least squares regression. Our findings reinforce the notion that innovations with a high degree of novelty, which have been found to reflect the competitive advantage of firms, increase business performance at the subsidiary level. However, we find no direct link between project level embeddedness and related business performance. Instead, such embeddedness, taking both internal and external relationships into account, enhances the novelty of innovations. Thus, embeddedness contributes to performance outcomes indirectly. Our study thus creates a link between the project level, innovation and firm level outcomes and contributes to the network and innovation literature.
Place, publisher, year, edition, pages
Research subject Business Studies
IdentifiersURN: urn:nbn:se:uu:diva-156653OAI: oai:DiVA.org:uu-156653DiVA: diva2:432763
The 53rd Annual Meeting of the Academy of International Business, Nagoya, Japan, June 24-28, 2011