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The Role of Alliance Network Redundancy in the Creation of Core and Non-core Technologies

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  • Wim Vanhaverbeke
  • Victor Gilsing
  • Bonnie Beerkens
  • Geert Duysters

Abstract

This paper studies the effect of a focal firm, and its partners' local alliance actions, on the creation of technological innovations by the former. More specifically, we study how two types of redundancy in a focal firm's ego network affect its ability to create new technologies in its technology core areas (exploitation) and/or non-core areas (exploration). We analyse this empirically in three different industry settings: chemicals, motor vehicles, and pharmaceuticals. One of our key findings is that individual firms can indeed boost both types of innovative output by shaping the degree of redundancy in their local alliance network, but that the way in which this should be done differs between the creation of core and non-core technologies. Next, we find that it is very useful to unpack the rather abstract notion of redundancy into more specific types of redundancy in ego networks. Overall, these findings reflect an action-oriented view on the role of individual firms in collaborative networks, which may complement the dominant view in the alliance literature emphasizing the role of the overall network structure and firms' network position within it. Copyright (c) Blackwell Publishing Ltd 2008.

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Bibliographic Info

Article provided by Wiley Blackwell in its journal Journal of Management Studies.

Volume (Year): 46 (2009)
Issue (Month): 2 (03)
Pages: 215-244

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Handle: RePEc:bla:jomstd:v:46:y:2009:i:2:p:215-244

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  1. Carlos Garcia-Pont & J. Ignacio Canales & Fabrizio Noboa, 2009. "Subsidiary Strategy: The Embeddedness Component," Journal of Management Studies, Wiley Blackwell, vol. 46(2), pages 182-214, 03.
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Cited by:
  1. Meschi, Pierre-Xavier & Wassmer, Ulrich, 2013. "The effect of foreign partner network embeddedness on international joint venture failure: Evidence from European firms’ investments in emerging economies," International Business Review, Elsevier, vol. 22(4), pages 713-724.
  2. Christoph Hornych & Matthias Brachert, 2010. "Determinanten der Vernetzung von Unternehmen der deutschen Photovoltaik-Industrie," IWH Discussion Papers 20, Halle Institute for Economic Research.
  3. Hagedoorn, John & Wang, Ning, 2012. "Is there complementarity or substitutability between internal and external R&D strategies?," Research Policy, Elsevier, vol. 41(6), pages 1072-1083.
  4. Calvin Weng & Tugrul Daim, 2012. "Structural Differentiation and Its Implications—Core/Periphery Structure of the Technological Network," Journal of the Knowledge Economy, Springer, vol. 3(4), pages 327-342, December.

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