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The effects of geographic and network ties on exploitative and exploratory product innovation

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  • Muammer Ozer
  • Wen Zhang

Abstract

type="main" xml:id="smj2263-abs-0001"> Addressing the inconsistent findings in the literature, we first distinguish the type of innovation and study the relationship of industrial clusters with exploitative and exploratory product innovation. Furthermore, we study how focal cluster firms' network ties with their suppliers and buyers in their clusters might moderate these relationships. Our empirical study showed that, while cluster membership enhanced firms' exploitative product innovation, it hindered their exploratory product innovation. Moreover, the results showed that focal cluster firms' network ties with their suppliers and buyers in their clusters strengthened the effects of cluster membership on exploitative product innovation. They also showed that focal cluster firms' network ties with their buyers but not suppliers in their clusters reduced the negative effects of cluster membership on exploratory product innovation . Copyright © 2014 John Wiley & Sons, Ltd.

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  • Muammer Ozer & Wen Zhang, 2015. "The effects of geographic and network ties on exploitative and exploratory product innovation," Strategic Management Journal, Wiley Blackwell, vol. 36(7), pages 1105-1114, July.
  • Handle: RePEc:bla:stratm:v:36:y:2015:i:7:p:1105-1114
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    9. Gao, Yuchen & Hu, Yimei & Liu, Xielin & Zhang, Huanren, 2021. "Can public R&D subsidy facilitate firms’ exploratory innovation? The heterogeneous effects between central and local subsidy programs," Research Policy, Elsevier, vol. 50(4).
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    11. Grashof, Nils, 2021. "Putting the watering can away –Towards a targeted (problem-oriented) cluster policy framework," Research Policy, Elsevier, vol. 50(9).
    12. Oerlemans, Leon & Chan, K.Y. & Knoben, Joris & Vermeulen, P.A.M., 2018. "Structural and geographical conditions for exploitative innovation : Evidence from South African manufacturing firms," Other publications TiSEM 4abcf615-a0d4-49ef-ba25-c, Tilburg University, School of Economics and Management.
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    14. Nukhet Harmancioglu & Gerard J Tellis, 2018. "Silicon envy: How global innovation clusters hurt or stimulate each other across developed and emerging markets," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 49(7), pages 902-918, September.
    15. Di Ye & Linlin Zheng & Peixu He, 2021. "Industry Cluster Innovation Upgrading and Knowledge Evolution: A Simulation Analysis Based on Small-World Networks," SAGE Open, , vol. 11(3), pages 21582440211, July.
    16. Ting Liu & Liu Tang, 2020. "Open innovation from the perspective of network embedding: knowledge evolution and development trend," Scientometrics, Springer;Akadémiai Kiadó, vol. 124(2), pages 1053-1080, August.
    17. Zhang, Jing A. & O'Kane, Conor & Chen, Guoquan, 2020. "Business ties, political ties, and innovation performance in Chinese industrial firms: The role of entrepreneurial orientation and environmental dynamism," Journal of Business Research, Elsevier, vol. 121(C), pages 254-267.
    18. Jingbei Wang & Min Guo & Hui Liu & Yafei Nie, 2023. "Partners’ partners matter: the effect of partners’ centrality diversity on the focal organization’s innovation outputs," Scientometrics, Springer;Akadémiai Kiadó, vol. 128(3), pages 1547-1565, March.
    19. Anne Parmigiani & Jennifer Irwin & Brooke Lahneman, 2022. "Building greener motorhomes: How dual‐purpose technical and relational capabilities affect component and full product innovation," Strategic Management Journal, Wiley Blackwell, vol. 43(6), pages 1110-1140, June.
    20. Diwei Lv, David & Zhu, Hang & Chen, Weihong & Lan, Hailin, 2021. "Negative performance feedback and firm cooperation: How multiple upward social comparisons affect firm cooperative R&D," Journal of Business Research, Elsevier, vol. 132(C), pages 872-883.
    21. De Silva, Muthu & Howells, Jeremy & Khan, Zaheer & Meyer, Martin, 2022. "Innovation ambidexterity and public innovation Intermediaries: The mediating role of capabilities," Journal of Business Research, Elsevier, vol. 149(C), pages 14-29.
    22. Jing A. Zhang & Xiling Cui, 2017. "In Search Of The Effects Of Business And Political Ties On Innovation Ambidexterity," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 21(02), pages 1-27, February.
    23. Elvis Korku Avenyo & Fiona Tregenna & Erika Kraemer-Mbula, 2021. "Do Productive Capabilities Affect Export Performance? Evidence from African Firms," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 33(2), pages 304-329, April.
    24. Long Cheng & Shiyuan Zhang & Xuming Lou & Jie Huang & Fangping Rao & Rui Bai, 2021. "How Does Tie Strength Dispersion within Inter-Organizational Networks Affect Agricultural Technological Innovation? Evidence from China," Land, MDPI, vol. 10(7), pages 1-17, July.

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